When margin is thin, overheads high, product over-priced in a competitive global market, and loss inevitable because of:
(a) delay in completion/delivery; and
(b) increased costs of:
(ii) regulatory compliance (because our regime is not aligned with that of our biggest market); and
(iii) increased tariffs,
the cumulative effect = RSV.
It is a rule of the jungle that you are going to go out of business unless you can preserve and increase SV by relocating to a jurisdiction where you can earn a profit because in that environment the business will not suffer any RSV effect.
RSV ultimately means redundancy (‘R‘).
Redundancy reduces the potential for growth.
That reduces the prospect of future investment.
B may cease to be economically viable as a going concern.
Therefore, unless another B exists or can be created to fill the gap, this means poverty for entire communities whose wealth and standard of living depends upon strategic industries who place SV before politics (and as a fiduciary it is the legal duty of a company director to maximise shareholder value). That is because the existence of a business does not depend upon ‘sovereignty’ and ‘democracy’, it depends upon SV.
Government cannot fill the gap with infrastructure spending. All that does is to increase the structural deficit = a higher burden of interest payments.
There used to be a surplus. Now there is a mountain of debt.
What needs to be done to reduce this debt is to increase productivity.
How can you do that if you cannot sell your product because you are uncompetitive?
This spiral leads to a shrinking economy in which operating costs are higher, interest rates for borrowing will become higher, and to salvage what they can or to plug the hemorrhage, uncompetitive businesses will cease trading.
For those owners whose failing businesses have inadvertently become sitting ducks for take-over (e.g. because they possess a brand name, IPR, and know-how which can be exploited, e.g. by: firing the workforce; keeping on and relocating key talent e.g. designers; selling the land and buildings to developers; and then manufacturing in a more profitable environment) – Britain will not be made great again. It will become a hunting ground for vulture-capitalists and hedge fund managers whose only loyalty is to SV. If you think the predators will be British examine who owns some of the best known brands on the high street and premier league football clubs. Ask yourself who is going to make money out of Brexit: Hedge Fund Managers (and their global clients); Property Developers; or the surviving owners of family owned and run small businesses – which are the backbone of the British economy? Is Brexit about the opportunities that will exist to acquire, break-up, re-structure and sell-on British businesses, or is it all about you?