Air Conditioning companies have just experienced a huge downfall, as the United Kingdom’s vote to leave the European Union leaves the door wide open for potential competitors from the United States. One of the biggest air conditioning companies in the UK, AC Master International, has already said it is “evaluating all possible strategies” after the U.K.’s exit from the European Union. While this leaves a huge opening for other businesses, what is the impact on air conditioning companies in the U.K.? How will they be able to keep their business afloat during this troubled time? And how do you, as an air conditioning company, know which companies are really offering the best deals?
What Have We Learned
Well, firstly, the fact that there are many American-based air conditioning companies in the U.K. This is obviously great news for those residents of Britain, who are struggling to pay the ever-increasing cost of their air conditioning. The fact that there are so many options available for air conditioning customers in the U.K. may give some people hope that the situation on the ground in Britain can somehow be turned around. That said, there are also plenty of people who remain pessimistic about the impact of leaving the EU will have on the British economy. These are the folks that are wondering whether the U.K. will be able to continue as a global player once it finally exits the European Union.
How Do Businesses Survive These Kinds Of Turbulent Times
So how does a businessman survive a period of heightened economic uncertainty? Of course, he must continue to do his job. And while many AC contractors have already said that they will cease trading during the duration of the U.K. Leaving the EU would most definitely mean a reduction in the number of customers AC companies can serve, and this would undoubtedly hit the individual air conditioning companies that are still active in the country. Therefore, the most important thing that air conditioning companies need to do right now is to get themselves prepared to adapt to the new trading arrangements. This means getting out a contingency plan in case the worst happens.
Even though the contingency plan might not include any specific contingency actions, the companies should at least consider what might happen if the U.K. leaves the European Union. And the plan has to be well-thought-out because leaving the European Union could mean various things to different air conditioning companies. For instance, it could mean a reduction in the rights and privileges accorded to air conditioning contracts by the European Union. In addition, it could mean restrictions on the distribution of certain air conditioning technologies, such as the refrigerant dehumidifiers that are used in dry areas. And it could even mean the European Union’s ban on “asset-based taxation”, which means that air conditioning companies have to pay an extra amount of tax on the commodities that they sell in Europe.
But all these things might come into force only if the U.K. remains in the European Union. And so it is important for air conditioning companies that remain based in the UK to take contingency measures against trade friction due to the new control measures between the EU and the UK.
In other words, it is absolutely essential for air conditioning companies that remain based in the UK to prepare contingency plans for any eventuality that the U.K. might leave the European Union. It is also essential for all companies to start preparing now for a “hard” Brexit. That means that all air conditioning companies would have to start working out how they might keep their air conditioners operational in the event that there is a hard Brexit from the European Union. So, get your planning underway now!