Ex
Yes the lower pound does make our products look attractive price wise to EU countries but we are a trading nation,stand at Felixstowe for a day to see the container ships arriving!
Those goods coming in are costing 10% more,or will do in a months time when the current batch is out of the system.
So we will see price rises that will negate the advantage of the lower pound.
Kudos/Rally Design holds stocks for 6 months ahead and forward buys some currency so we are insulated from immediate price rises but unless the pound recovers against the USD/RMB we will see substantial cost increases later in 2016.
KudosDave
change rates go up, and they go down, and there is almost invariable winners and losers, benefits and downsides. Just take a look at the ex change rates over the last 5 years and you will see we have seen such range of movements before (admittedly not in the space of a few days). Our business's can and do deal with them and by and large we carry on as before.
To say otherwise is simply panic and a misunderstanding about how economics works
Simple example you talk about bikes please consider
- If your bikes go up by 10% then most likely so will your competion, the world does not end
- If some of your bikes dont go up, ie different supplier, then buy from them, buy from China
The low £ helps local manufactures, there costs will be more competitive
What is more serious, some imports being more expensive or more exports and more jobs and by definition more people with more money to spend
I would really like to suggest as the vote is actually over and instead of defending entrenched positions you at least try to look at pros and cons which would be the mature approach at this point