QUESTION ONE

Read the following extract and answer the question that follows:

Wylies Corporation is a United Kingdom (UK) based manufacturing company that specialises in producing consumer goods. The company relies heavily on its supply chain to ensure timely delivery of high-quality products to its customers.

Impact of Brexit on the Supply Chain:

1. Customs and Border Controls:

After Brexit, the UK left the European Union's (EU) Customs Union and Single Market, which resulted in the introduction of new customs and border controls. This has caused significant delays and additional costs for companies like Wylies Corporation, which rely on just-in-time supply chains to deliver their products to customers.

2. Tariffs:

Brexit has also led to the introduction of new tariffs on goods imported from the EU. This has resulted in increased costs for Wylies Corporation, which sources a significant proportion of its raw materials and components from EU suppliers.

3. Regulatory Compliance:

Brexit has led to changes in regulatory compliance requirements, particularly in areas such as product safety and environmental standards. This has added to the compliance burden for Wylies Corporation, which now needs to comply with both UK and EU regulations.

4. Supplier Relationships:

Brexit has also impacted supplier relationships for Wylies Corporation. Many of the company's EUbased suppliers have faced uncertainty and confusion about their future relationship with the UK. This has led to some suppliers reducing their operations in the UK or even pulling out of the UK market altogether.

Question

In the context of Brexit, evaluate the supply chain processes and its impact on Wylies supply chain.