Risk from Brexit
One risk in the 3-5 year horizon is from Brexit. This includes a concern over food standards and regulations and therefore food safety. One participant mentions that this might lead to a collapse in consumer confidence, which could be significant for the business – potentially prompted by the removal of standards from the EU and concern over practices used elsewhere, such as chlorinated chicken.
But one participant says this could be an opportunity: We are focusing on our standards, making sure they are recognised as the highest possible – we see it as a massive opportunity rather than a risk. It will allow us to demonstrate how good we are, and take advantage of that.
A changing market
We hear that taking advantage of opportunities is vital and much of this is about having a strong balance sheet – to drive forward and innovate.
We hear that if businesses do struggle, as a result of the change that too can be an opportunity for others: We are not actively looking – one participant says – but if some businesses are struggling we will look to consolidate and you can quickly take advantage and build a stronger business from that.
We hear that a number of businesses are up for sale. And that there are already significant changes happening to the market.
There is a concern that this is consolidation can be difficult for innovation, but again other participants think this is arguable. Some see it as quite a good driver for innovation, because larger businesses can take risks and invest, thanks to consolidation.