3 ms·
Did Brexit Make British Retailers Competitive?
- gwern 10y agoWell, yeah. That is part of the point of devaluing a currency: it makes exports more competitive on the world market.
- zzalpha 10y agoYup. Downside is imports are gonna get a heck of a lot more expensive... welcome to the push-and-pull of trade.
- crdb 10y agoIt gets more interesting with branded goods which are completely fungible. In theory they have a global MSRP or at least a globally optimised one, to avoid arbitrage, and brands get pretty advanced in fighting the grey market (for example, I read Chanel is now using custom molecules to identify fragrances destined for different export markets - the invisible ink serial numbers were too rapidly found and copied). But the UK MSRP just dropped 10%. I'm looking forward to see how fast the MSRPs will adjust.