Retail Executives Fear Impact of Tariffs, Protectionism as Election Nears

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Source: August 2016 survey of 250 U.S. retail executives, conducted by YouGov on behalf of GT Nexus GETTING A HANDLE ON THINGS: Retail executives do see technology playing a major role in combating tariffs and trade uncertainty 23 % say it can help better handle costs (assessing cost to serve scenarios, etc) 16 % of retail executives say it can improve risk assessment 23 % of retail executives say it can provide greater inventory agility and flexibility 24 % say technology can provide better communication in the supply chain by connecting trading partners 17 % say it can provide sourcing agility to avoid risks and costs (allows easy shift in sourcing locations) 57 % RETAILERS ARE UNPREPARED: Most U.S. retail executives don’t have a handle on the volume of goods that can be adjusted geographically THE IMPACT WILL BE NEGATIVE FOR RETAILERS, THEIR SUPPLIERS AND CONSUMERS. HOW? of retail executives expect higher cost of goods 44 % expect higher risk of delays or disruptions 22 % of retail executives expect more red tape 20 % expect challenges procuring materials and resources 17 % As the 2016 election looms, U.S. retail executives fear trade protectionism & tariff policies U . S . E l ec ti o n B u s i n e s s O u tl o o k DECLINE IN FREE TRADE POLICY INCREASE IN RISK & PRESSURE ON RETAILERS of retail executives expect to be impacted by tariffs & protectionist measures 46 % don’t know the percentage of goods that can be adjusted to another region to counter protectionist measures have no programs in place for supply chain agility and flexibility to address incoming trade risk 68 % currently have plans in place to provide agility to proactively address 6 % are very prepared to handle tariffs on imported goods 17 %

Transcript of Retail Executives Fear Impact of Tariffs, Protectionism as Election Nears

Page 1: Retail Executives Fear Impact of Tariffs, Protectionism as Election Nears

Source: August 2016 survey of 250 U.S. retail executives, conducted by YouGov on behalf of GT Nexus

GETTING A HANDLE ON THINGS: Retail executives do see technology playing a major role in combating tari�s and trade uncertainty

23%

say it can help better handle costs (assessing cost to serve scenarios, etc)

16%

of retail executives say it can improve risk assessment

23%

of retail executives say it can provide greater inventory agility and flexibility

24%

say technology can provide better communication in the supply chain by connecting trading partners

17%

say it can provide sourcing agility to avoid risks and costs (allows easy shift in sourcing locations)

57%

RETAILERS ARE UNPREPARED:Most U.S. retail executives don’t have a handle on the volume of goods that can be adjusted geographically

THE IMPACT WILL BE NEGATIVE FOR RETAILERS, THEIR SUPPLIERS AND CONSUMERS. HOW?

of retail executives expect higher cost of goods

44%

expect higher risk of delays or disruptions

22%

of retail executives expect more red tape

20%

expect challenges procuring materials and resources

17%

As the 2016 election looms,

U.S. retail executives fear trade

protectionism & tari� policies

U.S. Election Business OutlookDECLINE IN

FREE TRADE

POLICY

INCREASE IN RISK & PRESSURE ON RETAILERS

of retail executives expect to be impacted by tari�s & protectionist measures

46%

don’t know the percentage of goods that can be adjusted to another region to counter

protectionist measures

have no programs in place

for supply chain agility and

flexibility to address

incoming trade risk

68%

currently have plans in

place to provide agility to

proactively address

6%

are very prepared to handle

tari�s on imported goods17%