Evaluation of United Arab Emirates as a Business Destination

Running head: MARKETING
Marketing
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Introduction:
The effective business conduction in the modern business organizations are
observed to be affected by the competition of the industry. As an impact of the
globalization, the business industry is seen to have significant number of new
organizations which expressively eliminates any sort of scope of the market
monopoly (Ying, Chang and Lee 2014). With the increasing number of new
organizations entering the market, the level of competition in the modern business
world is seen to increase in a significant manner. Hence the modern organizations
are seen to restructure their strategies for the productive business conduction. With
a precise focus on the competition and the increasing number of new organizations,
the organizations are observed to search for the feasible options to reduce the
impact and the intensity of the competition (Saleem 2017). Under such situation, the
business expansion is considered to be a viable option for the organizations. With
the concept of the business expansion, the organizations are expected face the need
of identifying the location for the expansions and in such case, the evaluation of the
location or the destination becomes significantly important for the organizations.
The success of the organizations in the business expansions notably depends
on the appropriate identification of the locations for the expansions and in such case,
the effective and accurate evaluation of the various aspects of the destination market
becomes much needed for the organizations, The paper is also focused in the
evaluation of one such business destination in the form of the United Arab Emirates.
The paper assesses the political, socio- cultural, economic, technological,
environmental and legal impact on the chosen nation to identify the appropriateness
of the mentioned nation in being the preferred destination for the modern business

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organizations. Adding to that, the paper also recommends the profitable sectors of
the business industry of the chosen nation.
Political:
The United Arab Emirates is a combination of seven emirates in the form of
the Abu Dhabi, Ajman, Dubai, Fujairah, Ras Al Khaimah, Sharjah along with Umm Al
Quwain (Government.ae. 2019). Abu Dhabi is seen to serve as the capital. Each of
the seven emirates is seen to be ruled by different governing association and they
are observed to be led by different individuals as well.
The active presence of governmental organizations of the seven different
emirates is seen to be of great significance for the business organizations in
achieving flexible management in each parts of the country (Toledo 2013). However,
the chosen country is observed to be involved in significant amount of conflict with
the neighbouring countries regarding the ownership of the oil reserves and the land.
Adding to this, the stable financial condition of the nation is of great significance for
the outsider organizations with the intention of investing in the mentioned nation. The
effective management from the part of the governments of the different emirates is
capable of attracting larger amount of foreign investment. Hence it is pretty evident
that these financial institutions with bulk amount of investments can help the capital
markets that are developing within the UAE economy (Ulrichsen 2015). In spite of
the political stability of the concerned region, many of the researchers are seen to
comment on the vulnerability of the chosen region in context of the global security
and the increasing terrorism. However, it is seen that there is some amount of
discomfort amongst the people of the mentioned region with the outsider

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organizations specifically the organizations belonging to the American region due to
the Trump Administration Ban on the travellers of the Muslim country.
However, with the increasing business of the oil sectors along with the
construction, the ease in business conduction in the mentioned region is pretty
visible and that makes sure that the outsider business organization will face notably
limited obstacles in conducting their business in UAE.
Economic:
The economy of the mentioned country is seen to be significantly strong and
the notable amount of the business conduction that the chosen country is able to
conduct with the oil industry has remarkable impact on the economy on the
mentioned nation. As a result, the total GDP of the chosen nation is observed to be
732.861 billion US dollar in the year 2018 (Tradingeconomics.com. 2019). This
places the chosen country at the 32nd position in the list of the GDP and along with
that, the per capita GDP of the chosen country is 7th in the list of GDP (PPP) with a
value of 70262 US dollars in the year 2018 (Tradingeconomics.com. 2019). The
chosen country is at the 28th position in the list of the GDP (Nominal) with a total
GDP of 432.612 billion US dollars along with a per capita GDP of 41476 billion US
dollars which places the country at the 19th position in the list of the GDP (Nominal)
in the year 2018 (Tradingeconomics.com. 2019). Apart from that, the Human
Development Index or HDI of the chosen country is significantly high with a rating of
the 0.863 in the year 2018 and that places the chosen country at the 34th position in
the list of the HDI (Tradingeconomics.com. 2019). Adding to this, the chosen country
is seen to have a GDP annual growth rate of 0.80 percentage
(Tradingeconomics.com. 2019).