MAXWELL AMSTERDAM GLOBAL MARKETING IN A DIGITAL ERA (HPMK440-1) RESEARCH ASSIGNMENT (FA1) A Comprehensive International Market Analysis of the Non-Alcoholic wines industry in the UAE.
1.Introduction The United Arab Emirates is a relatively new country, having been established as a Federation on December 2, 1971. Prior to the creation of the UAE, the British governed the seven Emirates that currently make up the Federation, and these sheikhdomswereknownastheTrucial States (DE MAN, 2020). Poverty and socio-economic underdevelopment were present when the country was founded. TheUAE'ssubsistenceeconomy,whichwasdefinedbyagriculture,pearling extraction,fishing,andtradingactivities,wasstillstronglyimpactedbyits subsistenceeconomyin1968,withapopulationofonly180,000people. Infrastructure was almost non-existent in the late 1960s, and the Trucial States – the current United Arab Emirates – depended on foreign monetary help to begin its illusive socio-economic growth. Despite this, the UAE was able to transform from a subsistence economy to an innovation-driven economy in just 44 years (Alexandre, Dias and Delgado, 2016). Figure 1.1 Geographic Location of UAE (Jill Ann Crystal and Peterson, 2018).
According to official estimates, the UAE's GDP has grown approximately 36 times in current values since it was founded in 1971 by seven Gulf emirates (gulfnews.com, n.d.). This growth meant that the UAE is now ranked 18th globally when it comes to exporting,(www.indexmundi.com,n.d.).TheUAEalsohasaneaseofdoing business rating of 16th globally which is the strongest rating in the region, of 80.9 out of 100 (The National, 2019). During this analysis, we will be looking at the market of Non Alcoholic beverages in the UAE. Before even trying to infiltrate the market an important factor to consider is the currency exchange, which is 4.1 Emirati Dirhams to 1 South African Rand. 2. International trade environment: SLEPTS analysis SLEPT analysis is a methodology for evaluating the impact of the external environment on an organization. It takes into account five macro-environmental factors: social, legal, economic, political, and technological (Zigu, 2018). ●Social Factors:Health consciousness, education level, population growth rate, gender distribution, socioeconomic classes, and other factors are all considered (Zigu, 2018). ●Legal Factors:Antitrust laws, discrimination laws, intellectual property laws, consumer protection laws, employment laws, regulatory mechanisms, and so on are all included (Zigu, 2018). ●Economic Factors:Growth rates, inflation rates, interest rates, currency rates, fiscal and monetary policies, credit availability, and so forth are all included(Zigu, 2018). ●Political Factors:involves government policies and interventions in the economy, such as the amount of corruption, government stability, trade
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Comprehensive Market Analysis of Non-Alcoholic Wines Industry in UAElg...