Assessment Of Country Risk And Opportunities

Silence, rows of desks, and cold hard plastic seats. What’s the first image that comes to mind, a classroom. Close your eyes, imagine yourself sitting in this classroom, a clock keeps ticking, tick-tock, and a test with no instructions has been placed in front of you. You have fifteen minutes to perfectly complete it or you’ll fail. Now raise your hand if you felt your blood pressure rise, and anxiety develop. You felt the uneasiness, stress, worry, the emotions that consumes one in every five teenagers in America under our current education system. Hours of homework, extracurriculars, standardized tests, busy work, and tremendous amounts of pressure. This was the solution devised based A Nation at Risk, which told of America’s downfall as

Basically I’m from India and I have never been before in Dubai (UAE) for just 7 days as tour in vacation. My company has decided to start new business there and they choose me as Managing Director.

After reading the article, “The Land of Opportunity,” I found out that teachers discriminate in the way they teach. One thing that that amaze me is that they feel that the kids from rich families do better than kids from poor background and therefore give special attention to the rich kids. I wonder why they feel that way since many researchers have proven that what actually determines success is motivation and determination.

Most countries affected by the civil wars have been cut off from any regional connections therefore they weren’t able to attract many of their regular customers. The UAE has taken that to their advantage by reeling in the customers who would normally shop in Egypt, Syria, Tunisia, Libya and Yemen and give them the opportunity to shop in places in the UAE instead of in a dangerous country. This has led to a 10% rise in spending by shoppers affected by the Arab Spring. The United Arab Emirates is known as a modern country with a stable government system that the public seems to respect. Governments from different countries such as Syria have shut down Internet and power connections to avoid the world to see the troublesome county. Because of these barricades, countries such as the United States and England have been keeping a close eye, especially since they cannot export and import products between countries. Perhaps the Middle East would’ve been better off without the Arab Spring.

What was once a small poverty-ridden settlement has now turned into a fully globalized city and business hub of the Middle East, Dubai is the largest and most populated city in the United Arab Emirates (UAE). It has now developed into an economic powerhouse within the past few decades. Dubai’s oil revenue helped escalate the early development of the city, but as of now much of its funds come from real estate, tourism, and construction. Also, Dubai has now emerged as an ethnically diverse metropolis residing of many cultures. According to the GaWC list, Dubai has earned an alpha+ ranking, which is fitting due to its economic prosperity, demographic and cultural traits, political significance and influence, and projected future.

The country risk analysis for the following six countries: India, Venezuela, Poland, Turkey, Namibia, and UAE will be identified and assessed as to the prospects for building a new factory in these countries. The strengths and weaknesses of each country as to risk will be summarized after review of the following variables:

The economy in the United Arab Emirates has experienced substantial increases in the last 40 years. The UAE’s capabilities with the pearling and oil industries have given the region its necessary budgets to expand so rapidly. The economic policies in the UAE have gone through stages, since the birth of the region in 1971. Changes in economic welfare of the markets, and privatization policies are also key aspects in understanding the UAE’s economic liberalization and growth. In order to understand the UAE’s economic standard, economic liberalization must be analyzed. The argument of this paper will discuss how economic liberalization has occurred in the United Arab Emirates and is continuing to grow.

Located on a natural harbor, Dubai began as a small fishing village. In 1833, it was overtaken by the Al Maktum ruling family. Under this ruling family it became an important pearling port and by the early twentieth century it was second only to Kuwait among commercial ports on the Arab side of the Persian Gulf.

Although proud Arab people trying not to think about past, when the “British assumed all responsibility for arbitrating in any disputes between the Sheikhs of the area”, and the area was kind of colonized under British Empire. Emiratis admire western expatriates and this is no secret that with the support of the British (or American) citizenship the attitude is changing to better, and salary higher than that of other foreigners

The Gulf Cooperation Council states (GCC) are heavily dependent on oil to generate economic growth. Oil and natural gas are the two main sources of capital inflow that enters into these countries. GCC countries’ dependency creates economies that are sensitive to any decline in oil prices. After four years of relatively stable oil prices of around $105 per barrel (bbl), a sharp and notable decline occurred in June 2014. In the face of the plummeting oil prices, most GCC countries have cut their spendings to cope with the significant reductions in their revenues.

Abu Dhabi is the capital city of the United Arab Emirates, a country located on the southeastern tip of the Arabian Peninsula, straddling the Persian Gulf and the Gulf of Oman, which leads to the Arabian Sea (see Map 1 above). With a population of roughly 1.6 million, Abu Dhabi is the second most populous city in the country, after Dubai. The city is also the capital of the Abu Dhabi emirate, the largest of all emirates in the country, comprising over 80% of the country’s total land area. Abu Dhabi is situated on an island located just 250 meters from the mainland, and has a very distinguishable skyline consisting of modern skyscrapers.1, 2 The city is located in a desert area by the sea, so it possesses a hot and humid desert climate with summer temperatures averaging above 104 degrees but almost nonexistent rainfall.2 The city of Abu Dhabi was initially settled over 500 years ago, and it remained a relatively small settlement for local tribes until well into the 19th century. Under the rule of Sheikh Zayed bin Khalifa, Abu Dhabi focused on the trading pearls, and was able to develop quickly as a result of its favorable location linking the western world and the eastern realm such as India.3 The city embarked on a road to prosperity in 1958, when large offshore and onshore petroleum reserves were discovered, and oil exportation ensued in 1962. With over half the economy supported by oil revenue, the city’s GDP reached $100 billion in 2006, representing a

The United Arab Emirates geographical setting is located on the Arabian (Persian Gulf). The biggest of the seven emirates is Abu Dhabi which is the permanent capital of the nation. Inland is mostly desert with a few oases and the barren Hajar Mountains run through the country. Their climate is known to be very dry, with high temperatures and humidity in the summer. Before the establishment of the oil economy in the early 1960s, UAE was a sea-oriented culture that revolved around pearling and sea trading. The oil economy triggers the population of UAE to grow to from 86,000 to a small population of 2,624,000 by increasing in improving in diet, health care, and living standards.  Over the years UAE has become a multiethnic society and only

The UAE government are creating substantial opportunities for foreigners to invest and doing business in the UAE. Tourism creates jobs in the tertiary sector, but also on the secondary and primary sectors of the industry as well. This creates the multiplier effect, which proves how the money spent by tourists circulates in the country’s economy, from one hand to the other, therefore tourism directly helps the development of the hospitality industry but also indirectly in other sectors of the economy. For instance, a number of tourists spend money in the hotel, the hotel needs to buy linen from a supplier, the supplier needs to buy raw material from his supplier, etc. http://geographyfieldwork.com/TouristMultiplier.htm

In 1971, six of the Trucial States of the Persian Gulf – Abu Dhabi, ‘Ajman, Al Fujayrah, Ash Shariqah, Dubayy, and Umm al Qaywayn – merged to form the United Arab Emirates (UAE). As a strategic location along the Strait of Hormuz, a transfer point for countless oil resources, the UAE has been able to play a vital role in the vast and diverse Middle Eastern economy. High oil revenues have been the result of this location, allowing the country’s per capita GDP (Gross Domestic Product) to virtually match those of prominent and influential Western nations. Abu Dhabi is the capital of the UAE and the Abu Dhabi emirate as well as the second most populous city in the country following Dubai. In 1962, a few years before the UAE was able to

Information on UAE and its Strategic Priorities xan be found at the following websites: http://www.uaeinteract.com/; http://www.ameinfo.com/; http://www.uae-embassy.org/business-trade/trade-export; information on logistics: read Basit, A. (2010), “UAE Top Logistics Hub in the Gulf”, Khaleej Times, dated 16 January, Available: