Comparison between Dubai and Singapore Harvard Case Solution & Analysis

Comparison between Dubai and Singapore Case Study Analysis

Recommendations:

As the overall economic growth of Singaporehas been better when compared to that of Dubai’s, therefore, Dubai is undoubtedly seeking out more opportunities for huge investments for the purpose of transformation of the country for being a global import/export Centre. The government of Dubai is not only taking measures to increase its market throughout the world but is alsomaking efforts in the upscaling of the present resource. Whereas the economic growth of Singapore has been fluctuating due to the increase or decrease in import and export. Thus, in order to start a business globally, some of the key factors that are required to be considered,include:

Language Barriers and Cultural understanding:

Each country has its own set of cultural norms, rules and regulations and the transformation towards potential growth. The difference in cultures and languages makes it difficult for people around to communicate in an effective manner. Language is a first and foremost requirement while thinking of doing business internationally. The expansion of the business in foreign countries in order to create more ways to generate increased revenue is primarily based on a better and improved understanding of cultural values. This is quite important as it leads to anincrease in the communication gap resulting inthe inefficient performance of the workforce.

Therefore, it is considered important to be able to learn and speak that particular language in the best way in order to overcome this issue. In this manner, it represents your respect towards their cultural values and helps you to grow as well as lead you towards the development of a meaningful relationship.

Determination of the fastest-growing niche:

Before deciding to expand your business in any state other than Dubai or Singapore, it is important to determine the fastest growing industry in that particular country and the identification of the leading players and their target market. Additionally, the contribution of the particular industry in the annual GDP of the year improving the economy of the country. This is important due to the reason that the country you want to expand your business might demonstrates more imports than exports and low economic growth and the presence of larger number of international players. Then, there seems a strong need for the development of a strategic approach for the business expansion in relation to the potential of increasing the revenue growth.

Labour Cost:

In setting up any business or expanding an existing one, considering the labour cost is an important factor. This is due to the reason that in developed countries, the labour cost is quite high which might turn out to be a matter of concern and thus require high investment resulting in the production of high-cost products that might not be in reach of your target market. Additionally, increased labour cost, as well as shipment of the manufactured products,would require additional cost. Thus, it is recommended to consider developing states for the purpose of product manufacturing due to the low cost of the labour such as India, China and etc.

Regulations:

The rules and regulations or the governmental policies allowing the business of different products in particular states are different i.e. specified by the difference between the Muslim and non-Muslim countries. Such as alcoholic products are not allowed to be sold on a commercial level, in the Muslim States such as Dubai, whereas it is commercially sold in Singapore. In contradiction, some other factors restricting the sale of a particular productsare based on the concern over sustainability, or health-concerns. Thus, it is important to check for the government regulations before embarking on a journey of having anunsuccessful business expansion.

Appendices

Appendix A – GII rankings of UAE and Singapore

Source: GII 2019 Report and GII 2015 report

Appendix B - Ease of doing Business

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