Dubai is a popular destination for many multinational corporations from around the world. In recent years, many have set up offices in Dubai from a number of different business fields such as banking, travel and construction. There are many reasons why Dubai is becoming the heart of the business world. Let’s take a closer look.
Think of Dubai as a middle point, bridging business hubs in the West and the East. It has great access to both these hubs via its international airport and large seaport, which is one of the busiest in the world. Therefore, if you are looking to trade worldwide, it is an excellent strategic location.
Low Tax Economy
One of the main attractions to Dubai is the fact that it does not charge income tax on an individual person. Instead, there is some VAT on some services and goods, however, this is still lower than many other countries, sitting at around 5%.
Dubai is within the United Arab Emirates, which is one of the most stable countries in the region when it comes to both politics and the economy. The government within Dubai wants to attract as much investment into the region, making setting up a business as easy as possible. It includes free trade zones, where immigrants and foreign investors can get involved in business without requiring an Emirati sponsor. This leads to more freedom and more of a say within the business you wish to invest in.
State of the Art Infrastructure
Moving around Dubai and getting in and out of it could not be easier. The city has a state-of-the-art airport to access other countries that gets a great reputation. On top of this, within Dubai, the metro is a great way to get around, as well as the water taxis, regular taxis, trams and buses. The city is extremely interconnected, making travel easy.
As Dubai is already such a popular destination with businesses, it has much office space and conference rooms on offer equipped with all the technology you require. If you are looking to meet with people from different countries, who have travelled to Dubai, most hotels have high-quality conference rooms for you to use.
Moving to Dubai is a lot easier than moving to other destinations. This is because the UAE have residency visas that are easy to obtain if you have a business that you would like to run from there. A residency visa means that you can rent somewhere to live, travel around the country and purchase a car – all necessary for businessmen.
High Quality of Life
Those living in Dubai, no matter their origin, praise the area for its great living conditions. No matter if you are raising a family or looking to live on your own, there are services available for you. Packed with parks, restaurants, hotels, shopping centres and good schools, Dubai guarantees a higher standard of living for those who choose to move there to set up a business base. So, why not try it out today.
Why Opening A Business in the UAE Just Makes Sense
The UAE is the top choice for many businesses looking to establish themselves as a global brand. Here is why:
Firstly, it is hard to deny the statistics – Dubai is a great place to base a business. Within the Middle East, Dubai is the number one country that investors want to establish themselves in. It ranks top of the Arab world for business environment and infrastructure and 17th in the whole world within the Global Competitiveness Index.
On top of this, the UAE’s GDP is consistently growing, as does its infrastructure, making it an attractive business destination. Within the nation, there has been an increased demand in recent years for foreign imports and services, and this is set to continue.
When looking to base your business in the UAE, you have not only one but two choices for where to base your offices. Both Abu Dhabi and Dubai are worldwide financial centres that host a number of foreign businesses.
The countries taxation policy can be extremely attractive to foreign investors as it has favourable rates; however, even with these, the country is not criticized or blacklisted by the OEDC for being a tax haven. Individual foreign workers in the country do not pay any income tax, and there are no or low corporation taxes.
The United Arab Emirates also has Free Zones where you can register your business. Free zones allow your company to be fully owned by foreign investors and allow companies to import and export products without paying tax on them. On top of this, those with a business registered in these free zones will be entitled to corporate tax exemptions for the first 50 years. To further attract businesses, the government also provides assistance with recruitment and housing for those companies in free zones, which can be incredibly useful when setting up in a new country.
The UAE also allows you to set up an off-shore company that is global but based within the region. The country’s legislation allows your off-shore company to be owned entirely by foreign interests, with the director can be from any other nation, as long as they are not based within the UAE. You will be exempt from paying any taxes on both income and business activity with an off-shore company and do not need yearly audits.
Easy to Establish
Finally, opening a business within the United Arab Emirates could not be easier. The country wants to attract more business, and therefore, there are many advantages and incentives to do so.
For a start, the nation has great labour policies that allow foreign workers to easily obtain work in the country. If you are starting up a new business, you will need new recruits, and this policy helps with that. A company based in the UAE can have an unlimited number of employment visas for staff, and an individual is not required to pay any income tax.
The infrastructure of the UAE is perfect for setting up offices. There are plenty of accommodation options available and a multitude of conference centers for larger meetings.
Tesla’s Business Plan – How Does It Work?
One of the most talked about companies in the world right now is Elon Musk’s Tesla. Founded in 2003, the brand received its big break in 2012, when it identified an untapped market – luxury electric vehicles that combine technology and style. Because of this, Tesla shaped the conversation on electric vehicles for years to come. But how does the Tesla Business Model work? Let’s have a look at the basics.
Identifying Where There Is Space For Their Products
As we mentioned above, Tesla identified a gap in the motor market. The idea for electric cars has been around for a while, but none of the options at the time was seen to be a luxury purchase, and they certainly were not deemed as looking stylish. Over the past ten years, wealthy consumers have become more environmentally conscious, with climate change reaching the forefront of world politics. Tesla catered to this market with luxury cars that were both good for the environment and delivered both performance and comfort.
Answering Customer’s Concerns
One of the key components in Tesla’s business model is its focus on actively responding to customer feedback. After the rollout of some of the previous Tesla models, the brand listened to and worked to understand customer concerns over battery life in their products. In response to this, they worked to improve their chargers and how quickly they could fully charge vehicles. On top of this, in many areas around the world, they added free superchargers in areas with high volumes of traffic. By listening and responding to customers’ opinions, Tesla has managed to create a business that has a high level of returning customers.
Creating a Returning Customer Base
Returning customers are vital for Tesla’s brand model as their potential market may be smaller than other car brands due to their higher price point. Its focus on customer opinions, higher quality products and sustainable choices attract customers to the brand initially and keep them returning when looking for a newer model. Additionally, the brand’s customer service has a more personal feel in comparison to its competitors, which also leads to customer loyalty. Tesla has often been termed as ‘the most loved car in America’, and this is partially due to their loyal customers.
Another key decision made early on in Tesla’s business model was to only distribute directly instead of through car dealers. From day one, they marketed their products through their own online web page, stores in shopping malls, and customer communication and loyalty programmes.
Prioritizing Both Software and Hardware
While some brands focus on technology, others focus on the physical product and its looks and feel. Tesla works hard to do both and is consistently trying to improve. The brand’s software is frequently updated wirelessly so that customers always have the latest technology, which stands the brand leaps ahead of its competitors. This can be seen through its self-driving software, which pioneered the development of this technology. Users of the brand often cite Tesla’s technology as the reason why they chose the make in the first place.
Overall, Tesla’s business plan focuses on producing the best products and valuing its customers, making it one of the most popular brands on the market.
Dubai – A Fortune Based on More Than Just Oil
While most outsiders believe that Dubai is an oil-based economy, first perceptions may be deceiving. When the region first began to develop, it did have some oil wealth. This, however, was mainly between the years of 1960 and 1990. And while the profits from this economy definitely helped boost other areas of the economy at the start of Dubai’s journey, the region has diversified their economy to become a global player in many fields. Let’s take a closer look.
Throughout the 21st century, Dubai has transformed, growing at a faster pace than most other cities around the globe. As part of this, the region has tried to attract more investment from foreign companies by creating ‘free zones’. Free zones allow companies from abroad to work in Dubai without needing to pair up with a local partner, as was the tradition before. This led to an influx of companies investing in the region, mainly from North America, Europe and Asia.
From around the 1990s onwards, tourism has also been a vital part of Dubai’s economy, and even after the covid-19 pandemic, the city is still one of the world’s top destinations. The government of Dubai used a percentage of its GDP to help build tourist hotels, resorts and attractions in order to first entice tourists, seeing a return on their investment very quickly.
The real estate market in Dubai began to flourish from 1998 onwards when foreign investors were allowed to lease properties long term. Due to the increased popularity in the region from tourists and businesses, property was a hot commodity. Even during the financial crisis in 2009, Dubai’s economy fared well compared to other nations. This was partly due to the $10 billion loan from Abu Dhabi, which helped Dubai make its payments. After this, the real estate market recovered well and is still strong today. This is a large part of the current Dubai economy.
One way that Dubai has created a diversified economy is due to its great infrastructure links. The region itself is hot all year round, and so, many drive even short distances. Originally, this led to busy roads and a city that was more difficult to get around. Progress came at the turn of the century when Dubai heavily invested in improving this by creating better roads, public transport and bridges. On top of this, the development and expansion of Dubai International airport allows businessmen from all over the globe to connect with Dubai, bringing with them their money and connections.
A Focus on the Digital World
Another way that Dubai has diversified its economy is by emphasizing the digital economy in the region. Its public target is to double the size of this economy over a period of 10 years. While the covid pandemic hit other types of businesses hard, the digital world boomed, growing faster than ever. Unlike other regions of the Middle East, it does not regulate the digital world as harshly, and due to this, the economy has grown significantly.
One Man, Many Talents
Becoming a successful businessman in today’s world is challenging, even if you have all the advantages in the world from day one. The challenges are even more difficult to overcome if you come from a background where you do not have much. This is the story of Arif Mohammad, who came from a poor family in India and used his skills, determination and talent to build his empire from the ground up. Now, he runs 8 successful companies across a number of sectors, proving that where you came from does not determine your future.
After obtaining a good education, Arif Mohammad began working as a software engineer for several companies across sectors, including oil and gas. He immediately stood out by constantly aiming to improve his skill set and gaining experience in other areas to broaden his abilities. While working for other companies, he found his niche and realized that his purpose was to help build and design business solutions for companies that would transform the way that they work. It was at this stage that he took the leap and decided to branch out on his own.
Arif Mohammad started a small startup company that was built on innovation. He quickly gained a reputation for his unwavering commitment to his clients and ingenious solutions, making him stand out from the competition. This small company quickly expanded and is now based in over 65 countries around the globe and is at the same level as many fortune 500 companies.
The secret to Arif’s success? The personal touch. He believes that every single client on his company’s books deserves undivided attention and high-quality work. He ensures that his team works as one body, communicating effectively and producing the best work for every business they work for.
Arif is the founder and leader of the 4am group, which had humble beginnings as a trading company for Saudi Aramco, consisting of only 3 staff members. Their work with this oil giant quickly built them a reputation as a trusted and innovative partner, which allowed the 4am group to expand to its current scale. No matter if you are a global giant or a small business, Arif and his firm treat their clients like family, taking a genuine interest in their business’s success and designing solutions to help them work towards this.
Your business is their business, and they work passionately to protect it. Arif Mohammad ensures that every staff member has the same approach, passion and dedication to their clients as he did when he started out in India. He understands how far a person or business can come, as he has experienced this journey himself and believes that there are no barriers too big to overcome with the right help and support.
The 4am group, therefore, uses the expertise of their staff, their client’s insights and information and state of the art technology to scale each client’s business, allowing them to reach the top of their game. It focuses on the values of growth, commitment, quality and innovation and continues to expand worldwide. Not bad for a man who came from humble origins.