Global Immersion

Dubai is located on the Eastern part of Middle east. It is well known for its hospitality and culture, and the Emirati people are very welcoming in their approach to visitors. With year-round sunshine, intriguing deserts, beautiful beaches, luxurious hotels and shopping malls, fascinating heritage attractions and a thriving business community, Dubai receives millions of leisure and business visitors each year from around the world.

The local currency is the dirham, which is pegged at AED 3.67 to 1 US dollar. Dubai is tolerant and cosmopolitan, and all visitors are welcome. However, Islam is a way of life in the city, and therefore tourists should adopt a certain level of cultural and religious sensitivity for the duration of their stay.

PESTLE ANALYSIS OF UAE

Political

• Government type: Federation of Monarchies.
• For a cabinet the prime minister will appoint the council members, and the President will approve them.
• The Federal Supreme Council will elect the president and vice president. It consists of the rulers of all the 7 emirates.
• The UAE consists of 7 emirates.
• UAE was created in 1971 when Sheik Zayed Sultan Al Nahyan brought together 7 clans into one umbrella which consists of Abu Dhabi, Dubai, Sharjah, Umm al-Quwain, Ra’s Al-Khaimah, Fujairah and Ajman)
• Each emirate has its own individual government, but those governments are looked after by Abu Dhabi government.
• The Sheik of Abu Dhabi is the president and the sheik of Dubai is the prime minister and vice president.
• Role of government in Economy

The UAE has a strong financial reserve, steady government spending, Vital location, sizeable sovereign wealth fund the progressive policy of economic diversification, free zones and an increased foreign direct investment contribute to the UAE’s strong economy.

Abu Dhabi Investment Agency is the largest sovereign wealth fund in the Middle East region with USD 792 billion. The UAE has several free zones which offer several economic incentives such as exemption from corporate taxes and import and export duties and full foreign ownership with 100 percent profit retention. There are about 45 free zones in the UAE. Increased foreign direct investment (FDI). The UAE was ranked first among the countries most attractive to foreign direct investment in the Middle East region.