Where to begin the expansion to the UAE?

Many companies want to start expanding into a new foreign market, but don’t know where to start. What market to start in? Is a particular market for me? Is there potential for my product/service there? What business model would be best for my company? What budget do I need to allocate for operations? What steps should I take to make the expansion successful?

All of these aspects are extremely important and need to be verified before starting operations in a particular market, as we will demonstrate using the United Arab Emirates market as an example.

First steps

In order for expansion into the UAE market to be successful, you must first develop an expansion strategy. This will allow us to assess whether we have the necessary resources and knowledge, learn about the specifics and expectations of a given market, and thus plan activities accordingly. In this regard, it is necessary to:

1. Assessing our own potential;
2. Recognizing the UAE market;
3. Developing an expansion map.

Assessing own potential

Assessing own potential involves examining a company’s internal potential, i.e. an export audit of 5 areas:

• financial;
• personnel;
• certificates/awards/recommendations;
• marketing;
• legal/tax

For this purpose, it is necessary to analyze such aspects as:

• the organizational structure of the company – export department, available human resources;
• the budget allocated to the development of the UAE market;
• national and international certifications held – depending on the industry, e.g. ISO, FSC, FDA, GMP;
• awards held;
• recommendations held, especially from well-known international entities;
• marketing materials held;
• willingness to build relationships through personal meetings.

Recognizing the UAE market

After evaluating your own company, you should study the UAE market – analyze it in terms of 10 areas:

• industry;
• trends;
• competition;
• prices;
• standards – regulations – certification systems;
• halal considerations (if applicable);
• start-up costs;
• barriers to entry;
• competitive advantages and usp (unique selling points);
• main events.

Develop a detailed expansion map

You can then proceed to develop an expansion schedule – the various activities that need to be carried out in order to start operating and selling in the UAE market.

Conducting an in-depth analysis of your own company, the UAE market, and developing a schedule of activities in this market can be a demanding task for a company. That’s why MK Business Link, drawing on 10 years of experience in supporting Polish companies in Middle Eastern markets, can help your company develop a comprehensive strategy for expansion into the UAE market, taking into account all the elements mentioned above. In our experience, expansion to the UAE preceded by the creation of an expansion plan allows for better matching of potential partners for the company and effective development in the UAE market.
If you need support in preparing a strategy for the UAE market and would like to consult with our experts, please feel free to contact us.