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PEST analysis of Dubai for Nissan Company: Dubai

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documents in English
case study
3 pages
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  1. Political and legal factors
  2. Economic factors
  3. Social and cultural factors
  4. Technology factors

Dubai is one of the seven semi-autonomous states forming the United Arab Emirates (UAE) and it is particularly renowned for economic activities that have seen the residents' spending power increase. The strong economy in Dubai and the affluence in adjacent emirates and nations such as Saudi Arabia attracted the Japanese car manufacturer, Nissan Motor Co. Ltd., to set up a regional headquarters of the company in Dubai.

[...] The strategic advantages provided by the business enhancing economic provisions offer the Nissan Company a chance to grow and undertake profitable business. Social and Cultural Factors The social setting in the Dubai is very ideal for a company that deals in motor vehicles in terms of sales and establishment of strategic partnerships. People in the country lead a high quality life that is characterized by excellent infrastructure, including good roads. The affluence of the residents makes them able to purchase cars not just as a necessity but as presents. [...]

[...] Ltd., to set up a regional headquarters of the company in Dubai. The Nissan affiliate office in Dubai is known as Nissan Middle East FZ. The office is a training center for undertaking Nissan service activities and customer care. Notably, many people in the Dubai, the other emirates and beyond drive Nissan cars. With Dubai being the centre, the UAE federation boasts being the third largest player in the export and re-export business after Hong Kong and Singapore (Dubai Smart Government, 2015). [...]

[...] The enterprising culture in the people of Dubai can be valuable to the Nissan Company. Dubai developed a reputation as a commercial hub that traded in gold and pearls in the 19th century, long before the free trade zones were introduced in the emirate in the 1980's (Denicola, 2005). The people are also characteristically enterprising and they are keen on entering into partnerships through joint ventures, licensing, or franchising (Dubai Smart Government, 2015). Resultantly, Nissan has a great opportunity to expand its presence in the UAE and beyond by getting into partnerships with the local business people who have a proved commercial tradition. [...]

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