Page 167 - Aamir Rehman - Dubai & Co Global Strategies for Doing Business in the Gulf States-McGraw-Hill (2007)

A Piece of the Action: Strategies for Entering the GCC Market 151

Figure 5.2 Moving up the Engagement Spectrum

which market opportunities make most sense to pursue. It’s not
enough to say that the Gulf is becoming appealing overall, as we have
argued earlier in this book; individual companies must take the cru-
cial next step and examine whether their offerings and capabilities are
a good match with the GCC market. Will our company’s products and
services resonate with the needs of customers in the GCC countries?
Will customization be required—and, if so, how much and will it be
worth the effort? In other words, will we be able—either ourselves or
with others—to effectively serve the market?
Few sectors, I would argue, are fundamental misfits for the
GCC market. Some, such as ski gear and heavy winter clothing, will
21
obviously have limited appeal. The needs of the GCC nations are
broad and span nearly the full range of industries that exist in the
Western world. Even the oil and gas sector, long the domain of
nationalized energy companies, is being opened up to foreign par-
ticipation to some degree. However, companies must understand
their own positioning and core competencies to see if the GCC mar-
ket is right for them. If they’re not sure, then simple distribution
agreements are a good way to test the waters.

Institutional Will
Moving along the Engagement Spectrum requires investment: it calls
for capital, human resources, and the attention of senior management.