Page 65 - Aamir Rehman - Dubai & Co Global Strategies for Doing Business in the Gulf States-McGraw-Hill (2007)

Think Again: Addressing Misconceptions about the GCC 49

Figure 2.3 Half of GCC states have double-digit unemployment (Source:
CIA World Factbook, 2006)

significantly higher than what they might earn in their home coun-
tries, unskilled workers often need to take on debt to fund their
migration to the Gulf states. In recent months, these workers have
begun organizing in protest of delayed wage payments by develop-
ment and construction companies. While the labor laws on the
books protect workers’ rights, compliance has been imperfect and
enforcement a challenge. Although for most multinational
companies, these low-skilled workers are not the core target segment
for selling goods and services, they do comprise a meaningful pro-
portion of the GCC population and have some disposable income to
spend on basic products such as food and packaged goods.
Misconception 3: The GCC customer “hates us”—global
brands and businesses cannot succeed.