International Business
(Final Project)
Company name
S&A
Product Name
Toys
Host Country Name
United Arab Emirates
Total Assets
25 Million
Mian Saqib (G1f17mcom0044)
Department Of S&A Company
1. Marketing Department
2. Finance Department
3. HR Department
4. Production Department
Marketing Department
The market department of S&A Analysis the current market situations and inform the production
department the expected sales.
Finance Department
Finance Department collect the sales revenue manage the expenses and allocate budget for raw
material.
Human Resource Department
The recruitment of S&A Company is done by HR department.
Production Department
Production department it takes targeted production level from marketing department.
Number of employees
The company number of employee is middle level. There employees of company is to 20 to 25 .
There are different department or product. (wikipedia, 2019)
Reason of going International ( UAE )
1. To maximize the revenue of firm.
2. To recognize the world with the firm latest product.
3. Opportunity to explore the business in the new market.
4. While going global firm face diversification the benefit of it that the people who join the
firm belong to multi region and have multi and different intellectual capabilities which
they put to increase the efficiency of firm.
5. Another reason for going global is foreign investment which gives the opportunity to
business to extent.
6. Get the information a new place help your company more well.
7. Improving your company reputation .
8. Your business international you get access new potential employees with unique skills.
(linkedin, 2019)
Why we choose (UAE)
The host country is United Arab Emirates the reason to choose UAE that its economy is well
better then Pakistan. So it provides explore to S7A Company to capture the market share to
moreover it has boader with Oman , Saudia Arabia , Qatar, and Iran. The basic benefit while
going in the UAE is that S&A easily export product to saudia Arabia in non restrict environment
and the agreement has no hard and fast terms and condition . moreover many people visit that
country so that why over sail as well as revenue increase.
(wikipedia, 2019)
PEST Analysis
Economic Life Cycle
Year Unemployment Inflation GDP Interest
Rate Rate Rate
2014 2.06% 2.35% 403.14 15.54%
2015 1.84% 4.07% 358.14 18.69%
2016 1.64% 1.62% 357.05 20.22%
2017 2.46% 1.97% 382.58 19.75%
2018 2.58% 3.08% 424.64 18.67%
2019 2.67% 2.14% 427.64 19.20%
2020 2.54% 2.06% 449.13 18.96%
2021 2.89% 2.09% 469.5 18.65%
2022 2% 2.11% 490.9 18.36%
2023 1.90% 2.09% 513.77 18.07%
2024 1.95% 2.23% 538.37 17.78%
25.00%
20.00%
15.00%
Interest Rate
Unemployment Rate
10.00%
Inflation Rate
5.00%
0.00%
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
GDP
600
500
400
300
GDP
200
100
0
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
(statista, 2019)
Economics Factors
Economic System
The economic system of UAE is democracy and mix economics.
Trade Restrains
Tariff
Custom Duty of 5% applied on imported goods in general. Some agricultural and
pharmaceuticals are exempt. Whereas luxury goods are charged 50% to 70% such as tobacco.
Non Tariff
The products that do not meet to their Islamic culture are prohibited.
Product certification, Labeling, and Packaging Special
Goods should be packed to protect over the environmental heat and humidity and should be
stored in 25 degree centigrade.
Documentary Requirement
Relevant valid trade license copy
Commercial invoice
Certificate of origin
Packing list
Trading blocs
(GAFTA) Greater Arab Free Trade Area
GCC Singapore Agreement Free Trade Agreement
GCC _EFTA Free Trade Agreement
Economic Integration
Above all of these trading blocs the UAE free trade area between these
countries. They can trade easily between countries,
(export gov, 2019)
(export gov, 2019)
Rana Aqib (G1f17mcom0054)
Political Factor
Types of Political Risk Political Strategies
Government(macro Kingdom Make better relations
The business might be with Labor
political risk) expropriated Make good repute in
Kingdom Judicial System business
Judicial System The legal structure in the UAE
Corruption runs in two systems: the
Federal Judiciary presided by
the Federal Supreme Court as
the highest judicial authority in
the UAE and the local judicial
departments at the local
government level
Corruption
The UAE ratify the united
nations gathering against
corruption in February 2006.
Micro political risk Political risk Political strategies
Tax We put high price
Industry regulation Local laws are very because we have high
Local laws adopted and people price
react to them positively
being a good citizen
In UAE tax rate is 30%
(freedom house , 2019)
Technological factors
Elements Pakistan UAE Barriers Strategies
Technological Pakistan not have UAE have Yes Through training
infrastructure been so advanced advanced we should reduce
in technology technology this barrier
Employee Un employment UAE e have an Yes We should
expertise rate is high in also the average educating our
Pakistan so there technology employees
is a very difficult
to find a job in
Pakistan
Customer Customer UAE have Yes Educating is the
awareness awareness is advertisement best way to
different in and social ads reduce this
Pakistan it is barriers
difficult to
introduced
something
because of low
literacy rate
(wikipedia, 2019) (linkedin, 2019)
Bibliography
export gov. (2019, june 11). Retrieved june 11, 2019, from export gov: [Link]
export gov. (2019, june 24). Retrieved june 22, 2019, from export gov :
[Link]
freedom house . (2019, june 11). Retrieved june 11, 2019, from freedom house: [Link]
linkedin. (2019, june 11). Retrieved june 11, 2019, from linkedin: [Link]
statista. (2019, june 24). Retrieved june 22, 2019, from statista:
[Link]
trading economics. (2019, june 11). Retrieved june 11, 2019, from trading economics:
[Link]
wikipedia. (2019, june 11). Retrieved june 11, 2019, from wikipedia: [Link]
