Four Seasons Marketing Plan
United Arab Emirates Country Notebook & Four Seasons Marketing Plan
Steve Callis Carlos-David Islas-Labastida Renee Werner
April 25, 2006 Georgia State University
Table of Contents Topic Part One: United Arab Emirates Country Notebook I. Introduction II. Geography III. Economic Environment IV. Cultural Environment V. Business Customs and Practices VI. Political Environment VII. Legal Environment VIII. Marketing Research IX. Other Statistics X. Competitive Environment Part Two: Four Seasons Marketing Plan I. Target Market II. Product Adaptation/Modification III. Market Entry Strategy: Foreign Direct Investment IV. Pricing Strategy V. Promotion Mix VI. Conclusion 16 17 17 18 20 20 3 3 3 5 9 11 11 11 13 14 Page Number
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Part One – United Arab Emirates Country Notebook I. Introduction The United Arab Emirates (UAE) is a promising location for U.S. marketers to do business for many reasons – among them: high and steadily increasing GDP, pro-business orientation of the country’s government, the stability of the country’s political and legal systems, and well-developed infrastructure. Also, the country has been actively pursuing ways to diversify its economy, which has historically been very dependent on oil. The Four Seasons is a premium 5-star hotel chain known for its elegance and pristine customer service. The hotel has many international locations, but currently has no presence in the UAE. However, there are many other luxury hotels in the country both of domestic and foreign origin, such as the Ritz-Carlton. The hotels in the country, particularly those in Dubai, do a very brisk business with both business and leisure travelers, as evidenced by the fact that this market has a hotel occupancy rate even higher than New York City. The sections that follow contain an overview of the important aspects of the United Arab Emirates, and the proposed marketing plan for the entry of the Four Seasons Hotel into this new market. II. Geography UAE is located in the Middle
Steve Callis Carlos-David Islas-Labastida Renee Werner
April 25, 2006 Georgia State University
Table of Contents Topic Part One: United Arab Emirates Country Notebook I. Introduction II. Geography III. Economic Environment IV. Cultural Environment V. Business Customs and Practices VI. Political Environment VII. Legal Environment VIII. Marketing Research IX. Other Statistics X. Competitive Environment Part Two: Four Seasons Marketing Plan I. Target Market II. Product Adaptation/Modification III. Market Entry Strategy: Foreign Direct Investment IV. Pricing Strategy V. Promotion Mix VI. Conclusion 16 17 17 18 20 20 3 3 3 5 9 11 11 11 13 14 Page Number
2
Part One – United Arab Emirates Country Notebook I. Introduction The United Arab Emirates (UAE) is a promising location for U.S. marketers to do business for many reasons – among them: high and steadily increasing GDP, pro-business orientation of the country’s government, the stability of the country’s political and legal systems, and well-developed infrastructure. Also, the country has been actively pursuing ways to diversify its economy, which has historically been very dependent on oil. The Four Seasons is a premium 5-star hotel chain known for its elegance and pristine customer service. The hotel has many international locations, but currently has no presence in the UAE. However, there are many other luxury hotels in the country both of domestic and foreign origin, such as the Ritz-Carlton. The hotels in the country, particularly those in Dubai, do a very brisk business with both business and leisure travelers, as evidenced by the fact that this market has a hotel occupancy rate even higher than New York City. The sections that follow contain an overview of the important aspects of the United Arab Emirates, and the proposed marketing plan for the entry of the Four Seasons Hotel into this new market. II. Geography UAE is located in the Middle
References: 1 2 Central Intelligence Agency: http://www.odci.gov/cia/publications/factbook/geos/ae.html#Geo Central Intelligence Agency: http://www.odci.gov/cia/publications/factbook/geos/ae.html#Econ 3 Wikipedia: http://en.wikipedia.org/wiki/Developed_country 4 HSBC Business Profile Series – United Arab Emirates. Eleventh edition, fourth quarter 2004. 5 http://www.unhabitat.org/habrdd/conditions/westasia/untdem.htm 6 Geert Hofstede™ Cultural Dimensions: http://www.geert-hofstede.com/hofstede_arab_world.shtml 7 Arab Net: http://www.arab.net/uae/ue_womenrole.htm 8 Expatriés: http://www.expatclic.com/eofi/article.php3?id_article=86 9 Dubai Internet Pages: http://www.uae-pages.com/information/language.html 10 Université de Laval: http://www.tlfq.ulaval.ca/AXL/asie/Emirats_arabes.htm 11 Wikipedia: http://en.wikipedia.org/wiki/Islam_in_the_United_Arab_Emirates 12 All Business: http://www.allbusiness.com/periodicals/article/715174-1.html 13 UAE Business Etiquette: http://www.cyborlink.com/besite/uae.htm 14 International Business Center Newsletter http://international-business-center.com/international_newsletter/volume2_issue5.htm#Tips 15 Transparency International: http://www.transparency.org/policy_and_research/surveys_indices/cpi/2005 16 ViewsWire: http://www.viewswire.com 17 MGI Worldwide: http://www.mgiworld.com/doingbusiness/BusinUEA.php 18 World Trade Organization: http://www.wto.org 19 Doing Business In United Arab Emirates: A Country Commercial Guide for U.S. Companies: http://www.export.gov 20 http://www.middleeastmediaguide.com/adagencies.htm - List of Marketing Firms in the Middle East/UAE 21 U.S. Department of State: http://www.state.gov/r/pa/ei/bgn/5444.htm 22 U.S./UAE postpone Free Trade Agreement - http://usinfo.state.gov/mena/Archive/2006/Mar/10-730043.html 23 UAE Current Account Surplus Hits Record in 2005 - http://www.uaeinteract.com/news/default.asp?ID=12 24 http://www.uae.gov.ae/Government/tourism.htm 25 http://edition.cnn.com/2004/TRAVEL/05/10/bt.dubai.hub.growth/index.html 26 http://www.worldtravelawards.com/index.php/wta/nominees_2006/2005/middle_east 27 http://www.ameinfo.com/80473.html 28 http://travel.timesonline.co.uk/article/0,,19270-1290469,00.html – Hotel Demand 29 UAE Central Bank 2004 Annual Report: http://centralbank.ae/pdf/Annual/annual04E.pdf 21