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Market Entry Strategy In Dubai - Choose Your Fitting Overseas Business Model

By Author: Damon Za
Total Articles: 32

While there are plentiful opportunities to entering into an unrepresented inland market or overseas, being a promising businessperson, to ensure a productive step, it’s vital for you to assume expert market entry strategy in Dubai. Unsurprisingly, the indirect ways to penetrate and flourish business in an overseas market or other states through licensing, franchising, or acquisition have been established easier, faster and effective step over having a direct entry. Nonetheless, whichever way you go through, before hopping into a foreign market you should carry out thorough market research with experts to assess its market potential, size, competition, risk factors as well as laws and regulations that you will require to comply with. Five most common market entry models are stated below:


One of the most popular and traditional ways to access a new market is set up your own export house or working with a local reputable distributor. Equally, while performing as an exporter with a local office, you can go on appointing local channel partners to have better and extensive market penetration. Initiating an export endeavor backed by expert market entry strategy in Dubai enables you to enter multiple overseas markets productively with minimum capital investment. While appointing a local distributor, you should’ve detailed information about the background of the company, its financial status, market reputation, local market experience, and distribution chains, etc.


Licensing is another great concept to have an entry in unrepresented market areas which needs you to provide a permit to local companies to employ your company’s name, produce the items according to your formulae, and sell products under your brand name with a licensing agreement. As against the sales proceed, you will be getting royalties from your associate company. Even though licensing is one of the most lucrative and fastest ways to flourish your business reach to foreign lands, however, to minimize its major risk factors, you should go through effective market entry strategy in Dubai to know your business partners well before offering them a license for using your brand name.


Another consistent business strategy to enter into a new market segment is working on a franchising model. In this system, being a franchiser or parent company, you will grant a second party to operate as your franchise and allow the associate to use your brand, follow the same kind of marketing principles and operating system. Not surprising, for high profile brands, franchising is a steady way to expand business in an overseas and inland market with less capital investment.

Joint Ventures

Joint venture works similar to a partnership model. Under this scheme, two business entities join in partnership with equal investment and profit sharing ratio.

Company Takeover

Also refers to an acquisition, buying a business group abroad is one of the most prestigious and easiest ways to penetrate in a new market. However, before acquiring a company, you need to make sure about the company brand image, business value, and existing customer base with needed market entry strategy in Dubai to make you endeavor a profitable business step. Acquisition of foreign companies has been a major trend for global enterprises to easy business development with low investment while enjoying the infrastructure, brand image, and market of the company, once it’s acquired.

Ethics Plus Consulting is a business advisory firm in Dubai providing services like sell-side, buy-side and debt advisory services, business valuation, strategy consulting, feasibility study, market study, market entry strategy, etc. To know more, visit http://www.ethicsplusconsulting.com/.

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