Dubai Case Study By Moon, Yeo Joung International Cooperation

1.Introduction Dubai is one of the seven emirates and the most populous city of the United Arab Emirates (UAE). It is located along the southern coast of the Persian Gulf on the Arabian Peninsula, lying directly within the Arabian Desert. The city of Dubai is sometimes called "Dubai city" to distinguish it from the emirates.emiratesUnited Arab EmiratesPersian GulfArabian Peninsula Dubai shares legal, political, military and economic functions with the other emirates within a federal framework, although each emirate has jurisdiction over some functions such as civic law enforcement and provision and upkeep of local facilities.legalpoliticalmilitaryeconomicfederal

Government type: constitutional monarchy Population (2008): 2,262,000 Nationality: 42.3% Indian 17% Emirati 13.3% Pakistani 7.5% Bangladeshi 9.1% Arab 10.8% Western Dubai has the largest population and is the second largest emirate by area, after Abu DhabiAbu Dhabi Dubai and Abu Dhabi are the only two emirates to possess veto power over critical matters of national importance in the country's legislaturevetolegislature

The emirate's revenues are from trade, real estate and financial services.tradereal estate financial services Revenues from petroleum and natural gas contribute less than 6% (2006) of Dubai's US$ 37 billion economy (2005). Dubai has attracted worldwide attention through innovative real estate projects and sports events.petroleumnatural gasUS$

Education As of 2006, there are 88 public schools run by the Ministry of Education that serve Emirates and expatriate Arabs as well as 132 private schoolsEmiratesArabs The medium of instruction in public schools is Arabic with emphasis on English as a second language, while most of the private schools use English as their medium of instructiopublic schoolsEnglishprivate schools The Dubai Education Council was established in July 2005 to develop the education sector in Dubai

The Knowledge and Human Development Authority (KHDA) was established in 2006 to develop education and human resource sectors in Dubai, and license educational institutes Approximately 10% of the population has university or postgraduate degrees universitypostgraduate a sizable number of foreign accredited universities have been set up in the city over the last ten years

2.Leadership The late Sheikh Rashid bin Saeed Al Maktoum UAE Vice President from December 2, 1971 to October 30, 1990 Sheikh Rashid bin Saeed Al Maktoum, who was born in 1906, was one of the founders of the UAE. He became the Ruler of Dubai in After the UAE was founded in December 1971, Sheikh Rashid was elected to the post of UAE Vice President for five years and, in 1979, he was appointed as Prime Minister. He built the Creek, ports and roads to encourage and attract investment. Sheikh Rashid died on October 7, 1990.

"Dubai is part of the Emirates, which is part of the Arab world and the Arab world is part of the world at large. The vision is boundless, so is the horizon. When man approaches the horizon, it draws for itself new limits that make it necessary for the visionary to come up with new targets so that he and his country can contribute to the creation of vast human opportunities.“ -Mohammed bin Rashid Al Maktoum- Mohammed bin Rashid Al Maktoum also Sheikh Mohammed (born July 22, 1949), is the Prime Minister and Vice President of the United Arab Emirates (UAE), and the ruler of Dubai.July Prime Minister United Arab Emirates Dubai

3.Dubai Brand Strategy 1. Transportation and logistics strategy : the creek expansion, the establishment of Port Rashid (1972) and Jebel Ali Port (1979), Dubai Airport (1959), Al Maktoum International Airport (2017 to be completed), Emirates Airline (1985) (Jebel Ali Free Zone 1985) *currently 5,500 companies from 120 countries including about 60 Korean companies in JAFZ (2008) *around 20 Free Zones in Dubai 2. Financial hub strategy : Dubai International Financial Center (2004) Dubai Financial Market (2000) => stock exchange market

3. Knowledge and IT hub strategy : Dubai City Complex => Dubai Media City, Dubai Internet City (2000), Knowledge Village, Dubai Studio City, Dubai Silicon Oasis(2025 to be completed), Dubai Healthcare City 4. Real Estate and Tourism hub strategy : 1) property rights => 100% ownership of properties to foreigners in Dubai 2) no taxations on capital gains and transaction costs 3) Private developers: Emmar (1997), Nakheel (late 1990s)and Dubai Properties. 4) Projects: Dubai Waterfront (under construction 2times of Hong Kong), The World (artificial islands in a World map shape), The Universe, Hydropolis, Dubai Land (2 times of Disney Land)

Dubai in 1990 Same street in 2004

Dubai Silicon Oasis

Dubai International Financial Center

The Ski Dubai :one of the largest indoor ski resort, the longest being 400m.

Dubai Airport

Palm Islands artificial islands

Dubai Gold Market

Burj Dubai Tower The tallest man-made structure ever-built to be completed in September The primary builders are Samsung Engineering &Construction

Dubai Sports City :to be completed in 2011

Burj Al Arab 7star Hotel

Hydropolis Underwater hotel and resort planned to open in 2009

4.Why Dubai? Speed : speed from project to launch Culture : pro-western Governance :governmental transparency => by creating an executive council which would serve as a legitimate forum for governance as well as improve financial accountability among the Ministries. => Dubai International Financial City (DIFC) Modeled their regulatory framework after many of the UK charters.(even the royal government cannot intervene in the governance of the DIFC)

Why not Dubai? Challenges and problems 1. Inflation (skyrocketing oil price, depreciation of UAE dirham) 2. Revaluation of the currency 3. Talent drain 4. Increasing inequality between the classes 5. Clash of cultures 6. Transparency 7. Expatriate community integration 8. Allocation of resources 9. Leadership and the potential for the ‘ bubble to crash ’

Korea VS Dubai Global Talent Unavailability A fairly urgent matter is that of not having foreign talent present in Korea. Immigration counteractions toward hiring foreigners at many more levels than currently admissible are among the factors to blame. I have clients that take months finding ways to bring in expat forces from their head offices abroad due to overtly complicated procedures meant to lower the chances of the visa issuance. This immigration policy which could be viewed as designed to protect local labor interest is far from helpful and a complete misfit in a country transitioning into globalization. Larger and more developed economies see themselves flooded with immigration activity despite having tons of foreigners of their own, so their being difficult to accept the masses becomes also a population control issue.

Hong Kong for example has plenty of expats in high government ranks. Singapore boasts nearly 20 percent of its population as relocated expats, Dubai in UAE an astounding 80 percent, while Korea makes the bottom of the list with 2 percent, 1/3 of whom are from Chinese or Korean backgrounds, thus adding somewhat but not significantly to the cultural diversity. Korea does not have enough expats let alone qualified high-ranking managers to call itself a global nation ― not by a long shot. With a population of only about 2 percent expats, Korea is by far one of the least segregated (and hence least diverse and global-oriented) country there is.