Last night, I had the pleasure of dinner with my friend and her coworkers. We met up a restaurant and broke iftar (end of the day's fast) with their buffet menu. The food was plentiful but I've never really eaten much Arabic food so I need someone to kind of walk me through the dishes. Nothing is too crazy or anything, it just something that requires some familiarity.
Anyways, the conversation for dinner was really interesting when we started talking about working in Dubai. The economy here seems to thrive very well however there are many regulations in place which seem to max out or hinder entrepreneurism. It seems built with the idea of laborers and investors will come and go.
First off, if a foreign investor wants to open a branch of whatever hotel, firm, company, retail store here, they will need a local resident to sponsor them. This resident receives a cut from the profits simply for vouching for the interested party. Its very difficult to actually own your own business completely unless its in the 'free zone' which is an area that is exempt from these regulations. My host family actually operates their own business from this zone.
Another interesting part of the economy here is that there is relatively zero unemployment. Everyone here is working. If you are here for travel, you only have a visa for 30 days. In order to get anything for a prolonged time, you must get a job and your employer will then apply for an extended visa on your behalf so that you may stay. If you are a spouse or child, you will be exempt but you must be registered. Everyone also has identification here.
I went to the Mall of the Emirates, which is basically a larger version of South Coast Plaza, to purchase a phone and SIM card and they asked me for my passport or Emirates ID card. I wouldn't be able to get a phone number without it. I thought it was interesting but it is probably a way to curb illegals (undocumented or pass their visa expiration date) from being able to stay in the country.
One of the people present at our dinner is actually leaving tomorrow for a vacation. He said that he is switching jobs between two sister hotels and he has to take a leave because as his position (and thus visa) expires at one location he has to leave the country until his paperwork comes in for the other position. He's using the time for vacation however for someone who didn't expect the transition, this type of work could be very difficult and hassling.
These regulations are very different from what I am used to and seem to be obstacles in establishing a long term future here. This may be insight as to the underlying attitudes towards foreign investment in the sense that it is purposely difficult and at a high cost in order to attract the best competitors and to deter anyone from permanently staking a claim in the area. This area perhaps is just in such extreme demand that the regulations here may be cumbersome but still worth the return on investment.
Anyways, the conversation for dinner was really interesting when we started talking about working in Dubai. The economy here seems to thrive very well however there are many regulations in place which seem to max out or hinder entrepreneurism. It seems built with the idea of laborers and investors will come and go.
First off, if a foreign investor wants to open a branch of whatever hotel, firm, company, retail store here, they will need a local resident to sponsor them. This resident receives a cut from the profits simply for vouching for the interested party. Its very difficult to actually own your own business completely unless its in the 'free zone' which is an area that is exempt from these regulations. My host family actually operates their own business from this zone.
Another interesting part of the economy here is that there is relatively zero unemployment. Everyone here is working. If you are here for travel, you only have a visa for 30 days. In order to get anything for a prolonged time, you must get a job and your employer will then apply for an extended visa on your behalf so that you may stay. If you are a spouse or child, you will be exempt but you must be registered. Everyone also has identification here.
I went to the Mall of the Emirates, which is basically a larger version of South Coast Plaza, to purchase a phone and SIM card and they asked me for my passport or Emirates ID card. I wouldn't be able to get a phone number without it. I thought it was interesting but it is probably a way to curb illegals (undocumented or pass their visa expiration date) from being able to stay in the country.
One of the people present at our dinner is actually leaving tomorrow for a vacation. He said that he is switching jobs between two sister hotels and he has to take a leave because as his position (and thus visa) expires at one location he has to leave the country until his paperwork comes in for the other position. He's using the time for vacation however for someone who didn't expect the transition, this type of work could be very difficult and hassling.
These regulations are very different from what I am used to and seem to be obstacles in establishing a long term future here. This may be insight as to the underlying attitudes towards foreign investment in the sense that it is purposely difficult and at a high cost in order to attract the best competitors and to deter anyone from permanently staking a claim in the area. This area perhaps is just in such extreme demand that the regulations here may be cumbersome but still worth the return on investment.
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