The first thought to strike anyone about Dubai is oil. Though oil constitutes the biggest single contributor to Dubai's economy as well as that of most countries in the UAE, there is a major ongoing effort to diversify into other sectors. If you are thinking about setting up a business in Dubai, you don't have to be bounden by oil or oil related activities. In fact the member countries of UAE and Dubai in particular are emphasising other business activities for the economy.
Here are 4 other non-oil related businesses in Dubai that is likely to contribute to the development of the region.
1. Retail Business in Dubai - Though next only to London, Dubai is considered a top place for shopping by people across the world. The city state of Dubai is reputed to be home to more than 100 shopping malls that offer virtually any product or service you can think about. There is virtually no other city in the middle-east that can offer the same comfort level as Dubai does.
What make retail business in Dubai so attractive are the two major shopping festivals - Dubai Shopping Festival and Dubai Summer Surprises. Though malls dominate Dubai's skyline, it is also common to see boutique style retail stores all over Dubai. Retail business in Dubai is estimated to be around USD 17 billion annually. You may require a local sponsor to start a retail business in Dubai. Market estimates have predicted a 15% growth rate for the retail business in the coming years.
2. Construction Business in Dubai - If you are planning to start a construction business in Dubai, you cannot find a better place than here. There are at least 2 major events - Expo 2020 and Dubai Wholesale City that is already attracting construction firms in hordes from all over the world. In addition to massive investments in high-rise buildings and hotels, Dubai also plans to strengthen its infrastructure on a solid plane. Market surveys estimate the construction industry to grow by 9.3% in the next few years and peak around 2020 at the time of the time of Expo2020.
Early indications are that Dubai spent more than USD42.2 in construction activities and potentially this can be more in the years ahead. The biggest patrons of construction industry in Dubai are the healthcare and hospitality industry. It is estimated that Expo2020 will alone need close to 160,000 rooms. To start a construction business in Dubai, you will need to co-opt a local sponsor.
3. Food & Beverage and Hospitality Business in Dubai - It is but natural that F&B and hospital business in Dubai are destined to grow by leaps and bounds in the coming years. The government of UAE and particularly the Government of Dubai have traditionally considered tourism and hospitality as engines for growth and nation building. As an entrepreneur you can consider starting a restaurant, hotel chain, and café or hotel apartment. Among the major attraction for entrepreneurs is the Dubai Sports City. The catering business in Dubai is also in for major changes considering that schools in Dubai are among the major benefactors of the catering industry.
There are 3 major sectors within the catering industry to choose - quick service restaurants, casual dining places and fine dining. There is also a huge market for ethnic food and beverages. Considering that more than three-fourth of people in Dubai are foreigners, you can also choose a niche eatery that offers quality food at affordable prices to migrants working in Dubai.
4. Tourism Related Business in Dubai- Tourism is such a wide sector and there are endless opportunities for setting up a travel related business in Dubai. You can consider opening guide service, room booking and providing logistic supports. Within the tourism industry, you can consider a business related to healthcare. Dubai is reputed to have some of the best hospitals around the world with medical doctors and paramedical personnel working here. The government also invests heavily in the tourism sector and is one of the major areas in which Dubai hopes to become a world leader. Even conservative estimates say that by 2020 Dubai's healthcare industry will attract not less than 0.5 million people generating a total revenue of AED 2.6 billion.
What makes Dubai so ideal for tourism is the forthcoming Expo2020 and the planned Dubai Wholesale City Plan. Both have the capacity to attract a million plus visitors annually in the immediate future. Dubai already has a large hotel room capacity and occupancy is believed to be in the region of 85%.
Setting up a business in Dubai cannot be anymore easier than what it is, but, you will definitely want to receive expert advice from a consultancy. The bureaucracy in Dubai moves fast provided you file the right documents on time. Many consultancies also assist business people by arranging realty, registration of company, choosing an office and providing general advisory on setting up a business in Dubai.