Welcome to CPR's Arab Business Database

Doing business in the Arab world can be a real challenge, things just work differently than they do in western countries. Of course this is just a broad generalization; there is a huge difference from one country to another. Some countries are fairly easy to do business in while others it will likely be impossible. This is why it is critical to research any country you are considering doing business with before you jump in. You will save yourself a lot of headaches and likely a lot of money.

The main reason that most people think about doing business in the Arab world is the oil. In a lot of Arab countries oil is a large part of the economy. Since there is a huge demand for oil this creates a lot of business opportunities. However there is so much more to the Arab world than just oil. A lot of the countries in the region have made a conscious effort to diversify their economies, with varying levels of success. Some have very diverse economies while others are still heavily dependent on oil. This will affect the type of opportunities available in each country.

When doing business in the Arab world you could be dealing with one of the wealthiest nations in the world or with one of the poorest. There is probably nowhere else in the world where there is such a huge difference in wealth between neighbouring countries. Clearly this is going to affect your business opportunities since the needs of a very poor country and those of a very rich company will not be the same. In general you will find it easier to do business in the wealthy countries but you will also face more competition.

There are quite a few challenges to doing business in the Arab world. In most cases the biggest will be government regulation. Again there is huge variation here; some countries will have very restrictive rules about foreign companies while others will be some of the most liberal in the world. Other challenges you are likely to face will be poor infrastructure and a lack of skilled employees. Obviously the challenges and their severity will vary from country to country so you will want to do your research before you start.

One thing that you will almost certainly encounter in all countries in the Arab world is a cultural difference. Things are done differently in the Arab world and if you are going to do business there you will need to adjust to this. In general things are done at a slower pace. This can be frustrating for a lot of business people but you are going to have to accept. Getting frustrated will just make things worse. The other cultural difference is that personal relationships are much more important in business than they are in the west. You will likely have to invest some time getting to know your business associates on a personal level. And don't forget to write an accustomed business plan in advance.