Environmental and Business practices in Arab Countries.

Presented by:

Ajit Kumar Gautam

Abhay Agarwal

Salman Quraishi

Uyanga Erdenebileg

FACULTY OF MANAGEMENT STUDIES, BHU

Arab World:

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The Arab World is also known as Middle East.

The Arab world refers to Arabic speaking states, territories and populations in North Africa & West Asia.

The Arab world comprises 22 states and territories of the Arab League.

It has a combined population of around 422 million people.

Middle East Map

History Of Arab World:Divided into 3 period:

1. Pre Islamic period 2. Islamic period & 3. Modern Arab period

Pre Islamic period : The pre-Islamic history of the great Arabian subcontinent is primarily that of a nomadic people. Nomads means desert dwellers. They were very poor.Main occupation was farming, hunting and fishing.Settlement were temporary structures such as tents.

History Of Arab World:Islamic period :

Known as period of Islamic architectureWere developed and had permanent settlementsMain occupation was trade , agriculture , cattle farming , pottery etc Islamic period is divided into three era:1. Rashidun Era (632-661) : • Rashidun armies established the  Islamic Empire in 632.• First state to use Islamic Architecture.• Built many Islamic Forts & Administration systems 2. Ummayad Era (661-750): Many new elements were included.

MinaretsArabesque

Mosaic Luxurious Palace

History Of Arab World:2. Ummayad Era (661-750):.

Tile Work

Moorish or Horse shoe arches

Courtyard

Domes

Also led to the development of Moorish architecture.

Ogee Arches

History Of Arab World:3. Abbasid Caliphate (750-1513) :

AllepoPlan of city of Baghdad

Islamic Architecture peaked in the Abbasid era. Made use of circular shape.Built large cities such as : City of Baghdad, Damascus & Aleppo

Minaret at Samrah

History Of Arab World:Modern Arab period

Are Arabs living in modern times .They are highly developed.Main occupation : Business, agriculture, pearl diving, fishing, trade etc. Buildings are categorized under contemporary architecture.

Economy Of Arab World: Middle East economies range from very poor to extremely

wealthy nations

Industries of the Middle East region depends upon oil and oil-related products, agriculture, cattle, dairy, textiles, leather products, defense equipment.

Unemployment is notably high in the Middle East and North Africa region

Arab Society:

More Space Gathering Hall

Arab Family is one of the most important aspects of the Arab society. Arab society emphasizes the importance of the group.Some of the Arabs believe in polygamy hence forming big sized families with many children.They are warm and hospitable people .Receives many guests.Arab practice Pardah system.

Jaalis

Language & Literature :  Afro-asiatic languages are

spoken predominantly in the Middle east. Arabic is the most widely spoken Afro-asiatic language in Middle east.Closely related to Hebrew and Aramaic.Used as both literary and vehicular language.The Arabic word used for

literature is adab.Adab means etiquette.Arabic Literature is the writing produced, by speakers of the Arabic Language. Holy Quran widely regarded as the finest piece of literature work.Calligraphy is an art used for decorating the wall of Islamic structures.Calligraphy is written in Arabic which are taken from Quran.

Religion:Before Islam , Arabs worshipped of a number of deities. 

Hubal

1. Uzza2. Allat3. Mallat

Later on , Some of the tribes gets converted to Christianity and Judaism. With the expansion of Islam, the majority of Arabs rapidly entered into Islam The pre-Islamic polytheistic traditions disappeared.

Saudi Arabia-Cultural and Business practices

THE REAL SAUDI ARABIA _ ????? ????? ????? ??????.mp4

Kingdom of Saudi Arabia Capital and largest city Riyadh Official languages Arabic Religion Islam (official) Government Absolute monarchy until 1992

- King Abdullah bin Abdulaziz

- Crown Prince Salman bin Abdulaziz Area 

- Total 870,000 sq mi

 - Water (%) 0.7 Population

 - 2013 estimate 29,994,272 (43rd) 

- Density 12.3/km2 (216th) Currency Saudi riyal (SR) (SAR)

Introduction Saudi Arabia officially known as the Kingdom of Saudi Arabia, is the

largest Arab state in Western Asia.

It is the only nation with both a Red Sea coast and a Persian Gulf coast.

Saudi Arabia was founded by Abdulaziz bin Saud in 1932.

 Saudi Arabia is sometimes called "the Land of the Two Holy Mosques”

With the world's second largest oil reserves and the world's sixth largest natural gas reserves, the Kingdom is categorized as a high income economy with 19th highest GDP in the world

Culture of Saudi Arabia

Alcoholic beverages are prohibited.

The weekend was Thursday and Friday.

Only two religious holidays are publicly recognized.

The left hand is considered unclean and reserved for hygiene.

Do not point at another person and do not eat with the left hand.

 Men walking hand in hand is a sign a friendship.

 Try not to cross your legs when sitting. Never show the bottom of your feet.

 The "thumbs up" gesture is offensive.

Avoid admiring an item too much, you host may feel obligated to give it to you. When offered a gift, it is impolite to refuse.

 Public expression of opinion about domestic , political or social matters is discouraged.

The limitations on behavior and dress are strictly enforced both legally and socially.

Almost all restaurants have a separate entrance and eating area for families, and another entrance and eating area for men who are unaccompanied by women. 

Dress Code

1.Saudi Arabian dress strictly follows the principles of hijab . 2.The predominantly loose and flowing, but covering, garments are suited to Saudi Arabia's desert climate. 3.Traditionally, men usually wear an ankle length garment woven from wool or cotton, with a keffiyeh or a ghutra worn on the head. 4.Women's clothes are decorated with tribal motifs, coins, sequins, metallic thread, and appliques. 5.Women are required to wear an abaya when in public.6.Business women should make certain that their collarbones and knees are covered and that their clothes are not form-fitting.

Education in Saudi Arabia Education is free at all levels. A large part of the curriculum at all levels is

devoted to Islam.

As few girls attend school, this disproportion is reflected in the rate of literacy.

Women typically receive college instruction in segregated institutions.

The study of Islam dominates the Saudi educational system.

Legal system of Saudi Arabia The primary source of law is the Islamic Sharia.

Capital and physical punishments are imposed by Saudi courts.

Lashings are a common form of punishment.

Homosexual rights are not recognized.

Retaliatory punishments are practised.

Families of someone unlawfully killed can choose between demanding the death penalty or granting clemency in return for a payment of diyya, or blood money, by the perpetrator

Entertainment, arts, sports and cuisine Music and dance have always been part of Saudi life.

Bedouin poetry, known as nabaṭī, is still very popular. Censorship has limited the development of Saudi literature.

Football is the national sport in Saudi Arabia. 

 Pork is not consumed and other animals are slaughtered in accordance with halal.

Coffee, served in the Turkish style, is the traditional beverage.

Cinemas are numerous in 1970s.

Family Values

Saudis are cognizant (aware) of their heritage, their clan, and their extended family, as well as their nuclear family. 

Saudis take their responsibilities to their family quite seriously.

Families tend to be large and the extended family is quite close.

The individual derives a social network and assistance in times of need from the family

Meeting Etiquette Men shake hands. Good friends may greet each other with a handshake

and a kiss on each cheek.

Women generally hug and kiss close friends.

Men and women would not greet each other in public If from outside the family.

When Saudis greet each other they take their time and converse about general things

Gift Giving Etiquette Gifts are not the norm as in many other countries.

If you are invited to a Saudi's house bring something small as a thank you. 

Flowers do not make good gifts from a man, although a woman could give them to her hostess. 

Never give alcohol unless you are positive they partake. 

Gifts are not opened when received

Dining Etiquette Saudis socialize primarily in restaurants and international hotels whom they do not

know well. After some time you will be invited to the home. 

Entertainment will generally be same-sex only. If both sexes are included, they will be in separate rooms.

If you are invited to a Saudi's house:

You would usually remove your shoes. 

Dress conservatively. 

Try to arrive at the invited time. Punctuality is appreciated but not crucial. 

Show respect for the elders by greeting them first. 

Accept the offer of Arabian coffee and dates even if you do not normally drink coffee. 

If the meal is on the floor, sit cross-legged or kneel on one knee.. 

Eat only with the right hand.

Try a bit of everything that is served. 

Business Etiquette and ProtocolRelationships & Communication You will need a Saudi sponsor (wakeel) to enter the country.

Saudis do not require as much personal space as most western cultures.

Saudis prefer to work with people they know and trust and will spend a great deal of time. 

You must be patient. 

Saudis will most likely judge you on appearances, dress and present yourself well.

Do not discuss the subject of women.

The topic of Israel should also be avoided. Sports is an appropriate topic.

Names are often confusing. It’s best to get the names. Find out both their full names and how they are to be addressed in person.

Communications occur at a slow pace. Do not feel obligated to speak during periods of silence. "Yes" usually means "possibly".

At a meeting, the person who asks the most questions is likely to be the least important. The decision maker is likely a silent observer.

Business Meeting Etiquette

Appointments are necessary and should be made several weeks to one month in advance. 

When meeting with government officials, a firm date will not be settled upon until you are physically in the country. 

Try to schedule meetings in the morning. 

You should arrive at meetings on time, although it is an accepted custom to keep foreigners waiting. 

It is not uncommon to have a meeting cancelled once you arrive.

 Meetings are generally not private until after a relationship of trust has been developed. This means you may expect frequent interruptions. Others may wander into the room and start a different discussion. You may join in, but do not try to bring the topic back to the original discussion until the new person leaves.

Business meetings start after prolonged inquiries about health, family, etc.

Business Negotiating Decisions are made slowly. Do not try to rush the process. 

The society is extremely bureaucratic. Most decisions require several layers of approval. It takes several visits to accomplish simple tasks.

Saudis are tough negotiators. 

Business is hierarchical. Decisions are made by the highest-ranking person. 

Repeat your main points since it will be interpreted as meaning you are telling the truth. 

Do not use high-pressure tactics. 

Decisions are easily overturned. 

There is a tendency to avoid giving bad news and to give effusive acceptances, which may only mean 'perhaps'.

Hofstede’s Model

Power distance: Saudi Arabia has a large power distance.

This is partly due to the monarchy in power.

The citizens do not have a strong political voice, and the rules of the land are decided by the king and the Quran.

Within the family, the elders are at the top of the hierarchy, while the children and youth are at the bottom.

Individualism vs. Collectivism:Saudi Arabia is a collectivist society.

They place great value in not only their physical family, but also their spiritual family.

Members act for the good of the group, not for any individual goals.

Masculinity vs. Femininity:

Saudi Arabia has one of the largest male/female gaps.

The life of a woman is very restricted, with laws concerning leaving the house, dress code, and servitude to the male.

Consequences for breaking out of these sex-based roles are strongly punished.

Uncertainty Avoidance:

Saudi Arabia has a high level of uncertainty avoidance.

They are very conservative, and have many rules, laws, and policies that restrict freedoms, which prohibits change.

Many outside influences counter to their own are not only persecuted, but often outlawed.

UAEUnited Arab of Emirates

UAE

Dubai

Sharjah

Fujairah

Ra’s al-Khaima

h

Umm al-Qaiwain

Ajman

Abu Dhabi

PESTLE Analysis~ Political ~ Economic ~ Social ~ Technological ~ Legal ~ Environment

Political

• UAE Federal Government

• Each Emirate has its own governmental institution.

• The ruling family of each Emirate is a member of the

Supreme Council, which is responsible for policy-making

and electing the president and vice president for five-year

terms.

• President: HH Sheikh Khalifa bin Zayed Al Nahyan, Ruler

of Abu Dhabi

PESTLE Analysis~ Political ~ Economic ~ Social ~ Technological ~ Legal ~ Environment

Economic

• Currency: Emirate dirham (Dh or AED)

• Exchange Rate: Dh3.67 per US dollar

• Oil exports: 2.2 million barrels of crude oil/day,3rd largest

exporter

• GDP per capita: Dh162,000 (2007)

• Increase in spending for infrastructure and job creation.

• Fiscal year: 1 January to 31 December.

• Free zone : strongest pillars of the country’s diversification

strategy

PESTLE Analysis~ Political ~ Economic ~ Social ~ Technological ~ Legal ~ Environment

Social

• Emiratis are a tolerant, forward-looking people with a strong

sense of tradition.

• Language: Arabic

• Religion: Islam; practice of all religious beliefs is allowed.

• Male : Female = 2.2 : 1.

• Illiteracy rate: 7%

• Women are seen as equals and are protected by rights and

privileges laid down by Islam.

PESTLE Analysis~ Political ~ Economic ~ Social ~ Technological ~ Legal ~ Environment

Technological

• Zero Carbon City : Renewable energy, sustainable

environment

• Assistance & Advice of MIT(Massachusetts Institute of

Technology)

• Gulf Information Technology Exhibition – one of the 3rd

Biggest exhibition of its kind

• Telephones (land line and cell), radio broadcast stations,

television, internet

• Internet country code: ae

PESTLE Analysis~ Political ~ Economic ~ Social ~ Technological ~ Legal ~ Environment

Legal

• Court proceedings in the UAE are time-consuming.

• Secular courts to adjudicate criminal, civil &

commercial matters

• Islamic courts to review family and religious disputes.

• Each of the seven emirates has its own government

with respective municipalities and departments.

PESTLE Analysis~ Political ~ Economic ~ Social ~ Technological ~ Legal ~ Environment

Environment

Dress code

Food Culture

Doing Business in the UAE

Working Practice Companies Structure Working Relation

Business Practices Social Customs

Working Practice Saturday – Wednesday (Traditional Working Week)

Meetings should be scheduled advanced with extra time

allocation

Attitude to time is comparatively relaxed

Business Practice Customary greeting is “As-salam alikum” with reply “Wa

alaikum as-salam”

Initial business meeting – Way to become acquainted with your

counterparts

Business Cards are common but not essential. If intended

ensure English and Arabic printed information.

Social CustomGifts

• Sign of Generosity

Dining

• Sign of respect – starts eating last

• Host pays for it

Left Hand

• Do not use or offer item with your left hand

Shoes

• Follow the lead of your host

Business Etiquette

Do’s Address Emirati

counterpart with appropriate titles

Dress Conservatively

Accept Invitation to a meal or social events

Politeness and courtesy

Don’t

• Expect a one-on-one meeting to only include yourself and the other person.

• Assume that the person who asks the most questions in meetings holds the most Responsibility.

• DON’T ask about a person’s wife or daughters.

Hofstede ModelPower Distance: 80

Stratification by wealth and social standing

Relative lack of upward mobility

Uncertainty Avoidance: 68

Strict rules and regulations

Resistance to change and risk

Masculinity: 52

Acknowledgement of gender differences

Religious vs. cultural distinctions

Individualism: 38

Group and team-oriented culture

Importance of loyalty to one’s member groups, i.e. family, company, social group