Free Happy UAE Case Study Solution | Assignment Help

MBA Staff Writer
Written by Gary F. Smith
Publish Date: 2024-10-04

Harvard Case - Happy UAE

"Happy UAE" Harvard business case study is written by Joshua R. Schwartzstein, Brian J. Hall, Tiffany Y. Chang, Karim Sameh, Alpana Thapar. It deals with the challenges in the field of Business & Government Relations. The case study is 19 page(s) long and it was first published on : Apr 17, 2018

At Fern Fort University, we recommend a multi-faceted approach for Happy UAE to navigate the complex landscape of the UAE's economic development. This strategy emphasizes public-private partnerships, sustainable growth, and strategic investment in key sectors.

2. Background

The case study focuses on Happy UAE, a government-backed initiative aimed at promoting economic diversification and attracting foreign investment in the UAE. The initiative faces challenges such as competition from other emerging markets, global economic uncertainty, and the need to address social and environmental concerns.

The main protagonists are:

  • The UAE government: Seeking to diversify its economy beyond oil and gas and create a more sustainable future.
  • Happy UAE: The initiative tasked with attracting foreign investment and supporting the growth of new industries.
  • Foreign investors: Weighing the risks and rewards of investing in the UAE, considering factors like political stability, economic growth, and regulatory environment.

3. Analysis of the Case Study

The case study can be analyzed through the lens of Porter's Five Forces framework, which helps assess the competitive landscape and identify opportunities for Happy UAE:

  • Threat of new entrants: High, as the UAE attracts many new businesses due to its strategic location, business-friendly policies, and growing market.
  • Bargaining power of buyers: Moderate, as the UAE has a diverse customer base, but buyers may have options in other emerging markets.
  • Bargaining power of suppliers: Moderate, as the UAE relies on imports for many goods and services, but its large market provides leverage.
  • Threat of substitutes: High, as the UAE faces competition from other regional and global players in various industries.
  • Competitive rivalry: High, as the UAE is a competitive market with many established businesses and new entrants vying for market share.

Key issues:

  • Economic diversification: The UAE needs to move beyond oil and gas and develop new industries to ensure sustainable growth.
  • Foreign investment: Attracting and retaining foreign investment is crucial for economic development, but the UAE needs to address investor concerns about political stability and regulatory environment.
  • Social and environmental sustainability: The UAE must balance economic development with social and environmental concerns to maintain its long-term competitiveness.

4. Recommendations

  1. Strategic Partnerships: Happy UAE should focus on building strong public-private partnerships to leverage private sector expertise and resources. This involves:

    • Government contracts: Offering attractive government contracts to incentivize private sector involvement in key projects.
    • Regulatory compliance: Streamlining regulatory processes to make it easier for businesses to operate in the UAE.
    • Tax incentives: Providing tax incentives for businesses investing in priority sectors like renewable energy, technology, and innovation.
    • Infrastructure development: Partnering with private companies to develop critical infrastructure like transportation, energy, and telecommunications.

  2. Sustainable Growth: Happy UAE should prioritize sustainable growth by promoting environmentally friendly practices and addressing social concerns. This includes:

    • Environmental regulations: Enacting stricter environmental regulations to protect natural resources and reduce pollution.
    • Corporate social responsibility (CSR): Encouraging businesses to adopt strong CSR practices and contribute to social development.
    • Green technology: Investing in research and development of green technologies and promoting their adoption by businesses.
    • Sustainable tourism: Developing sustainable tourism practices to minimize environmental impact and promote cultural heritage.

  3. Strategic Investment: Happy UAE should focus on strategic investment in key sectors with high growth potential, including:

    • Technology and innovation: Supporting the development of a vibrant tech ecosystem through incubators, accelerators, and research grants.
    • Renewable energy: Attracting investment in renewable energy projects to reduce reliance on fossil fuels and achieve energy independence.
    • Healthcare: Investing in healthcare infrastructure and technology to enhance the quality of healthcare services and attract medical tourism.
    • Education: Developing a world-class education system to attract skilled talent and foster innovation.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  1. Core competencies and consistency with mission: The recommendations align with the UAE's vision of economic diversification, sustainable growth, and attracting foreign investment.
  2. External customers and internal clients: The recommendations cater to the needs of foreign investors, local businesses, and the UAE's long-term development goals.
  3. Competitors: The recommendations aim to position the UAE as a leading destination for investment and innovation, differentiating it from other emerging markets.
  4. Attractiveness: The recommendations are expected to attract significant foreign investment, create new jobs, and boost economic growth.

6. Conclusion

Happy UAE has the potential to play a pivotal role in the UAE's economic transformation. By focusing on strategic partnerships, sustainable growth, and strategic investment, Happy UAE can attract foreign investment, foster innovation, and build a more resilient and prosperous economy.

7. Discussion

Alternatives not selected:

  • Government intervention: While government intervention can be helpful in certain cases, excessive intervention can stifle innovation and discourage private sector participation.
  • Protectionist policies: Protectionist policies can harm the UAE's competitiveness and limit economic growth.

Risks and key assumptions:

  • Political stability: The UAE's political stability is crucial for attracting foreign investment. Any political instability could undermine the success of Happy UAE.
  • Global economic uncertainty: The global economic outlook remains uncertain, and any economic downturn could impact foreign investment in the UAE.
  • Competition: The UAE faces competition from other emerging markets, and it needs to remain competitive to attract investment.

8. Next Steps

  1. Develop a comprehensive strategy: Happy UAE should develop a detailed strategy outlining its objectives, target sectors, and implementation plan.
  2. Establish partnerships: Happy UAE should actively seek partnerships with private sector companies, international organizations, and other government agencies.
  3. Promote the UAE's investment potential: Happy UAE should launch a global marketing campaign to highlight the UAE's investment opportunities and advantages.
  4. Monitor progress and adapt: Happy UAE should regularly monitor progress and make necessary adjustments to its strategy based on changing market conditions and feedback from stakeholders.

By implementing these recommendations, Happy UAE can contribute to the UAE's economic diversification, sustainable growth, and long-term prosperity.

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Case Description

This case centers around the United Arab Emirates' (UAE) national goal of raising the happiness of its residents and visitors through ambitious government initiatives. They combined this bold national goal with an accountability structure (incentive plan) built on Key Performance Indicators (KPIs), as more typically done at a company level. A key case protagonist is Ohood Al Roumi: the UAE and the world's first dedicated Minister of State for Happiness and Wellbeing. She was assigned to this role by Sheikh Mohammed, the Prime Minister and Vice President of the UAE and Ruler of Dubai. Al Roumi attempted to drive national progress towards happiness in UAE society through several means: measuring happiness in the community and happiness with government services; aligning and coordinating government entities towards promoting happiness and positivity at work; and promoting happiness as a lifestyle more generally. The case details the UAE's progress through February 2018. The class discussion gives students a chance to reflect on the role of government in promoting happiness and wellbeing and how a government could go about encouraging happiness. The UAE in effect implemented a complex incentive scheme with the aim of coordinating attempts to increase happiness and wellbeing. The connection between the UAE's efforts and incentive schemes emerges in the course of the class discussion, which enables students to reflect on concrete managerial implications of the analysis.

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