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 Arla Foods Dairy products manufacturer-major player Arab world 2005.


 Dano-Swedish cooperative brands and arla – Middle east markets dominated- butter, cheese
and cream.
 The face of Muhammad-Arabs boycott Danish foods- Arla removed from Arab retailers shelf
clerics removed ban- still half the sales pre boycott

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 Islam influence is much powerful in Arab world/ Arla sales didn’t recover until 2010.
 Arab world stereotype assumptions-vs.-consumers have the same demand as anywhere else-
religion markets globally interlinked and competitive.
 If Arab league was a single country GDP/Per capita income—Higher and market youthful.
 44% Household consumption-150 million middle class spending and consumption-Forces of
fortune
 Arab nations just like china india brazil etc-yet more complicated-give importance to their
religion, and culture traditions even when it comes to western product.
 Three categories shia, sunni, ibadis in arab world for business purpose company should
understand these categories and the set of hadith followed by these.

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 Shahda letter/ sprit violence has impact on corporate forunes and reputations –
Islamic rules derived from divine commands-however arabs are quick to forgive (e.g.
arla foods exempted from boycott)
 Forgien companies should keep in mind if anything is being offensive in terms of islam
(e.g. unilever logo)
 International brands consider religious factor in their ads. (Such as tide liquid ad)-
models in hijab
 Salah is very important in Arab world, business should give break to their employees
for salah. Moreover watches should shous GPS for mecca (Indian Watches and Itunes)

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 Zakat privately paid-Trust issues with state owned orgs (sudan govt used effectively)
 Zakat should be used fairly and innovative way- so peple invest e.g bluecollar training
 Value added usage people will attract

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 Non muslim Foreigners are exempted to eat during fasting hours


 Two office hour reduction- tough to operate business employee cant work longer-
opportunity consumer has more leisure time-orgs turn their hours upside down
 Month of Ramadan in Arab is important like Thanksgiving and chirmists in west
 High sales for retailers in this month
 Advertising/Mobile usage and shopping goes high
 Sales of consumer goods (Drinks, Snacks etc) and sales of hotels also go high (Arabs
break fast their)
 Companies should customized their ads and campigns and add messages for
togetherness (Tide musk campign)

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 Hajj creates many opportunities for businesses in the Arab region (Impact of 42 billions on
Suadia Economy 2011)
 Hotels Industry faces boom
 Consumption important part of hajj—P&G promotes its products during hajj
 Perfume/small electronic items sales peak
 Samsung shifts his staff from rest of the country to mecca and madin due to high sales.
 Arab companies use hajj as an opportunity for global expansion( they can test their products
and promote them to international visitors)
 Intense marketing and sales--- brand recognition (Arabain oud 53 stores locally to 500+ stores
internationally)

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