A company must have a solid market entry strategy to successfully win business in any given market. How the strategy is depends on the target market of the company. Here, we explain the reasons why you should do business in Qatar and the general strategy to enter the Qatar market.
There are several reasons why your company should do business in Qatar.
Qatar is one of the top exporters of natural oil and gas in the world. These sectors are the country’s economic foundations. The country went from an unknown country in the Middle East into a prominent player in the world. The economy of Qatar is fundamentally strong.
In recent years, however, the Qatari government is reforming the economy and tries to diversify its economy away from these sectors. One of these reforms is promoting the private sector and SMEs. This provides opportunities for foreign companies to do business in Qatar.
Although there are tensions in the Gulf, the political situation in Qatar is relatively stable. It is a rich country with a very high income per capita. Most Qatar inhabitants are expatriates with almost null unemployment.
Top Importing Industries in Qatar
Here are the top importing industries in the country:
- Iron or steel products
- Furniture and Bedding
- Machinery and mechanical appliances
- Electrical machinery
- Aircraft and spacecraft
Market Entry Strategy
To conduct business successfully in Qatar, you must develop the necessary contacts. Since this takes time, it is important to have a long-term strategy. The following is the general strategy to enter the Qatar market.
- Visit the Country
When conducting business, Qataris prefer to do it in person. You should meet your potential business agents and partners face to face. Due to this, the first market entry strategy is to visit the country and build not only business but also personal relationships with them.
- Get a Lawyer
Having a good legal representation is a must if you want to conduct business in the country. A business lawyer can help you deal with local regulations, commercial agreements, and the likes. A lawyer also helps the company in establishing and maintaining good business relationships.
- Conduct a Feasibility Study
It is recommended for a new company that plans to enter the Qatar market to conduct a feasibility study carefully. It should be based on factors such as local tastes, existing competition, and market channels.
- Vet Business Partners
A company should not conduct business with anyone. Rather, to successfully win business in the market, a company must identify and vet potential business partners.
- Maintain Independence
While it is important to establish and maintain good relationships with local business partners, a company should still maintain its independence.
A company must have flexibility in its business plan. It has to be able to adapt to situations and challenges in the market.
The country diversifies its economy away from the natural oil and gas sectors. One of the ways to achieve the goal is by promoting the private sector and SMEs. This provides opportunities for foreign companies to do business. To successfully win business, companies must have a solid Qatar market entry.