Business Idea-Franchising Essay Example | Topics and Well Written Essays - 750 words

Business Idea-Franchising - Essay ExampleBasis of Selection Dammam is suitable for travelling. The metropolis is easily accessible through flights from various parts of the world. The city has its own port which is named as King Abdul Aziz mien. There are several suck inive places in Dammam which are The Heritage Village, Sports Center, King Fadhd Park, Half Moon Beach and Alkhleej Makarim. There are many museums such as The Media External Museum, The Regional Al Dammam Museum, The Saudi-Arabian Museum and Abdullah Al Asmare Museum. Due to this reason, many tourists are attracted towards this city and opening a clothing store will be honest in the city to attract these tourists as well as local people. Market Scenario at Saudi Arabia Saudi Arabia has shown positive market growth. Their GDP has been registered as 3.9% in the year 2011 compared to 3% in 2010. Saudi Arabias non petroleum sector plays an important role for the good market condition. The government of Saudi Arabia has planned to spend 155 one thousand million Dollars in the year 2011 for education and infrastructure purposes. Saudi Arabia is one of the preferred destinations for making investment in Middle East and North Africa. Political stability, extensive possibility for growth in infrastructure sector, oil reserves and production capability are the major factors of good market condition. Investors will be attracted by governments impressive policy, over the next five years, which aim to invest 1.3 trillion USD in the non oil sector. It will attract both local as well as foreign investors, who are interested in tapping into countrys market growth ( piece Buyer, Saudi Arabia Business Forecast Report). Market Scenario at Dammam Dammam became a part of Kingdom of Saudi Arabia in the year 1932. Dammam remained a remote place until Standard Oil Company of calcium moved in the city in the year 1935 for searching oil around Dammam area. Dammams economy has expanded and created numerous job opport unities as its oil industry has been accompanied by massive boom in construction. By the growth of oil-sector, Dammams transportation has also improved. The city is served by King Abdul Aziz Port which handles non-oil cargos for eastern and central provinces of the country. The retail market condition at Dammam had developed in the year 20072008 and the retail supply had increased by 60%. Dammam represents the trey largest market share in retail sector in Saudi Arabia and accounts for 20% (Colliers International, Mena Retail Overview). SWOT Analysis Strengths Since Dammam attract many tourists and as in that respect is only two mega stores in the area, this will create a great opportunity to open clothing store in Dammam. Many of the residents and tourists shop in neighboring Bahrain because of limited number of clothing stores in Dammam. Thus, opening of new clothing store can retain the tourists. China excels in production and exportation of clothing in the world. Chinas clothi ng industry mainly focuses on information, brand and fashion. The price of cotton in Chinese market is also low. Export tax of China on textile clothing is between 0.2% and 0.3% per piece and export taxes are determined by quantities. Therefore, it will be beneficial to import large amount of clothes from China because it can provide good fashionable clothes