Dubai Under Pressure

Under Pressure, Dubai Company Drops Port Deal 1. Discuss the role of governmental factors-both in the united separates and in Dubai- played in the reversal of the larboard take aim. result This case talks about the disparity of the co.uk/what-led-to-the-rise-of- governmental-parties-in-the-1790s/American political parties against the self-will of fashion operation by the state owned Dubai company. The republicans and Democrats being the electric resistance party were disfavoring the sale of some terminal port operation to DP World an Arab state company.Even though Bush being the president of the vox populi party was not able to stop the transfer of control of the terminals receivable to the force of political last. The force that played in the reversal of the port deal was mostly security issues related with Arab world, there was a great protest about economic security of United states. The Democrats and Republicans were backdrop of preserve about possible terrorist att ack . Whereas the ruler of Dubai was willing to transfer the pick out to the American company to avoid any further damage.He also had to withdrew the deal to maintain a friendly relationship and to maintain a political stability in the multitude country. 2. How did the concerns of the US public result in a business decision by a Dubai company? Solution As it is said in the case, that the outcome did nothing to solve the underlying issue exposed by an uproar that has consumed the capital for weeks. It means that the pot were not happy but were panic stricken with the fact . The terror of 9/11 has created a phobia in mass.Media has stereotyped the American people by yet showing the dark side of the Arab world. So the concerns of the US public result in a business decision was very unfavorable and prejudice. 3. Do you agree with the decision, accepting that transportation takes seat through a world(a) network of companies? Solution Yes, I do agree with the above decision, because owning all the transportation company by the state would not be a feasible idea as hygienic as the government would go against the practice of free economy if it is publicise by the government.As we have been learning from the start that completion and trade makes everyone fracture off, it would be very unfair and unjust if the transportation is nationalized. There is a high chance of cartel if its nationalized. 4. What are the implications of DP worlds withdrawal from global business and investment? Solution It tries to imply us that not only economical but political understanding is also very essential to start a successful business venture. Understand the political intellection of the country also plays a very vital role in business decision.Various factors such as expropriation , forced sale of equity to host country, nationalization, discriminatory treatment to foreign country, barriers to repatriation, loss of technology, interference in guidance decision making, dishone sty by government officials are some of the sundry(a) political risk today. So assessment of the political risk before entering into the foreign borders is what the case is trying to imply. Submitted By Jayanta Mani Kayastha Roll No-11109 worldwide Management IVth trimester SAIM College