Kuwait is a small and prosperous country in the Middle East.
To its north lies Iraq, while Saudi Arabia is to the south.
Oil is the biggest sector. Earnings from this sector comprises almost half of the GDP. This country has some of the largest oil reserves in the world. It prides itself on the amount of oil it is able to produce each day.
The service industry also thrives. It contains the banking sector, which is one of the best in the United Arab Emirates region. Kuwait has one of the largest banks in this region. Also, it has a stock exchange. The banking and financial sector is extensive, accounting for almost half of the market cap in the stock market.
Other notable sectors include cement and shipbuilding, which have grown over the past few years.
Kuwait City is the capital. It is also the largest city and the center for politics and culture. This city lies on Kuwait Bay, a natural deep-water harbor. It boasts many Western-style hotels and designer shopping malls, and it also features old-style Islamic structures and war-torn buildings.
Another notable city is Al Ahmadi, which has the most residents. Al Ahmadi lies along the East coast of Kuwait. This city, founded in 1946, came into being after the finding of oil in the country. The oil industry is the biggest one within this city. Despite this, Al Ahmadi is the greenest city in Kuwait.
Kuwait has an obesity problem because the people have a rich diet. Physical exercise is unusual.
Good farmland is scarce within the country. As a result, the focus is on global trade to provide basic needs.
Most people live in urban areas because there is a need to share scarce resources in the desert. The demand for real estate causes property prices to be high.
The people tend to rely on the state for essential services. The different social welfare programs encourage this.
Benefits and Strengths in the Market
Kuwait is expanding its construction industry. Some examples of this are the maintenance of the road network, a new airport terminal, and new hospitals. These projects are part of the new National Development Plan.
The country is also working to improve power generation. Kuwait is also investing in environmental cleanup projects. In addition, defense and security opportunities can arise.
Healthcare is another priority area for the government. At present, Kuwait has a shortage of hospitals and related services. As a result, investments in this sector can bear much fruit.
The Islamic faith governs life in Kuwait. As a result, most people dress modestly. There are also no nightclubs or bars for partying.
Gender divides labor in the country. Most women work inside the home. They may also do social services or perform clerical roles.
Many factors affect consumer spending. These include income, inflation, and fiscal policy.
Online shopping is on the rise. Many residents buy books, CDs, and airline tickets on the internet.
Besides, Kuwaiti people have more access to loans now, which also adds to their spending power. Most of this spending is on daily needs.
The people are very price-conscious but are also avid consumers.
Reasons to Grow Your Business in the Kuwaiti Market
The market is showing signs of growth. There are many new improvements, which provide room for investment. Besides, the country has made it easy for foreign investors to do business. Incentives such as 10-years tax holidays and low tax rates are some measures used. The use of online services in the country is also a plus.
About Market Research in Kuwait
Businesses must conduct Quantitative, Qualitative, and Strategic Research before market entry. Such research analyzes current data and provides insight into doing business in the country. It is also crucial to visit the country and form good connections. It is best to enter the market by working with a local agent or partner. Market Research can have a positive impact on your business ventures. Thus, it is essential to conduct before entering the market.