International Business and Economical Climate of Qatar - Term Paper Example

International business Table of Contents Introduction 3 Discussion 3 History 3 Culture 4 Economy 5 Education 6 Demographic 6 Political and Legal 6 Technology 7 Conclusion 7 References 9 Introduction Qatar is one of the most well-known independent states of Arab. Previously Qatar was occupied by the Ottoman Empire during 1872. Later on Sheikh Abdullah signed a treaty with United Kingdom in order to maintain safety and security for the people of Qatar. Because of this treaty the British Empire granted an oil concession for 75-years to Qatar Petroleum Company. There were rapid immigrations to Qatar during the period of 1950 and 1960 which led to important social developments in Qatar. It became completely independent during the year 1971. This research paper describes about the economical, cultural and social issues of Qatar including the technological developments after globalization. Discussion History Qatar has been settled by people for many ears. The Al Khalifa family from Bahrain ruled the people of this place from 1850 to 1868. Later on Qatar became a part of the British Empire by taking their security and support system. Before coming under an indirect rule of U.K. Qatar was also a province of the Ottoman Empire. During this period Qatar was also under rule of Safavid Iran from 168—1717. Al-Thani became the next ruler of Qatar after the Ottoman Empire left it’s province during the First World War. Al Thani family ruled Qatar for 200 years. After this U.K. province signed the treaty in the year 1916. Because of a healthy relationship between British Empire and Qatar they were granted the concession of Petroleum Company. Because of huge oil base in Qatar it became one of the main places of attraction for many people abroad. Qatar developed socially with immigration of many people. After 1971 Qatar got their independence and became a fully independent state of Arab. Qatar also formed a democratic form of government after the year 2005. The history of Qatar includes many reforms starting from the rule of the Ottoman Empire. Qatar has diversified knowledge systems because of change in rule from time to time. Qatar has been one of the most developed states in history because of its oil and natural gas reserves. It is still one of the highest producers of crude oil in the world. Culture Qatar’s cultural values have changed with a great effect since the historic Qatar. People of Qatar have developed a lot. The lifestyles of people have become urbanized and there are huge developments in the social and cultural life of people. The cultural values like language and religion is same as that of the native counties of Arab. They follow the Islamic religion. Their cultural values have arrived from the Arabian Peninsula exactly same as the other states of Arabia. Qatar’s style of taking food and lodging is very similar to the Asian countries. There are some habits that are very common for both the continents. The music is a very interesting part of Qatar. It is based on song, dance and Bedouin poetry. The Qataris use many instruments in an arranged way including al-Ras. Al-Ras is a large drum that is heated by fire. Apart from music sports is also very well known and people of Qatar are very fond of football. Qatar won the championship in the year 1981 that was an under 20 world youth championship (Orr, 2008). Qatar’s culture is very famous because of their simple food habits and simple dress habits but they have a very high thinking in terms of technology. The official language of Qatar is Arabic. However, English is also widely spoken in Qatar. Qatar has also joined the international French-speaking organization as a new associate member. Because of high immigration there are people of different countries present in Qatar and it is a country where multi-language is spoken. Economy Qatar’s economy in the seventeenth and the eighteenth century was based upon fishing and pearl hunting. Qatar in 1892 generated an income of 2,450,000 kran through pearl hunting. It was the highest amount generated in that period by this medium of income. Qatar’s economy suffered after Japan’s technology took-over the business. Japan because of its technological advancement generated more income with fewer investments this was a huge matter to worry for Qatar. Qatar’s economy boosted up after the discovery of oil. In the year 1940 oil was discovered in Dukhan Field. There was a huge oil reserve that could be a major source of income for them. After the discovery of oil the economic structure changed completely. Apart from small businesses in Qatar’s main economy was dependent on the oil reserve. Qatar is known as a state with no income tax and people of Qatar having a high standard of living. The rate of unemployment in the year 2013 was recorded as 0.1% because of its huge natural resource. In the year 2013 Qatar’s GDP per capita was second highest according to CIA Fact book. Qatar is one of the major liquid natural gas transporters in the world. Most of the workforce in Qatar is labor from outside countries (Holsworth, 2010). In the year 2012 it was noted that Qatar would be able to be invest over $120 billion in the energy sector and this process will continue for a prolonged time for next ten years. Qatar is a member state of OPEC from 1961 onwards. This state was also regarded as the wealthiest nation in the year 2012. Because of huge surpluses of billion dollars from oil industry the government of Qatar has directed investments in Asia, Europe and United States. Qatar has huge infrastructures and assets which have been raised in order to maintain tourism so that the economic growth can remain unquestioned. Undoubtedly Qatar has a very strong economy and the growth in other sectors is because of the oil reserves that had been discovered in Qatar in 1940. Education Qatar’s literacy rate is 4.2% for females and 3.1% for males in the year 2012. Qatar’s literacy rate is lowest in the Arab and Qatar holds the position of 86 in the world in terms of education. Qatar established its first science and technology park in the year 2008. The education policy has linked education along with the industries. In the year 2002 Qatar had first established its Supreme Education Council, it directly directs and controls the education system of all level starting from the primary level to higher education level (Wasny, 2010). This was a positive step taken to upgrade the education system in Qatar. In the year 2012 Qatar was ranked bottom of the OECD countries though it has the highest per capita. Demographic The initial records of demographics of Qatar began from 1892 from the rule of Ottoman Empire. The population of Qatar consists of 40 percent of Arab people, 18 percent of Pakistan’s population, 10 percent Iranian and 18 percent Indian people. The remaining population is a mixed population that comes from all kind of countries. The population of Qatar is growing rapidly because of high immigration rate. It is expected that it will reach up to 1.84m in 2015. The other demographics of Qatar are very common consisting of Islamic religion and the local language of Qatar that consists of Arabic language. Political and Legal The political system of Qatar has been very vulnerable. The political system during the time of Ottoman Empire was monarchy. Later on after the Al Thani family started their rule it became similar to a capitalistic rule which went over a long time. The capitalistic system was also supported by British Empire because it was in their favor. Because of very less population there were not many revolts against the political system. After 2003 Qatar became a democratic country. Though most of the political power was owned by capitalists but election system took place after this period. Technology Technologically Qatar is one of the most developed countries in the modern world. The advancement in the technology has arrived from the oil fields. After the discovery of oil field many educated people shifted to Qatar in search of better jobs and opportunities (Tapper, 2004). Because of this movement Qatar has much technological advancement that is very much visible in the modern world. Conclusion As discussed above the political and social system of Qatar is very much supportive for business at any level. The most preferable business as per the consent of Qatar’s economy would be fast food restaurant business. This business would be one of the most preferable businesses because it supports the economic conditions of the country along with its political and social conditions. A fast food restaurant business has been suggested because it is favorable as per its low investment and since immigration in Qatar is huge hence people from all places have been gathered in Qatar. Because of the above mentioned facts this business can be sustainable for people and because of less investment this is a perfect business for a newcomer to enter the competitive market. A fast food restaurant can fulfill the needs of people of different societies because in the modern world each and every person is very much interested in the products that are available through this business. On the other hand this business can be a great help to the economic structure and in future it can be helpful for people and government. In each and every country it has been seen that a fast food center is the main attraction point and hence this business can fulfill the basic need and interest in every aspect. References Holsworth, R. (2010). The Indispensable University. Stamford: Cengage Learning. Orr, T. (2008). Qatar. London: Routledge. Tapper, R. (2004). Technology, Tradition and Survivals. New York: Springer. Wasny, G. (2000). How to Conquer the World. New York: McGraw-Hill. Read More