Assessing the Economic Impact of Ferrari World Park on the UAE Economy - Case Study Example

Assessing the Economic Impact of Ferrari World Theme Park on the UAE Economy s Assessing the Economic Impact of Ferrari World Theme Park on the UAE Economy The globally renowned name in sports car racing, the word “Ferrari” incites the image of fast cars, automotive power, and branding history. Given its impressive lineage at the race tracks and with powerful, extortionately wealthy clients; it boggles the mind to think of Ferrari opening up a world theme park built along the lines of its sporting mage. Launched on 27th October 2010, the Ferrari Theme Park is the worlds biggest attraction yet. Spread over a record-breaking area of 86,000 square meters, it provides a total of twenty-four Ferrari-related attractions to a wide range of users - from the age 3 years and above. Sitting on the $40 billion Yas Island, this indoor theme park is a dream come true for every Ferrari fan from all over the world. Showing off the worlds fastest roller coaster (speeding at a heart-stopping 149mph in 4.9 seconds), it provides its audience with the feel of actually sitting in the infamous Formula One car. (Abu Dhabi Launches Ferrari Theme Park) Other amusements included in the theme park are multi-format high tech theatres, a Ferrari museum, a shopping mall consisting of showrooms, numerous different hi-tech Ferrari driving schools for all ages , along with automotive displays and participatory learning centers as well as food and entertainment. Financed by the government, it took three years to construct (Ferrari partnered with the state-backed Aldar Properties during the construction, and plans on continuing the partnership if such projects come their way in the future) with a total cost of more than $35 billion. Due to its large size and massive construction requirements, the Government provided various methods of incentives to the workers and investors. One of those was naturally a rise in salaries as tourism would escalate due to the presence of the amusement park in Yas Island; also, the increased industrial expansion this would cause would help Dubais staggering economy at least pick itself up before it completely deflates into absolute nothingness. The increase in employment this impending attraction caused was a definite enticement for majority of the workers and investors. The Foundation Stone ceremony took place in Abu Dhabi to officiate the beginning of its construction (2009) During the celebratory ritual, a time capsule containing a piston of F2007 model, along with the F1 World Champion Ferrari car and the park’s first impression by an artist, was buried on Yas Island. It was decided that the capsule would be re-opened only at the 100th anniversary of Ferrari (2047). When it finally opened on October 2010, it was the biggest attraction the world had yet to offer. In these times of deflating globalization, with recession at the heart of just about every economy, Dubai hopes to boost its trades via this single leap from camel rides to fast paced roller coasters. It is anticipated that the Ferrari Theme Park will attract as many as at least 10,000 visitors a day. Having ploughed billions into the amusement estate, the UAE predicts it will soon become the Mecca for Grand Prix racing fans, particularly as theÿFormula Oneÿrace took place there in November of 2010. In view of keeping tickets available to a larger audience, ticket prices have been kept extremely reasonable, to say the least. Tickets for enthusiastic fans ready to check out the sights of this amazing place cost 375 AED (about $102 USD) for the taller people or 270 AED ($74 USD) for rather shorter Ferrari fans. However, for customers of 3 years, the tickets are free. (Ferrari Theme Park Pricing) Due to the high inflow of consumers from the world over, other industries in the UAE are expecting to see an increase in sales in their products. The Ferrari World Theme Park, bringing in a staggering total number of tourists every day, has boosted tourism in the UAE to an all-time high. The third-largest oil exporter in the UAE, Dubai is aiming at a 15 percent increase in tourist attractions as a result of this newly constructed dream-come-true; with a target of 2.3 million by the end of 2010. Keeping in mind the possibility of increasing their 1.65 million hotel guests by 10 percent yearly, Dubai is aiming towards a rise in its total Gross Domestic Product annually via tourism alone. (Abu Dhabi launches Ferrari Theme Park) Due to the immense amount of construction required, the theme park opened up the alley for a vast number of employment opportunities. At present, a total of five hundred and eighty jobs are vacant, from the welcoming staff to those sitting at the controlling boards. The construction of this mind-blowing amusement estate is just as staggering as the rest of its cost put together. Shaped in the form of a Ferrari, it stands on solid foundations at the corners, with no supporting structure in between. Thus, tourists and consumers taking rides at a height of 70 meters, feel as though they are taking rides in the outdoors. The material used for its construction consisted of a facade covered with approximately 100,000 square meters of a red and silver aluminum metal sheet.  If all the materials for the façade are added up, It amounts to 300,000 square meters of pre-painted aluminum; approximately equal to the area of 50 football field. To assure mobility, a 10-lane motorway has been constructed, along with a parking area for around 30,000 cars; especially since the Ferrari Theme Park lies just across the airport of Abu Dhabi. Also, the red paint coated on the roof of the Theme Park is for adjusting to the sudden drastic changed in temperature that occur in Abu Dhabi. Being a desert area, its days are as hot as fire due to the dusty airs and the nights as cold as ice as a result of the colder, humid air coming from the sea. Thus, even though red is a most difficult color to maintain, it will help reflect off the heat, keeping the Theme park from reaching the scorching conditions of the surrounding areas. The special paint job decided on by its technicians is meant to keep the paint temperature-immune and remain fast on the roof of the park. Along with the paint contractor Becker Industrielack GmbH, Euramax well-defined the enamel for the coil-coated aluminum façade, causing a four-layered PVDF paint system to smooth out the glossy Ferrari red.  For the roof and side walls, silver plates were made use of; this needed a four-layered PVDF painting system to be delivered by Akzo Nobel to the constructors. Also, the fine-tuned thickness of the paint coating has caused a red color so deep that it can be guaranteed for long lasting on the metal. For this reason, more than 1,200 tones of pre-painted plates were delivered by Euromax. Known for their experience in leisure areas such as amusement parks, Bennoy Architects are very famous and renowned. Seen as a `skyline-landmark, the Ferrari Theme Park aims towards bringing in throngs of tourists every month, at the very least. (Ferrari Theme Park) Of course, with the building of such a heavy construction come environmental costs to the surrounding areas. As a result, protecting the environment was the first priority for Azko, who also propagated a green philosophy side by side. Heavy metals, such as lead, were therefore, banned for usage in paint coatings during construction; when it was decided that action would be taken to protect the environment from the negative effects of such heavy construction. "To be able to deliver a certain color, adjustments must be made. Of course, lead-free paints cannot always back up long-term guarantees that we provide to our customers”, says Smits.  Therefore, Akzo also banned the use of liquid cleaners harmful to living beings and the environment during construction of the theme park. Isophorone can be an example of this, as it is used as a solvent for PDVF coatings. (Ferrari Theme Park) Naturally, with the arrival of such a large tourist attraction, global trade will increase exponentially aimed mostly at the Dubai region. Therefore, the UAE trade flow will grow to unprecedented heights in the coming years as more money in the form of tourists and investors pours in from around the globe. The most amazing attraction the world has to offer at present, the Ferrari Theme Park promises to lead UAE out of economic depression into a world of industrial success; revolutionizing its economy and global standing. It is already being talked off; the forecasted position the UAE will become one of the greatest tourist attractions in the immediate years to come, thanks to Ferraris incentive towards multi-dimensional growth. There will not be another such place of entertainment for many years to come. This amusement park has surpassed expectations beyond anything the constructors (or the consumers themselves) ever dreamed of. The economic boost its mere existence has provided makes up for more than UAEs share in the global recession. Work Cited Website staff; (October 2010). Ferrari Theme Park. Available: http://www.prepaintedmetal.eu/desidero/trovare_l_ispirazione/Ferrari_theme_park_Abu_Dhabi. Last accessed 3rd Jan 2011. Blog, A. (October 3, 2010). Ferrari Theme Park Pricing. Available: http://www.automotorblog.com/ferrari-theme-park-pricing/. Last accessed 4th Jan 2011. Staff. (October 28th, 2010). Abu Dhabi Launches Ferrari Theme Park .Available: http://www.theblogismine.com/2010/10/28/abu-dhabi-launches-ferrari-world-theme-park/. Last accessed 5th Jan 2011. Read More