Al Rawabi Dairy Case Analysis
The company also won a number of awards in the following years for being the Best Enterprise, Best Environmental Practice, Brand of the Year, Best Food or Beverage Ingredient, etc. At present, the company has more than 12500 cows, about 250 distribution trucks delivering their products to more than 10000 outlets. While most of the company’s market lies in UAE, Oman and Qatar, it aims to make its presence in all GCC countries by 2020 (Al Rawabi Dairy Company, 2016). Al Rawabi Dairy is financed by well-known investors like Arab Authority for Agricultural Investment and Development, Investment Corporation of Dubai, Emirates Islamic Bank, and Gulf Investment Corporation (Emirates Rawabi, 2013).
Main forces in the domestic environment that are …show more content…
There are also numerous challenges Al Rawabi Dairy faces despite being in its domestic environment. The first one is competition with local and international firms in UAE. Although, Al Rawabi Dairy is one of the leading organizations in its industry, it has many competitors within the UAE. Among these, the top competitors are Al Ain Dairy and Marmum from UAE and AlMarai from Saudi Arabia. Some of these competitors are so big that they can afford to sell their products at a very low profit or no profit at all, which increases the level of competition for Al Rawabi Dairy. Another factor is to understand the trends of the market. Al Rawabi Dairy mainly operates in the UAE and therefore has to always consider market conditions and the state of economy. Small changes in market condition will affect Al Rawabi Dairy intensively because a majority of its customers will be affected by it. In addition to the above factors, the organization should be able to communicate with its customers. Customer demands are rapidly changing and Al Rawabi Dairy has to keep pushing themselves to make something new and fulfill these demands. To gain competitive edge and market share, Al Rawabi Dairy has released a number of products that fulfill different needs of customers. For example, they have a Vitamin D milk focusing on customers with deficiency of Vitamin D and a Super Milk rich in vitamins and minerals for growing …show more content…
The first one is competition with firms that are already settled and leading the market of the respective country. These firms could also be getting government support that help these organizations compete better with outside organszations. Al Rawabi Dairy has been trying to dominate the Oman and Qatar markets, but the competitors there are too strong and Al Rawabi Dairy can only make a small presence (Anderson, 2014). Another major challenge can be the legal system and accounting rules. The law and accounting rules of every country differ from one another. Al Rawabi has been in the UAE market from the beginning of its existence. Going global for them means to go through different systems which can be really hard for some organizations to adapt. In addition, the governments of these countries could also import high tax rates. Al Rawabi Dairy is an organization that cannot just operate internationally without a farm and processing base in the respective country that it wants to operate in. This becomes another challenge as building these assets requires a lot of planning. The biggest force however would be to be able to overcome the socio-culture differences, to be able to understand the culture, values and beliefs of the customers, which inturn will help the organization serve them better according to their needs and
Main forces in the domestic environment that are …show more content…
There are also numerous challenges Al Rawabi Dairy faces despite being in its domestic environment. The first one is competition with local and international firms in UAE. Although, Al Rawabi Dairy is one of the leading organizations in its industry, it has many competitors within the UAE. Among these, the top competitors are Al Ain Dairy and Marmum from UAE and AlMarai from Saudi Arabia. Some of these competitors are so big that they can afford to sell their products at a very low profit or no profit at all, which increases the level of competition for Al Rawabi Dairy. Another factor is to understand the trends of the market. Al Rawabi Dairy mainly operates in the UAE and therefore has to always consider market conditions and the state of economy. Small changes in market condition will affect Al Rawabi Dairy intensively because a majority of its customers will be affected by it. In addition to the above factors, the organization should be able to communicate with its customers. Customer demands are rapidly changing and Al Rawabi Dairy has to keep pushing themselves to make something new and fulfill these demands. To gain competitive edge and market share, Al Rawabi Dairy has released a number of products that fulfill different needs of customers. For example, they have a Vitamin D milk focusing on customers with deficiency of Vitamin D and a Super Milk rich in vitamins and minerals for growing …show more content…
The first one is competition with firms that are already settled and leading the market of the respective country. These firms could also be getting government support that help these organizations compete better with outside organszations. Al Rawabi Dairy has been trying to dominate the Oman and Qatar markets, but the competitors there are too strong and Al Rawabi Dairy can only make a small presence (Anderson, 2014). Another major challenge can be the legal system and accounting rules. The law and accounting rules of every country differ from one another. Al Rawabi has been in the UAE market from the beginning of its existence. Going global for them means to go through different systems which can be really hard for some organizations to adapt. In addition, the governments of these countries could also import high tax rates. Al Rawabi Dairy is an organization that cannot just operate internationally without a farm and processing base in the respective country that it wants to operate in. This becomes another challenge as building these assets requires a lot of planning. The biggest force however would be to be able to overcome the socio-culture differences, to be able to understand the culture, values and beliefs of the customers, which inturn will help the organization serve them better according to their needs and