LBM November December 2026 Pages Alternative Digital 208 | Página 27

International 27

Doing business in the Middle East

John Taylor has 30 years’ experience of working in and with the Gulf States. These are his tips for doing business there
1. Relationships aren’ t part of the business – they are the business
Gulf business culture is built on trust earned face to face, over tea and over time. It’ s personal long before it becomes business.
Showing impatience or frustration, rushing too quickly and only following your self-interest indicates that you see the counterpart as a transaction rather than a partner – and that impression is very hard to shift afterwards.
Contracts, partnerships, deals and investments move at the speed that trust takes to build. You need to come to stay, not pass by, to earn trust.
Across the region, major commercial decisions often begin with a trusted introduction. A single warm referral from a respected partner can achieve more than six months of cold outreach. Many global firms underestimate this and burn time trying to‘ pitch their way in.’
2. The real decision-maker is rarely the one you see in the room
It’ s critical to understand who actually holds the authority. Organisational charts can be misleading. Real decisionmaking power in many Gulf businesses and government bodies sits with a small number of senior figures, often family members, who may not appear on your first few calls and meetings.
Identifying that person early – and being introduced to them properly— saves months.
Don’ t skip the majlis or informal networking. The most important conversations frequently happen outside the boardroom – at dinners, in social gatherings, in the margins of conferences. Treating these as optional is a missed opportunity, not a courtesy.
3. Reputation compounds faster than capital
Your name travels ahead of you – positively or negatively. Deliver once and doors open. Fail once and the market remembers. Consistency is currency.
The Gulf business community is extremely tightly connected. Deliver
well once and you’ ll be recommended widely. Fail once and the market remembers. The region rewards consistency and integrity more than flashiness.
4. Local partners can be your greatest multiplier – or your biggest liability
Choose partners for capability, alignment and integrity, not just access. A strong partner unlocks the market; a weak one traps you in it.
Local partner / sponsor: While rules are changing to allow 100 per cent foreign ownership in some sectors( particularly in free zones), having a strong, wellconnected local partner is still a huge advantage.
Adaptation to new regulations: The region is shifting from tax-free to new regulations, including corporate tax and VAT( e. g. in the UAE and Bahrain coming in 2027), so stay updated on compliance.
Leverage Free Zones: Many foreign companies operate in‘ Free Zones’ which offer 100 per cent foreign ownership, no currency restrictions, and full repatriation of profits.
5. Every country is different – treat the GCC as six markets, not one
Don’ t assume the Gulf is one market. Treating Saudi Arabia and the UAE as interchangeable, or applying a Dubai playbook to Kuwait, is one of the most common and costly mistakes I have seen exporters make.
It’ s important to do your homework and research your markets. Each market has distinct opportunities, regulation, culture, and pace.
6. Crises are normal – resilience is expected
From oil shocks, geopolitical flare-ups, regulatory shifts. Winners don’ t panic; they adapt quickly and communicate clearly. The market respects calm operators that stick the course, go the distance and also accept that volatility and unpredictability as part and parcel of life and business in the region.
7. Long-term presence beats short-term opportunism
It’ s important to show up in person. Video calls have their place, but nothing substitutes for a physical presence – at a trade mission, a majlis or simply a visit to their offices. Distance is often read as disinterest.
The region rewards those who show up consistently; build a regional calendar that reflects Ramadan working hours and practices and the importance of religious holidays and festivals reflects cultural awareness and helps build roots.
Fly-in-fly-out operators rarely get the real opportunities to build lasting sustainable business. Companies that invested in local teams, trained nationals and built genuine partnerships are often the ones invited into strategic projects.
Rewarding
Companies are right to weigh up whether the effort of getting into Middle East markets is worth it. In my experience, it almost always is – provided you’ re willing to do business on the region’ s terms, not your own. Those who seek understand its rhythm, respect its complexity, and build relationships that last longer than any contract tend to find the region among the most loyal and rewarding markets they will ever enter.
John Taylor is founder of the Future Solutions Group
www. futuresolutionsgroup. co. uk