4 Common Challenges Of Doing Business In UAE


Considering a new business set up in Dubai presents a variety of challenges. Therefore, entrepreneurs have to be very careful when investing in Dubai. They need to create an effective business plan and a better marketing strategy. Some main concerns include regulatory autonomy, market entry requirements, corruption, and employment laws. To help you overcome these obstacles, here are a few tips to consider:

Regulatory autonomy:

Although UAE is home to some of the most progressive laws in the world, it is not without its limitations. Foreigners are not always free from discrimination, and foreign workers are often deported for minor offences. Additionally, women face a lot of social stigmas and legal discrimination. However, the government has implemented several policies to protect them and ensure they enjoy a free and equal society.

Market entry requirements:

While UAE is a desirable location for businesses, doing business in the country can pose many challenges. The cultural differences and labor laws can be difficult to navigate, and hiring local talent can be difficult. Furthermore, managing payroll can be complicated, especially for small businesses. Fortunately, there are HR solutions available that make the process much simpler.

The Middle East market is diverse and complex, and launching a business in the region requires a thorough understanding of the culture, political environment, and social norms. In addition, foreign companies must assess how their products will affect the local market. Additionally, real estate is very important in UAE, and a physical office will be necessary for running a business smoothly.

Employment laws:

As a foreign company, you must comply with government guidelines and laws. For example, you must follow the Wage protection system (WPS), end-of-service gratuities, and other UAE-specific policies. You may not be familiar with the specifics of these laws, making them seem difficult to navigate. You may also lack the necessary resources to implement the necessary compliance processes. In addition, it may not be easy to manage your workforce effectively.


Despite its reputation as one of the least corrupt countries in the world, corruption is a significant issue in the United Arab Emirates. During a recent UN anti-corruption conference in UAE, leaders discussed asset recovery and international cooperation to combat corruption. In addition, the country faces a significant amount of fraud, bribery, and money laundering, with the real estate sector often being referred to as a haven for shady actors.