Country study Saudi arabia

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Summary

Geographical aspect        2

Some border country        2

Significant diversification of infrastructure        2

Human geography        3

A strategic implantation        3

Economy aspect        4

Cultural aspect        6

Regulation        8

Geographical aspect

Some border country

Saudi Arabia is located in the Middle East, it is the largest country in the Middle East with an area of more than 2,15 million km². It takes 2 hours to fly in an A380 airbus from Dubai to the capital; 10.50 hours by car from Dubai to Riyadh. There are 7 border countries:

Boundary country Saudi Arabia

It will be interesting for Fractal Systems to export to Saudi Arabia because at the level of geographical accessibility the country is bordering only 457 km. In addition, the fact that the country was next to UAE facilitate the transport per truck and can will be reduce the prince of the transport

Significant diversification of infrastructure

Saudi Arabia has good-quality main roads with a total of 221,372 km (2006) consisting of 47,529 km of paved/paved roads 47,529 km (including 3,891 km of motorway). It also has 173,843 km of unpaved road.

5.410 km of rail axis. international ports in particular: major seaport(s): Ad Dammam, Al Jubayl, Jeddah, King Abdulla, Yanbu'

container port(s) (TEUs): Ad Dammam (1,785,000), Jeddah (3,956,856), King Abdulla (1,402,225) (2016) they have a total of Merchant marine:

total: 380

by type: bulk carrier 5, container ship 1, general cargo 19, oil tanker 65, other 290 (2018).

The choice of delivery of the goods is a major decision for a company because it will allow the company to determine, for example, the choice of its packaging. This diversification of these axes will allow the company to choose the best mode of transport in terms of cost and speed.

Human geography

the country has a population of just over 33,091,113 (July 2017 est.) (July 2018 est.)

immigrants make up 37% of the total population, according to UN data (2017) indeed we note a growth of population that 1.63% (2018 est.) in Saudi Arabia.

Compared to the total area of the country the population density remains however low only 15.54 inhabitants/ km² so it will have to target areas where there will be more population

A strategic implantation

Riyadh, the capital of Saudi Arabia has a population 6.907 million citizens then we had Jeddah 4.433 million, Mecca: 1.967 million, Medina 1.43 million, Ad Dammam1.197 million (2018) this city will be the principal target for fractal systems for a good internationalization

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Economy aspect

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 87% of budget revenues, 42% of GDP, and 90% of export earnings. 

With a GDP of USD 683.8 billion in 2017, Saudi Arabia is the largest economy in the Middle East and the 20th largest economy in the world, contributing nearly 50% of the cumulative GDP of the countries of the Cooperation Council of GCC

Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Approximately 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors; at the same time, however, Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population.

GDP (purchasing power parity):                           GDP growth

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GDP growth in Saudi Arabia has been recession in 2015 until 2017 Indeed, it’s been from 4% to 0,9 %. These figures continue to increase, the prevision for 2019 is to 3,2% so this is why before implementing the prospecting approach, it will be necessary to remain attentive to their evaluations

Economic data                                currency

The currency of UAE is more powerful than the riyal.  it will be an opportunity for the company if they can choose the devise for the payment.

Project Vision 2030

Saudi Arabia has a long-term plan – as part of its wide-ranging Vision 2030 strategy – to reduce the economy’s reliance on oil and the state by boosting investment in the private sector. Vision 2030 essentially continues, in amplified and expanded form, policies that the country has had in place for some decades. These have had some successes in generating non-oil growth and encouraging some Saudis to work in the private sector,

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