United Arab Emirates
Analyze the demographic and economic data of a country that Walmart is currently not
The United Arab Emirates will be the country that will be analyzed for the purpose of this paper.
The United Arab Emirates which is fondly known as the UAE is made up of 7 emirates
federation. Each of the 7 emirates is governed by a hereditary emir who together with the other
emirs forms the Federal supreme council. The estimated population of UAE is about 9.78 million
people, this is a rise from the 2014 population estimation, this is according to the UN estimation.
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It is also important to know that the UAE has been able to attract a huge number of immigrants
who are going to the country to work.
UAE occupies an area of 83,600 square kilometers and there are seven monarchs as stated earlier
on. The monarchs are Abu Dhabi, Dubai, Fujairah, Ajman, Sharjah, Ras Al-Khaimah and Umm
al-Qaiwain. UAE enjoys a coastline along the Persian Gulf, it enjoys 1318 kilometers of
coastline (knoema, 2017). The population density of the country is estimated to be 114
individuals per square kilometer. Although it has seven emirates, the larger population is spread
across three emirates and they are Dubai, Abu Dhabi, and Sharjah.
The UAE has a diverse population, where 10% of the UAE nationals and the remaining 90% are
immigrants who have moved to the country to earn a living. According to the report by the UN,
UAE has been placed as the 7 th highest country with a net immigration rate in the entire globe.
The country has strict rules in admitting expatriates or immigrants as citizens within the country.
For one to be recognized as a citizen he or she needs to have stayed in the country for a period of
twenty years for one to acquire citizenship. The median age of the country is 30 with a total life
expectancy of 77 years.
The country has a mixed free-market economy which is based on natural gas and oil production.
These two forms the major economic activity of the country. In the past 20 years, the economy
of the United Arab Emirates has been able to undergo economic diversification which has led to
a rise of non-oil sectors within the country. The manufacturing which is emerging at a high pace
makes up 12.6% of the GDP, hotel, and commerce take up 11.4%, real estate 9.1% transportation
7.3%, construction 8.6%, and finance and construction take up 6.4%. The emergence of these
new sectors has made it possible to make the economy of the country to be vibrant as it does not
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overly rely on oil and gas alone although it is the major resource that the country continues to
The country through its leadership has opened up the country to global trade and investment.
This has attracted international brands to the country and made it possible for economic growth
in the country (UN data, 2015). Therefore, with this demographic and economic data provided,
Walmart will be able to start its operation in the country. The country will favor the policies that
Walmart has since it has a diverse population with the much-needed economic power to
purchase. The country still wants to expand its economic activities and, therefore, it is open to
various activities that will help to boost this diversification.
Conduct analysis for Walmart's leadership about the country’s culture based upon the
GLOBE’s nine dimensions of culture.
Walmart has two forms of leadership which are: Transactional and transformation leadership.
Transactional leadership focuses on transactions where the manager or the leader offers rewards
or punishment in return. The aim of this leadership style is to make the subordinate achieve the
objectives of the organization, this will, in turn, improve the productivity of the subordinate in
the company. Transformational leadership focuses on changing the lives of the society and
people where Walmart operates in.
UAE is not a secular state since it applies Sharia laws, therefore, it means that Walmart will have
to ensure that its activities and leadership style are in line with the Sharia laws that are being
used or applied in the country. Since there are certain activities that are totally prohibited as per
the Sharia Laws, it will be prudent for the management and leadership of Walmart to avoid any
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form of provocation. This is because the organization will be shut down completely and it will
not operate in the country.
Culture is an important aspect of the people in UAE, it is also important to note that their culture
is intertwined with religion, therefore, they go hand in hand. In this country there are things that
need not be touched let alone raise any concern about them. This is because it is not culturally
acceptable to be talking about them. In as much as Walmart started in the United States and they
might have an opinion about everything especially when it comes to the rights of women. This
remains to be a hot topic that Walmart in the process of their transformational leadership they
should not touch on it. This is because it is likely to create a situation that Walmart did not
envision, therefore, it will be good for Walmart to respect the culture of the people of UAE even
if it appears not to make sense to them. This is because bad as the culture might seem it is their
practice which has been done over the years.
Therefore, Walmart will need to harmonize its leadership style so that it will be able to fit in with
the culture of the UAE. The difference in culture will need to be streamlined to harness the
operations with the UAE. For instance, the people of United States can be said to be hardworking
as they will take several jobs to sustain themselves and their families. The weather conditions of
the UAE do not permit one to take up several jobs, this may be used to paint a picture of a lazy
nation. Although this is not actually the case, the weather partners in the country have resulted in
creating a culture that one cannot take many jobs. Therefore, finding people to work part-time
might be a challenge.
Explain how Walmart’s leadership skills and practices may lead to organizational success.
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Walmart is a company that was founded based on principles, which may also be referred to as
practices key among them was to improve the standards of the society, this is through
redistribution of wealth to the poor and secondly it was to cut the cost of basic things by half
thereby saving their customers from unnecessary exploitation (Kestenbaum, 2017). As
previously discussed, the company has two forms of leadership skills which have widely been
used in all the stores that are owned and managed by Walmart. This section is going to analyze
how leadership skills and practices will lead to the success of Walmart in the UAE.
Leadership skills play a key role in the success of a business, this is because it comes up with
ways in which the organization is able to run and maintain its affairs. This not only brings about
coordination but also consistency in how the organization manages its activities. Walmart has
two types of leadership skills which are: transactional and transformational.
Transactional leadership skills seek to focus on the input of a subordinate, in that where the
subordinate excels or achieves as per expectations is rewarded, when the subordinate does not
meet the expectations is punished. This leadership can be able to tap the potential of the people
in UAE so that it can succeed. Since most of the population of the UAE is comprised of
immigrants who moved to the country to exploit the available economic activities. It will,
therefore, be a better way to motivate them so as to get the maximum out of them. This type of
leadership skill focuses on improving the capabilities of an employee, therefore, the employees
under proper stewardship of their managers will be able to deliver their best. The organization
will reward the employee(s) with gifts, bonuses and other incentive that will make them work
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Transformational leadership skill focuses on improving the neighboring community, people or
society within the location where Walmart operates. This type of leadership is to ensure that the
society is able to benefit fully or wholly from the operations of Walmart. Through offering or
giving direct benefits to the people within the organization will help the organization to be a
success. This is because it will be able to attract consumers who are new and regular to the
organization. UAE is a country that is on the fast rise, therefore, the society will be able to feel
the impact of the organization if it is involved with offering activities that they will be benefiting
from directly. Since UAE is comprised of 90%, it will be good to be directly involved in their
daily lives by offering services and goods that will impact their lives directly. For instance, there
is a housing challenge in the country for immigrants as the three popular cities that is Abu Dhabi,
Dubai and Sharjah are faced with housing challenges as the rent is quite high. The company can
be able to work with the government to affordable housing for this group. This will make
Walmart popular in the country as it will be seen as having the interest of their consumers and
employees at heart.
Walmart focuses on wealth redistribution, this can be inferred from the operations of the
organization in rich countries and neighborhoods and how profits from such stores are being
distributed to the poor. As earlier indicated UAE has seven emirates with the three which are
popular that is Dubai, Sharjah and Abu Dhabi enjoying vast wealth and a stable economy. If
Walmart will be able to open a few stores within the country having stores within the three
popular emirates and also open others in the not so popular emirates it will help in achieving its
practice. This is because it will be able to distribute the wealth to the people living within the
other four emirates. This practice has enabled Walmart to be successful in other areas and it will
certainly work in UAE. This will help households within those areas that do not have a proper
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and stable flow of money to save since they will be getting their necessary commodities at a
much lower price.
Walmart offers part-time employment as a matter of ensuring people within the society are able
to earn a living. Often it has complained they are they do not offer proper pay to their employees,
but looking at it differently people within the society are able to get somewhere to do something
decent to earn a living (knoema, 2017). Since UAE is a country that is filled with immigrants
looking for job opportunities, there can be instances where there is an influx of labor in the
market. Walmart can decide to engage most of the laborers in the market at a reasonable cost on
a part-time basis so as to ensure that these people are able to earn a decent living. This will make
the company successful since it will have a pool of laborers to choose from. Therefore, it will
enjoy the supply of good laborers at a relatively cheaper price.
Formulate a model of cultural and ethical leadership as it applies to Walmart at a global
For Walmart to operate effectively on the global stage it needs to have an elaborate cultural and
ethical model that will guide it in its operation. In coming up with the model it will be important
to look at global concerns and what Walmart offers (Caroline, 2018). This will help in
developing a model that will not only make Walmart compete effectively at the global level but
also it will be able to improve its image. The desired model that can be used by Walmart will be
Remuneration policy that meets the global standards, in most countries all over the world
workers through their unions is calling for fair compensation and proper working conditions.
Compensation within Walmart over the years has not been considered to be fair, this is because
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Walmart has devised ways of avoiding or escaping to compensate their employees fairly by
offering them opportunities to work part-time with the organization (Loeb, 2013). This renders
the employees with pays that are not that fair to them. Therefore, to be able to compete at the
global level it will be important to have contracts provided to employees where they will be
guaranteed certain benefits such as medical insurance, over-time. The remuneration policy will
be able to attract knowledgeable, skillful and experienced employees who will make Walmart
competitive at the global stage.
Cultural policy, this policy will focus on the appreciation of the diversity of cultures that exists in
the globe (Mourdoukoutas, 2018). Therefore, to make it possible for Walmart to operate within
the globe without facing unnecessary challenges then it will be important to make sure that
Walmart does not impose foreign culture on any particular market that it will operate. Rather it
will focus on engaging in activities that will seek to promote the cultural diversity in the globe.
Corporate social responsibility policy, Walmart was started based on an underlined practice or
rather policy. The policy was to improve and benefit the lives of people and the society that was
within Walmart. It is important to note that every part of the globe has its own unique needs and
challenges (Geisler, 2012). Therefore, when Walmart will be engaging in activities that will seek
to benefit the lives of people and the society around it, it will focus on the unique circumstances.
This will help the community around to benefit from what they actually need. This will enable
Walmart to cement its global presence because of how it treats its global markets.
Collective teamwork, this will focus on changing the transactional leadership skill that is being
used by Walmart. It is important for the company not to punish their employees but to mold them
to become what they desire. One way of molding them is through promoting teamwork amongst
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the employees (Colla, 2002). The global market is competitive and it requires a well-knitted
workforce to be able to concur the market. Therefore, it is necessary to ensure that Walmart
promotes a team among their workforce but not a system where the manager or the leader seems
to be the only person steering the team. This policy will make communication easy and this will
improve the operation of the organization.
Walmart has been able to maintain a strong presence within the United States, although thee
dynamics in foreign markets are completely different because the ideologies that Walmart was
established on may not apply to various parts of the globe. Therefore, it will be important to have
Walmart change some of its practices so that it will be able to penetrate the global market (Peter,
2018). The global market is highly competitive it will, therefore, require Walmart to depart from
some of the practices that they may hold dear to themselves or they might rather find to be
appealing to them. It is, however, imperative to note that as a result of leadership skills and
practices it has been able to record consistency over the years since it was formed. There will
however need to make slight adjustments to their leadership styles and practices to fit in the
global market. This will provide them with an opportunity to attract skillful workers, a huge
customer and impact positively on the lives of the people that are surrounded by it.
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Caroline, W. (2018, July 25). Retrieved from https://moeny.howstuffworks.com/wal-mart.htm
Colla, E. a. (2002). Research and managerial issues on the global retail competition:
Carrefour/Wal-Mart. International Journal of Retail & Distribution Management,
Geisler, M. (2012). International Marketing and Walmart's Missed Opportunity. The University
Kestenbaum, R. (2017, May 18). Is Walmart good or bad for America? The question may be
outdated. Retrieved from Forbes: Retrieved on July 25,
knoema. (2017). Retrieved from https://knoema.com/atlas/United-Arab-Emirates
Loeb, W. (2013). Growers: What We Can Learn From Walmart, Carrefour, Tesco, Metro.
Mourdoukoutas, P. (2018). Walmart's Outdated Management Style Is Failing Customers. Forbes.
Peter, C. (2018, June 6). Forbes. Retrieved from
UN data. (2015). Retrieved from