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Saudi Arabia - Presentation

1. Saudi Arabia is a monarchy governed according to Shari'a law. It has experienced 30 years of change and development but still faces political instability and economic challenges in transitioning away from oil dependence. 2. The country has a population of over 27 million including many foreign workers. It has invested heavily in infrastructure but faces issues with unemployment, education, and digital access. 3. Moving forward, Saudi Arabia aims to further develop its economy and society while balancing modernization with traditional Islamic values and political stability.

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81 views16 pages

Saudi Arabia - Presentation

1. Saudi Arabia is a monarchy governed according to Shari'a law. It has experienced 30 years of change and development but still faces political instability and economic challenges in transitioning away from oil dependence. 2. The country has a population of over 27 million including many foreign workers. It has invested heavily in infrastructure but faces issues with unemployment, education, and digital access. 3. Moving forward, Saudi Arabia aims to further develop its economy and society while balancing modernization with traditional Islamic values and political stability.

Uploaded by

amyhlyne
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPT, PDF, TXT or read online on Scribd
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Muhammad is the Messenger of God

There is no god but God;

30 Years of Change

General Stats
Total Area: 1,960,582 sq km (all Land), about onefifth the size of the United States Climate: harsh, dry with great temperature extremes, mostly uninhabited, sandy desert Natural Resources: petroleum, natural gas, iron ore, gold, copper Arable Land: 1.67% versus US at near 18% Population: 27,019,731 including 5,576,076 nonnationals Median Age: 21.4 years versus US at 36.5 years

Government
Conventional long form: Kingdom of Saudi Arabia Government Type: Monarchy Constitution: governed according to Shari'a law; the

Basic Law that articulates the government's rights and responsibilities was introduced in 1993 Administrative Divisions: 13 provinces - Al Bahah, Al Hudud ash Shamaliyah, Al Jawf, Al Madinah, Al Qasim, Ar Riyad, Ash Sharqiyah, 'Asir, Ha'il, Jizan, Makkah, Najran, Tabuk

Sharia Law
a) Any predetermined payment over and above the actual amount of principal is prohibited. b) The lender must share in the profits or losses arising out of the enterprise for which the money was lent. c) Making money from money is not Islamically acceptable. d) Gharar (Uncertainty, Risk or Speculation) is also prohibited. e) Investments should only support practices or products that are not forbidden

Economic Overview
Oil Based Economy: 25% of the worlds Oil
reserves, 75% of Budget revenues, 45% of the GDP, 90% of Export Earnings WTO: Joined in 2005 Unemployment: 13% male only (local bank estimate; some estimates range as high as 25%)

Political Environment
Political stability = Medium continuing presence of foreign troops on Saudi soilremained a source of tension first major terrorist attacks in Saudi Arabia in several years
Extent of government promotion of IT = High largest of its kind in the Middle East, with an average growth rate of 15 per cent per annum

Political Environment

(continued)

Open to IT diffusion (few trade barriers to IT diffusion)= High


Liberal policy of IT ownership (vs. Regulation/restriction of IT ownership) = High Legal protection for international software copyrights & trade secrets = Medium
A new Saudi Arabia Copyright Law, which expressly protects computer software, became effective on March 14, 2004. Nine out of ten software packages used by government organizations in Saudi Arabia are pirated Saudi Arabia currently remains on the Special 301 Watch List.

Education System
Literacy = Medium
Saudi population: 78.8%
To seek knowledge is a sacred duty, it is obligatory on every Muslim, male and female. The first word revealed of the Quran was Iqra READ!

IT Literacy = Low
Less than 1 in 10 Major push to increase numbers

Language / Culture
Extent of knowledge of English = Low
Arabic is the basic means of communication fear of (English) upstaging Arabic language is not taught in the primary school

Extent of set of written symbols in native language = High


Arabic is the 6th most common native language, English is 4th

Hofstede
Hofstede MAS (52 versus 62) = Medium
women in the Arab World are limited in their rights, it may be due more to Muslim religion rather than a cultural paradigm.

Hofstede UAI (68 versus 46) = High


highly rule-oriented with laws, rules, regulations, and controls in order to reduce the amount of uncertainty

Hofstede PDI (80 versus 40) = High


have an expectation and acceptance that leaders will separate themselves from the group

Hofstede (IND) (38 versus 91) = Low


..a close long-term commitment to the member 'group', that being a family, extended family, or extended relationships..

IT Diffusion / Telecommunications
Extent of phones per capita (ratio) = Low
0.155 (1992)

Extent of computers per capita (ratio) = Low


0.022 (1992) 0.1367 (2002)

Extent of TV per capita (ratio) = Medium


0.305 (1992)

Extent of IT usage (ratio) = Low


0.26 (1992)

Extent of Internet Connections (ratio) = Low


0.0646 (2002)

Infrastructure
Support for EDI = High
transform its relatively undeveloped, oil-based economy into that of a modern industrial state

Availability of digital networks = Medium


Fewer than one in 1,000 Saudis has access to the Internet, and then only for official purposes. (1998)

Availability of ISDN/fiber = Medium


GulfNet regional network has been operational for more than ten years, and LANs are in wide use, there is little in the way of internetwork connectivity, and little awareness of the potential uses of wide-area networking. (1998)

Computer Industry
Extent of native software industry = Low
Strong resale and custom application design Very little original programming

Extent of native hardware industry = Low

Economy
Quality of physical infrastructure = High
established for most of its inhabitants world-class infrastructural and social services. Having invested about one trillion U.S. dollars in developing its social and economic structure

Extent of privatization = Medium GDP per capita = Medium


$12,900 (2005 est.) 74th in the world

Extent of joint ventures with international firms = High Extent of foreign direct investment = Low Existence/strength of its stock market with respect to world marketplace = Medium
The Saudi Stock Market, operated and managed by Tadawul, now ranks 9th among the world's major emerging stock markets by market capitalization.

Digital Access Scale


Scale of 0 to 1 a (2003) index, which measures the overall ability of individuals in a country to access and use new ICTs. Sweden ranks with 0.85 (high) United States ranks with 0.78 (high) United Arab Emirates ranks with 0.64 (upper) Turkey ranks with a 0.48 (medium) Saudi Arabia ranks a 0.44 (medium) China ranks ranks a 0.43 (medium)

Conclusion
Oil Money Islamic Law 30 Years of Change Political Instability The Future

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