Entrepreneur feasibility
Mr. Ahmad A. A. Al Jazir is the founder of the e-Home Automation International Case, and he started his entrepreneurial venture by considering the need of the UAE market. As an entrepreneur, Ahmed was focused on meeting the market needs and developed a suitable product that meets the home solutions need of the UAE population. Moreover, his commitment and focus on innovation also led to the growth of the company. Ahmed recognized the technology and automation product needs of commercial and residential properties.
Moreover, strengthening the firm’s position in the UAE market also seemed like an opportunity. The viability of the business idea has been tested before starting the company. For instance, commercial and residential properties have multiple needs, such as lighting, curtains, climate, security, digital surveillance, and entertainment. Therefore, keeping these needs in mind, the company has designed its appliances. Hence, the company has managed to open branches across Kuwait, Egypt, South Africa, and Saudi Arabia.
Examples of important qualities of an entrepreneur
After referring to the e-Home Automation International Case, it can be stated that the entrepreneur focused on innovation, which is one of the primary reasons behind the success of the company. The product offerings have been differentiated from existing products in the market. Hence, home automation solutions have been provided by sticking to an innovative approach. Moreover, due to a strategic focus, the leaders of the company have been able to expand the company’s UAE operations in South Africa. Again, a partnership approach has been prioritized as well, and it has led to successive development and growth.
Along with these qualities, other noted ones, such as creative thinking and risk-taking abilities, can also be noticed. For example, the entrepreneur focused on strengthening the R&D department and took risks by moving the entire R&D as well as production in-house in suitable locations. In China and the UK, new R&D centers were opened as well.
Q2: The proposal that has been highlighted by the Group MD of E-home Automation International is quite feasible according to the goals of this company. As it aims to provide highly innovative automation solutions for the living situations in residential and commercials buildings, it is quite feasible as with these new applications; a house can be made more efficient and ecological. Moreover, it is also effective in undertaken eco-friendly solutions by applying technologies that will ensure less-power consumption and making homes more productive according to the current living solution. With its three layers of operations that are controlling, monitoring, and reporting, the company is quite feasible in meeting the advanced living solutions that will be required by the upcoming generation.
Furthermore, the provided products and services of this company can be said feasible due to it’s highlighting of the importance of smart solutions required in buildings for creating smart cities. It is engaged in providing services for climate control inside rooms, automatic blinds and curtains, and operations of the multi-room audio-video program. It also ensures highly customized products according to the requirements of specific customers. The products of this company can also be said as unique due to the presence of requirements for different varieties of units, including buildings, villas, apartments, and a complex area. Hence, all these make the products of services of E-home Automation International quite feasible.
Q3: Financial feasibility analysis mainly helps them in showcasing how much the startup capital, the sources of capital, the ROI, and different financial considerations are mostly needed. This analysis also takes into consideration how much money is required mainly, where the money will mainly come from and how the funds will mainly be spent. The analysis mainly aims in one specific area or on a specific group of projects. The analysis is mainly the assessment of the financial aspects of something. This aspect can be anything like the requirements for the startup, from where the capital funding sources for a startup can be collected, the potential returns for the feasibility study of the investors, and many more.
E home Automations is an SME and is ranked as number two in Dubai. As there are many competitors in the market that are competing with E home Automation, it is seen that the company should have a proper financial feasibility analysis. The company should maintain the first of a proper balance sheet. With the help of the Balance sheet, the assets of the company get calculated. The next is that the company should have a proper income statement. This will help E home automation in getting a proper report on the financial performance for a certain accounting period. Proper cash flow statements will also help the company in getting knowledge of how the changes in the account of balance sheet and the income impact the cash equivalents and the cash.
Q4: There are a total of three tests that are used for making a business plan pass. E automation also uses these three tests to make their business plan pass. The three tests are as follows:
- Reality Test: The reality test or the reality check is done in the business plan of E automation for proving that the market really exists for the product or the service that is provided by E automation. With the help of this test, E automation can easily establish or can provide proper cost estimation in the plan.
- Competitive Test: By doing this test in the business plan of E automation, the company can evaluate the position of E automation relative to its competitors. This test also helps E automation is assessing and establishing the management ability by which E automation will mainly attain an edge over its competitors.
- Value Test: This test helps E automation in proving that they should provide offers to the lenders or the investors a proper rate of return or a proper rate of high profitability of repayment in an attractive way. The value test mainly focuses on the value that E automation promises to deliver to the consumers. The business plan that is made is mainly for satisfying the consumers, and hence the value test enhances the value of the plan by which in the future, the company would satisfy the consumers.
Hence, it can be said that the above three are the backbone of the business plan that is made by E automation. These three tests make the plan effective enough, and this is because the plan passes through all these three tests, which clearly seeks all the objectives and strategies written in the plan. These three tests are very much helpful for E automation as the outcome of the plan that comes out form this test is a proper and effective plan.
Q5: Mahmoud Ali, who is the CEO of the HUB 71, says that they have set this up, which enables people to go ahead and actually put in the necessary resources for entrepreneurship because it helps the UAE economy to remain significant. By allowing the business to incubate in this location, they have managed to go ahead and set up a central hub where they get access to the upcoming new trends and products and services than the rest of the world. This benefits them on multiple fronts. This is both a great idea that supports people who are looking to establish themselves as well as benefits the country and the economy greatly.
The tech industry is one of the fastest-growing industries at the current point of time. By having the hub71 as a part of the UAE, the country gets access to the brightest minds and the best tech startups that the world can offer and by making it the first place to have the start of a trend.
Secondly, all the successful startup companies that set up in that place would be paying taxes to the UAE, which help in bolstering the economy. Also, they will be looking to hire new talent, and most of them may prefer to do that locally, which would create more jobs. Thirdly the setup of a place like this means that since a number of them are working in tandem with each other, there is a higher chance of a successful collaboration, which can lead to even better success rates being created. Lastly, in the race of technical dominance, UAE, by this form, has set itself as one of the main focus points for foreign market investments as well.
Q6: Special Economic Zones are capable of deriving values from different drivers, especially from a combination of three drivers, such as an encouraging regulatory environment, and operating environment and the rudimentary elements of non – financial and financial aspects. In the UAE, the Special Economic Zones are mainly developed to attract more foreign investments. It has driven economic growth in a significant manner. The Special Economic Zones in the UAE have increased the countries overall GDP, and at the same time, it has made it diversified as well. At the same time, the country is experiencing significantly better-quality employment opportunities for the people of UAE as well. Along with all these, because of Special Economic Zones, UAE has experienced enormous growth in export trade.
If the benefits of the Special Economic Zones in UAE can be explained, then it can be said that the zones give 100 % foreign ownership. Ready-made warehouses and factories are available in these zones. The business owners can experience full repatriation in profits and capital costs. At the same time, the business in these zones can have quick approvals for business procedures. There are no corporate taxes, no currency restrictions, and even no minimum capital investment or no restriction in the investments. The transportation system and the distribution facilities are really efficient, and the leases can be extended easily according to the requirements. In these zones, there are no personal income taxes as well.