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An Analysis at Opportunities for Kuehne + Nagel in Oman

Date:  2021-05-20 21:50:20
3 pages  (596 words)
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Kuehne + Nagel Company have seen its growth in the Middle East and especially in Oman grow. The growth is attributed to a wide range of factors that have facilitated its performance, seen its expansion and improvement in service delivery. The logistics company harvests its opportunities for growth from the governments favorable operating environments to the vast assortment of the sectors it operates.

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There exists a strong government promotion of Oman as a major destination for investment. The government of Oman has created a favorable operating environment for businesses. It has made Oman as one of the key growth markets in the Middle East. Oman is located at a strategic position in the Middle East, enabling it to serve as a point of easy access to regional markets in Asia-Europe trading region (Kulisch 2015). There is ease of access to the markets of Gulf region, East Africa, and the Indian sub-continent trading area. All these areas are a part of an emerging, growing freight and transshipment traffic.

The presence of oil and gas the Oman presents an unmatched opportunity for growth. There exists an increasing need for the stakeholders in the oil and gas industry. The oil and gas sector players are an increasingly looking for well-respected and compliant companies to facilitate the shipment of their products. Kuehne + Nagel are in a position to seize the opportunity due to its respected global performance record. Furthermore, there has been an ever-growing infrastructural development towards the oil and gas sector. There has been large-scale infrastructural development in the pipeline projects in the country.

The countrys leading port of Salalah has been ranked as one of top transshipment ports globally. Kulisch 2015 argues that the harbor has been expanded to raise the container handling capacity by more than one hundred and fifty percent. Besides, another Omani port of Sohar has been expanded to double its container size. All these major ports serve as a gateway for cargo flows between Oman and the trading as mentioned earlier regions

Recently, Oman has seen a growing and increasingly development of the aerospace and retail sectors. There have been some partnerships with major airline companies. For example, the Omani Air cargo division has established joint freight ventures with major companies like DHL (Kulisch 2015). Kuehne + Nagel can take advantage of these presenting opportunities to further its growth. The Muscat International Airport has seen a transformation that has made it a transnational entryway and air logistics hub.

Also, the Aid and Relief opportunities due to Yemen crisis present a chance for growth of Kuehne + Nagel. The Yemen crisis of more than five years has led to humanitarian crises which have called for an increase in demand for goods, especially relief and aid. Though it may not be the best business opportunity, any company that seeks to grow itself shall always have to seize the opportunity.

Finally, the workforce in any organization occupies a vital position towards the growth of any business enterprise. Highly qualified and competent personnel are therefore crucial with the advent of globalization. International Maritime College Oman is a private institution of higher education that is one of the tops ranking maritime colleges. It is widely known its competitive graduates in freight and forwarding handling and forwarding services.

To sum up, there exist a lot of opportunities for Kuehne + Nagel in Oman. They include enabling business environment, good infrastructure, ever-expanding oil and gas industry as well as a workforce that is readily available.

Reference List

Kulisch, E., 2015. Oman invests in logistics: inland port, logistics park, highway and freight rail to be co-located outside Muscat. American shipper (Jacksonville, Fla.: 1991).

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