MAZ’ s St r at egi cAnal y si spaper Doneby\Ei ssaMohammedAl esay i I D\62230053 Super v i sor \Pr . AhmedAl hadr amy 1|Page Thest r at egi cr epor t : Anov er v i ew MAZReal Est at ei saYemeni l i mi t edl i abi l i t ycompanyl ocat edat : Al HamdBl dg. , Rout e( 60)ofAl Har bi St . , Al Asbahi Zone, i nt hecapi t al , Sana' a, Yemen.I twasest abl i shedbyagr oupofshar ehol der swi t h l ongandac cumul at edex per i enc ei nt hef i el dofcont r act i ngandr eal est at eser v i cesi nor dert owor ki nt her eal est at ei ndust r yi ni t s compr ehens i v econcept . Accor di ngl y , andt hr ought hi sconcept , t he company , r epr esent edbyi t smanagementandwor kt eam, seek st o under st andt her ul esandf oundat i onsoft hemar k eti nasci ent i f i cand accur at ewayt omeetandk eeppacewi t ht hegr owi ngneedsand aspi r at i onsofcust omer sandt henpr ov i deanddev el opv ar i ousand i nnov at i v er eal est at epr oj ect s , sol ut i onsandser v i cest hatmeett hese needs. Real est at edemandhasi ncr eas edandev ol v eddr amat i cal l yi nr ecent y ear s, andmanyi nv est or sbel i ev et hatr eal est at ei nv est mentwi l l cont i nuet obeamaj orsour ceofcompet i t i v eadv ant agei nt hef ut ur e. Thesi z eoft her eal est at ei ndust r yhasbeenst eadi l yi ncr easi ng, al l owi ngmor ei nv est or st oent ert hemar k et . Fur t her mor e, i ti soneofYemeni ' smosti mpor t antbusi ness cont r i but i ons . St r at egi cmanagementent ai l sf or mul at i ngast r at egy andput t i ngi ti nt oact i on, al l whi l et ak i ngi nt oaccountt hei nt er nal and ex t er nal env i r onment si nwhi c hacompanycompet esi nt he mar k et pl ace. Tomanageandl eadt hei rbusi nessest oabet t erl ev el of per f or manceandobt ai nacompet i t i v eedge, r eal est at ecompani es nowneedt oempl oyef f ect i v est r at egi cmanagementappr oaches 1|Page Ex ecut i v eSummar y Thi spaperai mst oanal y z eandunder st andt hecont extoft heenv i r onmenti nwhi chMAZ compet es,par t i cul ar l yi nt heYemenimar ket .I nt hi spaper ,i ndust r yanal y si shasbeen conduct edst ar t i ngf r om pr ov i di ngagener alov er v i ew oft hei nt er nat i onalr ealest at e i ndust r yst r uct ur ewhi l epr ov i di ngadeeperov er v i ew oft heYemenir ealest at ei ndust r y st r uct ur e.Toanal y z et her ealest at ei ndust r y ' sat t r act i v enessandl i kel ypr of i t abi l i t y , af i v e f or cest oolwer et akeni ncondensat i oni nor dert oensur et hatMAZl i kel ykeepsacl ose wat choni t sr i v al sandl ooksbey ondt heact i onsofi t scompet i t or sandexami newhat ot herf act or scoul di mpactt hebusi nessenv i r onment . Thi spaper ,mor eov er ,i l l ust r at eshow MAZhasgai nedi t scompet i t i v eposi t i on.Key successf act or st hati ncl udeMAZ’ sst r ongposi t i oni nt her i ghtmar ket s,cr eat i ngbest cust omerexper i enceandot herf act or swer est at edandexpl ai nedasaf i r stst ept o under st andMAZ’ sst r engt hensandweaknesses.I nv est i gat i ngt hedi f f er entext er nal f act or sandhi ghl i ght i ngt hedi v er seext r i nsi cscenar i oswhi chi mpactMAZi soneoft hi s paperai mst hatwasdonet hr oughanenv i r onment alscanni ngst ar t i ngf r om macr o env i r onment alanal y si susi ngPESTELandendi ngwi t hSWOTanal y si sasanout comeof t heenv i r onmentscanni ngpr ocedur e.Thi spaper ,aswel l ,pr ov i desasi mpl ef i nanci al anal y si sandwhatchangesshoul dbeconduct edbyMAZoni t sst r at egi es. Ov er al l ,MAZwasest abl i shedbyagr oupofshar ehol der sof f er i ngoneoft hebestr eal est at eser v i cesi nYemen.Ov ert hey ear s,MAZi nt r oducednew concept sf ort her eal est at edev el opmentandcont r act i ngi ndust r y ,andr ai sedr ealest at epr oj ect sf r om mer e homesandof f i cest obui l di ngwor l dcl asspr oj ect sanddesi gnst hatpr ov i deamoder n l i f est y l ef ort hel ocalcommuni t ycommensur at ewi t hYemenicust omsandcul t ur es accor di ngt ot hehi ghestl ev el sofqual i t y ,i naddi t i ont odev el opi ngat r uepar t ner shi p wi t ht hecommuni t y . 1|Page 1. 1I ndust r yov er v i ew: Anal y zi ngt het askEnv i r onment 1. 2I ndust r ySt r uct ur e Th er ealest at eI ndust r yconsi st sof:1-Realest at eexpansi oncompani eswhose t asksar et or ebui l dordev el opaspeci f i csi t eorpr oper t yofanyki ndt hr oughst udi es andel abor at epl anst hatar econduct edi nt er msoft hef i nanci al andeconomi caspect oft hepr oj ect . 2-Realest at edev el opmentcompani es, whi char eent r ust edwi t ht hedev el opmentof r esi dent i alorcommer ci alr ealest at euni t s,andi ti spar toft het asksofr ealest at e dev el opmentcompani est hatar econcer nedwi t hdev el opi ngar eas,si t esandl ar ge pr oj ect s. 3-Realest at ebr oker agecompani es,whi char er ealest at ecompani est hatpl ayt he r ol eofmedi at orbet weent heownerandt hebuy eri nexchangef oracommi ssi on agr eeduponbet weent het wopar t i es.Thewor ker si nt hi st y peofcompanyhav et he ski l l sofcommuni cat i on,negot i at i on,andper i odi cexami nat i onoft her ealest at e mar keti nt her egi on. 4-Realest at emar ket i ngcompani eswhoset asksar et oconductmar ket i ngst udi es f orr ealest at euni t sbef or et heconst r uct i onphase, pr epar emar ket i ngcampai gnsf or r ealest at edev el opmentcompani es,andwor kt opubl i ci zer ealest at ebr andswi t h t hei rpr of essi onalmar ket i ngski l l sandt ar gett her i ghtcust omer si nt het ar get ed ar eas. 5-Realest at eanal y si scompani es,whi char ecompani est hatpr epar ef easi bi l i t y st udi es and mar ketst udi es f orent i t i es concer ned wi t hf i nanci ng r ealest at e const r uct i on. 6-Realest at ei nv est mentcompani eswhoset asksar et of i nanceandf ol l owupt he f i nanci alaspect sofr ealest at epr oj ect s,whet heri nt hepr e-orpost const r uct i on st age,aswel lasst udyt her ealest at emar ketandpur chaser ealest at euni t sand benef i tf r om t hei rpr of i t sbysel l i ngt hem atahi gherv al ueorl easi ngt hem. 7-Realest at emanagementcompani esRealest at emanagementcompani esassi st r ealest at eowner si nl easi nguni t s,col l ect i ngr ent ,r epai r i ngandmai nt ai ni ngt he pr oper t y , andmanagi ngt enant si nexchangef oraper cent ageoft her ent . 8-Real est at ef i nancecompani es.Thesecompani esf i nancer eal est at epr oj ect sofal l ki nds, whet hert heyar er esi dent i al , commer ci al ori ndust r i al uni t s. 1|Page Realest at e cor por at i ons hav ef aced r i si ng expenses of pr oduct i on and dev el opmenti nr ecenty ear s,r esul t i ng i n hi gherpr i ces f ort hei rpr oduct s. Compet i t i onhasr i senamongstr ealest at ecor por at i ons,andget t i ngi nt onew busi nessesi scompet i t i v e.Asar esul t , st r at egi cmanagementt echni quest akei nt o accountt hemanagementt hati sr equi r edi nt oday ' scompet i t i v ei ndust r y . St r at egi cmanagementdemonst r at est henecessar ymet hodandt echni quef or di r ect i ngandl eadi nganor gani zat i on, i ncl udi ngor gani zat i onalv i si on, mi ssi on, and i mpr ov i ngt hecur r entbusi nesspl ani nor dert oachi ev eandobt ai nt hesegoal s, as wel l asal l ocat i ngt henecessar yr esour cest ocar r youtt heor gani zat i onal busi ness pl an. Wi t ht hecur r enteconomi candpol i t i calsi t uat i on,Yett hesi t uat i oni sdi f f er enti n Yemen. Sev en y ear s ofwarhav e sev er el ydi sr upt ed Yemen’ s busi ness env i r onment , causi ngt hecount r yandi t speopl econsi der abl eeconomi cl oss. Ther eper cussi onsoft hewari nYemenhav espar ednopr ov i nceorci t y ,wi t ht he capi t al , Sanaa—amongt hemosthi ghl yi mpact edsi ncet hest ar toft heconf l i cti n 2015—hav i ngcomeundercount l essai rr ai ds.Butt heci t ypr essesonandmul t i pl e busi nesses,i ncl udi ngr ealest at e,cont i nuet oexpand.Wi t hl andandr esi dent i al pr i cessky r ocket i ng, t hei ndust r yi si ncr easi ngl ybecomi nganat t r act i v ei nv est ment oppor t uni t yi nt hedensel ypopul at edci t y . I nYemen,st at eownedl andaccount sf orabout90per centofal ll andandt he r emai ni ng10per centi ncl udesagr i cul t ur al andcul t i v at edl and( f i v et oni neper cent ) andur banl andscov er edbyhumanset t l ement s( ci t i esandv i l l ages;onet ot wo per cent ) .90per centofl andowner shi pi si nf or malorl acksl egal l yr ecogni zed t enur e,wi t ht r i balsy st emsof t engov er ni ngt enur eandt r ansact i ons.I npr act i ce, t hr oughl andandr ealest at el aw gener al l ygov er nsur banl andr i ght s,howev er , r esi dent sr ef ert ocust omar yr i ght sr el at i ngt ol andi nr ur al ar eas. 1|Page Housi ng,l and,and pr oper t y( HLP)r i ght sv i ol at i ons and di scr i mi nat i on ar e wi despr eadi nYemen.Mostowner shi pr i ght sar enotwel l document ed, Thesi t uat i oni sexacer bat edbyt hel ackofacl earpol i cyonhowt omanageand r egi st erhousi ng,l andorpr oper t yr i ght s.Thenat i onalcadast r ei sweakandnot appl i cabl ei nal l ar eas. Duet omanyf act or s, mostnot abl yt hei nconsi st encyi nt hecur r encyr at e, Ri y adh' s pr ocedur esagai nstex pat r i at es, andt hest abi l i t yandsecur i t yoft hecapi t al , t her eal est at emar keti st hesaf edest i nat i onf orYemeni s' sav i ngs. The r ealest at e mar keti nt he capi t al ,Sana' a,has been par al y zed si nce t he begi nni ngoft hemi l i t ar yandeconomi caggr essi onagai nstt hehomel andonMar ch 26,2015.Af t ert hat ,t hecapi t al ,Sana' a,wi t nessedagr eatr ecov er yi nt her eal est at emar ketsi nce2017andi sst i l lcont i nui ngt oday ,despi t et heeconomi cwar ont hehomel andandt hedet er i or at i onoft heeconomi csi t uat i on. Howev er ,t hi spar t i cul armov ementi nt hesal eandpur chaseofr ealest at ei n Sana' a,t hecapi t alandt hegov er nor at e,hasbeenwi t nessi ngf l uct uat i onsand r el at i v est agnat i onf ormont hs,af t ery ear sofr ecov er y ,f ol l owi ngt hei ssuanceof new deci si onsbyt heMi ni st r yofJust i cei nt heNat i onalSal v at i onGov er nment r egar di ngt heappr ov edl egal t r ust ees. I ti s cl eart o ev er y one t hatt he r ealest at e mar keti nt he capi t al ,Sana' a,i s f l our i shi ngt hr ought hehi ghpr i cesofl ands, housesandapar t ment s, andt hel ar ge numberofnewl yconst r uct edbui l di ngsandot her st hatar est i l l underconst r uct i on. 1|Page Se r v i cest hatMazReal Est at ei spr oudt opr ov i det oi t scl i ent s: 1.Real est at ei nv est mentanddev el opment . 2.Cont r act i ng. 3.Real est at eser v i ces. 4.Engi neer i ngser v i ces. 5.Real est at ef i nanci ng. . Web el i ev et hatt hecust omer sf ort heMAZRealEst at epr oduct si st y pi cal l yami ddl e- cl assoraf f l uentcust omer swhov al uest hei nt er i oraest het i csofhi sapar t ment s. MAZ’ Sex ecut i v emember sbel i ev et hatMostoft hecompani esoper at i ngi nt her eal est at edev el opmentsect ordi dnotpr ov i det hei rcust omer swi t hwhatt heyaspi r edt o i nt er msofqual i t yconst r uct i onandaf t er sal esser v i ces.Fr om t hi sst andpoi nt ,MAZ Companywor kedt opr ov i dedi st i ngui shedr ealest at epr oduct sofhi ghqual i t yand compet i t i oni nt er msofqual i t y , notquant i t y . MAZ’ Sexecut i v emember sbel i ev eal sot hatTheyputf or war danewconceptf ort he r ealest at edev el opmentsect orbasedonwhatt heycal l edt hesuccesssquar e, whi ch i s( qual i t yandat t ent i ont odet ai l ,exper i enceandcr edi bi l i t y ,compet i t i v epr i ces,af t er sal esser v i cesatal ev el ) .Thr ought hi sbox, t heypr ov i dedt hei rcl i ent swi t ht hef i nest , mostaccur at eandf i nestr ealest at especi f i cat i onst hatmeett hei raspi r at i onsas cl i ent sandar ei nl i newi t ht hecompany ' spol i cyaspi oneer si nt hi ssect or . MAZ’ Sex ecut i v emanagerbel i ev esal sot hatTheyar edi st i ngui shedi npr ov i di ngan i nt egr at edsy st em ofr ealest at eser v i cest hatmeetal lt heneedsoft her ealest at e andcont r act i ngi ndust r y .Theyar emanyandv ar i ed,i ncl udi ngbutnotl i mi t edt or eal est at emar ket i ng: 1|Page I ti sacr af tt hatex i st si ni t sel fwi t hi nt hei nt egr at edr ealest at ei ndust r ysy st em i n whi chMazRealEst at eseekst oexceli ni tandpr ov i det hebestser v i cest oi t s cust omer si nt hesi mpl estf or m.Accor di ngl y ,t hecompanysoughtt o pr esenta moder nandi nnov at i v emet hodf orr ealest at emar ket i ngt hati scompl et el ydi f f er ent f r om whati spr ev al enti nt her eal est at emar keti nt er msofr eal est at emar ket i ng. Ro adcompani esandr eal est at eof f i ces.Wher eMAZmadet hecust omert heonewho mar ket s hi s pr oper t y el ect r oni cal l y easi l y and easi l y wi t houtt he need f oran i nt er medi ar yt hr ought hei rwebsi t ef orr ealest at emar ket i ngAl aqar i a. com,whi chi sa f r eeandeasy t ouser ealest at esear chengi net hatal l owsi t suser st oaddand br owse pr oper t i es and pr oj ect s of f er ed by r ealest at e compani es,r ealest at e mar ket er sandr ealest at eowner sdi r ect l ywi t houtt heneedf orani nt er medi ar y .Thi s enabl escust omer s,af t eraddi ng t hei rr ealest at ef orf r ee on t heAl Aqar i a. com websi t e,t ochooseoneoral loft headdi t i onalpai dmeanst omar kett hei rr ealest at e i nor dert oi ncr easet hechancesoft headv er t i sementr eachi ngt hel ar gestpossi bl e segmentoft hoset ar get edbyt headv er t i sement ,sot hatt hecust omerchoosest he t y peofcampai gnt hati scommensur at ewi t ht hepr oper t yt hathewant st omar ket . MAZb el i ev et hatTheyt akei nt oaccountt hecont empor ar yneedsandr equi r ement s ser i ousl yi nt hei rr ealest at epr oduct s,st ar t i ngf r om t hesi t e,desi gn,and f i nal l y const r uct i on, t aki ngcar eoft hesmal l estdet ai l s.Theyal sobel i ev ei npr ov i di ngbeaut y wi t hdur abi l i t yt opr ov i dei nt egr at edandcomf or t abl ehousi ngf ort hei rcust omer s.As MazRealEst at eseekst of i ndr eali nv est mentoppor t uni t i eswi t har ewar di ngr et ur n f ort hecompany ,par t ner sandt hei rcl i ent swhowi sht oi nv estt hei rmoneyi nr eal est at epr oj ect swi t har ewar di ngeconomi cr et ur naccor di ngt oawor kmet hodol ogy char act er i zedbyt r anspar encyandr esponsi bi l i t yi nal l st agesofdev el opmentandr eal est at ei nv est ment . 1|Page Wher et hecompanysear chesf orandpur chasesl andswi t hdi st i nct i v el ocat i ons,and t hendev el opsandi mpl ement sv ar i ousr ealest at epr oj ect si naccor dancewi t ht he f i nestandmostaccur at equal i t ycondi t i onsandi nv est mentspeci f i cat i ons,whi ch woul dachi ev et hepr i nci pl eofl uxur yf orcust omer sandcommensur at ewi t ht he r equi r ement soft het i mes. MAZb el i ev et hatTheyconv er tt hepl ansanddr awi ngsi nt oar ealr eal i t yt hatt he cust omert ouchesandi shappywi t h,bypr ov i di ngcont r act i ngser v i ce,t hr oughwhi ch t heyof f ert hei rcust omer sawi der angeofopt i onst hatmeett heneedsofawi de r angeofi ndi v i dual s,i nst i t ut i onsandgov er nmentagenci es,eachaccor di ngt ohi s needsandr equi r ement s. 1|Page 2. 0I ndust r yanal y si s( TaskEnv i r onment ) :MAZPor t er ’ sFi v eFor cesanal y si s Toanal y z et her eal est at ei ndust r yf r om di f f er entpr ospect i v e, Por t er ’ sf i v ef or ces anal y si si sconduct ed. 2. 1. 1 Th r eat sofNewEnt r ant s( medi um) Wi t hcust omer sl oy al t yorhi ghf i xedcost s,t het hr eatofnew ent r ant scanbe l i mi t ed.Howev er ,i ft hedemandf orapar t i cul arser v i cei shi ghandf i xedcost sar e l ow, newcompani esmayent ert hemar ket . Thet hr eatofnewent r ant si smedi um becauseoft henat ur eoft hei ndust r ywhi ch doesnotputal ar genumberofhur dl est ot henewent r ant s.I ti spossi bl et oent er t her ealest at edev el opmentmar ketatasmal ll ev elwi t hmi ni mum capi t aland humanr esour ces. 2. 1. 2 Ri v al r yAmongexi st i ng( hi ghCompet i t i v eRi v al r y ) Ther ei scompani espr ov i di ngsi mi l arser v i cest ot hecust omer s.Thenumberof t hel ocal r ealest at ecompani esi nt heYemenimar keti shi gh.Thei ndust r yi shi ghl y penet r at edduet ot hepr esence,andsuccessofl ocalmedi uml ev elr ealest at e compani esi ndi f f er entgov er nor at esi nYemen.Tal ki ngaboutt hemaj orcompani es att hel ocall ev eldeal i ngi nt hepr ov i di ngoft her ealest at epr oduct s,Al Hamdani , Tadhamon,Nat co pr oper t i es,Jumei r ah,Moaaf a and Mohammed bi nal iar e i nt ensi f y i ngt hecompet i t i on.Thel ocalsmal ll ev elcompani esar eal soi nt ensi f y i ng t hecompet i t i onbecauset heypr ov i dehi ghqual i t ypr oduct satcostef f ect i v epr i ces whi chcr eat edi f f i cul t i esf orMAZt omanaget hepr i cesandt heov er headexpenses ofr unni ngsuchl ar gebusi nesses. 1|Page 2. 1. 3 Th eThr eatofSubst i t ut eser v i ces( hi gh) How l i kel ywi l lagr ant makerorcommuni t ymemberswi t cht oacompet i t or ?I f swi t chi ngcost sar el owandsi mi l arcompani esexi st , t her emaybeaser i oust hr eat ofsubst i t ut i on.Ther ei snocostt oswi t chi ngt osi mi l arcompani esSot het hr eatof Subst i t ut eser v i cesi shi gh 2. 1. 4 Ba r gai ni ngpowerofbuy er s( Hi gh) Gr ant maker s ar e essent i al l y“ pur chasi ng”t he soci ali mpactpr ov i ded by t he company .I ft heycan getasi mi l arorsuper i orpr oductf r om anot hercompanyort i l l i ndi v i dual s, t heywi l lbuyt hei rmi ssi on/ v i si oni nst ead.Duet ot hecur r enteconomi cal si t uat i oni nYemen,manycompani eshav egi v ent hebuy er smanyopt i onst oadapt t hedet er i or at i ngsi t uat i onwher et heyi dent i f i eddi f f er entpr oductof f er i ngswi t hhi gh l ev el ofv al uet houghi t scost ef f ect i v epr i ces. 2. 1. 5 Ba r gai ni ngPowerofSuppl i er s( Low) The suppl i er s oft he r aw mat er i al s ar e noti n as excess t hatr educes t hei r bar gai ni ng powerwi t ht he compani es.The compani es do under st and t he i mpor t anceofmai nt ai ni ngt hesuppl i er s’r el at i onshi psi nt hi si ndust r yt oacqui r e t hebestqual i t ymat er i al s.Ther ef or e,t hebar gai ni ngpowerofsuppl i er si nt her eal est at ei ndust r yi sl ow.DEGTCer ami c, ALRAQICer ami cs, AMRANCEMENTPLANT, AMRAN READYMI X CONCRETE, NATI ONAL CEMENT COMPANY NCC, HADHRAMOUTCEMENTar et hei rmosti mpor t antsuppl i er s. 1|Page 2. 2St r at egi cGr oupMap Ther eal est at ei ndust r yi shi ghl ycompet i t i v e, f r agment ed, andi ncl udesmany compet i t or s.Thebar r i er st oent r yar emedi um.Wecompet ewi t hav ar y i ng busi nessmodel swi t hi nt hei ndust r yi ncl udi ng, butnotl i mi t edt o, l ocal compani es andf or mercompani eswhohav eadopt edast r i ct l ypasst hr oughmodel f r om ov er seasv endort owhol esal ecust omer s; Somecompet i t or shav egr eat erf i nanci al r esour cesandof t enof f erext ensi v el yadv er t i sed, hi ghl ypr omot edpr oduct . Compet i t i v ef act or si nt hemi ddl et oupscal esegmentoft hei ndust r yi ncl ude desi gn, qual i t y , ser v i ce, sel ect i onandpr i ce.Webel i ev et hef l exi bi l i t yandcont r ol we mai nt ai nov erouroper at i onsmodel , t hecont i nueddi v er si f i cat i onofour di st r i but i on, ourl ongst andi ngcust omerr el at i onshi ps, ourcust omer r esponsi v eness, ourconsi st entsuppor tofhi ghqual i t y , t heher i t ageofourbr and andourex per i encedmanagementt eam ar eal l compet i t i v eadv ant ages. Fort hei rcompet i t or si nt hel ocal mar ket , MAZhast womai ncompet i t or sJumei r ah Real Est at eI nv est mentandNat copr oper t i es. ForJumei r ahReal Est at eI nv est mentandCont r act i ngCompanyLt d. , i tf ol l owsa numberoft echni cal andf i nanci al adv ant agesandani nt egr at edt eam wi t hgr eat exper i encei nr eal est at edev el opmentaccor di ngt ot hehi ghestst andar dsof ef f i ci encyandhasaspeci al v i si onandphi l osophyt hatmeet st hedev el opmentof r eal est at ei namoder nconceptt hatseekst opr ov i dei nt egr at edser v i ceal t er nat i v es i ni t sr esi dent i al , commer ci al andmanagementpr oj ect sThoseser v i cesand mai nt ai ni ngt hel ev el ofqual i t yi nt hem. Ont heot herhand, Nat copr oper t i esmai nact i v i t yi sBuy i ngandsel l i ngl and, wi t ht he ai m ofcont r i but i ngt ot hecr eat i onofi nv est mentoppor t uni t i esbypr ov i di ngl andf or dev el opmentpr oj ect sf ort hecompanyorpar t ner shi p, orsel l i ngi nv est mentand pr ov i di ngr esi dent i al andcommer ci al r eal est at eatcompet i t i v epr i cest omeett he needsoft hemar ket . 1|Page 2. 3MAZ’ sCompet i t i v ePosi t i oni nt hei ndust r y :Keysuccessf act or s Al sur mi ’ sf i r stkeysuccessf act ori sf ocusi ngoni t scust omer s,andt hatt he cust omeri sal way sr i ght , t ogai nt hehi ghestper cent ageofsat i sf act i onandl oy al t y t ot hei rgoods,t hatwi l lcr eat eandr esul ti nr oy al t y .Toi mpl ementsuchst r at egi es, weshoul dconductcr i t i calmet hod,whi chi smanuf act ur i ngduet ot hepr oduct concept :t hei deat hatconsumer sf av orpr oduct st hatof f ert hemostqual i t y , per f or mance,andf eat ur esandt hatt heor gani zat i onshoul dt her ef or edev ot ei t s ener gy t o make cont i nuous pr oducti mpr ov ement s.Fur t her mor e,t he sel l i ng concept :t hei deat hatconsumer swi l lnotbuyenoughoft hef i r m’ spr oduct , unl ess i tunder t akesal ar gescal esel l i ngandpr omot i onef f or t s. Second,mar ketsegment at i onasi t scor econcer n,mar ketsegment at i oni st he pr act i ce of di v i di ng y our t ar getmar keti nt o appr oachabl e gr oups.Mar ket segment at i on cr eat es subset s ofa mar ketbased on demogr aphi cs,needs, pr i or i t i es,commoni nt er est s,andot herpsy chogr aphi corbehav i or alcr i t er i aused t obet t erunder st andt het ar getaudi ence.Di v i di ngt hemar keti nt osegment sand t ar get i ngspeci f i csegmentwi t hhi ghi ncomepeopl er ef l ect sposi t i v el yonMAZ’ s sal eswher et hosesegment swer enotaf f ect edbyt hei nf l at i onr at eandt hecutof f sal ar i esi n2016.Howev er ,onl i nemar ket i ngusi ngechomar sst r at egi eshel psi n si t uat i onoft hegl obal cr i si s. 1|Page 3. 1Ex t er nalEnv i r onment alScanni ng 3. 2Ge ner alEnv i r onment alanal y si s:MAZPESTELAnal y si s MAZ’ sFur ni t ur eCompany ,I nc.PESTELanal y si si sast r at egi ct oolt oanal y zet he macr oenv i r onmentoft heor gani zat i on.PESTELst andsf or-Pol i t i cal ,Economi c, Soci al ,Technol ogi cal ,Env i r onment al& Legalf act or st hati mpactt he macr o env i r onmentofMAZReal Est at eCompany , Env i r onmentf act or scanhav eadi r ecti mpactonnotonl yMAZReal Est at eCompany , I nc.butal socani mpactot herpl ay er si nt her eal est at e.Themacr oenv i r onment f act or scani mpactt hePor t erFi v eFor cest hatshapest r at egyandcompet i t i v e l andscape.Theycani mpacti ndi v i dual f i r m’ scompet i t i v eadv ant ageorov er al l pr of i t abi l i t yl ev el soft heConsumerGoodsi ndust r y . 3. 2. 1Pol i t i cal Fact or s: Pol i t i cal i nst abi l i t yandi mpor t anceofr eal est at esect ori nt hecount r y ' seconomy (T) Lev el ofcor r upt i on. (T) Ant i t r ustl awsr el at edt or eal est at e.(T) Tax at i on-t axr at esandi ncent i v esi nt hesout handt henor t hoft hecount r y . (T) Wagel egi sl at i on-mi ni mum wageandov er t i me. (T) Ef f ect soft hedest r uct i onoft hei nf r ast r uct ur easar esul toft heongoi ngaggr essi on agai nstYemensi nce2015(T) I mposi ngpol i t i cal deci si onsr egar di ngYemeni expat r i at esi nt hecount r yof aggr essi on( Saudi Ar abi a)(O) 1|Page 3. 2. 2Economi cFact or s: Ex pat r i at est endt oi nv esti nr eal est at ei nt hei rcount r y(O) Thest abi l i t yoft heex changer at esoft heYemeni r i y al i nt hecapi t al , Sana' a, andt he gov er nor at esundert hecont r ol oft heSupr emePol i t i cal Counci l (O) I nv est or sandcapi t al t endedt owi t hdr awt hei rmoneyf r om banksandi nv esti nt he r eal est at esect or(O) Landpr obl emsandt hei rconsequences(T) Secur i t yoft hecapi t al , Sana' a(O) I nf r ast r uct ur equal i t yi nr eal est at ei ndust r y .(T)(O) Ski l l l ev el ofwor kf or cei nr eal est at ei ndust r y .(T)(O) Laborcost sandpr oduct i v i t yi nt heeconomy .(T)(O) Economi cgr owt hr at e.(T)(O) Di scr et i onar yi ncome.(T)(O) Unempl oy mentr at e.(T)(O) I nf l at i onr at e.(T)(O) I nt er estr at es.(T)(O) 1|Page 3. 2. 3 Soci al Cul t ur e Demogr aphi csandski l l l ev el oft hepopul at i on. (O) Random const r uct i oni nunpl annedar eas(T) Cl assst r uct ur e, hi er ar chyandpowerst r uct ur ei nt hesoci et y . (O)(T) Educat i onl ev el aswel l aseducat i onst andar di nMAZReal Est at eCompany , I nc. ’ s i ndust r y . (O)(T) Cul t ur e( genderr ol es, soci al conv ent i onset c. )(O)(T) Ent r epr eneur i al spi r i tandbr oadernat ur eoft hesoci et y .Somesoci et i esencour age ent r epr eneur shi pwhi l esomedon’ t . (O)(T) At t i t udes( heal t h, env i r onment al consci ousness, et c. ) (O)(T) Lei sur ei nt er est s. (O)(T) 3. 2. 4Technol ogy Recentt echnol ogi cal dev el opment s.Benef i t i ngf r om moder nt echnol ogi esi n sur v ey i ngwor k, Const r uct i onandmoder nsur v ey i ngequi pment(O) Benef i t i ngf r om MAZwebsi t ef orr eal est at emar ket i ngAl aqar i a. com (O) Technol ogy ' si mpactonpr oductof f er i ng(O) I mpactoncostst r uct ur ei nr eal est at ei ndust r y(O)(T) Rat eoft echnol ogi cal di f f usi on(O) 1|Page 3. 2. 5 Env i r onment Weat her(T) Cl i mat echange(T) Const r uct i onenv i r onmentpol l ut i on(T) Wat erpol l ut i onr egul at i onsi nr eal est at ei ndust r y(T) At t i t udest owar d“ gr een”orecol ogi cal housi ng(O) At t i t udest owar dandsuppor tf orr enewabl eener gy(O) 3. 2. 6 Legal Ur banpl anni ngl aw(O) Absenceofal awt oest i mat eanddet er mi ner eal est at ev al ues(T) Bui l di ngl aw(O) Consumerpr ot ect i onl aw(O) Real est at er egi st r yl aw(O) Heal t handsaf et yl aw(O) Real est at el aw, r eal est at eof f i cesl aw(O) 1|Page 3. 3SWOTAn al y si s SWOTanal y si si sdesi gnedt odet er mi nehow successf ulacompanyorev ena si ngl ebusi nessv ent ur emi ghtbei nagi v enmar ket ,byl ooki ngi ndi v i dual l yatt he St r engt hs,Weaknesses,Oppor t uni t i es and Thr eat st hatpr esentt hemsel v es. SWOTanal y si s,al soknownasSWOTmat r i ces,hast hegr eatbenef i tofbei ng ext r emel ysi mpl et ospl i tup, al l owi ngf oreasycol l abor at i on. 3. 3. 1 St r engt hsofMAZ–I nt er nalSt r at egi cFact or s: Rel i abl esuppl i er s–I thasast r ongbaseofr el i abl esuppl i er s ofr awmat er i al t husenabl i ngt hecompanyt oov er comeany suppl ychai nbot t l enecks. Di v er si t yofr eal est at eser v i cespr ov i dedt ocl i ent s. Qual i t yandat t ent i ont odet ai l . Cr eat i v i t yi ni nt r oduci nganddev el opi nguni quer eal est at e pr oj ect swi t hahi ghl ev el andmoder ndesi gnst hatcombi ne moder ni t y , l uxur yandi nnov at i on. Pr of essi onal per f or mancet hatcust omer scant ouch. Homogeneoust eam ofpr of essi onal empl oy ees. 3. 3. 24WeaknessofMAZ–I nt er nalSt r at egi cFact or s: Li mi t edsuccessout si decor ebusi ness–Ev ent houghMAZReal Est at e Company , I nc. i soneoft hel eadi ngor gani zat i onsi ni t si ndust r y , i thasf aced chal l engesi nmov i ngt oot herpr oductsegment swi t hi t spr esentcul t ur e. Ther ear egapsi nt hepr oductr angesol dbyt hecompany .Thi sl ackofchoi ce cangi v eanewcompet i t oraf oot hol di nt hemar ket . Lackofconf i dencei nt her eal est at ecompani esasar esul toft hebad r eput at i onaccumul at edi nt hemi ndsoft hepeopl e. Lackofunder st andi ng/ appr eci at i onofcust omerneeds. Themar ket i ngoft hepr oduct sl ef tal ott obedesi r ed.Ev ent hought he pr oducti sasuccessi nt er msofsal es, buti t sposi t i oni nganduni quesel l i ng pr oposi t i oni snotcl ear l ydef i nedwhi chcanl eadt ot heat t acksi nt hi s segmentf r om t hecompet i t or s. 3. 3. 3 Oppor t uni t i esf orMAZ–Ext er nalSt r at egi cFact or s: I mposi ngpol i t i cal deci si onsr egar di ngYemeni expat r i at esi nt hecount r yof aggr essi on, expat r i at est endt oi nv esti nr eal est at ei nt hei rcount r y . Thest abi l i t yoft heexchanger at esoft heYemeni r i y al i nt hecapi t al , Sana' a, andt hegov er nor at esundert hecont r ol oft heSupr emePol i t i cal Counci l . I nv est or sandcapi t al t endedt owi t hdr awt hei rmoneyf r om banksandi nv est i nt her eal est at esect or . Recentt echnol ogi cal dev el opment s.Benef i t i ngf r om moder nt echnol ogi esi n sur v ey i ngwor k, Const r uct i onandmoder nsur v ey i ngequi pment . Benef i t i ngf r om MAZwebsi t ef orr eal est at emar ket i ngAl aqar i a. com. Technol ogy ' si mpactonpr oductof f er i ng 3. 3. 4 Thr eat sMAZFaci ng-Ext er nalSt r at egi cFact or s: Ef f ect soft hedest r uct i onoft hei nf r ast r uct ur easar esul toft he ongoi ngaggr essi onagai nstYemensi nce2015. Pol i t i cal i nst abi l i t yandi mpor t anceofr eal est at esect ori nt he count r y ' seconomy . Lev el ofcor r upt i on. Taxr at esandi ncent i v esi nt hesout handt henor t hoft hecount r y . Wagel egi sl at i on-mi ni mum wageandov er t i me. I nf r ast r uct ur equal i t yi nr eal est at ei ndust r y . Ski l l l ev el ofwor kf or cei nr eal est at ei ndust r y . 4. 0Fi nanci alAnal y si s: Anal y si soft hef i nanci al st at ement sofacompanyi sani mpor t antmeant oobt ai n i nf or mat i onaboutHowt hecompanyoper at edi nt hepr ev i ousper i od. I nt er pr et at i onoft heev ol ut i onoff i nanci al i ndi cat or sdonotal way spr ov et obe easy , r equi r i ngmul t i pl ecal cul at i onsandcombi nedappr oaches, whi l et he knowl edgeandunder st andi ngoft y peofbusi nessr ev i ewedar eessent i al i nt he pr operi nt er pr et at i onoft her esul t s.Thus, t heconcl usi onsoft heanal y si scar r i ed outi napr of essi onal mannerwi l l beabl et ocor r ect l ydescr i bet heev ol ut i onoft he companyandt osubst ant i at et heuser ’ sdeci si ons. Wehav emetwi t hMAZr el ev antst af f ;i twasdi f f i cul tt oobt ai nf i nanci al i nf or mat i onbecauset hecompanyr ef usedt odi scl osei t sf i nanci ali ssues. Howev er , t her el ev antst af fconf i r medt hatf r om t her at i o&gr owt hanal y si s ofMAZ’ sf i nanci alsi t uat i on, wecannot i cet hatt her ev enuegr owt hofMAZ hasexper i encedasl i ghtdr opdur i ngt hewarsi t uat i on.Al lt hef act or i es wer ecl osedandmanyoft hei nt er nat i onall aborhav el ef tt hecount r y . Howev er ,MAZwasnotaf f ect edbyt hei nf l at i onr at east heyhav est uckt o sel lt hei rpr oduct si nDol l arwher egoodswer el oadedwi t ht heexchange di f f er encef ordol l ar s.Thecut of fsal ar i esf ormostoft hepopul at i onsi nce Aug.2016doesnotaf f ectt hesal esasMAZdonott ar gett hi ssegmentof l owi ncomepeopl e. Dur i ngcr i si ssi nceApr i l2017upt o2021,t hesal esr at ehasi ncr easedby 200%becauset hecust omer swer esear chi ngf orhousi ng. 5. 1I nt er nalEnv i r onment :Mi ssi on, Vi si on, obj ect i v esandst r at egi es: 5. 2 Mi ssi on Bui l di ngar eal andl ongt er m par t ner shi pwi t ht hecommuni t ybypr ov i di ngand dev el opi ngv ar i ousandi nnov at i v er eal est at epr oj ect s, sol ut i onsandser v i ces accor di ngt ot hehi ghestl ev el sofqual i t yav ai l abl et oser v et her equi r ement sand needsofal l segment s. 5. 3Vi si on Tobet hel eadi ngr eal est at ecompanyi nt her eal est at edev el opmenti ndust r yi nt he r egi on. 5. 4Obj ect i v es 1.Cont r i but et our bandev el opmentt hr oughdi st i ngui shedr eal est at epr oj ect st hat adv ancet hel ocal r eal est at el ev el . 2.Upgr adi ngt hel ev el ofr eal est at eser v i cesi nYemenandt her egi on. 3.Cr eat i nganewconceptofaf t er sal esser v i cest hatguar ant eesourcust omer st he hi ghestpossi bl el ev el sofser v i ce. 4.Pr ov i di ngpr of essi onal consul t i ngser v i cest oourcl i ent s. 5.Ensur et obui l dl ast i ng, mut ual l ybenef i ci al r el at i onshi pswi t ht hecommuni t yar ound usandwi t hourbusi nesspar t ner s. 6.Pr ov i di ngmul t i pl eandi nnov at i v er eal est at ei nv est mentpr oduct st hatmeetal l t he needsofsoci et ysegment s. 7.Wor kt or educet hecostofconst r uct i onbysear chi ngf oral t er nat i v ebui l di ng mat er i al sandmoder nandi nnov at i v emet hods. 8.Car et oser v et hecommuni t yandpr eser v et heenv i r onment . 9.Cont r i but et ocr eat i ngj oboppor t uni t i esf ort hecommuni t y . 5. 5MAZ’ sSt r at egy Pol i ces 1.Ensur et hatwehav eacl earv i si onofourf ut ur easpi r at i ons. 2.Commi t mentt ot hehi ghestpr of essi onal andet hi cal st andar ds. 3.St udy i ngt hemar ketneedst opr ov i deaneconomi cal andsui t abl epr oper t yt hat meet st heneedsoft hecommuni t y . 4.Ensur i ngt hedev el opmentofwor l dcl asspr oj ect sandhi ghqual i t y . 5.Empl oyhi ghl yexper i encedcadr est oensur eaccesst ot hebestar chi t ect ur al , const r uct i onandexecut i v edesi gns. 6.Usi ngmoder nt echnol ogy . 7.Commi t mentt oshar i ngsuccesswi t hourempl oy ees, busi nesspar t ner sand cust omer s. 8.Ensur et ost ayi nconst antcompet i t i ont ohonet al ent sandgai nexper i ence. 9.Mai nt ai ncompl et econf i dent i al i t yandt r anspar encyi nal l t r ansact i onsandbusi ness af f ai r swi t hpar t ner sandcust omer s. 10. Pr omot i ngourr eal est at epr oduct swi t ht hel at estmar ket i ngmet hods. Pr oper t i es 1.Di v er si t yofr eal est at eser v i cespr ov i dedt oourcl i ent s. 2.Qual i t yandat t ent i ont odet ai l . 3.Cr eat i v i t yi nof f er i nganddev el opi nguni quer eal est at epr oj ect swi t hahi ghl ev el and moder ndesi gnst hatcombi nemoder ni t y , l uxur yandi nnov at i on. 4.Pr of essi onal per f or mancet ouchedbyourcust omer s. 5.Homogeneoust eam ofpr of essi onal empl oy ees. 1|Page 6. 0Recommendat i ons: Pr of essi onalwebsi t e sof t war e and desi gns t hatcoul d keep t he cust omerupdat edt oany t hi ngnew.Mar ket i ngst r at egycoul dhel pi n t er msofsal esasposi t i oni nganduni quesel l i ngpr oposi t i oncan def i newhatcanl eadt ot heat t acksi nt hei rt ar get edsegmentf r om t hecompet i t or s.Thi scoul dhel pal soi ncr eat i ngav er ygooddemand f or ecast i ngt husendupkeepi ngnomor ei nv ent or y . Sust ai nf ocuseddi f f er ent i at i onst r at egy . MAZneedst owor kmor eont r ai ni ngski l l edwor ker st ohav east eady gr owt hofpr of i t si ncer t ai nl ocal mar ket s. Mov i ngt oot herpr oductsegment swi t hi t spr esentcul t ur ei shi ghl y r ecommendedasoneoft hel eadi ngor gani zat i ons. MAZhast or et hi nkofopeni ngt hei rf act or i esagai nast hesmal l l ocal manuf act ur er sar ecr eat i ngar eal poset oMAZ’ smar ketshar e. Gai ni ngmor emar ketshar ecoul dbeagr eatchancef orMAZast hei r t ar get edsegmenti sundert hepot ent i alt hr eatofbei ngsmal l erand smal l erduet ot hecont i nueddet er i or at i ngeconomi candpol i t i cal si t uat i on. 1|Page 7. 0Ref er ences: Al maznai , Tar ek. ( 2022, December 20) , per sonal communi cat i on[per sonal i nt er v i ew] Al maznai , A.( 2022, December20) , per sonalcommuni cat i on [per sonal i nt er v i ew] UNI TED NATI ONS YEMEN SUSTAI NABLE DEVELOPMENT COOPERATI ON FRAMEWORK2022–2024JANUARY2022 ht t ps: / / www. mazy emen. com ht t ps: / / www. al moni t or . com 1|Page
