Question 1
Based on the case study, select one country in the Arab world and critically analyze the market demographics, then select a lucrative market segment and for that segment argue a case for a product offering based on the internet usage that delivers some value to the customer.
In the Kingdom of Saudi Arabia (KSA), the population is 28,160,273 people with immigrants making up over 30% of the population (Index Mundi, 2017). Many expatriates from other countries come to work in the KSA, in fields like health care and IT, but the KSA is currently promoting a Saudization initiative which is designed to get more native Saudis educated, trained and into the workforce (Al-Dosary, 2005). 19% of consumers are aged 15-24 (nearly equally divided between males and females) and 46% are between the ages of 25-54. The median age is 27 and 83% of the population is urbanized.
The prime segment to target is the 15-24 year-old market segment, as this is nearly 20% of the Saudi population. This segment would benefit from a product like fiber-optics Internet (high-speed Internet), which is the next step forward in high-speed Internet. It is reported by Reuters (2017) that Saudi Telecom has indeed signed on to Saudi’s fiber upgrade. The upgrade will allow Saudi Telecom to connect 1.3 million housing units with fiber-optic lines (Reuters, 2017). Having access to high-speed Internet is important in the Digital Age as so much information is shared via the Internet today and so much video and music is streamed online. Without high-speed Internet, one’s browsing experience can be frustrated. This access will allow this segment to obtain online education more easily, and since education is needed now more than ever among Saudi’s in order for Saudization to work, this product is perfect for this young segment.
One of the barriers to selling fiber optics Internet to consumers has been the lack of infrastructure and the cost of installation. With Saudi Telecom committing to the upgrade, this barrier is no longer an issue. The better quality streams and faster service will be attractive to the core Internet users in the country.
Thanks to this upgrade, Saudis can now have more access to online education. Online education is a great way for Saudis who may not be able to travel to other regions for campus-based classes to receive the education they need to get a job in the fields that the KSA is currently trying to fill with native Saudis. Online education is a great product that Saudis should take advantage of, as it is cheaper that campus-based education and provides access to the material that students need to gain the skills and degrees necessary for finding employment in the KSA (Haynie, 2015).
Online education is the best way forward for native Saudis looking to obtain a position in fields where many expatriates are being rotated out. Because of the KSA’s geographical obstacles to education, online education is a great and inexpensive way to obtaining the skills and training needed. With the arrival of fiber optics Internet thanks to Saudi Telecom, more people
Question 2
Critically evaluate the unique positioning...
References
Al-Dosary, A. (2005). Saudization (Localization)—A critical review). Human Resource Development International, 8(4), 495-502.
Appana, S. (2008). A review of benefits and limitations of online learning in the context of the student, the instructor, and the tenured faculty. International Journal on E-Learning, 7(1): 5-22.
Haynie, D. (2015). Opportunity for credit a new hook for MOOCs. U.S. News & World Report. Retrieved from https://www.usnews.com/education/online-education/articles/2015/05/27/chance-for-credit-gives-new-life-to-moocs
Index Mundi. (2017). Saudi Arabia demographics profile 2017. Retrieved from http://www.indexmundi.com/saudi_arabia/demographics_profile.html
Legget, T. (2013). 21 reasons BlackBerrys are better than iPhones. Retrieved from https://www.buzzfeed.com/tabathaleggett/reasons-blackberrys-are-far-superior-to-iphones?utm_term=.ihe7ma13A#.qekaADkKO
McCutcheon, K., Traynor, M. (2015). A systematic review evaluating the impact of online or blended learning vs. face-to-face learning of clinical skills in undergraduate nurse education. JAN, 71(2): 255-270.
Reuters. (2017). Saudi Telecom signs on to Saudi’s fiber upgrade. Retrieved from http://www.reuters.com/article/saudi-telecom-contract/saudi-telecom-signs-on-to-saudis-fiber-upgrade-idUSL8N1I903P
Trout, J., Rivkin, S. (2006). Differentiate or die. In The marketing Gurus (ed. Murray). NY: Penguin.
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