Where are the opportunities and can leaders remain optimistic about business conditions in the Middle East? This was the focus of a live Twitter chat hosted by Young Presidents’ Organization as it counts down to the annual YPO EDGE conference taking place in Dubai in March 2016.
Joining the discussion were award-winning serial entrepreneur and clinical psychologist Dr. Naif Al-Mutawa (@DrNaif), managing director of Crescent Group Badr Jafar (@BadrJafar), and Christine Sfeir (@ChristineSfeir), the CEO at Treats Holding (Semsom) and Meeting Point (Dunkin Donuts).
All three are YPO members in the Middle East and North Africa (MENA) Region. Here are highlights from the conversation. Search #YPOEDGEDubai on Twitter to see the full discussion with @YPO.
*Editor’s note: Some of the responses have been edited for clarity and do not reflect Twitter’s 140-character limit.
BUSINESS IN THE MIDDLE EAST
What are the top opportunities for business leaders?
Dr. Naif Al Mutawa
Naif Al-Mutawa: Expanding non-MENA businesses the region but also in helping to transform and migrating MENA businesses out.
Christine Sfeir: Refocus, maybe restructure, adapt and grow! It is the best time to dive into your business model & grow from there. Also, we opened Semsom Cuisine in New York City. Taking MENA businesses to other markets is definitely an opportunity.
Badr Jafar: The Middle East needs to start exporting more groundbreaking products and services, and less negative headlines to the world.
How are companies and business leaders being innovative?
BJ: Renewed focus on export-oriented industrialization in MENA. The region needs partnership models to help facilitate this. Also, smart firms in the region are also innovating culturally to unlock immense value from women (53% of population) and youth.
NA: Innovation comes in all shapes. From new ideas to new ways of doing old things. MENA is a challenge but also an opportunity. We have YPO members Fadi Ghandour and Arif Naqvi who are redefining innovation through Wamda by creating opportunity. We have YPO member Chris Schroeder who literally wrote the book on innovation in the region called “Startup Rising.” We also have Kuwait’s $7 billion dollar SME fund as well as YPO member’s Ahmed Alfi’s Flat6Labs.
ECONOMIC OUTLOOK
The YPO Global Pulse survey found that economic confidence in the region is slipping. Why is this?
NA: Oil prices, reforms that are more headlines than news, and a resistance to change.
Badr Jafar
BJ: CEOs read newspapers too! Economic and political instability, humanitarian crisis… Leaders must focus on trendlines NOT headlines.
CS: Oil prices and political unrest, mainly. But Lebanon was positive due to no oil or ongoing unrest—we are against the trends.
How can economic confidence among CEOs be improved?
BJ: MENA is not homogeneous. In the Gulf Cooperation Council (GCC), government diversification policies are crucial to business confidence and entrepreneurship.
NA: Transparency. Efficiency. Ecosystems. Ease of doing business. In one word? Dubai. However, I would like to not see more Dubais, but more vision and focus on the process even if outcomes differ—and they will.
CS: Something positive can come out of uncertainty. It is the time to review business models—innovation is key.
Can business leaders in the region remain optimistic given the falling price of oil?
BJ: Many MENA countries (Egypt, Tunisia, Lebanon, Jordan) are oil importers, so low prices are good. For others, it is a wakeup call to diversify, which is also good!
Christine Sfeir
CS: Of course! Optimism is in entrepreneurs genes! Adapting is key. There is always a solution; we just need to find it.
NA: They can. Crisis creates opportunity. If you hope “this too shall pass,” then it may be you that passes.
A NETWORK OF PEERS
Do you think it is important to have a mentor when working in business?
NA: I would have been lost without my YPO mentors. My forum mates are my mentors. Literally.
Also, there’s huge opportunity for mentorship and education as philanthropy. There are a lot of people who are smart, capable—and lost.
BJ: Of course! As they say, there is no lack of knowledge out there…just a shortage of asking for help and advice
CS: I have “guardian angels” and I mentor three amazing entrepreneurs. The experience is great on both sides.
How has YPO impacted you since you became a member?
NA: I didn’t just join YPO—I was made in YPO. From investment partners to close friends to mentors, it’s been invaluable. The education I have received both formal and informal through networking and mentorship was mostly through YPO.
CS: Transformational! Education opportunities at London Business School or Harvard are amazing! The YPOers I have met and forum have been life changing!
BJ: YPO is an unparalleled forum to exchange ideas and share experiences with CEOs from different cultural and professional backgrounds.
What significance does hosting YPO EDGE 2016 in Dubai hold in coming to this region?
NA: It is very significant. A meeting of global leaders in a leading place of the globe.
BJ: For region with a young population (30% of MENA is between ages 15-29), events like YPO EDGE are key platform to inspire youth and entrepreneurs.
CS: YPO EDGE in Dubai is a great way to highlight and promote our part of the world. I cannot wait to be meeting CEOs from all over the world.