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Press release

17 OCTOBER 2017 – Khaleejtimes

Why Dubai is top on investors’ minds

Dubai FDI, the foreign direct investment promotion agency of Dubai Economy, seeks to provide innovative and modern solutions that meet the aspirations of current and future investors, Sami Al Qamzi, director-general of Dubai Economy, said on Monday.

Speaking at the opening day of Dubai Investment Week, Al Qamzi said Dubai Economy is keen to move forward, achieve sustainable development and maintain a competitive environment by developing appropriate frameworks and applying global best practices. “The establishment of the ‘Hamdan Centre for the Future of Investment’ will help channel foreign direct investment globally into sustainable development,” Al Qamzi said.

He pointed out that Dubai has maintained its position as the world’s preferred destination for foreign direct investment, standing seventh in the world with total FDI inflows of Dh25.5 billion in 2016. “The emirate was also ranked third globally in terms of the number of FDI projects attracted during the same year, with 247 projects,” said Al Qamzi.

The third edition of Dubai Investment Week, which opened on Monday, witnessed the launch of several innovative initiatives, including the ‘Dubai Advantages’ report and the ‘Dubai Impact Investment Award’.

Organised by the Dubai Investment Development Agency (Dubai FDI), Dubai Investment Week 2017 seeks to introduce investors to Dubai’s advantages as a strategic hub in the global economy, a gateway to regional growth markets and a leading smart and sustainable city of the future.

Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai, inaugurated the Dubai Investment Week that will run till October 19. The event has brought together government and private sector leaders from the region and beyond, representatives of banks and investment funds, official delegations and international experts in a series of dialogues, workshops, closed meetings and field visits.

A ‘leadership dialogue’ on the opening day featured prominent government and private sector leaders including Sultan bin Sulayem, chairman of DP World and Dubai Ports, Customs and Free Zone Corporation, and Mohamed Ali Alabbar, chairman of Emaar Properties. They were interviewed by Courtney Fingar, editor-in-chief of fDi Intelligence.

Sheikh Maktoum along with Al Qamzi and Fahad Al Gergawi, CEO of Dubai FDI, honoured the winners of the inaugural ‘Dubai Impact FDI Award’. Brookfield (Largest Greenfield Investment in Dubai), Alibaba Cloud Services (Largest High-Technology Investment into Dubai) and Amazon (Largest M&A Investment into Dubai) were the winners in each of the three award categories.

Al Qamzi said the ‘Hamdan Centre for the Future of Investment’ would provide a unique model for global partnerships aimed at developing and financing sustainable investment projects and assessing their economic, social and environmental impact.

“Dubai is a city of the future, a gateway to promising regional markets and a global hub for business – it has all the important drivers that boost the confidence of the local and international investor community,” said Al Gergawi.

He said the logistics infrastructure in Dubai is among the best in the world and a bridge to a vast consumer market of over two billion people. “We are leveraging the Dubai Investment Week platform to keep abreast of the latest investment opportunities in the strategic and emerging economic sectors in the region and worldwide, to identify investor views and to develop policies that enhance future readiness,” said Al Gergawi.

He said the mission of the Dubai Investment Week is not only to showcase investment opportunities in Dubai, but also to present current and future investment trends and ways to promote sustainable and competitive partnerships between local and global investors.

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Triple bottom line

ICONS INTERNATIONAL HAS EMBRACED TRIPLE BOTTOM LINE!

Triple bottom line (or otherwise noted as TBL or 3BL) is an accounting framework with three parts: social, environmental (or ecological) and financial. Many organizations have adopted the TBL framework to evaluate their performance in a broader perspective to create greater business value. The term was coined by John Elkington in 1994.

In traditional business accounting and common usage, the “bottom line” refers to either the “profit” or “loss”, which is usually recorded at the very bottom line on a statement of revenue and expenses. Over the last 50 years, environmentalists and social justice advocates have struggled to bring a broader definition of bottom line into public consciousness by introducing full cost accounting. For example, if a corporation shows a monetary profit, but their asbestos mine causes thousands of deaths from asbestosis, and their copper mine pollutes a river, and the government ends up spending taxpayer money on health care and river clean-up, how do we perform a full societal cost benefit analysis? The triple bottom line adds two more “bottom lines”: social and environmental (ecological) concerns. With the ratification of the United Nations and ICLEI TBL standard for urban and community accounting in early 2007, this became the dominant approach to public sector full cost accounting. Similar UN standards apply to natural capital and human capital measurement to assist in measurements required by TBL, e.g. the EcoBudget standard for reporting ecological footprint. The TBL seems to be fairly widespread in South African media, as found in a 1990–2008 study of worldwide national newspapers.

An example of an organization seeking a triple bottom line would be a social enterprise run as a non-profit, but earning income by offering opportunities for handicapped people who have been labelled “unemployable”, to earn a living by recycling. The organization earns a profit, which is controlled by a volunteer Board, and ploughed back into the community. The social benefit is the meaningful employment of disadvantaged citizens, and the reduction in the society’s welfare or disability costs. The environmental benefit comes from the recycling accomplished. In the private sector, a commitment to corporate social responsibility (CSR) implies a commitment to transparent reporting about the business’ material impact for good on the environment and people. Triple bottom line is one framework for reporting this material impact. This is distinct from the more limited changes required to deal only with ecological issues. The triple bottom line has also been extended to encompass four pillars, known as the quadruple bottom line (QBL). The fourth pillar denotes a future-oriented approach (future generations, intergenerational equity, etc.). It is a long-term outlook that sets sustainable development and sustainability concerns apart from previous social, environmental, and economic considerations.

The challenges of putting the TBL into practice relate to the measurement of social and ecological categories. Despite this, the TBL framework enables organizations to take a longer-term perspective and thus evaluate the future consequences of decisions.

Source: WIKIPEDIA

Advertising

ICONS CONSULTING:

Advertising is a form of communication intended to persuade an audience (viewers, readers or listeners) to purchase or take some action upon products, ideas, or services. It includes the name of a product or service and how that product or service could benefit the consumer, to persuade a target market to purchase or to consume that particular brand. These messages are usually paid for by sponsors and viewed via various media. Advertising can also serve to communicate an idea to a large number of people in an attempt to convince them to take a certain action.

Commercial advertisers often seek to generate increased consumption of their products or services through branding, which involves the repetition of an image or product name in an effort to associate related qualities with the brand in the minds of consumers. Non-commercial advertisers who spend money to advertise items other than a consumer product or service include political parties, interest groups, religious organizations and governmental agencies. Non-profit organizations may rely on free modes of persuasion, such as a public service announcement.

Modern advertising developed with the rise of mass production in the late 19th and early 20th centuries. Mass media can be defined as any media meant to reach a mass amount of people. Different types of media can be used to deliver these messages, including traditional media such as newspapers, magazines, television, radio, outdoor or direct mail; or new media such as websites and text messages.

In 2010, spending on advertising was estimated at more than $300 billion in the United States and $500 billion worldwide.

The 1960s saw advertising transform into a modern approach in which creativity was allowed to shine, producing unexpected messages that made advertisements more tempting to consumers’ eyes. The Volkswagen ad campaign—featuring such headlines as “Think Small” and “Lemon” (which were used to describe the appearance of the car)—ushered in the era of modern advertising by promoting a “position” or “unique selling proposition” designed to associate each brand with a specific idea in the reader or viewer’s mind. This period of American advertising is called the Creative Revolution and its archetype was William Bernbach who helped create the revolutionary Volkswagen ads among others. Some of the most creative and long-standing American advertising dates to this period.

The late 1980s and early 1990s saw the introduction of cable television and particularly MTV. Pioneering the concept of the music video, MTV ushered in a new type of advertising: the consumer tunes in for the advertising message, rather than it being a by-product or afterthought. As cable and satellite television became increasingly prevalent, specialty channels emerged, including channels entirely devoted to advertising, such as QVC, Home Shopping Network, and Shop TV Canada.

Marketing through the Internet opened new frontiers for advertisers and contributed to the “dot-com” boom of the 1990s. Entire corporations operated solely on advertising revenue, offering everything from coupons to free Internet access. At the turn of the 21st century, a number of websites including the search engine Google, started a change in online advertising by emphasizing contextually relevant, unobtrusive ads intended to help, rather than inundate, users. This has led to a plethora of similar efforts and an increasing trend of interactive advertising.

The share of advertising spending relative to GDP has changed little across large changes in media. For example, in the US in 1925, the main advertising media were newspapers, magazines, signs on streetcars, and outdoor posters. Advertising spending as a share of GDP was about 2.9 percent. By 1998, television and radio had become major advertising media. Nonetheless, advertising spending as a share of GDP was slightly lower—about 2.4 percent.

A recent advertising innovation is “guerrilla marketing”, which involve unusual approaches such as staged encounters in public places, giveaways of products such as cars that are covered with brand messages, and interactive advertising where the viewer can respond to become part of the advertising message. Guerrilla advertising is becoming increasing more popular with a lot of companies. This type of advertising is unpredictable and innovative, which causes consumers to buy the product or idea. This reflects an increasing trend of interactive and “embedded” ads, such as via product placement, having consumers vote through text messages, and various innovations utilizing social network services such as Facebook.

Public service advertising

The advertising techniques used to promote commercial goods and services can be used to inform, educate and motivate the public about non-commercial issues, such as HIV/AIDS, political ideology, energy conservation and deforestation.

Advertising, in its non-commercial guise, is a powerful educational tool capable of reaching and motivating large audiences. “Advertising justifies its existence when used in the public interest—it is much too powerful a tool to use solely for commercial purposes.” Attributed to Howard Gossage by David Ogilvy.

Public service advertising, non-commercial advertising, public interest advertising, cause marketing, and social marketing are different terms for (or aspects of) the use of sophisticated advertising and marketing communications techniques (generally associated with commercial enterprise) on behalf of non-commercial, public interest issues and initiatives.

Marketing mix

The marketing mix has been the key concept to advertising. The marketing mix was suggested by professor E. Jerome McCarthy in the 1960s. The marketing mix consists of four basic elements called the four P’s:

  • Product is the first P representing the actual product.
  • Price represents the process of determining the value of a product.
  • Place represents the variables of getting the product to the consumer like distribution channels, market coverage and movement organization.
  • The last P stands for Promotion which is the process of reaching the target market and convincing them to go out and buy the product.

Advertising theory

It clarifies the objectives of an advertising campaign and for each individual advertisement. The model suggests that there are six steps a consumer or a business buyer moves through when making a purchase.

The steps are:

  • 1.     Awareness
  • 2.     Knowledge
  • 3.     Liking
  • 4.     Preference
  • 5.     Conviction
  • 6.     The actual purchase

Means-End Theory – This approach suggests that an advertisement should contain a message or means that leads the consumer to a desired end state. Leverage Points – It is designed to move the consumer from understanding a product’s benefits to linking those benefits with personal values. Verbal and Visual Images.

Types of advertising

Virtually any medium can be used for advertising. Commercial advertising media can include wall paintings, billboards, street furniture components, printed flyers and rack cards, radio, cinema and television adverts, web banners, mobile telephone screens, shopping carts, web popups, skywriting, bus stop benches, human billboards, magazines, newspapers, town criers, sides of buses, banners attached to or sides of airplanes (“logojets”), in-flight advertisements on seatback tray tables or overhead storage bins, taxicab doors, roof mounts and passenger screens, musical stage shows, subway platforms and trains, elastic bands on disposable diapers, doors of bathroom stalls, stickers on apples in supermarkets, shopping cart handles (grabertising), the opening section of streaming audio and video, posters, and the backs of event tickets and supermarket receipts. Any place an “identified” sponsor pays to deliver their message through a medium is advertising.

Digital advertising

Television advertising / Music in advertising

The TV commercial is generally considered the most effective mass-market advertising format, as is reflected by the high prices TV networks charge for commercial airtime during popular TV events. The annual Super Bowl football game in the United States is known as the most prominent advertising event on television. The average cost of a single thirty-second TV spot during this game has reached US$3 million (as of 2009). The majority of television commercials feature a song or jingle that listeners soon relate to the product. Virtual advertisements may be inserted into regular television programming through computer graphics. It is typically inserted into otherwise blank backdrops or used to replace local billboards that are not relevant to the remote broadcast audience. More controversially, virtual billboards may be inserted into the background where none exist in real-life. This technique is especially used in televised sporting events. Virtual product placement is also possible. Infomercials: An infomercial is a long-format television commercial, typically five minutes or longer. The word “infomercial” combining the words “information” & “commercial”. The main objective in an infomercial is to create an impulse purchase, so that the consumer sees the presentation and then immediately buys the product through the advertised toll-free telephone number or website. Infomercials describe, display, and often demonstrate products and their features, and commonly have testimonials from consumers and industry professionals.

Radio advertising

Radio advertising is a form of advertising via the medium of radio. Radio advertisements are broadcast as radio waves to the air from a transmitter to an antenna and a thus to a receiving device. Airtime is purchased from a station or network in exchange for airing the commercials. While radio has the obvious limitation of being restricted to sound, proponents of radio advertising often cite this as an advantage.

Online advertising

Online advertising is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Examples of online advertising include contextual ads that appear on search engine results pages, banner ads, in text ads, Rich Media Ads, Social network advertising, online classified advertising, advertising networks and e-mail marketing, including e-mail spam.

Product placements

Covert advertising, also known as guerrilla advertising, is when a product or brand is embedded in entertainment and media. For example, in a film, the main character can use an item or other of a definite brand, as in the movie Minority Report, where Tom Cruise’s character John Anderton owns a phone with the Nokia logo clearly written in the top corner, or his watch engraved with the Bulgari logo. Another example of advertising in film is in I, Robot, where main character played by Will Smith mentions his Converse shoes several times, calling them “classics,” because the film is set far in the future. I, Robot and Spaceballs also showcase futuristic cars with the Audi and Mercedes-Benz logos clearly displayed on the front of the vehicles. Cadillac chose to advertise in the movie The Matrix Reloaded, which as a result contained many scenes in which Cadillac cars were used. Similarly, product placement for Omega Watches, Ford, VAIO, BMW and Aston Martin cars are featured in recent James Bond films, most notably Casino Royale. In “Fantastic Four: Rise of the Silver Surfer”, the main transport vehicle shows a large Dodge logo on the front. Blade Runner includes some of the most obvious product placement; the whole film stops to show a Coca-Cola billboard.

Celebrity branding

This type of advertising focuses upon using celebrity power, fame, money, popularity to gain recognition for their products and promote specific stores or products. Advertisers often advertise their products, for example, when celebrities share their favorite products or wear clothes by specific brands or designers. Celebrities are often involved in advertising campaigns such as television or print adverts to advertise specific or general products. The use of celebrities to endorse a brand can have its downsides, however. One mistake by a celebrity can be detrimental to the public relations of a brand. For example, following his performance of eight gold medals at the 2008 Olympic Games in Beijing, China, swimmer Michael Phelps’ contract with Kellogg’s was terminated, as Kellogg’s did not want to associate with him after he was photographed smoking marijuana.

Sales promotions

Sales promotions are another way to advertise. Sales promotions are double purposed because they are used to gather information about what type of customers you draw in and where they are, and to jumpstart sales. Sales promotions include things like contests and games, sweepstakes, product giveaways, samples coupons, loyalty programs, and discounts. The ultimate goal of sales promotions is to stimulate potential customers to action.

Media and advertising approaches

Increasingly, other media are overtaking many of the “traditional” media such as television, radio and newspaper because of a shift toward consumer’s usage of the Internet for news and music as well as devices like digital video recorders (DVRs) such as TiVo.

Advertising on the World Wide Web is a recent phenomenon. Prices of Web-based advertising space are dependent on the “relevance” of the surrounding web content and the traffic that the website receives.

Diversification

In the realm of advertising agencies, continued industry diversification has seen observers note that “big global clients don’t need big global agencies any more”. This is reflected by the growth of non-traditional agencies in various global markets, such as Canadian business TAXI and SMART in Australia and has been referred to as “a revolution in the ad world”.

At ICONS INTERNATIONAL, the specialists in emerging markets and innovation, we will be glad to attend your needs in advertising.

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