Monday, 2 April 2012

gulfnews : Legislation could redefine tie-ups with big brands

More than in any other sector, the UAE's service industry could be thrown into an immediate state of flux if, as expected, major revisions are brought into the Commercial Agency Law. And that's not necessarily a bad thing.
Looking at the UAE's retail and service spaces, it would be difficult to imagine there are international brands yet to find representation here. That would be true of the big and mid-sized labels, but the nature of this industry is such that new names with a global following are being created at a frenetic pace.
But these brands are less likely to agree to a commercial practice where they would have to part with a sizable chunk of any future revenues here to a local partner. More so as many of them don't feel the need to have a partner in the first place.

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