Sunday, February 28, 2010

Is Dubai Authentic??

Authenticity is a key element in attracting members of the creative class to a city. In a discussion prior to our trip, we had a conversation about whether or not Dubai is authentic - does the place match its branding, does it have something unique to the city? I would argue that although Dubai does have a unique environment that will attract creative people but will not retain them. In fact, the very features that draw people to Dubai are based on the transient attitude that facilitates their departure. Because about 92% of the population is made up by expatriates (non-citizens/locals), the dynamics of the foreign portion of the population within the unique legal framework of the city defines Dubai's culture, not by the Emiratees themselves.

I would define the authentic and attractive draw of Dubai is that it is a port city and a land of opportunity. By nature a port city is a place where people will stop in for business, experience the local entertainment and then leave. Dubai is in a key location in the Middle East, and has the most liberal and capitalistic regulatory system in the whole region. It draws young people (skilled and not) to its parties and entertainment of the quality one could find in Miami or Paris. Thus it compares to other port cities that facilitate trade and entertain, encouraging repeat visits. Dubai also provides a diverse amount of opportunity, despite the recent economic downturn. Whether you are from Bangledesh looking for a better wage or are a highly sought American businessperson, there is opportunity in Dubai for you. They are drawn to the opportunity to make tax free cash in a position or field that perhaps they would be able to have in their home country. However, a large portion of the businesspeople and politicians we spoke to (who are Expatriates, members of the creative class) will only stay in Dubai for a few years. They come, get the experience they were seeking (professionally and personally) and then they are off to the next adventure.

The implications of this authentic culture on Dubai's economic development are substantial. How will Dubai retain creative people in the long run? Although there are policies in place to have Emiratees absorb this expertise, will Dubai actually become an innovation center of the world? Until Dubai solves this challenge, it will continue to be a consumer of innovation in the future despite its high population of the creative class.

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