Rising rents compel small businesses to migrate

Dubai is a beautiful place and every time you pay a visit, you’re likely to see its urban landscape changing. What’s distressing though is the continued hike in rents as well as the rising cost of living. I didn’t think this had anything at all to do with broadcast until I went down to Dubai Media City the other day and had a chat with a small broadcaster there.

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By  Vijaya Cherian Published  October 1, 2006

I|~||~||~|Dubai is a beautiful place and every time you pay a visit, you’re likely to see its urban landscape changing. What’s distressing though is the continued hike in rents as well as the rising cost of living. I didn’t think this had anything at all to do with broadcast until I went down to Dubai Media City the other day and had a chat with a small broadcaster there. He mentioned that he was thinking of wrapping up his kit and going someplace else like Jordan or Egypt or one of the newer media free zones that are coming up in other parts of the Middle East. For one, he could no longer afford the rent. Secondly, it looked like his employees would leave for greener pastures if they didn’t get a raise since their own rents had gone up. He still needed to maintain the same profits and quality of work because of the excessive competition but with lesser resources. It would just be easier to move to another country, he said. He also discovered recently that Arabsat was setting up a transmission facility in Jordan Media City that would offer him more competitive rates than Samacom. One wonders if he will find the right talent or the ideal business environment in any of these places. But this broadcaster has voiced the concerns of several other small and medium business organisations in Dubai who survive on lean margins but contribute the most to this little emirate’s economy. Dubai Studio City currently promises better rates than DMC but will it be enough to stop an exodus of broadcasting talent from Dubai? ||**||

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