Strategic Management Assignment: Discussion OnSaudi Arabia’s Vision 2030

Question

Task: Strategic Management Assignment Instructions: Vision 2030 and COVID 19

Saudi Arabia’s Vision 2030 was launched to facilitate the achievement of three macro goals entailing the creation of a vibrant society, a thriving economy, and an ambitious nation. Each of these goals entail a list of specific objectives.

A. Choose one objective from Vision 2030 that you think needs to be given special attention from thegovernment of Saudi Arabia now, given the major developments that occurred during 2020, especiallyCOVID 19 and its impact, and explain why you chose this objective in light of its potential contribution to the economy and society of Saudi Arabia. ( I think these two objective are so good to talk about and sure we have to end by chosen one objective for this consideration i prefer to contact the writer to discuss about it : To lower the rate of unemployment from 11.6% to 7% To increase household spending on cultural and entertainment activities inside the Kingdom from the current level of 2.9% to 6%)

B. Identify one industry in Saudi Arabia that relates to the chosen objective and discuss how was the industry impacted by COVID 19. While answering this question, you are expected to compare the overall status of theindustry before COVID 19 and now, AND you also need to lay out your expectations of how this industry might be impacted by COVID 19 in the future.( according to my chosen objectives will be nether entertainment industry or airline industry or tourism ( according to tourism in pandemic period people switch to internal tourisms , again need to contact the writer to give some information))

C. For the objective identified in Question A, create a new (public, semi-public or private organization) organization that you think is needed to help realize this chosen objective in Saudi Arabia. Please provide explanation to the rationale underling the choice of the new organization, specify the new company’s line of business, and create its mission.

D. Then, identify one objective for the new company created in Question C, and discuss in detail the three corporate strategies that the new company can use to achieve this objective in Saudi Arabia.

Answer

Introduction
Thestrategic management assignment sheds light on the vision 2030 of Saudi Arabia which is inclined towards generating growth and development for the kingdom using strategic management techniques. The inclusion of a strategic outlook would also be successful in presenting a successful connotation of tackling uncertain times. According to Petera&Šoljaková (2020), the use of strategic management to achieve the necessary goals and objectives ensures that proper planning, organizing, monitoring and assessment of all the areas of the subject has been taken into consideration. The purpose of the discussion presented below is to focus on one of the objectives of Saudi Arabia’s vision 2030 that would enable in achieving the necessary excellence that puts them in a global forefront with other countries.

Discussion
A. Choice of Objective and Justification
The objective that has been chosen for the discussion and that requires special attention to strengthen the position of Saudi Arabia to achieve the visions of 2030 comprises of the following:

To increase the household spending on cultural and entertainment activities inside the kingdom from the current level of 2.9% to 6%.

One of the primary reasons that are associated with the choice of this objective is the fact that Saudi Arabia has never been known to have paid much attention to cultural and entertainment prospects. Thus, it has led to a decrease in the social fulfilment in the lives of the population. The idea here is to promote the physical, social and psychological well-being of the people by providing them with entertainment options that motivate them further in their professional lives. The more population is motivated and has assured mental well-being, they can contribute more prominently in their professional activities. In the words of Amawi et al. (2018), cultural and entertainment prospects are meant to provide a form of escapism from daily life that is rather known for nurturing the subconscious of the people and provide them with necessary peace. Thus, in these uncertain times where every man and woman has been subjected to emotional distress

According to Prnewswire.com (2019), the entertainment market has the opportunity to become a market of US$ 14 billion by the year of 2030 and under this vision and the permitted drive of liberalization, several changes have been accumulated in the kingdom. The demand of the population with regards to certain sources of entertainment has extended the potential of the market. Back in the year of 2018, Saudi Arabia lifted a 35-year ban on cinema that provides the filmmakers with several opportunities. However, instead of cinema and other forms of visual entertainment, the government body is mainly focusing on the creation of theme park, amusement park, libraries, museums, art, festivals and concert markets. The government also expects to earn a sufficient range of revenue from stand-up comedy shows, and magic shows as well.

According to Martin, Martins & Wood (2016), the kingdom is also of the opinion that it would not only increase the entertainment prospects of the Arab population but at the same time would provide them with additional opportunities of trying something new. It is the reason why as much as the government supports the traditional cafes and restaurants, and they have showcased support for the modern ones as well that can support musical events and stand up shows. The legitimate justification, however, is the fact that this industry is extremely underutilized in Saudi Arabia, providing an opportunity to the up and coming writers, directors and liberal arts practitioners.

B. Impact of Covid-19 on the Chosen Industry
One of the industries that form an integral part of the Saudi Arabia’s entertainment industry is the amusement park industry that is responsible for ensuring the perspective that they can provide some amazing time to individuals with their family members. According to Npr.org (2018), the purpose of the amusement parks is to encourage a substantial range of bonding between the family members and to encourage the youth to take sufficient breaks from time to time that permits them to address several works associated obstacles much later. The amusement parks of the country suit the tastes and preferences of the majority of the population. The amusement parks in Saudi Arabia has been categorized into two types, and they are indoor and outdoor. Due to the extensive demand of the amusement parks in the country, the market is growing every year and is expected to grow more at a much rapid rate.

However, due to covid-19, the expansion of the amusement parks has been paused as the cases on a global scale is constantly increasing. Riyadh is the biggest market shareholder in all of Saudi Arabia. As of now, most of the entertainment ventures have been shut down to minimize the risks of virus and avoid community transmission among people (Europepmc.org, 2020). The pandemic has disrupted the functioning of the entertainment industry. Before the occurrence of the pandemic, the entertainment industry of the country was thriving to become a 30-billion-dollar market with the help of its vision 2030. However, the pandemic has put a complete stop in the current operations as the public places have been advised to shut down to avoid any form of gathering. In the words of Ghalayini (2020), the amusement park industry was attracting a particular demographic, and that is the inclusion of people under the age of 30, and the industry was already attracting trips from more than 9 million people every year, and that included both domestic and foreign nationals. The lockdown and prevention of large crowds have prevented this industry from making sufficient profits in the business. It is also expected that the amusement parks and any other entertainment centres would not be allowed to open anytime soon because of the threats it possesses, causing huge operational losses for the companies.

At the same time, the KSA is hopeful that soon after the pandemic is over the operations can be resumed as soon as possible and that the government would be making US$20 billion worth of investment in the tourism sector, along with additional announcements of new amusement parks to attract the attention of the potential customers (Marketresearchsaudi.com, 2020). However, even if international tourism is banned, the government is hopeful of taking the necessary steps that permit internal tourism, and the population is motivated to be a part of the entertainment options available to them. The aftermath of the pandemic can still impact the industry due to the increasing paranoia among people, where they avoid public places as much as possible to avoid contracting the virus. The companies will also have to deal with the changes in the lifestyle of the people caused by heavy financial problems. There would be a much lesser chance of people going to entertainment centres if their financial condition is not stable. The global economic condition is not suitable, indicating that the living standards of the people might eventually decrease.

C. Creation of a New Organisation based on the Chosen Objective and Rationale
The organization that must be created based on the chosen objective is ‘Riyasat Library’. Given that the youth of Saudi Arabia is extremely driven and passionate about their culture and professional ethos, it is essential to encourage the practice of reading for leisure and professional outlook as well. One of the essential parts of the identified objective is that the government is keen on investing in the creation of libraries and several other forms of entertainment. The exposure to the teachings and several other philosophies would be incremental for the workforce currently residing in the country.

The purpose of this newly created private library would be to provide access to books, magazines and research papers of both domestic writers and companies, along with the international ones as well. In the words of Dikensoy (2019), a substantial range of information about the global performance of countries presents with the knowledge of diplomacy, internationalization and fulfils several other purposes. The choice of books would eventually depend on the readers but in the meantime, the time spent can also be invested in distracting their minds from the formal reading, and they can delve into the fictional stories that are read by youngsters. Given below are some of the intricate details of the newly founded organization.

Name
Riyasat Library
Mission
Riyasat intends to create a safe space for readers belonging to every age group and making their desired books available to them as per their will.

Vision
To expand the business into online platforms and lend books with the help of online platforms.

Strategic Objectives
• To attract the younger generation into reading
• To make the population knowledgeable about books and cultures prevailing across several countries
• To motivate and expand the creative notion of the readers and provide them with a source of escapism from the existing reality. The kind of escapism that Riyasat would manage to provide will not be limited to availing offline but would extend on online platforms as well. It would provide the population with an opportunity to stay in their place and access the necessary books and magazines from online platforms. The enhancement of reading skills among the population would increase their cognitive ability. This organization is essential for Saudi Arabia and its population to realize the entertainment objective because reading is a form of entertainment that has always been known to broaden the imagination of both youth and adults.

D. Another Chosen Objective and Three Corporate Strategies for the New Organisation
Another objective that has been chosen from the Vision 2030 that would be applicable for this company is to achieve environmental sustainability, and this is an important concern for the company because climate change is extremely impactful for the population and would have to achieve as soon as possible to limit the negative consequences. According to Hansuebsai, Kaosod&Kanchanasing (2020), the libraries and books are responsible for an increasing amount of deforestation and increasing carbon footprint around the world. Thus, Riyasat needs to ensure that they can promote the use of online reading among the population of Saudi Arabia and minimize the use of physical books. It can also be identified as one of the integral ways of promoting the use of digital technology and embracing advancement by the community of the country. Thus, to achieve environmental sustainability,Riyasat has to lessen down their carbon footprint and encourage reading with the help of online mediums. Meanwhile, to assure the success of the organization, the use of three corporate strategies are of primal importance to generate success, and they are as follows:

Marketing Tactic
The company has to ensure the inclusion of a proper marketing plan that is attractive and at the same time, conveys the importance of reading to the community and for every demography. A good marketing tactic of an organization can assure them long-term success and ensure that the customers are consistently attracted to the company.

Organisational Design
The company has to include an evolved organizational design that encourages the use of both traditional methods and technology. It would be one of the incremental ways to maintain a stable relationship with all of the stakeholders of the company and ensure that success is guaranteed.

Allocation of Resources
One of the primal ways that an organization garners success is with the help of proper allocation of resources, and that can be done with proper monitoring of the procurement and smooth flow of supply chain. Riyasat has to maintain a smooth supply chain to ensure that the final product reaches the customer without any obstacle.

Conclusion
This report provided an overview of the condition of entertainment in Saudi Arabia and the initiatives taken by the country to encourage its usage among the population. Due to the pandemic posing an uncertainty, it has taken a toll on the mental health of the population, and that can be effectively dealt with the help of a form of escapism that could be provided by entertaining sources. The KSA needs to work on motivating people to initiate their participation in such events and ensure their own psychological and physical well-being along with their family.

References
Amawi, S. O., Subki, A. H., Khatib, H. A., Alkhateeb, O. S., Fida, R. H., Saggaf, O. M., & Jan, M. M. (2018). Use of Electronic Entertainment and Communication Devices Among a Saudi Pediatric Population: Cross-Sectional Study. Interactive journal of medical research, 7(2), e13.

Dikensoy, Ö. (2019). Importance of Reading and Publishing Case Reports. Turkish thoracic journal, 20(4), 265. Europepmc.org. (2020).Europe PMC.Retrieved from https://europepmc.org/article/med/32330561

Ghalayini, B. (2020). The future of the entertainment sector in Saudi Arabia. Retrieved from https://www.arabnews.com/node/1713296

Hansuebsai, A., Kaosod, A., &Kanchanasing, T. (2020).A new environmental performance index based on the carbon footprint, VOC emissions, and waste in a printing house. Engineering Reports, e12165. Marketresearchsaudi.com. (2020).Entertainment.Retrieved from

https://www.marketresearchsaudi.com/industry/entertainment#:~:text= Entertainment%20sector%20is%20growing%20massively,a%20SAR%2030%20billion%20market.

Martin, J. D., Martins, R. J., & Wood, R. (2016).Desire for cultural preservation as a predictor of support for entertainment media censorship in Saudi Arabia, Qatar, and the United Arab Emirates. Strategic management assignmentInternational Journal of Communication, 10, 23.

Npr.org. (2018).As Saudi Arabia's Cinema Ban Ends, Filmmakers Eye New Opportunities. Retrieved from https://www.npr.org/sections/parallels/2018/04/21/604269002/as-saudi-arabias-cinema-ban-ends-filmmakers-eye-new-opportunities#:~:text=As%20Saudi%20Arabia's%20Cinema%20Ban%20Ends%2C%20Filmmakers% 20Eye%20New%20Opportunities,-Listen%C2%B7%205%3A03&text=AFP%2FGetty%20Images-,The%20AMC%20cinema%20in% 20Riyadh%20hosted%20the%20first%20film%20screening,a%20far%2Dreaching%20liberalization%20drive.

Petera, P., &Šoljaková, L. (2020).Use of strategic management accounting techniques by companies in the Czech Republic. Economic research-ekonomskaistraživanja, 33(1), 46-67.

Prnewswire.com. (2019).Saudi Arabia Entertainment & Amusement Market Report 2019: Market is Expected to be US$ 1.4 Billion by the End of the Year 2030. Retrieved from https://www.prnewswire.com/news-releases/saudi-arabia-entertainment--amusement-market-report-2019-market-is-expected-to-be-us-1-4-billion-by-the-end-of-the-year-2030--300897126.html