While the Sultanate is fast at addressing its economic diversification agenda under the Tanfeedh program, the looming issue of an oversaturated Omani market does not lie far behind. Though non-oil and gas sectors are fast gaining momentum, the window of void needs to be sealed systematically, lest the market reaches its marginal rate of utility.
Oversaturation of Omani Market
Though companies within the Sultanate are coming up with innovative solutions to tackle stagnancy, the changes need to be more rapid. The existing services offered by companies within the manufacturing and industrial sector may face a problem of short supply in the face of high demand. The world market is advancing and local consumers witness current trends and expect services within the country to be at par with the outside world, however, a delay in delivering said services might leave a gap that may be harder to bridge. To overcome this problem, companies within the Sultanate are tapping into new projects like developing renewable energy resources, and the government is supporting the growth of up and coming sectors like the tourism and mining sector.
Oversupply in Omani Markets
On the flip side, the Omani market may load itself with one too many changes that may lead to an oversupply in relation to dwindling demands. A line that the Sultanate has so far managed to tread carefully on, Omani market is aware of oversupplying services that may lead to opposite but an equal result of a stagnant market, albeit a rifer one. The best way for the Sultanate to introduce new services to the market is by easing itself into it. By drawing a strategic timeline, the companies can easily integrate newer service modules with the preexisting ones to reap maximum benefits.
Understanding the Consumer Mindset
While it is ideal to follow world trends in terms of market advancements, the Sultanate also has to adapt it to fit the region’s needs. Companies within the Sultanate need to study consumer behavior and tailor a market that fits the requirements of Omani residents. By catering to its consumer base by providing the right services, the Omani market will also eliminate the need to reach for help from overseas in order to fulfill said demands. A recent indicator of this strategy already falling into place is the drop in imports.
The Sultanate has been diversifying its economic belt and the Tanfeedh initiative has encouraged various industry players and the Omani market, on the whole, to achieve further growth by introducing innovative solutions to prevent oversaturation and stagnancy.