TADKA

Comparative Global
Business Systems
Opening an Indian Restaurant in Dubai
Name
[Pick the date]

..

Contents
1. Introduction:...................................................................................................... 2
2. Background Information:................................................................................... 2
3. Implications of Cultural Differences:..................................................................5
4. Nature of Business systems in India and Dubai:................................................6
5. Implications of differences in finance and banking systems, legal systems, and
business ethics:..................................................................................................... 9
6. Conclusions:.................................................................................................... 12
References:.......................................................................................................... 14

1. Introduction:
Tadka is an Indian restaurant operating as a chain of high class restaurants in various
big cities across India. Its specialty is its high class Indian cuisine, which has seen it gain
popularity in a short period of time. Along with its amazing food, the restaurant offers an
amazing Indian ambience, with a retro mood setting of the Indian Film industry, also
popularly called Bollywood. The restaurant plays old songs featured in various movies of the
yesteryears and is impeccably decorated with posters of the old Hindi movies along with the
posters of some of the biggest names in the industry. It was inaugurated by Mr. Amitabh
Bachchan (a huge celebrity in India, also featured in several Hollywood movies such as The
Great Gatsby) (imdb, 2013) in Mumbai in the year 1998. Since opening its first store in the
movie and business capital of the country, Tadka has expanded to ten other major cities in
India, such as New Delhi, Hyderabad, Jaipur, Chandigarh, Ahmadabad, Bangalore, Kolkata,
Lucknow, Agra, as well as Patna.
Its business model is simple. Provide delicious food and drinks to its customers, with
impeccable quality and ambience, and the customers shall return. At the end of their meal,
customers get a free Betel Leaf, also known as Paan to clean their palate.

2. Background Information:
Recently, the owners of the restaurant have decided to venture internationally,
and their chosen destination is Dubai in the UAE, which has a similar cultural background to
India, especially with the mass majority of the expatriate population, dominated by Indians
and Pakistanis, (Dubai Statistics Centre, 2014) which would be the core target market for the
restaurant.
1. The United Arab Emirates (UAE) is an organization of seven emirates while India
is a government republic. (Difference Between India and UEA, n.d)

2. Both have been under British tenet with India picking up freedom in 1947 while the
UAE picked up autonomy in 1971. (Difference Between India and UEA, n.d)
3. Both have prime ministers who are delegated by their presidents, however while
the President of India is chosen, the President of the UAE is picked among the seven emirs.
(Difference Between India and UEA, n.d)
4. Both have three branches of government; the executive, governing body, and legal,
yet they contrast in creation and capacities. (Difference Between India and UEA, n.d)
5. The Constitution of the UAE is concerned just with the relations between the
emirates while the Constitution of India administers the nation. (Difference Between India
and UEA, n.d)
6. The UAE is more financially steady than India and is additionally less crowded.
(Difference Between India and UEA, n.d)
UAE as a nation has a rich legacy and different society of its own. Through the years,
the inflow of the ostracize populace and the quantity of multinational organizations have
expanded altogether. Understanding neighbourhood society and connections with other exile
societies is vital for achievement. The ostracize model has paid rich profits to the nation by
giving a talented work power, particularly from Asian nations. Ostracizes have increased as
far as better living norms and better wage in the UAE. In a multi social business setting,
ostracizes with diverse foundations, society and esteem frameworks frequently see business
morals in an unexpected way. At the point when individuals don't impart the same
foundations then there is a plausibility of misconceptions and clashes in the association. The
state of mind towards business morals might likewise shift so incredibly in arriving at
agreement on morals crosswise over societies. It might be that an accord on morals crosswise

over societies is not by any means prescribed (Donaldson and Dunfee, 1999). In this
circumstance the distinctions in society must be contemplated and decently regarded (Randi,
2006).
Improvements have affected inconspicuous changes in the social status and implications of
Indian foods, occurring generally outside the scope of vision of nutritionists, ethnographers
and editorialists composing on sustenance or restaurants. (Nandi, 2004) Few appear mindful
that the conventional concerns of ethnography of sustenance the cooked and the crude, the
unadulterated and the dirtied, commensality and its unlucky deficiency, the blessed and the
profane have united now with another, more liquid governmental issues of sustenance in
nations like India. (Nandi, 2004) These governmental issues are fundamentally adjusting,
maybe shockingly, the relationship what's more the pecking request among foods that may
have recognized one another's vicinity for quite a long time, however never as reluctant, selfsufficient, decently limited culinary customs. That new mindfulness is presenting new
subcultures of sustenance, status amusements among culinary customs, and another political
economy of open and private eating. India now appears dead set to demonstrate Philip
Mcmichael (2004) privilege when he says, Eating regimens have a political history confined
by class, social and royal relations. Creature protein utilization signs climbing prosperity and
copying of Western eating regimens. Development up the natural way of life progressive
system (from starch, to grain, to creature protein and vegetables) is related to advancement'.
Most importantly, the new mindfulness is permitting another sort of legislative issues of
'legitimacy', not inside the societies being presented to globalization, yet inside the
overwhelming society of worldwide cosmopolitanism, determined by the thoughts of an
outsider that is commonplace and the fascinating that is open. In this sense, the significant
issues that now puppy Indian cooking is definitely, not fundamentally not the same as the
inquiries that puppy Indian social life as a rule (Nandi, 2004). The shapes of this life are

progressively characterized not only inside the land limits of India yet by, what most Indians
consider, the less well known domain of Indianness as a type of ethnicity that is being reforeign made from the diasporas into India to reshape numerous spaces of life, including the
societies of nourishment inside the nation. Various crossing issues appear to rule this
redefinition; we should focus on just four of them: the changing thought of legitimacy as it
stops the limits of ethnic sustenance, the development of fast food as another kind inside
which a few foods have an edge over others, the slow crystallization of new high and low
societies of foods that are globalized or can be given a bigger regional and social range, and
the growing inclination to re-vision ethnic sustenance more like the marker of a society as a
synecdoche or an alternative to culture. (Nandi, 2004)

3. Implications of Cultural Differences:

Dubai is an advanced city that invites guests from around the globe. On the other hand, as it
is likewise a Muslim city, there are sure components to look into as far as clothing standard
and conduct. (dubai, 2013)
Religion assumes a noteworthy part in the society of Dubai. Mosques can be found all
through the city and at dusk the call to petition to God can be heard over the roofs. (dubai,
2013) It is feasible for non-Muslim vacationers to visit certain mosques in Dubai; maybe the
most great is the Jumeirah Mosque, voyages through which can be busy through the Sheik
Mohammed Center for Cultural Understanding. (dubai, 2013) Ramadan is a mainstream time
of year to visit Dubai; albeit all occupants and guests must forgo consuming or drinking out
in the open in sunshine hours, it is a magnificent time to experience the nearby society and
solid religious legacy of the city. (dubai, 2013) Non-Muslims may consume and drink in
assigned ranges, and numerous inns and shopping centers will have different outlets that stay
open amid Ramadan. (dubai, 2013)

4. Nature of Business systems in India and Dubai:

At the point when a business undertaking imports merchandise from different nations,
fares its items to them or makes ventures abroad, it bargains in foreign exchange. (Gov. of
India, 2014) Foreign exchange signifies 'remote money' and incorporates:- (i) stores, credits
and parities payable in any outside cash; (ii) drafts, explorers' checks, letters of credit or bills
of trade, communicated or attracted Indian coin yet payable in any remote coin; and (iii)
drafts, voyagers' checks, letters of credit or bills of trade drawn by banks, organizations or
persons outside India, yet payable in Indian money. (Gov. of India, 2014)
In India, all exchanges that incorporate foreign exchange were directed by Foreign Exchange
Regulations Act (Fera),1973. (Gov. of India, 2014)The principle goal of FERA was protection
and legitimate use of the foreign exchange assets of the nation. (Gov. of India, 2014) It
likewise looked to control certain parts of the behaviour of business outside the nation by
Indian organizations and in India by remote organizations. (Gov. of India, 2014)It was a
criminal enactment which implied that its infringement would prompt detainment and
instalment of overwhelming fine. It had numerous prohibitive statements which discouraged
outside speculations. (Gov. of India, 2014)
Notwithstanding the likelihood of setting up in one of Dubai's various free zones, universal
organizations wishing to work together in Dubai may join or register a neighbourhood
substance under the Companies Law or the Civil Code, enlist a limb or agent office of a
remote organization or go into a business org association with a UAE national. (Tarbuck &
Lester, 2009)Each of these business structures (other than setting up in a free zone) obliges
differing degrees of support from UAE nationals for instance, 51 every penny of the offer
capital of an organization consolidated under the Companies Law must be held by UAE
nationals, and extension and agent work places must designate a UAE national to support the
workplace for its permit application and for different matters. (Tarbuck & Lester,

2009)Further, each of these structures has impediments on the extent of allowed exercises.
Most outstandingly, an agent office might by and large just perform promoting and
managerial capacities for sake of a remote guardian, and a limb office might for the most part
just participate in exercises which include the advancement of the aptitudes and ability of the
individual leading the business. (Tarbuck & Lester, 2009) Business authorizing is especially
essential in the UAE and Dubai. Any individual wishing to work together in Dubai (other
than through authorized specialists) obliges a permit and the permit affects on the extent of
the exercises that the licencee may bear on. Likewise with most different wards, certain areas
of the UAE and Dubai economy are liable to more stringent authorizing prerequisites than
others. As a sample, universal organizations wishing to bear on saving money or most other
monetary administrations in Dubai and outside the DIFC oblige a permit from the UAE
Central Bank and the allowing of such licenses is entirely directed. Also, a predetermined
number of exercises, for example, land business, are limited to UAE national. (Tarbuck &
Lester, 2009)
The essential necessity for all business action in the UAE is one of three classifications of
permit, business, expert or Industrial. These licenses are issued by the Department of
Economic Development of every Emirate (this may change from Emirate to Emirate).
(Igarashi, n.d) On the other hand, licenses for a few classes of business oblige approbation
from specific services and different powers. Case in point, banks and financial establishments
oblige unique approbation from the Central Bank, media companies oblige uncommon
endorsement from the National Media Council, and assembling companies oblige exceptional
regard from the Ministry of Finance.
In any case, in the free zones diverse sorts of licenses are reachable and accessible and these
differ from free zone to free zone. The following are the diverse sorts of licenses accessible
at, for instance, the Jebel Ali Free Zone, which is situated in Dubai (Igarashi, n.d). The length

of an organization directs its business inside the Jebel Ali Free Zone, the organization is not
needed to acquire a permit from the Department of Economic Development. (Igarashi, n.d)
General Trading License
This sort of permit permits the holder to import, fare, disperse and store all things according
to Jafza guidelines and regulations. (Igarashi, n.d)
This organization permit empowers the holder to exchange inside the free zone and not
outside it; for that it would need to delegate wholesalers on the fundamental area. (Igarashi,
n.d)
Trading License
This kind of permit permits the holder to import, fare, disperse and store the specific things
defined in the permit.
This organization permit empowers the holder to exchange inside the free zone and not
outside it.
In Dubai, Federal Law No. 8 of 1984 (as amended by the Federal Law Nos. 13 of 1988 &
15 of 1988) governs the corporate entities in Emirate of Dubai. The proposed business entity
must fall within one of the seven corporate structures stipulated herein:

Public Joint Stock Company;

Private Shareholding Company;

Limited Liability Company;

General Partnership;

Limited Partnership;

Partnership Limited by Shares; and

Joint Venture. (Porwal., 2007)

Formal enlistment of companies has numerous quick advantages for the companies and for
entrepreneurs and representatives. (World Bank, 2014)Legitimate substances can outlast their
originators. Assets are pooled as a few shareholders unite to begin an organization. Formally
enrolled companies have admittance to administrations and establishments from courts to
banks and in addition to new markets. Furthermore their representatives can advantage from
assurances gave by the law. An extra advantage accompanies restricted risk companies. This
farthest point the financial obligation of organization holders to their speculations, so
individual resources of the managers are not put at danger. (World Bank, 2014) Where
governments make enrolment simple, more business people begin organizations in the formal
segment, making all the more great occupations and producing more income for the
government. (World Bank, 2014)

5. Implications of differences in finance and banking

systems, legal systems, and business ethics:
Indias financial part is enhanced and growing quickly. It involves business banks, insurance
agencies, non-banking financial companies, cooperatives, annuities reserves, shared trusts
and other littler financial substances. (LOK SABHA SECRETARIAT, 2013)
In India, it is a bank ruled financial part and business banks represent in excess of 60 percent
of the aggregate resources of the financial framework emulated by the Insurance. (LOK

SABHA SECRETARIAT, 2013)Other bank mediators incorporate provincial rustic banks and
helpful banks that focus under overhauled country and urban populaces. Numerous non
banking finance companies (NBFC) work in specific portions (renting, calculating, micro
account, foundation finance), however some can acknowledge stores. (LOK SABHA
SECRETARIAT, 2013) Benefits procurement covers 12 percent of the working populace and
comprises of common administration game plans, a necessary plan for formal private area
representatives, and private plan offered through insurance agencies. (LOK SABHA
SECRETARIAT, 2013)
The regulation and supervision of the financial framework in India is completed by
distinctive administrative powers. (LOK SABHA SECRETARIAT, 2013) The Reserve Bank
of India (RBI) controls and regulates the real piece of the financial framework. The
supervisory part of the RBI covers business banks, urban helpful banks (UCBs), some
financial establishments and non-banking finance companies (NBFCs). (LOK SABHA
SECRETARIAT, 2013)A portion of the financial organizations, thus, manage or direct
different foundations in the financial division, for example, Regional Rural Banks and the
Co-agent banks are directed by National Bank for Agriculture and Rural Development
(NABARD); and lodging finance companies by National Housing Bank(NHB). (LOK
SABHA SECRETARIAT, 2013) Bureau of Company Affairs (DCA), Government of India
directs store taking exercises of corporate, other than NBFCS. (LOK SABHA
SECRETARIAT, 2013)Enlisted under companies Act, however not those which are under
partitioned statutes. The Registrar of Cooperatives of distinctive states on account of single
state cooperatives and the Central Government on account of multi-state cooperatives are
joint controllers, with the RBI for UCBs, and with NABARD for country cooperatives. (LOK
SABHA SECRETARIAT, 2013)While RBI and NABARD are concerned with the banking
capacities of the cooperatives, administration control rests with the State/ Central

Government. This dual control sways the supervision and regulation of the agreeable
banks. The capital business, shared stores, and other capital business sector middle people are
directed by Securities and Exchange Board of India (SEBI), Insurance Regulatory and
Development Authority (IRDA) directs the protection area; and the Pension (LOK SABHA
SECRETARIAT, 2013)
On the other hand, in Dubai, Since mid-2000 the UAE, and specifically Dubai, has secured
itself as the territorial financial focus and banking center in the Middle East, a position which
in the past decades was held by Beirut and, all the more as of late, Bahrain. Dubai's status as
a global banking focus gets from its expansive habitat for reexports, to a great degree great
financial and interchanges base and high political steadiness. There are 23 generally joined
business banks working in UAE since 2011 with approximately 768 branches, thought about
to 28 outside keeps money with 110 delegate business locales enrolled. 24 fund companies,
22 venture companies, and 119 authorized cash changers keep up practically 628 extensions
are found in the UAE After the global financial emergency ,Dubai has recuperated and
reinforced its position as a banking focus in the Middle East, Africa, and past over the
previous years, likewise due to the political turmoil in a few nations in the Middle East.
Moreover, Dubai operates on the fundamentals of Islamic Banking, which is quite different
from the conventional banking system in India. Islamic Financial Institutions (IFIs) are
working in the same society where routine banks are working and perform each one of those
capacities which are normal from a financial establishment. IFIs are aiding business world by
giving all the administrations needed to run the economy easily, then again, the reasoning and
operations are distinctive. In this area I will examine the operations and results of IFIs in
correlation with conventional traditional banks. Any financial framework is required to
support in running the economy by giving the accompanying administrations assembled in
two headings. To start with; Savings preparation from savers to business visionaries and

Second; Provision of general utility administrations including exchange of trusts, help in

universal exchanges, consultancy administrations, supervision of resources, and whatever
other administration for an expense. There is no confinement on procurement of such
administrations by IFIs with respect to the administration is not against the Sharia. However
there exists distinction in instrument of trusts preparation from savers to ambitious people as
depicted after. Investment funds assembly comprises of two stages i.e. tolerating stores and
broadening financing and ventures.

6. Conclusions:
Indian food has been in presence for a few hundreds of years and has developed through time
to maintain the image of Indian society. It is known for its multifaceted mixing of fascinating
flavours, veggies, and meat to make one genuinely delicious dish. History and flavour, that is
really tricky to top. It's no big surprise Indian restaurants have become in notoriety
throughout the years. Nobody in the restaurant business has a widespread offer. It is difficult
to seize the full 100% of the business sector. Endeavouring such a mammoth objective will
just result to disappointment. The market's taste and inclination is as differing as it is wide.
Reasonably talking, a restaurateur can just tap around five to ten percent of the aggregate
purchaser populace pie.
On the off chance that an outsider wishes to do business in the UAE yet does not wish to
keep up a physical vicinity in the UAE it may go into a business organization association
with a completely neighborhood claimed substance or UAE national. Business operators are
for the most part utilized by outside producers and dealers who are occupied with the huge
scale importation of products into the UAE all the time. Under a business office, the outside
business and the business operators consent to the terms of the business commission, the
region of the distributorship (at least, this would be one Emirate) and the term of the

relationship. In the event that the business specialists enroll the agreement with the Ministry
of Economy and Commerce the operators can acquire the different insurances stood to
operators under the UAE Commercial Agencies Law.
While the business and legal systems and even at times cultural traditions may differ between
India and Dubai, opening an Indian restaurant could be a favourable proposition to the
owners at Tadka. This is mainly because there is a huge demand for Indian cuisine
worldwide, and with Dubai being an established tourist destination, it would obviously add to
the glamour of the city. Moreover, as discussed earlier, Dubai is home to a lot of expatriates
from the Indian subcontinent, who would obviously be regular customers at the restaurant.
With the recent run of successes for the restaurant Tadka in India, it would not come as a
surprise if the restaurant would quickly grow in Dubai, and, perhaps, even expand into other
parts of UAE such as Sharjah and Abu-Dhabi or even the neighbouring Arab countries such
as Qatar, Saudi Arabia etc.

References:
Difference Between India and UEA. (n.d). Retrieved January 12, 2015, from
Difference Between: http://www.differencebetween.net/language/wordslanguage/difference-between-india-and-uea/
Donaldson and Dunfee. (1999). When ethics travel: the promise and peril of
global business ethics. California Management Review Vol. 41 No. 4 , 45-63.
dubai. (2013, November 07). Getting familiar with Dubais culture and etiquette.
Retrieved January 12, 2015, from Dubai:
http://www.dubai.ae/en/Lists/Articles/DispForm.aspx?ID=147&category=Visitors
Dubai Statistics Centre. (2014). Population. Retrieved January 12, 2015, from
Dubai Statistics Centre; Govt. of Dubai:
http://www.dsc.gov.ae/en/pages/home.aspx
Gov. of India. (2014). FEMA. Retrieved January 12, 2015, from Government of
India: http://business.gov.in/doing_business/fema.php
Igarashi, C. (n.d). Doing Business in UAE. Al Tamimi & Company.
imdb. (2013). The Great Gatsby. Retrieved January 12, 2015, from Internet
Movies Database: http://www.imdb.com/title/tt1343092/fullcredits?
ref_=tt_ov_st_sm
LOK SABHA SECRETARIAT. (2013). Financial Sector in India: Regulations &
Reforms. New Delhi: PARLIAMENT LIBRARY AND REFERENCE, RESEARCH,
DOCUMENTATION AND INFORMATION SERVICE (LARRDIS).
Nandi, A. (2004). THE CHANGING POPULAR CULTURE OF INDIAN FOOD:
PRELIMINARY NOTES. CENTRE FOR THE STUDY OF DEVELOPING SOCIETIES,
DELHI , 9-19.
Porwal., R. K. (2007). Legal Articles. Retrieved January 12, 2015, from Indian Law
Journal:
http://www.indialawjournal.com/volume3/issue_2/article_by_rupendra.html
Randi, L. S. (2006). Comparing Ethical Attitudes across Cultures,. Cross Cultural
Management: an international journal, vol-13, no-2 , 101-113.
Tarbuck & Lester. (2009). DUBAIS LEGAL SYSTEM. London: Motivate Publishing.
World Bank. (2014). Doing Business in UAE. Washington: The International Bank
for Reconstruction and Developmen.