There is a continuous war going on between America, Israel and Iran since February 28. The attacks were launched by America and Israel in which Iran’s Supreme Leader Ali Khamenei also did not survive. In retaliation, while Iran is firing missiles directly at Israel, it is also targeting American military bases in Gulf countries. From oil fields to gas plants are also being targeted. This entire incident is also affecting the business of the Middle East.
News agency Reuters claims that within 24 hours of the beginning of the war, Iran has had a huge impact on the global brand market of the Middle East and many stores and services have been shut down. Amazon’s data centers in the United Arab Emirates and Bahrain have also been attacked by Iran, after which its system has collapsed. Amazon has closed its warehouse in Abu Dhabi due to which the delivery service has come to a standstill. However, the UAE government is trying its best to normalize the situation.
According to Reuters, luxury brand and retailer stores are closing rapidly in the Middle East due to Iranian attacks. The number of staff at the stores that are opening has been reduced. Because due to increasing attacks in the country, there is an atmosphere of chaos in business and travel. It is being said that customers are missing from the market. The situation is worse in countries like Bahrain, Oman, Kuwait, Qatar. The big markets, malls and shopping complexes here are completely closed. In such a situation, the business of these countries has come to a standstill, big stores of famous brands are locked.
All Amazon stores closed
According to Reuters, Chalhoub Group runs about 900 stores of brands ranging from Versace and Jimmy Choo to Sephora. The group says that their stores in Bahrain are closed due to continuous attacks by Iran. Whereas markets are opening in other countries including UAE, Saudi Arabia and Jordan. However, the number of staff has been reduced. Lynn Al Khatib, Chalhoub’s vice president of communications, told Reuters his team met with company workers at the Dubai Mall of the Emirates on Monday.
E-commerce company Amazon has closed all its centers in Abu Dhabi. Delivery has been stopped. Similarly, in Saudi Arabia and Jordan, employees have been asked to stay indoors. In fact, there have been attacks on Amazon’s data centers in UAE and Bahrain, after which the crisis on its service has deepened.
Famous company stores closed
Similarly, Gucci’s owner company Kering said that its stores in UAE, Kuwait, Bahrain and Qatar have been closed for some time and it has stopped traveling to the Middle East. These stores will remain closed until the situation improves. Following the conflict in the Middle East, shares of Richemont, the owner of luxury group LVMH, Hermes, and Cartier, fell by 4% to 5.7% on Monday.
Apple store closed in Dubai
Apple stores in Dubai will remain closed until Thursday morning, according to the company’s website, while Swedish fast-fashion retailer H&M (HMb.ST) said its stores in Bahrain and Israel were closed, Reuters reported. Consumer goods group Reckitt (RKT.L) has told all employees in the Middle East to work from home, temporarily closed its manufacturing site in Bahrain and halted all business travel to the region until further notice.
Overall, there is turmoil in the entire Middle East. People stranded in Dubai want to get out of there by any means. Although Iran is saying that its attacks are only on American targets, there is an atmosphere of fear among the public after seeing missiles and drones hovering in the sky. To create confidence among the people, UAE President Sheikh Mohammed bin Zayed Al Nahyan reached Dubai Mall on Monday night and also had food while sitting there. Reaching out to the public, he gave the message of having the situation under control and moving around without fear.