The document provides a pre-feasibility report for establishing a perfume manufacturing plant in the UAE. An Iranian client who imports and distributes perfumes wants to expand vertically by establishing their own manufacturing facility. Adam Consulting will conduct a study to determine the feasibility, appropriate jurisdiction, costs, market analysis, production process, economic analysis, and provide a recommendation. They will analyze the perfume industry, jurisdiction, production, market, demand, pricing, legal structure, risks, and provide a final report within 10 weeks. Their fee is $5,000 initially and 1% of the deal value upon completion.

1. Perfume Manufacturing in
UAE
Pre-Feasibility Report
May, 23, 2011
ADAM CONSULTING

2. Perfume Manufacturing Unit in UAE
INTRODUCTION
Manufacturing Plant in UAE – Perfume Manufacturing
Based in Tehran, Iran the client is a renowned and a key retailer & wholesaler of perfumes in the
Iranian Market. With over 7 years of experience in the field, the client has been in this distribution
business for 5 years. He imports branded perfumes from UAE and sells them domestically. Along
with this he also trades in locally manufactured perfumes as well. Economic opportunities in the
region has contributed to his profound interest of expanding his business activities to other parts of
the region which led to his visit to UAE and meeting ADAM Consulting to discuss the project.
ADAM Consulting
ADAM Consulting is a Premium Business Advisory firm, specializing in delivering comprehensive
advice on business planning, incorporation, mergers and acquisitions, and business partnerships.
ADAM Consulting have dedicated teams with extensive expertise in finding and engaging the right
business plan for entrepreneurs who wish to invest in UAE. The core expertise of team is selecting
and introducing the appropriate direction for clients who need trust worthy and high quality
business structure.
The team is led by Mr Rehan Abid (SME Consultant) ADAM Consulting who is both an experienced
Textile engineer and a successful business entrepreneur.
Having completed his graduation in textile engineering, he became part of some of renowned Textile
Units in Pakistan which are further venders for Levi`s, Ben Sharman, Carrera, Express etc. He has
served at different positions & departments from Production to Quality Assurance & Marketing in
textile sector. Being Entrepreneur had run successful business of Import & distribution of
Mechanical components for Industry & domestic end users.
Background/ASK
The Client, Mr. Mustafa Safari, Mohammad Kazemeini, would like to establish a Perfume
Manufacturing plant in UAE with its retail domestically and internationally. This backward vertical
integration means that the client has very minimal experience and expertise in running the proposed
business which implies that we, ADAM Consulting, have been engaged by the client to determine the
feasibility of the project in the UAE. With a budget of USD 300,000, the client also wishes to
determine the costs for setting up the legal structure, plants infrastructure, operating costs, type of
personnel, tentative product’s production costs, its distribution and feasible jurisdiction.
Page 2

3. Perfume Manufacturing Unit in UAE
Scope of work
“Adam Consulting” will determine the most appropriate Jurisdiction within UAE for incorporating
manufacturing plant of Perfumes.
“Adam Consulting” will evaluate the costs involved in establishing this plant.
“Adam Consulting” will produce the report on current UAE market of Perfumes.
“Adam Consulting” will develop organizational structure.
“Adam Consulting” will define target market of the product.
“Adam Consulting” will ascertain the project`s feasibility.
Project Approach
A team of 06 ADAM consultants will allocate their time to conduct research on Perfume
Manufacturing companies operating in UAE or intend to operate in UAE & discuss any issues or
concerns.
Deliverables
Following Headings will be covered in the report:-
1. Executive Summary
a. Perfume Industry
b. Research Methodology
c. Key Findings
2. Introduction
a. Perfume Market (Industry)
i. Global Market
ii. Region-wise
b. Purpose
c. Key Objective
Page 3

4. Perfume Manufacturing Unit in UAE
3. Product
a. What
b. How
c. Product Testing (internal and external testing, FRA (Fragrance Regulatory Authority))
4. Production Process
a. Process flow and equipment
5. Market/Industry Analysis
a. Management Tools
i. PESTEL (External)
ii. SWOT (Internal)
iii. Porters Five Forces
iv. PORTER Generic Strategy (ways of competing)
b. Market Size
c. Consumer Profiling
i. Psychographic Factors
ii. Frequency of Product Purchase and Shopping Behaviour
d. Competition
6. Demand and Pricing
a. The porter generic
b. Determining through market analysis
7. Economic Analysis
a. Break even analysis
b. Capital Requirements
8. Legal Structure
a. Intellectual Property
9. Risk Analysis
a. Arising from SWOT, Porters Five Forces, and PESTEL analysis
10. Findings and Recommendations
11. Conclusion
Page 4

5. Perfume Manufacturing Unit in UAE
12. References/Bibliography/Appendix
Fees and payment schedule:
For the above exercise ADAM Consulting professional fee will be in two phase’s payable at the time
of each phase.
Phase 1: On accepting this proposal and appointing ADAM Consulting to provide the Services the
client will pay a non-refundable engagement fee of US $ 5,000.
Phase 2: ADAM Consulting fee on concluding the deal will be 1% of the deal size.
Miscellaneous:
Any expenses incurred on behalf of the project will be expensed to the Client after a consultation
with them. This may include meeting bills with appropriate selected Perfume Manufacturers in UAE.
This will not be preceded without consent from the Client.
Timeline:
ADAM Consulting will endeavour to complete the task within 10 weeks of signing the contractual
agreement and payment of relevant fees.
Team:
1. Rehan Abid (SME Consultant) – Graduation in Textile Engineering
rehan@adamadvisors.com
2. Sumesh Paul (Management Consultant) – MBA (Finance) (UK)
sumesh@adamadvisors.com
3. Omer Basith- MBA (Insurance)
omer@adamadvisors.com
4. Mohsin Ali- BBA Hons (UK) Research Analyst
Mohsin@adamadvisors.com
5. Kaleem Abbass-MBA (Marketing)
Kaleem@adamadvisors.com
6. Rizwan Anjum- MBA (Risk Management)
rizwan@adamadvisors.com
Page 5

6. Perfume Manufacturing Unit in UAE
Confidentiality & Ownership protection
All materials designed, promoted or materialized by ADAM Consulting in during this project, will
become the property of the Client upon completion of the project. Additionally, all data made
relevant during the implementation of this contract remains the sole property of the Client. ADAM
Consulting will not retain, use or make for sale any information retrieved during the external and
internal analysis of the study.
Page 6