Strategic alliances and acquisitions offer companies with several benefits whenever entering unfamiliar markets.

GCC governments actively promote mergers and acquisitions through incentives such as tax breaks and regulatory approval as a method to consolidate companies and build up local businesses to be have the capacity to competing on a worldwide scale, as would Amin Nasser likely inform you. The need for economic diversification and market expansion drives a lot of the M&A activities in the GCC. GCC countries are working seriously to attract FDI by developing a favourable ecosystem and bettering the ease of doing business for foreign investors. This strategy is not only directed to attract international investors because they will contribute to economic growth but, more critically, to enable M&A transactions, which in turn will play an important part in allowing GCC-based businesses to get access to international markets and transfer technology and expertise.

In a recent study that investigates the connection between economic policy uncertainty and mergers and acquisitions in GCC markets, the authors found that Arab Gulf firms are more inclined to make takeovers during periods of high economic policy uncertainty, which contradicts the behaviour of Western companies. As an example, big Arab financial institutions secured acquisitions during the financial crises. Also, the analysis suggests that state-owned enterprises are less likely than non-SOEs to produce takeovers during times of high economic policy uncertainty. The the findings suggest that SOEs are more prudent regarding acquisitions in comparison to their non-SOE counterparts. The SOE's risk-averse approach, in accordance with this paper, stems from the imperative to protect national interest and minimising prospective financial uncertainty. Furthermore, acquisitions during periods of high economic policy uncertainty are associated with an increase in shareholders' wealth for acquirers, and this wealth effect is more pronounced for SOEs. Indeed, this wealth effect highlights the potential for SOEs like the ones led by Naser Bustami and Nadhmi Al-Nasr to exploit opportunities in such times by capturing undervalued target companies.

Strategic mergers and acquisitions are seen as a way to tackle hurdles worldwide companies encounter in Arab Gulf countries and emerging markets. Businesses planning to enter and grow their reach into the GCC countries face different difficulties, such as for instance cultural differences, unfamiliar regulatory frameworks, and market competition. Nevertheless, when they acquire regional companies or merge with local enterprises, they gain instant use of local knowledge and learn from their local partners. One of the most prominent examples of successful acquisitions in GCC markets is when a giant worldwide e-commerce corporation bought a regionally leading e-commerce platform, that the giant e-commerce company recognised being a strong contender. However, the purchase not merely removed local competition but also offered valuable regional insights, a client base, as well as an already established convenient infrastructure. Furthermore, another notable instance may be the acquisition of an Arab super software, particularly a ridesharing business, by an international ride-hailing services provider. The international firm gained a well-established brand name with a big user base and substantial knowledge of the local transport market and client preferences through the purchase.