In 2007, Khaldoon Khalifa Al Mubarak, CEO of Mubadala Development Company (Mubadala), had every reason to be optimistic about the future of his home, Abu Dhabi, one of the emirates comprising the United Arab Emirates (UAE). The tiny, sandy and dry emirate with a population of 1.5 million, only 420,000 of whom were citizens, was located on almost 10% of the world's proven oil reserves and 4 th place proven reserves of natural gas. With the price of oil has doubled every 10 years between 1970 and the 2000s, the state Abu Dhabi National Oil Company (ADNOC) used an age of increasing profitability. Another state firm, Abu Dhabi Investment Authority (ADIA), have been investing additional income from the sale of oil outside the district for more than 30 years, and intensely secretive organizations have accumulated assets worth surprising - and still growing fast - $ 500 billion to $ 900 billion. Common refrain ruled that Abu Dhabi's citizens can live through returns generated by ADIA forever. Some accordingly referred to the emirate as "the richest city in the world." However, Al Mubarak, a trusted advisor to Crown Prince Mohammed bin Zayed Al Nahyan, and Mubadala have been charged in the transformation of the emirate. Many were concerned that Abu Dhabi was in danger of suffering from the so-called "resource curse", as its economy is focused on fossil fuels and little else. Moreover, the economy of Abu Dhabi continued to be subjected to the vagaries of world energy prices, there would be little for its citizens to do. Not everyone can work for ADNOC and ADIA. Not all of one of a handful of Abu Dhabi incredibly rich families. To be a developed country, Abu Dhabi necessary changes. Fortune've played a little too big a role. "Hide
by Rawi Abdelal, Irina Tarsis Source: Harvard Business School 36 pages. Publication Date: November 28, 2007. Prod. #: 708033-PDF-ENG
