The global boom in luxury retail has cemented Dubai's place as the capital of shopping in the Middle East, according to global executives.
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"Retail is Dubai," says Olivier Bernheim, the president and chief executive of Raymond Weil,a Swiss maker of luxury watches. "Dubai is an image market, it's a platform for the Middle East and subcontinent, it is also the driving force for retail."
Dubai shares the top spot with London for the biggest range of brands anywhere in the world, pipping traditional retail stalwarts such as New York and Paris.
Global executives say that having a presence in Dubai is now a must because of the emirate's popularity among tourists, its role as a commercial hub and the high level of wealth per capita.
"You go to Dubai Mall and it's probably the nicest mall in the world. It's big, clean and full of goods. It's certainly very impressive," said Mr Bernheim. "Everyone now talks about Abu Dhabi, but for me, I've been waiting for Abu Dhabi for years. The business comes out of Dubai."
Raymond Weil started selling in Dubai through its partner Al-Futtaim Watches & Jewellery in 1975, and the Middle East is now the company's third-biggest market after China and the US.
Like many luxury global brands, Raymond Weil is enjoying stellar sales this year.
Revenue is up about 50 per cent this year compared with last year, driven by sales in China, and the brand is opening stores in Abu Dhabi, Oman and Qatar.
Michael Gould, the chief executive of the department store chain Bloomingdale's, says that sales have been "terrific" so far this year and that the chain's Dubai store, which is the brand's only store outside the US, is flourishing.
"You look at worldwide profits and US companies and they are great for the most part," he said. "Everyone is talking doom and gloom but people are spending money."
Bloomingdale's, which is part of Macy's, launched its first store outside the US 18 months ago through a franchise agreement with Al Tayer Group. Mr Gould says the company has no plans to expand elsewhere and that Dubai is the "right spot" to test a franchise structure.
Hackett London,a high-end British clothing retailer, is also expanding in the Middle East and opened its first store in Dubai this month.
Retail and hospitality have been booming across the UAE as consumer confidence remains high and tourists have flocked to the Emirates and its malls this year.
The market in the UAE reflects that of international retailers such as Burberry, Mulberry and LVMH, which are also experiencing a strong year.
Bain & Co yesterday upgraded forecasts for global growth in the retail industry, despite the weakened economic outlook in the euro zone.
The consultants now expect luxury sales to increase 13 per cent this year, compared with last year, up from the 8 per cent forecast in May.
However, this forecast seems to hide a dichotomy in global retail between countries seeing a boom, such as the UAE and China, and those where consumer confidence is low.
"We are doing the same turnover this year as 2007 from 10 countries rather than 40," said Mr Bernheim.