Author(s): Fadi Abdel Muniem Abdel Fattah, Hussam Al Halbusi, Saleh Al Sinawi, Abrar Al Alawi, Ghdeer Al Wahibi
Due to rising rivalry among emerging nations, a better understanding of investment incentives has emerged. As a result, one of Oman’s government’s priorities is to attract investment, as mentioned in the country’s 2040 vision. Therefore, the purpose of this study is to examine the effect of business and investment procedure, taxation system, and infrastructure on the investment attractiveness in the Sultanate of Oman within the Duqm Special Economic Zone. In addition, this study investigated the moderating role of embeddedness between the proposed relationships. This study is a cross-sectional study that adopted a quantitative approach to investigate the proposed research model. An online questionnaire (google form) was used to collect data from the investor in the Sultanate of Oman (Duqm Zoon. Three hundred and five (305) completed and usable responses were received and considered for further analysis. The data was analyzed using Smart-PLS 3.3.3 software, Structural Equation Modeling (SEM) was used to analyze the collected data. The two models were supported empirically, and the results showed a significant relationship between that infrastructure and taxation systems significantly affect investment attractiveness. Interestingly, the result showed that embeddedness as moderating variable strengthens the relationship between business and investment procedure and investment attractiveness and between infrastructure and investment attractiveness. The current research outcomes will be helpful for policymakers to foster the attractiveness of power generation investment in the region. This study would not give only a foretaste for scholars; it would also be a reference for the policymakers and practitioners to facilitate and improve the investment procedures. In addition, this research can drive the development and implementation of facilitating and improving the investment procedures in the Duqm Special Economic Zone in Oman. The originality of the current research empirically tests two models within the Omani Special Economic Zone context while considering the proposed and studied variables. Therefore, this study scrutinized how (business and investment procedures). Moreover, the present study explored that embeddedness is a vital moderator of the association among independent variables (i.e., business and investment procedure, taxation system, and infrastructure) and dependent variables (i.e., investment attractiveness). A mixed-method design or qualitative research methodology may be used in future investigations. The research was carried out in the Sultanate of Oman, but the findings could be applied to other developing countries with similar settings.