I have lived and worked both in Dubai and Bahrain and done business and help set up branches all across the GCC - also known as the Arabian Gulf.
Firstly, let me commend you on having boots on the ground in trying to sell your product in this part of the world. Its really tough to sell a software product from afar unless you are so unique that customers are going to be forced to listen. I assume you have competitors.
Dubai is usually where most multi national companies set up their regional head quarters and there are very good reasons for that. Namely easy set up, great infrastructure and desirable living conditions for your personnel. However its not inexpensive to both set up as well as operate in.
Bahrain is a less expensive place to operate with good infrastructure, hungry job seekers and easy access by road to the Saudi market.
If you have researched which country may be your primary target market - its usually one of the two - UAE or Saudi, then take your pick: Bahrain or UAE.
Oman is also not too difficult to set up a branch but without significant investment, setting up in the other Gulf countries is more challenging.
Travel connections are easy except for the recent rift with Qatar.
Feel free to set up a call with me to get more detailed answers to any questions you may have.
Worked with company and customers in almost all of the GCC countries, with UAE and Saudi Arabia being the best markets for both, and growing. Of course certain industries aren't welcome in these markets, but the population and money available there is attractive. Bahrain and Qatar have plenty of money, but not the populations to support new businesses unless it's very niche towards their buying population, which is more ex-pat than not.
Well... you can go the route of having one person work each client... which will be expensive + time consuming.
You can do live events in the area about topics related to TQM.
Network with existing http://Meetup.com groups that meet for free meeting space + a packed room every event.