By Amri Wirabumi (08/14/97)
I. Abstract It is thirty years left when the first time Freeport Inc of USA, sign a contarct with Government of Indonesia concerning mining of cooper,silver and gold concentrate in West Irian Indonesia. Now after thirty years involving with long term investment, hard working and spent a lot of money, What do they get ? They has been establish an exclusive city in west Irian around 30 kilometer square complete with all of public facilities such as, Hotels, Hospitals, Shools, Road avenue, mall bolevard, ship port and air port, etc. All the city development are controlled by Freeport and it is occupied with more than 300 thousands people. The local people in West Irian name it as Freeport City or Small US city in Indonesia.
It not the aim to talk more about successfull investment in mining industry in Indonesia. But what we are telling about is just to give a figure of success story of US Investment. The success where most of US and Europe comunity didn't realize that a hiding country like Indonesia could also promising a long and successfull Investment in Pacific basin. Above all, we belive that most of the giant opportunity are often came in place and time when most people did not realize about it. Opportunity are allways coming when most people didn't see it happen. Similarly like Freeport, the success story of IT and Telecomunication market in Indonesia are begin with the existence AT&T in the midle of 1970s. The AT&T just start they investment when Government of Indonesia are very eager to develop satellite telecomunition systems. Now after more than twenty years left, the telecomunication and IT business in Indonesia are booming. There is plenty of US telecommunication operator and US IT supplier doing business in Indonesia. So if you think, you are the second new comer investor in Information Tachnology in Indonesia it is too late, you must be in the first hit since the beginning. Because most of the first hit of Giant opportunity in Indonesia are always grabbed by japanese and Local Indonesian Chinese. evethought it is Mac Donald, Kentucky Fried Chicken or Texas Fried Chiken or Coca Cola are run Chinese people.
In May,25, 1997 the Ministry of Public Communication announce that more than 11 cellular phone operator in line to the Ministry office in order to get a licence for business invesment. II. The Natures of New Ideas in selling IT and communication products As we stated above that success investment in Indoneia are always start with new idea, so the problem is how to create the idea for success selling of IT and Communication in Indonesia. There is plenty of ideas could be created by most American expert(I am sure about it !!) You just look and see into IT Market and Communication market in Indonesia then you will knowing much what kind of idea suppose to created. For more than ten years experiences to be a business consultant in IT and communication market in Indonesia we recognize that most success idea in designing and selling IT and Comunication products are related to some nature where most marketer did not recognize it. The characteristics of success ideas must be in the areas of following natures: 1. The business must deals with public services. 2. The technology or it's system implementation must be new and easy recognize by most of educated people (dont ever introduce the market with the sophisticated and complex feature product must be simple and easy because most of Indonesian people are never read the user guide manuals) 3. The Price of selling product must be in the average level, because Japanase and Chinese will hit you when you introducing the selling price in high level. 4. The ideas ahould have promising a good benefit for Goverment or Gobernment agency 5. The ideas could be implemented in most big cities in Indonesia such as Jakarta, Surabaya, Medan and Bandung. 6. None of the business entity in the market recognize your products. You must the only one, the newest and no competitor.
By recongnizing such nature of Ideas, the next steps are just to tried to look at into your country market. In my opinion what is the success selling in US country will success also in Indonesia, if can note a change it a little bit, because most Indonesian peoples are very impress with American life style. The jargos, the consumption, the dress, the songs, rap dance, the vandalism and others young life style are exactly same with most American and Europe life style. Young people here are very familiar with NBA, Magic Johnson, Hakeem Olajuon or Pamela Aderson. III. The investment opportunities We have seen in the internet that there was a lot booming market in IT and Comminication technology. There was plenty of services, manufacturer, software house and multi media are consuming in US community. We believe that the booming market in US will booming also in Indonesia, By our observation there was around three or four years lag time between booming in US and in Indonesia especially for some IT and telecommunication products. So if you think the smart card industy in US is in the booming condition, then alway bear in your mind about Indonesian market then you will the first company to introduce the market. For marketing the booming products in Indonesia we need just to change a little bit in technology, price, the way of marketing and product feature. Here is some higlighted IT and Communication product where perdicted, will be success if you selling in Indonesia: 1. Internet phones (if necessary complete with visual feature) 2. Pay phones 3. Pay TV 4. Electronic Banking 5. Smart ID card 6. Home phone card 7. ATM network 8. Electronic Security 9. Communication provider 10. Smart Card for Driving licence 11. Smart card for Automotive security 12. EDI network(electonic data interchange) 13. EDI VAN 14. EDI Sofware 15. Electronic smart card for passport 16. Electronic credit card 17. Net work provider 18. Government proccurement network or MNC procurement network 19. Smart card for Toll road collection 20. Wireless modem 21. Electronic credit card purchase and selling. 22. Ticket reservation comunication and reservation software Many others product and services could be developed tailored to the industry and community required. You just look into your own market in US then, you are probably made little adjustment or modification the the fortune will come. |
What
Freeport do in Indonesia are maybe just small spending capital investment
camparing with the gain they earn from such investment. By just controlling
the economic around the city we belive that Freeport could has a lot of
earn from his mining and the city when the Managers of Freeport may be
just sleeping in their home office in US. Freeport is one of success phenomena
in money investment by US corporation in Indonesia. They come to Indonesia
just because they look an opportunity at the right time, the right place
and the right people. They come when the New Order of Government of Indonesia
under president Soeharto just start to restore the economic development
from a stagnation when it controlled by previous Communist Party.
By
that figure we must recognize very well what is the pattern of investment
in Indonesia. For every where in the world, Most success investment are
start with new idea. Some telecomunication business like Cellurar Phone
for instance, are just start'in their business about three years ago, when
most of the people in Indonesia are only reconizing a network operator
phone, card phone and public coin phone in their comunication systems.
Now three year left after that time there is more than 40.000 terminal
connection selling by about four Cellular phone operator within Inonesia.
Last
but not least for developing IT and communication investment, we must joining
with local company in order to grab powerful market. You must also recognize
that for penetrating the market in Indonesia should be in the agresive
and extensive marketing, where the succesfull selling are always combine
with gambling game like lucky draw, gifts, free trial and others promising
benefit for buyers.