How foreigners can successfully do business in Indonesia

How foreigners can successfully do business in Indonesia


– Indonesia can be a daunting destination for business people new to Asia. Jakarta is chaotic at times and getting around town is often challenging. Combine that with a foreign language and a foreign culture
and many are put off. But if you do you research
before you arrive, be prepared for differences
and respect local customs will make it a lot easier for you to come and get a slice of this
emerging superpower. I spoke to the Australian ambassador to Indonesia about how foreigners can successfully do business in Indonesia. – When you come to Indonesia,
it’s important to understand the issue around personal connections, very important to build
trust, to build confidence, I think many of the issues
that other foreign companies find when they come into
Indonesia are built around a misunderstanding of the
importance of that relationship. – And are there any
local customs, practices, that you need to follow in doing business with your partner in
Indonesia or a client? Entertainment and so on? – Again, I think Indonesia
is similar to other markets in that each market has its own custom. Here around practices
around Ramadan for instance, working those sorts of cultural traditions is very important, Indonesians
appreciate it very much. For them, participating
in a cultural practice, a cultural tradition, shows respect but it also makes you part of the family. – What sort of mistakes have you seen foreign companies make
doing business in Indonesia? You don’t have to name any
names, but just some examples. – Look, I think the biggest
mistake that foreign companies make is they
misunderstand the nature of the market here, because
they try to apply what works in their home market to Indonesia. Indonesia, the market has
its own characteristics, like all markets, they are unique, Indonesia is no different. I think the most successful
companies here have understood that, done market research,
built a relationship. The companies that have
struggled are the ones that have come with the
template, tried to impose it on Indonesia and found
that it doesn’t work. (upbeat music)

2 Comments

  1. yes I am Indian Indian says:

    I weant make business

  2. Richard von Muenster says:

    Oh man. The Oz ambassador said a great big word salad. Nothing of practical use.

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