Tractus in Indonesia

Tractus opened its representative office in Jakarta, Indonesiain 2012 although we have been undertaking consulting engagements in the republic since 1995.

Indonesia is Southeast Asia’s largest country with over 250 million people and the largest, fastest growing market with a consumer driven economy powered by an emerging middle class. Based on the archipelago’s favorable demographics, abundance of natural resources and wide ranging market opportunities in manufacturing, services and natural resources, foreign investors and businesses are prioritizing it as a key business and investment destination in ASEAN. As a result it receives a disproportionate share of FDI. The government of Joko Widodo is focused on improving the overall business environment to make it an even more attractive place to invest and do business.

Tractus has a proven track record of assisting and advising companies make informed decisions about how to benefit from the market opportunities Indonesia presents and where to locate their investments in its vast archipelago. Tractus’ Indonesia team provides our clients with local expertise and is an active part of our experienced ASEAN regional team that consults on economic development and helps our business Inc.ubator clients achieve success in Indonesia as well as regionally.

Strategy & Execution

We have built our business in Asia advising and assisting our clients make informed decisions about where and how to structure successful investments in Indonesia. Tractus Indonesia works with clients to conduct market research and opportunity assessments to build a solid business case, identify and target customers and/or distributors to trade in-country. Additionally, our team advises on suppliers of raw materials or intermediate products to fill a supply chain, identify sites for optimal investment locations, and numerous other facilities to assist our clients in the archipelago.

Companies also rely on us to undertake market research, market opportunity and business case assessments and advise them on the most appropriate market entry strategy for their business. These strategies may include:

  • exporting into the country through a dedicated representative or agent
  • establishing a start-up Greenfield investment requiring the identification of a new site and construction of facilities
  • entering into an equity joint venture or acquiring an existing business, or
  • entering the market utilizing Tractus’ business Inc.ubator services

We have undertaken market opportunity assessments to understand the market for recycled cooking oils, evaluate opportunities for expanded pearlite and mining and mineral processing equipment design and engineering services. Our site selection engagements encompassing Indonesia have ranged from labor intensive manufacturing for golf shoe assembly and garment cut and sew facilities to automotive components and electrical control systems to IT infrastructure support and other shared service centers for a variety of global multinationals.

In Indonesia, Tractus offers a business Inc.ubator service to provide a low risk and cost effective way for companies to engage the Indonesian market without having to establish a business entity of its own. By employing dedicated staff under Tractus’ corporate entity located in our office space, administered by our local back-office support team with oversight by our in-country management, clients can explore the emerging market with reduced risk levels while building their business. Our business Inc.ubator clients utilize Tractus services such as:

  • legal entity to employ dedicated Indonesia staff
  • office space as a place to do business
  • HR, administration and accounting shared services team for back-office support
  • senior management and Directors for experienced oversight

to establish a presence in the market before making a formal commitment to establish a legal entity and start-up operation in Indonesia. Tractus’ business Inc.ubator has proven to be an effective vehicle for companies such as:

  • NovaTech Engineering to provide innovative beak treatment services for the poultry industry; and
  • Minerals Technologies to employ dedicated sales and marketing staff

to build their business in Indonesia. They have all experienced sales growth and substantial market penetration by leveraging the Tractus Inc.ubator to accelerate their Indonesia market entry execution.

Strategy

  • Market Opportunity Assessments
  • Regulatory Analysis
  • Business Case Assessments
  • Feasibility Studies

Execution

  • Customer/Distributor Search
  • Government Licensing
  • Start-up Support
  • Site Selection

Business Inc.ubator

  • Human Resources Support
  • Recruitment
  • Office Space, Admin and Management oversite

Corporate Finance

To accelerate market entry, the most effective strategy often begins with M&A. Acquiring or partnering with a company already operating in-market greatly improves the chance for success in Indonesia or any new foreign market. Due to the challenges of doing business in Indonesia, whether the lack of regulatory transparency, human resource management or other issues, our Corporate Finance team helps our clients identify opportunities, conduct necessary due diligence, structure the engagement, negotiate terms and build a business plan.

Led by Richard J. Smith, a corporate finance professional with significant experience in Southeast Asia, the corporate finance team has assisted companies in ASEAN to:

  • identify and screen acquisition targets and joint venture partners
  • formulate optimal corporate/deal structures
  • undertake financial modeling and analysis
  • undertake financial and operational due diligence
  • support negotiations and deal documentation through closing on both acquisitions and dispositions

To accelerate market entry, the most effective strategy often begins with M&A. Acquiring or partnering with a company already operating in-market greatly improves the chance for success in Indonesia or any new foreign market. Due to the challenges of doing business in Indonesia, whether the lack of regulatory transparency, human resource management or other issues, our Corporate Finance team helps our clients identify opportunities, conduct necessary due diligence, structure the engagement, negotiate terms and build a business plan.

Led by Richard J. Smith, a corporate finance professional with significant experience in Southeast Asia, the corporate finance team has assisted companies in ASEAN to:

  • identify and screen acquisition targets and joint venture partners
  • formulate optimal corporate/deal structures
  • undertake financial modeling and analysis
  • undertake financial and operational due diligence
  • support negotiations and deal documentation through closing on both acquisitions and dispositions

Investment Attraction

  • Investor Identification
  • Targeted Marketing
  • FDI Missions
  • Strategy Development
  • Market Research

Trade Promotion

  • Trade Show Support
  • Customer Identification
  • Company due diligence
  • Distributor Search and Strategy Development (International and Regional Development Implementation)

Technical Assistance

  • Economic Growth Project Implementation
  • Government Advocacy
  • FDI & Trade Benchmarking

Economic Development

Tractus Indonesia works with state, provincial, and national economic development organizations (EDOs), investment promotion agencies (IPAs) and industry trade associations from the US, EU and Asia, to grow trade and attract investment. We leverage our hands-on experience advising corporate clients across the region on a diverse range of industries to develop effective trade promotion and investment attraction strategies.

Indonesia is ASEAN’s largest and fastest growing market, presenting significant opportunities for manufacturers and service companies to export to this underserved market. Tractus is bullish on ASEAN as a region and Indonesia is a market companies must evaluate.

Tractus represents US, EU and Asian EDOs and IPAs of regions, states and provinces, and municipalities to promote exports as well as identify outbound Indonesian investors with an interest in entering these markets. We also provide sector analyses, trade show and trade mission support and representation for economic development and industry trade associations in Indonesia.

Our Clients

What People Say About us

  • Ecofys used Tractus because of its local network and presence in Indonesia. The professional Tractus team provided high-quality data collection and analysis. I look forward to working with Tractus again in the future.

    Ecofys – Supply Chain Analysis
  • Daniel was a pleasure to work with. He completed the work within the tight deadline proposed and completed all the interviews required regardless of the complications that arose (APEC being scheduled at the same time)
    Tractus exceeded our expectations and worked diligently to accomplish the goals we set out for them and met our tight deadlines. We highly recommend them for your consulting needs in Indonesia.

    Emerging Markets Consulting – Market Survey

For more information about the business strategy and execution capabilities of Tractus Indonesia and how we can assist you to make informed decisions about how to invest in Indonesia contact below

Strategy & Execution

Economic Development

Daniel Bellefleur

Chief Representative

 

Corporate Finance

Richard J. Smith

Head of Corporate Finance

Download our FREE Tractus Economic Development RAMP for 2016

Contact Tractus Indonesia

Epicentrum Walk Lt.
7 B-717
Rasuna Said,
Jakarta 12940 INDONESIA