As the globalization continues to spark, the demand for the international business is continue to expand around the world. The economical trend has begun to shift, from the traditional market to global market. Responding to this new economical issue, most of top companies begin to expand around the world with various motivation and various
strategies. Indonesia, as one of emerging markets began to be explored by the world top companies, because Indonesia’s sectors of industries are developed significantly. To meet the demand of very high consumption, there are many oil and lubricant companies expanding their business to Indonesia. In petroleum industry, there are 7 largest & oldest oil companies known as “Seven Sisters Company” expand their business to Indonesia. Expansion of business is required by a company to achieve and improve efficiency, to
helps reduce the risk of being trapped on one kind of economic trend and depended on one kind of market, to become more competitive, ensure the source of supply and utilizing the best possible channels of distribution, improve company
sustainability, not only for increase profit but also to help cutting the production costs. Purpose of this research are to gain further understanding and knowledge about the Gulf Oil Lubricants’ international business expansion strategies and why would them choosing those strategies.
(F) This research uses qualitative descriptive method, which obtained through limited
observation, depth interviews with internal sources and literature studies to explain about the crude oil refinery. In data analysis, the interpretation of words derived from field notes, interview transcripts and docum entation of sites, books and documents, with no statistical calculations. Validity is checked by triangulation of data sources and methods. Research findings are: earlier, Gulf international conducted an international entry into
Indonesia with a sole distributor. After 2004, Gulf International established its subsidiary
here called PT. Gulf Oil Lubricant Indonesia. The changing business model led to some significant changes to the process of Gulf Oil production and marketing strategy. And to point the future goals, current business model is a strategic step to realize the plan. This study investigates the motivational factors of doing international entry strategy. |