12 Reasons Why is Indonesia Good for Business
Indonesia is a country with the great of potential for its natural resources. This beneficial thing would lead Indonesia to have the great positions for economy. Besides, the tremendous of economy growth in Indonesia could be one support to create a business in Indonesia. This country is also considered as one of the leading ASEAN markets. Here would put some lists of the reason why Indonesia good for business.
- Have a great potential of tourism
Indonesia is a country with the great potential of being magnet for many both of local and foreign tourists . This country has a variety of natural stunning view as an asset of tourism. Although Indonesia has many islands, but each island has the different characteristics. All kinds of tourism objects could be easily found in Indonesia such as: beaches, lakes, historical buildings, even cultural tourism.
That is why it would be nice idea if you have an intention to make a business in those tourism. Making hotel, resorts, or restaurants could be some of business recommendations that you could choose. (Read also: Importance of Tourism in Indonesia)
- More classifications of business
Nowadays, for those foreigners who want to do a business in Indonesia could have more classifications of business. The regulation was revised in 2016 and opened up many industries, such as restaurant, café, bar, real estate brokers, and hotels.
- The consumer habits
Recently the lifestyle of Indonesian urban consumers shows the significant changes. Indonesian urban consumers are spending more time outdoors, enjoying more activities, and trying to find more experience. The Indonesians love to be practice. As the example they would rather order ready-to-eat products (RTE) and drinks package (RTD) than to cook the food by themselves. It makes the rate of consumption in Indonesia increasing rapidly. Thus, you could make this condition to start a business. (Read also: Consumer Lifestyle in Indonesia)
- Yearly population increase
Indonesia is on the top five of most populated country in the world. Every year the population in Indonesia increased for at least 3 million. This big rate of population could give some advantages for a long term of economic growth. It would give a best business prospect in the future.
- Have the great potential of natural resource
Indonesia is located on the equator that makes it as the tropical country. The strategic geographical position shows how rich Indonesia for natural resources with all of flora, fauna, hydrographic potential, and its abundant natural resource deposits. Natural Resources of Indonesia come from agriculture, forestry, marine and fisheries, livestock, plantation, mining, and energy. All of those natural resources could be a great support for you that want to create a business in Indonesia.
- One of world´s fastest growing middle classes
Indonesia is expected to have the higher rate of consumers in 2030 since the growing middle class here is fast. Middle class in Indonesia could be the consumer class. Of course it would be the valuable target for those who want to create the business since the consumer class is increased year by year.
- Low startup cost
Indonesia has the lower exchange rate of currency compare to other countries. It could be one reason to press the outcome of your business. Therefore, you would need the lower startup cost than if you create a business in the different country. Besides, the lower exchange rate could give an effect to the lower cost living in Indonesia. That is why Indonesia is the fittest location to create a business.
- Easy requirements
If you want to establish a business, it should consider several things such as: the type of business, the purpose of business establishment, owned capital, business licensing documents, and shareholders. Of the five things already mentioned, business licensing documents are one of the most important in the business establishment.
Business license is a form of approval or granting of permission from the authorized party over the conduct of business activities. The purpose of this business licensing is to provide guidance, direction, and supervision so that businesses can be more orderly, especially in terms of administrative. However, don’t need to worry since you could rent some service bureau to handle this.
9. The support from Indonesian Government
Indonesian government is really cooperative with foreign investor who wants to create business in Indonesia. You don’t need to worry if the government will make the difficult process of making business in Indonesia.
Foreign investment in Indonesia is a form of investment made in Indonesia in various sectors, such as in the development sector, the tourism sector, the transport sector, the mining sector and other sectors in accordance with government regulations and approvals. Foreign investment is approved by the government as well as to invest capital for use as in the process of development and regional planning of each region.
10. Indonesians are inspired from what happened in global
Indonesians mostly would love something that sourced from the global. The consumers like for everything that famous or trending in the world. You could take a benefit from this chance to create a business that has the fit characteristics to most of Indonesians.
- Young Indonesians are very tech savvy
Indonesia is predicated as the most users of social media in the world. They would like typically do everything using their social media. Moreover, for youngsters and teens, they are really active user. It is a good prospect for you to create such a business in Indonesia. You could easily do a digital marketing to support your business here since they are very tech savvy.
- Foreigners can now have a land in Indonesia
Foreigners have the right to own land in Indonesia since 2015. Government Regulation No. 103/2015 on House Ownership of Foreigners Residing in Indonesia signed by the Indonesian President Joko Widodo gives a great support to foreigners. The right of owning a land would make the foreigners to own: the Right to Build, Right of Cultivation, and Right to Use. It could be such good news for those who want to do a business in Indonesia.
Now you have found several reasons of why Indonesia is good for business. Are you interested to do a business Indonesia? Please read Indonesia Business Cultures to get more information.