Ideas: A long history of the controversial but profitable industry

"Marina Bay Sands Batam opens for business in Indonesia, they finally opening their first biggest Casinos in Southeast Asia on Batam Island. Following the recent success from trump entertainment and thousand islands non stop entertainment." ---- Online news somewhere in the future

 

The headline is just a teaser, that's why I just stated it just somewhere in the future. The long story and controversy of an industry that can make up our Country paid their bill and duty to the civilians. An industry that is so sensitive to majority of people in this country, and I am one of those of major people concerning in the religion matters, and by the way it is an entertainment industry more specifically in gambling industry. The gambling industry literally is there on our environment and it become a habit in some culture in Indonesia but of course there are no good management team, income from tax, and good corporate governance involve in this low class gambling, and even the high class gambling even that we cant see it through our own eyes there is fact that it is illegal and of course no income from taxes or any retribution paid to our government.

Instead of legal income, there are too many bad influences according to the spread of the illegal gambling operation, operated by illegal management and dealer. Imagine there is an open area, some place like Las Vegas, Monaco, Macau, or even Genting. they called themselves an entertainment city, that is their branding. So when visitor come by there, they just want to have fun by gambling and of course there are strict rules and obligation they have to obey as a visitor. The good things from those city is they completely legal with support from the local government, even in a place like genting still there is many organization against them but it all runs well, again because it localization, separated from mainland, and great aim from market segmentation which is local non Muslim and Indonesian people who want to throw their money to neighborhood country.

The voice to legalized gambling is already occurs since years ago but no progress in the implementation because the word gambling itself is already a total controversial issues in this religious country, so there are more against voices than pro. Just an imagination If we see it at the other side, the legalized gambling industry in the perfect place localization such as early proposed thousand island and batam island, the right market, and the strict policy and back up from the government will create a massive fresh money to fund the infrastructure that most public needed came from the high taxation policy and also it will create the flow of business through another industry involved besides Labors also have their job to do. The hospitality, trading, property, industry will be the support business for the gambling demand, then again fortunately it create money to our government, instead of doing debt policy to other country or selling country obligation. This way also Indonesia will be the next tourist destination for foreigners and more over it can attract them to invest their money to become hot money in this country.

Well then again it just a vivid imagination, we have to wake up now and see the truth and how can it be solved. The fact is Indonesia is having too many potential resources to grow in the tourism industry; we have a lot of hidden jewel that create the opportunity to open the business. That resource is the key to our future plans to entertainment industry, but without gambling involved. Even without gambling, we can create the local and foreigners tourist attraction that can come up to our income and also keep up our foreign exchange reserve. MICE (Meetings, Incentives, Conventions, Exhibitions) will be the most contributor to the tourism and hospitality industry instead of using gambling as the main attraction. It all begins with positive attitude to create businesses that empower the people within and the impact is the income for business shareholders, environment, and the prosperous Republic of Indonesia.

 

 

Source : harianbatampos.com, MI, Wikipedia, antaranews, detikcom

 

 

Disclaimer : this is only the humble opinion from the writers, and the writers respect all of the religious aspect in the country holds :)

Insight : the Rally in Between ( a perspective from Indonesia about European financial crisis )

"while many European countries are struggling to avoid slipping back into recession, being dragged down by deepening debt crisis in the euro zone, one of the main problems facing the Indonesian Economy appears to be how to avoid growing too far, too fast"

-Josh Franken, Oxford business group (Jakarta post)

 

One of the interesting news these newly days consisting about how European countries like Greece, Spain, Portugal, Ireland and Italy facing much of problem concerning their debt crisis, higher unemployment rate, and deficit in GDP. While uncertainty is everywhere, It leads to great loss of the exchange rate of Euro to US Dollar, also the stock market is crashing everywhere, and the downgrade decision by S&P and fitch rating for Spain and Greece is worsening the case. The bail out for Greece come from European Union and IMF cost $1billion making a huge negative sentiment on the market, even country like Germany wont do any good to help Greece.

Wikipedia describe this thing as a late-2000 recession, it is an economic recession that began in the US and spreading to the industrialized world. It cause real problems to the social environment also in the developed countries. But for some reason, Asia's market looking very sharp and show the strength in the world economy contribution. The reason is developing countries are moving too fast while developed countries moving too slow, this create a differences in each leading countries like China, India. And of course Indonesia. The growing economy in Indonesia make we so called resistance-to-crisis countries by some countries, because when the US fall on 2008, until now Indonesia is one of the most countries that still create growth, not only in the financial sector but also on the real sector.

The indicator shows the good mark, let see the when the local automotive industry association (GAIKINDO) report that the vehicle sales in the beginning year 2010 has increased 78% over the last year 2009, and the GDP of Indonesia maintain 5,7% on year, not forget to mention that we have the fastest growing stock market (IHSG) throughout region since the 2008 crisis. While many countries suffering loss, so then investor finally leave them and find another place to grow their money, this is why we have a lot of hot money come from foreign buy that can crash anytime when we can't gain their trust to the economy, also on the real sector foreign direct investment showing great number that increasing 42% from last year.

The fact that Indonesia is a still commodity based countries who needs a buyer to buy our top commodities like oil, cpo, coffee, fish, cacao, and coal, we also get the impact of suffering, the trade on the export to European is decreasing but still at the tolerance level, but the demands is increasing on the regional market, showing a great proof of Asia's growth, it all occurs while the government don't have any clue from the rush of the imported goods from China.

History speaking, after the great recession on 1930's and the world war era, most of the countries are broke to paid the bill that uncounted, but finally they overcome the problem and becoming the strength on the world's economy. In Indonesia we already facing the crisis back in the 1998 also it happens in most Asia, now turns out that the condition is like flip and flop, up and down. Now the question is, Are we really facing the new era of economic, where now Asia's developing countries will come to contribute most of world GDP? Or, are we going into a trap, that looks like a bubbles when we run to fast that we blurred our eyes and finally crash like them?

 

Rianhafizblog2010

 

 

Source : Jakarta Post paper, Wikipedia, Kontan daily newspaper, globe asia

E-conomics for non Economics, Insight: Indonesia in 2010 economics outlook

E-conomics for non Economics

[Insight] Indonesia in 2010 economics outlook

 

"We are not ready yet to compete with China"

Free trade agreement in textile and steel industry might be pending due to some reason

That is the headline on kontan newspaper on Saturday, 12 December 2009. For a while I can't imagine what that word turns out, then when I remembered the other edition of kontan also told something about pending China-ASEAN free trade agreement by Indonesian government and the chamber of commerce.

 

 

Latest economics condition update

In the global perspective, Indonesia is classified as one of the emerging countries who survived the economics crisis these years. Many factors like the healthy banking industry compared to us and European, financial sector in Indonesia doesn't have a great connection with US, our food supply, oil price decreasing under $50/barrel and others like political stabilization compared to malaysia and thailand whom have problem in their political situation. As I can see the world competitiveness scoreboard, Indonesia rank is 41 in 2009 from 51 in 2008, 54 in 2007. And the most easy to look indicator is from jsx and rupiah, they showing a great progress from Q1 2009, now jsx is rated to 2500 and rupiah is still fluctuate on Rp 9600. So these thing is what so called strength in the SWOT analysis, it shows a good performance and what we have as a tools to exploit the opportunity. This thing is all a progress as you can see, even on 2009 inflation rate on yoy 2009 is ±3%, and this is somewhat one of the kind rates for emerging countries.

 

What will happen in 2010?

Vice president of Indonesia Mr Boedino is hoping to have 7% economics growth in 2010, while on 2009 is 4, 8% growth. This is just the target and still needs the real action and supporting regulation to achive that number. And in that year Asean-China Free Trade agreement (AC-FTA) will run on 1^st january 2010, this agreement will involve many indsutries which is going to collapse and in danger in Indonesia such as textile, steel, food and beverage, electronics, machinery, engineering service, petrochemical, toys and shoes. All these industries is in danger because of their unstable market due to global economics recession last year, they are the industries who posess export trade for living. The results of FTA is to reduce the import tax in the member country to 5% on 2010 and 0% on 2012 it means the market will flooded with foreign goods because of the low tax rate and market expansion to other country by company.

 

Current situation

Those industries that I mention above cant help theirself on the global market so their looking for local market where it already full with illegal, and cheaper goods from other countries, yet this is another threat and trap. Look at the toys industries, if you have some spare moments just take look on your local toys trader near elementary school (sd) you will find that most of the toys he sells is made in china. Look for another example when you go to glodok electronics and lindeteves machinery market. And for now the impact is the government and the chamber of commerce decide to pend the agreement for Indonesia, the industry to go on pending list probably textile, steel and chemical. Then the other points of threat are the potential loss from tax and duty income for government on 2010 so on.

 

Regulation and oppurtunity

By the time we still become a major producer of food from our farmers and also a massive market to invest in Indonesia with the huge society, it has create the opportunity if the industries are ready to face the challenge. Not only the readiness of he industry but also regulation support from the authorities, for example malaysia give 25% tax rate for imported goods for their country to protect their local industries, while our government we don't do that kind of things and disasterly some of those goods imported to Indonesia are illegal goods that's two things our government must solved carefully. But for us maybe still a new hope, the industry who are not listed as in danger now can easily doing export their goods to ASEAN and China and the company can increase their revenue by exploting others market.

 

 

E-conomics for non Economics

Ideas.Insight.Impact

Rianhafizblog2009

 

 

 

 

Source : faisal basri ppt, detikfinance.com, bisnis.com, beritasore.com, business.globaltimes.cn

 

 

 

 

E-conomics for non economics [Ideas] The domination of foreign investment in Indonesia

E-conomics for non economics
Ideas.Insight.Impact

[Ideas]
The domination of foreign investment in Indonesia

Do you realize that nowadays, you are living in a country where everything is free to trade, there’s no such rules or laws enforcement that can save our local industry. Such a big industry like finance and banking, ciggarets, retail and other are dominated by foreign based company. Where are we? Our local industry is the winner in raw material handling, by exporting raw material without creating more valuable goods, so when we still harvesting and exporting raw material, our neighborhood country is trying to do something with our materials and turn it to something more and more valuable. We should know it and do something about it. So, this is what I see as an approach, to give a broad perspective about foreign investment in our country, and what to do with them, I have some thoughts that the basic things that local company concern is the financing of their business, they need to keep their business run well with support from bank, this is the ideal thing.



Banking Industry
A few days ago, the bank of Indonesia through the initiatives of local banker and legislative board of Indonesia will be make an in depth analysis about the rules in banking industry. They finally realize it, let’s hope it’s not late to realize. That our banking industry should have a rules concerning of the foreign investment in our local bank, it’s a pathetic condition I think. The portion of foreign investment right now is 38% of our banking industry, that’s means the foreign company have the rights as big as that portion. Look at OCBC, Maybank,UOB,CIMB, HSBC or temasek holdings they are our neighborhood who capture and eat us. and dont forget bank another bank from US, India, Netherland, Japan, Australia and China, they also acquire our local bank. What about us? Bank Mandiri still has the program to be the best regional bank, let’s give bank mandiri applause as a government bank they strive for the banking industry.

I can say I am contrary to this kind of situation, because the foreign bank always looking for the growth of consumer credit not the business credit. Why? Because the consumer credit gives a more profit compared to business credit and the best thing is the risk potential lower than business credit. The non performing loan (NPL) of the business credit id higher than consumer credit. So I say why bother over priced bitter black coffee when you can get sweet coffee with extra milk? Black coffee refers to business credit, where it is what our country most needed. We need the consumption to boost the production, but I think if we can give an extra on production we can have an extra income, extra labor and more business opportunity! When you sip a black coffee it will taste bitter but you seek the impact of the drink, the caffeine that can boost up your energy and make you happy.

What if when the local banks boost the micro credit to help micro industry? They use your money in a right direction, maybe they won’t use our money to buy something that will increase inflation as in the consumer credit. If those foreign bank is also concern on micro business credit, helping the local corporate, like they act as they’re part of us, not just doing business for their own sake and country, then I can say welcome to them. But if they’re still like the same old profit seeker rentenir, so I can say let’s save our money in Mandiri or Bri. We save our money not to just gain on the interest rate, we help, others with it. We buy products or service with our credit card not to only the benefit we get, we also help the economics growth by our consumption.

Well it’s my ideas, and it’s worth nothing without action. Let’s just hope that the bank of Indonesia, the legislative board, and the Indonesia chamber of commerce can collaborate well to make new rules about the banking system in our lovely country. After all we will see who will be the new governor of the bank of Indonesia, will he set the regulation free that will make maximum 49% of foreign investment, or set the red signs for the foreign company. And the final impact is to give our local industry a chance and opportunity to compete in the wide open free global market, well maybe not only a chance but also the competitive strength.



E-conomics for non economics
Ideas.Insight.Impact

Rianhafizblog2009

“economicsfornoneconomics” in the outsourcing era

E-conomics for non Economics

Ideas.Insight.Impact

 

Pada tahun 1989 tembok berlin yang menjadi saksi sejarah perseturuan dua sistem ekonomi yang saling bertentangan akhirnya runtuh dan menyemai pergerakan baru di sistem perekonomian dan kebebasan. 2 tahun setelahnya pada tahun 1991 world wide web (www) diluncurkan dan juga mengubah pergerakan informasi secara masif di dunia. Era informasi yang terjadi pada masa kejayaan teknologi internet, broadband, CDMA dan GPS merubah seluruh sistem perdagangan dan industri dunia. Zaman sudah berubah, berbeda apabila dibandingkan pada saat kejayaan kerajaan-kerajaan cina dan arab yang menguasai perdagangan, dimana jarak menjadi sesuatu yang biasa. Pada tahun-tahun sekarang ini, negara-negara berkembang seperti cina dan india bahkan sudah mulai memperlihatkan taringnya dalam mengambil peluang jelas terlihat tersebut, mereka berhasil karena dapat melihat peluang dan mengekspoloitasi peluang. Peluang tersebut adalah sebuah industri baru dan pendakatan baru supply chain management, yaitu outsourcing/subcontract, Bagaimana dengan Indonesia?

Outsourcing menjadi topik yang hangat dan bisa menjadi sangat kontroversial di Indonesia, apabila berbicara mengenai outsourcing dampak politisnya menjadikan RUU tenaga kerja menjadi sesuatu yang dijual oleh para calon-calon pemimpin bangsa ini. Bagi para pegawai outsourcing merupakan bahaya besar karena mereka tidak menjadi buruh tetap sebuah perusahaan, hanya menjadi pegawai kontrak, untuk perushaan tersebut. Misalkan saja di beberapa Bank nasional, mereka merekrut orang-orang untuk menjadi frontliner di bank mereka tapi bukan dengan status pegawai bank XXX, melainkan status mereka adalah peagawai kontrak bank XXX, dari penyedia jasa outsourcing perusahaan YYY. Itulah yang terjadi sekarang, namun mereka diberi keterampilan dan pengetahuan layaknya pegawai bank XXX tersebut. Bahkan selain manjadi frontilner banyak juga yang bisa dioutsource seperti pegawai security, pegawai cleaning service, pabrik sepatu, pabrik garmen, dll.

Bagaimana dengan sisi perusahaan, outsourcing spertinya memberikan lebih banyak keuntungan. Bagi para perusahaan pemakai jasa perusahaan outsourcing, mereka melakukannya dengan alasan cost by benefit, dengan harga yang murah mereka dapaty dengan kulaitas yang sama, hal ini biasa dilakukan oleh perusahaan-perusahaan di amerika maupun eropa, baik dalam bidang manufaktur maupun jasa. Dalam bidang manufaktur misalnya perusahaan-perusahaan multinasional raksasa seperti unilever melakukan kontrak supplier di vietnam, begitu juga dalam pembuatan AIRBUS, setiap parts yang ada di setiap pesawat merupakan hasil pabrikan dari berbagai negara di seluruh dunia, yang pada akhirnya dikirim ke markas besar airbus untuk dirakit menjad sebuah pesawat siap terbang, dengan standard operasional dan alasan efisiensi, hal ini mengahsilkan sebuah kolaborasi industri global, bayangkan saja seberapa besar pengaruh dari teknologi internet dan broadband. Dalam bidang jasa pun demikian, perusahaan developer di jepang atau qatar dapat saja mencari arsitek handal yang berbiaya murah daripada menggunakan jasa arsitek di negaranya sendiri yang dapat menimbulkan biaya berlipat-lipat dan mereka dapat mencarinya di Indonesia, dengan kualitas desain yang setara bahkan lebih. Selain itu akuntan ataupun konsultan pajak di Amerika juga memindahkan pekerjaan mereka ke India, dan membiarkan para pegawai india tersebut mengutak-atik laporan keuangan dan pajak orang amerika, dan mereka dapat melakukannya tentu dengan biaya yang lebih murah.

Perusahaan outsourcing sendiri sudah mulai banyak menjamur di Indoenesia sejak lama, persaingan merebut lahan pekerjaan berasala dari india, cina, thailand, filipina, dan vietnam. Value terbesarnya adalah harga yang murah dikarenakan upah pekerja yang juga murah di negara berkembang, sumber daya manusia yang berkualitas karena pendidikan yang sudah maju, dan kolaborasi usaha. Di Indonesia sendiri banyak perusahaan yang baru-baru ini kolaps karena mereka bergantung kepada pesanan kontrak dari perusahaan asing, mereka menjad isalah satu mata rantai (supply chain) bagi kolaborasi industri yang tersebar di berbagai belahan dunia.

Perkembangan outsourcing berdampak langsung pada kesejahteraan masyarakat dan peningkatan pendapatan masyarakat, hal ini menjadi daya ungkit untuk daya beli konsumen secara langsung. Indonesia dapat saja menjadi sebuah negara penyedia jasa outsourcing, namun apakah itu yang kita butuhkan, apakah harus bergantung kepada pesanan order dari negara lain, kenapa tidak membuat sentra prodksi jasa outsourcing? Pun kalau negara ini menjadi salah satu tujuan outsourcing mungkin akan terpentok lagi oleh masalah infrastruktrur dan RUU tenaga kerja yang tak kunjung ada ujungnya. Outsourcing hanyalah salah satu alat tools yang akan mengarah pada efisiensi produksi, perusahaan dapat membuat produk dengan harga yang bisa ditekan dan pada akhirnya konsumen dapat menikmati produk dengan harga yang wajar.

 

E-conomics for non Economics

Ideas.Insight.Impact

“economicsfornoneconomics” in the real sector of economics

Sektor riil dan sektor finansial adalah dua sisi mata uang yg berbeda tapi saling mendukung satu sama lain, apabila diperhatikan kenapa Indonesia tidak terlalu terpengaruh terhadap krisis global yg ada pada saat ini adalah, karena ekonomi Indonesia lebih besar ditopang oleh soktor riil. Masyarakat Indonesia hanya 25-30% (data : kompas) yang menginvestasikan uangnya di pasar modal, Surat utang negara , obligasi perusahaan dan instrumen investasi lain, selebihnya adalah investasi asing yg masuk dan ikut mempengaruhi anomali pasar finansial di Indonesia. kecuali untuk industri-industri berorientasi ekspor, Indonesia dapat dikatakan bertahan dalam masa ekonomi yg tanpa kepastian ini.

Pertumbuhan ekonomi dilihat dari perkembangan infarstruktur, industri dan pasar lokal terus membuat ekonomi berjalan di negara ini. Bukan mengada-ada apabila konsumsi dalam negeri cenderung stabil, apabila berkaca pada ibukota DKI Jakarta. Arus konsumsi sangat terasa di Jakarta dilihat dari banyaknya pameran-pameran dalam negeri yang selalu penuh sesak, pusat perbelanjaan yang terus dibangun, angka penjualan barang elektronik dan otomotif yg stabil dan anda juga dapat melihat semakin besarnya semangat kewirausahaan ditanamkan di universitas maupun sekolah-sekolah. Inilah indikator dari ekonomi riil, berbagai bidang industri juga sudah menikmati pertumbuhan ekonomi ini seperti industri kreatif, teknologi informasi dan industri berbasis sistem franchise.

Dengan adanya krisis global, yang berdampak pada kebanyakan negara-negara kuat finansial di dunia, Indonesia mempunyai peluang besar untuk mulai bergerak masuk memperkuat diri, daya serap asing yg menurun terhadap komoditas mentah membuat peluang terbukanya industri pengolahan, sampai saat ini kebnyakan negara kita menjadi pengekspor bahan mentah yg rendah harganya yang dijual kepada negara lain untuk selanjutnya diolah menjadi barang bernilai lebih (added value) dan pada akhirnya dijual lagi ke Indonesia,ironis. Apabila Indonesia berubah dari negara pengekspor barang mentah menjadi pengekspor barang jadi, maka pada akhirnya berdampak positif terhadap penyerapan langsung tenaga kerja, penanaman modal langsung asing maupun lokal bahkan penyerapan bahan baku lokal. Jadi nilai sumber daya manusia dan alam yang terdapat di Indoesia raya ini dapat dipergunakan dengan nilai manfaat sebesar-besarnya.

Logika yang terjadi terhadap sektor finansial adalah pertumbuhan ekonomi makro dikarenakan investasi dalam negeri, menguatnya nilai tuka mata uang rupiah karena transaksi asing, menguatnya indeks harga saham dan pertumbuhan kredit dalam negeri. Seperti mustahil memang apabila Indonesia bisa keluar dari lingkaran setan (vicious cycle of economics), tapi bukan berarti tidak mungkin apabila dukungan infastruktur dan birokrasi dipermudah, sehingga kemudahan tersebut dapat menarik investor lokal maupun asing menanamnkan modalnya di Indonesia.

 

 

 

http://www.economicsfornoneconomics.co.cc/

ideas.insight.impact

rianhafizblog2009

“economicsfornoneconomics” in fair (free) trade

Dalam konsep perdagangan secara sederhana, system penjual dan pembeli bertemu untuk melakukan transaksi dagang, dan terjadi perpindahan barang dari penjual kepada pembeli dan timbal baliknya berupa uang/barang dari pembeli kepada penjual, sebuah skema standar yang dapat dilihat dimanapun pasar berada.

Namun kesederhanaan itu masih perlu dibentuk dengan lebih agar tercipta konsep perdagangan yang lebih menguntungkan antara kedua belah pihak, maka fair trade lahir, terbentuk karena keinginan untuk mensejetrahkan para petani. Misalnya dalam sistem fair trade komoditas biji kopi, pembeli biji kopi akan membeli dari para petani dengan membayar lebih daripada harga pasar kopi sendiri, hal ini akan sangat menguntungkan petani kopi, namun timbal baliknya karena membeli dengan harga premium, maka petani harus menjaga kualitas, ini merupakan skema fair trade yang biasa terjadi. Tujuannya adalah untuk kesejahteraan petani dan buruh tani dan partnership petani dan pembeli. Dalam fair trade komoditas yang biasa digunakan adalah handicraft dan produk-produk pertanian.

Namun bagaimana dengan indonesia? Di indonesia sendiri sudah mulai banyak para pedagang yang menerapkan sistem fair trade namun hanya untuk komoditas tertentu, karena yang berkuasa adalah tetap para pedagang bebas, yang berarti bebas beli, bebas jual, bebas menentukan harga, dan bebas lainnya. Inilah yang lebih banyak lagi terlihat di daerah dimana para pedagang dengan modal yang kuat akan dengan mudahnya menentukan harga kepada petani kecil, terlihat seperti petani yang butuh pedagang agar bisa hidup, padahal idealnya dalam fair trade, petani dan pedagang mempunyai hak yang sama dan kewajiban yang seimbang.

Di pasar, sistem yang terjadi dapat dilihat dengan jelas lagi bahwa pedagang dengan modal yang kuat akan menguasi pasar, dan susah sekali untuk masuk pasar bagi para pendatang baru. Arus komoditas dari petani ke pasar besar sudah disentuh oleh tangan-tangan yang membuat harga menjadi melambung.

Fair trade, lahir karena dasar keinginan adanya kesejahteraan bagi setiap produsen yang akan mendapatkan haknya sebagai manusia, dan kepastian dalam pembelian hasil bumi mereka. Fair trade berbanding terbalik dengan free trade dimana kesejahteraan pemilik modal terbesarlah yang diutamakan.

 

http://economicsfornoneconomics.co.cc/

rianhafizblog2009