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The Coming of age of Indonesian-Chinese conglomerates

Author: Lasserre, Philippe INSEAD Area: StrategyIn: Journal of European Asian Management, vol. 1, no. 1, June 1995 Language: EnglishDescription: p. 1-24.Type of document: INSEAD ArticleNote: Please ask us for this itemAbstract: Any foreign investor seeking Indonesian joint-venture partners will inevitably be drawn into a web of conglomerates, the majority of which are controlled and owned by the country's ethnic Chinese minority. Since the Indonesian-Chinese community carries out most of the country's businesses it is important to understand their role in society. Although local Chinese make up only 2.1% of the population, they account for an estimated 50% of the private domestic capital in Indonesia. This article identifies the largest of Indonesia's Chinese-owned conglomerates, describes their evolution and the ramifications of their existence and analyses the peculiarities of their managerial culture.
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Any foreign investor seeking Indonesian joint-venture partners will inevitably be drawn into a web of conglomerates, the majority of which are controlled and owned by the country's ethnic Chinese minority. Since the Indonesian-Chinese community carries out most of the country's businesses it is important to understand their role in society. Although local Chinese make up only 2.1% of the population, they account for an estimated 50% of the private domestic capital in Indonesia. This article identifies the largest of Indonesia's Chinese-owned conglomerates, describes their evolution and the ramifications of their existence and analyses the peculiarities of their managerial culture.

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