Salim Group

7047 Words Apr 14th, 2013 29 Pages
Table of Contents Executive Summary 1 1. History of the Salim Group 2 1.1 Phase One: Introduction of a Conglomerate 2 1.2 Phase Two: Transition to the Second Generation 4 1.3 Phase Three: Financial Crisis and Reform 5 2. Competitive Environment 6 3. Features 7 3.1 Ownership and Organizational Structure 7 3.2 Leadership and Decision Making 9 3.3 Connections and Relationships 10 3.4 Social Capital 11 3.4.1 Public Perception Related to Corruption 12 3.4.2 Reputation as a Source of Financing 12 3.4.3 Leveraging Relationships with Western MNCs 13 4. Future Strategy 14 5. Future Challenges and Opportunities 15 5.1 Changes in the Institutional Environment 15 5.2 Succession Planning 16 5.3 Centralization of …show more content…
At the same time, Sudono started a family and fathered both Anthony Salim and Andre Halim, two sons that would eventually play a prominent role in the Salim Group. It is in the 1940’s that the Salim Group was founded; however, sources do not specify the exact commercial nature that Sudono pursued. After the Japanese occupation, Sudono actively supported the Indonesian Independence movement who were fighting the Dutch army. Sudono was part of the Futsing Hwee movement and helped hide revolutionary leader Hasan Din, the father-in-law of Sukarno, for over a year. This would prove to be an important connection for Sudono as the Indonesian nationalists won independence and enabled Sudono to resume trading commodities such as peanut oil, cloves, and coffee. Through his connection with Hasan Din, Sudono was labeled as a “trustworthy supplier of the military”. As a result, Sudono profited from helping the Indonesian army both during and after their independence movement (Dieleman, 2007b).
Following independence, Sukarno took over Indonesia in 1957 and implemented a closed economic policy that rejected foreign capital and focused on creating a greater role for government nationalism (Dieleman, 2006). Although Sukarno’s policies attempted to favor indigenous businessmen with his Benteng program, Sudono and Indonesia’s Chinese minority economically
Open Document