Exploring Stakeholders’ Support in an International Equity Placement Strategic Alliance

Harimukti  Wandebori; Harm-Jan  Steenhuis; Aard J.  Groen

Harimukti Wandebori School of Business and Management ITB
Harm-Jan Steenhuis Hawaii Pacific University
Aard J. Groen University of Twente

Keywords: Strategic Alliance, Stakeholder, Transparency, State-Owned Enterprise

Abstract

An International Equity Placement Strategic Alliance (IEPSA) is a strategic alliance of shared ownership between partners of different nationalities. In 1998, the Indonesian government initiated the IEPSA to privatize its State-Owned Enterprises (SOE). Problems arose due to the lack of stakeholders’ support, although it was able to improve the performance of the SOE. Variables within the stakeholders’ support and the relationship among stakeholders were the keys to bring the IEPSA into prevalence; they comprised of its transparency, share price, the degree of the internal relationship, fulfilment of the budget deficit, company restructuring, unprecedented moment, restricted shares in the market, the existence of the floor price, and the plan for the IEPSA. The research reveals that the dimensions of the share price and the degree of the internal relations are the required bases for the government to formulate and implement a strategy to secure the stakeholders’ support (involvement) using the matrix of a general strategy to secure their support.

Author Biographies

Harimukti Wandebori, School of Business and Management ITB

He is a Lecturer, and Consultant of prominent companies in Strategic Management, Business Strategy, Marketing Management, Marketing Research at Bachelor and MBA Programs, at School of Business and Management (SBM) ITB, Bandung, Indonesia. He earned his MBA (2001) in Corporate Strategy and Economic Policy (2001) from Maastricht School of Management, the Netherlands; and his Doctor in International Strategic Alliance, Equity Placement, and Privatization (2016) from University of Twente, the Netherlands.

Author contact details: Institute of Technology Bandung, Jl. Ganesha No. 10, School of Business and Management, ITB, Bandung 40132, Indonesia; phone number: +62-22-2531923; e-mail: harimukti@sbm-itb.ac.id, and harimukti99@yahoo.com

Harm-Jan Steenhuis, Hawaii Pacific University

He is Professor of Management, and International Business at the Hawai’i Paccific University, US. He earned his M.Sc. in Industrial Engineering and Management, and his Ph.D. from University of Twente, The Netherlands. He has published two books and over 130 referred articles, book chapters and conference proceedings in the areas of international operations, (international) technology transfer and related to this technological and economic development which also connects with innovation and clusters; strategic operations and global supply chains; and the interface of instructor and student learning. He has a special interest in the aviation industry and the global development of additive manufacturing. He is Editor-in-Chief of the Journal of Manufacturing Technology Management and Editor-in-Chief of the International Journal of Information and Operations Management Education and is a regular reviewer for many other journals. He has served on more than 25 conference scientific committees. He serves on the Board of Directors of the International Association for Management of Technology and is also on its Executive Committee as the Treasurer. He previously served on the Board of Directors of the Spokane Intercollegiate Research and Technology Institute, a high-technology business incubator. He is also a participant in the Micro-economics of Competitiveness Network which is run by the Harvard Business School’s Institute for Strategy and Competitiveness.
Author contact details: 1 Aloha Tower Drive, Honolulu, HI 96813; phone: (808) 544-0849; e-mail: hsteenhuis@hpu.edu.

Aard J. Groen, University of Twente

He is Professor in Innovative entrepreneurship, research fellow of IGS, Scientific Director of NIKOS, the Dutch Institute for Knowledge Intensive Entrepreneurship at the University of Twente, The Netherlands, and Head of Department of Entrepreneurship, Marketing, Strategy and International Management. He received his Ph.D. in Business Administration from the University of Groningen, and (M.Sc.) from the University of Twente. He also is member of the steering group of EISB the EFMD-chapter on entrepreneurship, several Dutch policy councils and chaired conferences on High Tech Small Firms (Enschede, 2004, 2006), Dutch Flemish academy of entrepreneurship, European summer school on entrepreneurship, and delivered key notes to conferences in The Netherlands, Finland, Germany, South Africa and Russia. His research interest is focusing on knowledge intensive entrepreneurship in networks. He published in journals and books on entrepreneurship, marketing, environmental management, university-industry interaction and technology dynamics. Groen is member of the editorial board of the Journal of Technopreneurship. He teaches on all academic levels Innovation, Marketing and Entrepreneurship. He is involved in several projects on business development methods in national and international contexts, among others in Twente, Moscow, South Africa, and the Baltic region.

Author contact details: +31534892885, and +31534895355 (if no answer); e-mail: a.j.groen@utwente.nl.

References

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