Perpustakaan Digital ITB

Machine tools industry in Indonesia is an industry that can be classified in the category of the parent industry. This means, the existence of machine tool industry can trigger the development of other industries, such as industries that rely heavily on machinery like automotive industry, because machine tools work by processing metal component and shaped them into a desired form. Currently, the machine tool industry in Indonesia is faced with problems such as the increasing competition due to the existence of foreign company that exported machine tools to Indonesia and that take the domestic market share. It happens because many of the machine tool companies in Indonesia are still unknown by their prospective consumers. In this essay, writer tries to describe the condition of the machine tool industry in Indonesia by taking one of the largest machine tools companies as case study material in this essay that is also experiencing similar problems as mentioned above. Through interviews and direct observation, the author attempted to discuss the problems happening in this company that mainly circulated around the problem of unsatisfactory volume of sales. In addition to the competition from foreign companies, disappointing sales achieved by these companies are also caused by the impact of the global financial crisis that occurred in 2008. However, the company tried to take advantage of their difficult selling period by doing research and development in order to make innovations in companies' product.