THE SWOT ANALYSIS AND DEVELOPMENT STRATEGY OF LOGISTIC SERVICES IN GUIGANG PORTS (CHINA) A CASE STUDY OF PT. AKR CORPORINDO TBK

Abstract

Many companies in different countries develop the logistic service industry. PT AKR Corporindo Tbk is a company that does the logistic service business in Indonesia and China. Its Chinese subsidiaries own five river ports in China and do the domestic logistic service since 2006 and their business is very successful. But the logistic market in China becomes stagnant since 2012. Many logistic companies’ profit has reduced or even gets loss. So do the subsidiaries of PT AKR Corporindo Tbk. This paper is supposed to use SWOT Analysis to research logistic service of the subsidiaries of PT AKR Corporindo Tbk under the stagnant market. Then use the SWOT Matrix to develop the strategies based on the SWOT Analysis. Based on SWOT Analysis, researcher has developed the strategies as follow: improve the service quality to compete the price war, use other cargo to replace the stagnant cargo, take full advantage of inter-company’s support, attract more customer of surrounding cities within product’s high season, develop other markets, visit potential new customers, re-arrange the employee schedule and salary proposal, avoid the equipment accident, make an outstanding account collection plan, HRD makes cooperation with college and university, recruit the employees who have additional skill – English skill, improve the low equipment utilization and make full use of government policy.