FORMULATING BUSINESS STRATEGY TO GAIN SUSTAINABLE COMPETITIVE ADVANTAGE OF PT ASTRA INTERNATIONAL - DAIHATSU SALES OPERATIONS (AI - DSO)

• Main Author: Tika Faresti, Arsely
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/42653
• Institution: Institut Teknologi Bandung

Daihatsu cars in Indonesia are fully distributed by the management of PT Astra International through the sole agent, AI - DSO. Despite being the only agent of Daihatsu, AI - DSO is still suffering from declining sales growth, which can be seen from the declining sales in 2015 and 2017. Therefore, the main objective of this research is to formulate business strategy to gain sustainable competitive advantage of AI - DSO. This research will be started with identifying the root causes of declining sales of AI - DSO. Secondly, business solution will be generated in order to improve the sales of AI - DSO. Finally, the objective of this research is also to gain sustainable competitive advantage in order to face the upcoming challenges in the automotive industry. For identifying the root causes, business analysis was performed, which consisted of business analytical tools, such as PESTEL Analysis, Porter’s Five Forces Analysis, Business Ecosystem Analysis, Value Chain Analysis, VRIO Analysis, STP Analysis, SWOT Analysis, and Fishbone Analysis. Based on business issue exploration, targeted consumers AI - DSO are still the consumers who are looking for low price and functional cars, which still needs improvement to gain competitive advantage. Based on the new STP Analysis, the proposed positioning statement of AI - DSO is “offering functional cars at low price that have good quality with trendy design”. Following the proposed positioning statement, the strategy that applies both cost-driven and value driven for AI - DSO is best cost provider strategy that is both cost-driven and value-driven. The cost driven can be made through effective and efficient operational activities. Furthermore, the value-driven also needs to be implemented in order to provide high quality products. Based on the Ansoff Matrix, market development is the most suitable strategy for AI - DSO. In delivering proposed positioning statement followed by implementing best-cost provider strategy and market development, marketing mix frameworks that consisted of product, price, place, and promotion will be initial steps. In order to ensure the sustainability of AI - DSO, forecasting the future of AI - DSO is important and can be analyzed using Scenario Planning.