PROPOSED BUSINESS STRATEGY TO INCREASE MARKET SHARE OF BIOSOLAR TRADING OF PT BAHAN BAKAR INDUSTRI

• Main Author: Arya, Abdul
• Format: Theses
• Language: Indonesia
• Subjects: Karya Umum
• Online Access: https://digilib.itb.ac.id/gdl/view/49260
• Institution: Institut Teknologi Bandung

Petroleum products are materials derived from crude oil as it is processed in oil refineries. Gasoil CN 48, or in Indonesia known as its famous brand “Solar”, is one type of petroleum products that is used widely for diesel engine and other machineries. This research will focus on PT Bahan Bakar Industri (PTBBI), a real company in Indonesia, but not a real name, which involves in non-PSO (Non Public Service Obligation) market of ”Biosolar”, which is a mix between Solar with mandatory biodiesel in the form of Fatty Acid Methyl Ester (FAME), trading business in Indonesia. Biosolar consumption for industrial sector in Indonesia is declining from the year of 2017 to 2019. PT BBI, which has 74.8% of its revenues come from non-PSO fuel trading business, must face reality that its Biosolar sales volume had been decreasing on those years. Furthermore, from year of 2017 to 2019, Biosolar market shares of PTBBI have also declined from 13.3% in 2017 to 12.3% in 2019. This has become a problem for PTBBI because Biosolar consists of 93% from the total sales of PTBBI. Industry rivalry condition of non-PSO Biosolar trading business is high. Players create many attractive and valuable propositions to customers, such as innovative pricing, good supply guarantee, after sales service, and customer’s technical support. This research analyzes non-PSO Biosolar trading business situation to find business model improvement for PTBBI to maintain and to regain its market share.