RECOMMENDED LNG COMMERCIALIZATION STRATEGY TO MAINTAIN BUSINESS SUSTAINABILITY IN THE GLOBAL LNG MARKET (CASE STUDY PPTETS)

• Main Author: Kustanto, Adi
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/75746
• Institution: Institut Teknologi Bandung

LNG supply and demand growth has steadily increased in the past 12 months, recovering from pandemic related outages in early 2021. Supported by an increase in LNG supply and demand, a surge in LNG trading has been seen across the world, and there is no indication of slowing down in the near future. Those situations become the opportunity for LNG sellers who have potential uncommitted LNG supply to be offered to buyer. PPT Energy Trading Singpore Private Limited (in this research will be mentioned as “PPTETS”), which is owned 100% by PPT Energy Trading Company Limited (in this research will be mentioned as “PPTET Ty”), who is a joint venture company between Pertamina and various Japanese utility & power companies, is required to anticipate that opportunity. With consideration to the dynamic changes of global LNG market development, PPTETS needs to formulize company’s business strategy, which is intended to seize future business opportunity. The main objective of this research is to formulate PPTETS LNG commercialization business strategy to generate profit and maintain sustainability in the global LNG market. The analysis will consider both primary and secondary data, with underlying theoretical for external factors such as PESTEL analysis and Porter's Five Forces, while for internal factors analysis will utilize resource-based view and VRIO. As a synthesis of company’s internal and external analysis, SWOT analysis and TOWS matrix will then be utilized. Finally, based on the analysis and formulation that has been conducted, it could be figured out that PPTETS is having an opportunity and capabilities to maintain its business sustainability for doing LNG trading business in the global LNG market. After considering several findings from both external and internal factors of primary and secondary data, aside from cost focus leadership as a generic competitive strategy, there are 3 (three) specific business strategies recommendation to PPTETS in order to generate profit and maintain sustainability, which are: i) Collaboration with Pertamina, ii) Developing PPTETS internal procedures, and iii) Further PPTETS’ business development.