Blue Ocean Strategy of Pertamina (Indonesia’s State Owned Company) to Anticipate Foreign Competitor Threats on the Ron 92 & Ron 95 Petrol Share Market
The enactment of Law Number 22 Year 2001 concerning Oil and Gas ended PERTAMINA's (Indonesia’s State-Owned Oil Company) monopoly in the Indonesian non-subsidized fuel oil market to enable private and foreign players to enter the downstream side of the Oil and Gas business activities. As a result, PERTAMINA experienced business competition with foreign companies in the non-subsidized fuel market, especially high-octane RON 92 and RON 95. The level of the market share of non-subsidized fuels by PERTAMINA had decreased. The more aggressive foreign competitor will pose a big threat if PERTAMINA does not improve itself. The purpose of this study is to identify measures to compete with other foreign oil players. The study uses a questionnaire survey and interviews of 40 (forty) respondents at PERTAMINA and Shell gas stations. In facing competition with competitors, PERTAMINA uses the Blue Ocean Strategy (BOS) as a business competition strategy. The results of the methodology using the BOS shows that the problem of quantity and quality (including cleanliness) of the supporting facilities at PERTAMINA gas stations are the two main factors that must be improved if PERTAMINA wants to survive against the threat of competitors who will always try to fetch the PERTAMINA market. The ability of PERTAMINA to develop environmentally friendly and pollution-free products allows PERTAMINA to leave the ‘red sea’ to the ‘blue sea’. However, the factors of promotion and information are given to customers are not strong, so that customers are not interested in Bio-fuel products issued by PERTAMINA. In addition, the accuracy of fuel filling, accuracy of payments, and adequacy of facilities at PERTAMINA gas stations can be improved to increase customer loyalty. Finally, high-octane fuel that is pollution-free and environmentally friendly is a factor that can be created by PERTAMINA and has the opportunity to get big profits for PERTAMINA.