Four major rival consumer credit providers in the country, GE Finance Indonesia with its Sumber Kredit, Citibank with its EazyPay, Standard Chartered Bank and PT Columbindo Perdana with its Columbia, are in the very tough race to maintain their existing market share and to gain the leading position in the business. Each has the strengths and weaknesses in delivering their bests in serving the customers. But in the era where the trading is in its revolution and moving from the physical world of shops and office to the digital domain where computers live, the player to lead the business will only be the one capable to capture the tremendous benefits offered by the e- business, in term of greater efficiency, reduced costs and higher conveniences for business and consumers.

Within the six months period of this Group Field Project Assignment, we experienced watching dramatic change in the consumer credit industry where GE with its Sumber kredit had to loose its dominance in the retail business because of the aggressiveness of its major competitors and penetration of the new entrants in the industry. Now, inspired by GE's philosophy of " to be the number ONE or TWO position in most or all GE business ", we focus this GFP on the strategy for GE's Sumber Kredit to win the competition. On the basis of some observations on the industry, surveys and questionnaires to the retails and consumers, we come up with an academic approach proposal for winning the intense competition by "focusing to lower-medium end market with e-B2B strategy and intensive advertising". What we really expect from GE, as the follow up of this GFP, is an enhancement and extension of the survey and questionnaires to a larger coverage and scope, to test the findings and statements given in this GFP, so that GE can derive the actual strategy from this academic approach.

We have conducted a complete analysis to define the level of competition and profitability of the industry, identified the strength and weakness of Sumber Kredit in the competition, and, determined the strategic positioning to win the competition. Development and implementation plans have also been explored.



Research Location: PT GE Finance Indonesia

Supervisor: Roy Sembel, PhD. and Mia Bernardi

Accepted : 31 January 2001



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