siness Opportunities in Indonesia: Due to the slowing economic growth and falling government revenues, now Indonesian government is trying to increase the value of foreign investments for enhancing economic growth and making infrastructure modern according to the needs. To encourage investments, the government is planning to extend tax exemptions and holidays for new sections. The government has plans of $450 billion to build the much needed infrastructure for five years up to 2019. The government has opened up opportunities for foreign investments in new six refineries, 15 airports and in 35000Mv electricity capacity (Chilkoti 2015).

As Indonesia has faced 1997 Asian financial crisis but now has become politically stable. Lots of factors available in the Indonesia like strong consumer needs, steady economic growth etc. are now providing many business opportunities in Health, Agriculture, Financial services, Infrastructure and Telecommunication. Australian Prime Minister Tony during his visit to the Indonesia has said that he is looking various opportunities for trade in investments and by 2025 it will be world’s 10 biggest economy. He also said whether lots of opportunities are available but to face the diverse culture of 600 ethnic races is also a challenge for foreign investors (Global Indonesian Voices, 2013).
Foreign investment and company establishment, 2015 defines that to establish a business in Indonesia is not an easy task. If the foreign company does not want to invest in the local entity and establish an independent identity, he first has to select a agent and distributor or open a representative office in the Indonesia. If the business shows the sign of growing, then foreign investor will apply for a company status. The foreign investor will establish the office according to the line of business and the government will open essential licences, the main disadvantage of opening representative office is that they cannot conduct direct sales and issue bill of lading.