Case | HBS Case Collection | January 2010 (Revised February 2010)

IFP, Indonesia

by Roy D. Shapiro

Abstract

IFP, Ltd. is a Europe-based multinational mining and minerals company contemplating an investment to produce forest products in Indonesia. The primary case decisions are 1) how to assess political and operating risk, 2) how to integrate economic and political risk analysis in order to select among the alternative spatial and operating configurations, and 3) how to manage operations in order to minimize risk. This case is an effective vehicle for discussing the complex issues involved in operating in the difficult, uncertain political environment of a developing country.

Keywords: Developing Countries and Economies; Investment; Geographic Location; Risk Management; Supply Chain Management; Business and Government Relations; Forest Products Industry; Indonesia;

Citation:

Shapiro, Roy D. "IFP, Indonesia." Harvard Business School Case 610-052, January 2010. (Revised February 2010.)