1.0 Introduction
In 1984, they opened a unisex casual clothes shop in Fukuro-machi, Naka-ku, Hiroshima under Japan which name "Unique Clothing Warehouse". It was at this point that the name "Uniqlo" was conceived, as an abbreviation of "special clothing". Corporate Mission is to make sincerely incredible attire with new and special value, and to able people all over the world to experience the pleasure, happiness, and fulfillment of wearing such incredible garments. The company also doing business in China, France, Hong Kong, Malaysia, the Philippines, Russia, Singapore, South Korea, Taiwan, Thailand, the United Kingdom and the United States (uniqlo.com).
The corporation was basically a division of Fast Retailing Co. by reason of its success it has developed to have its own stock on the Japanese equity market. In view of Businessweek.com Fast retailing co Ltd is currently worth 14,330 yen on Tokyo marketplace (fashionmodeldirectory.com). It does not make a difference who you are or where you live, UNIQLO makes clothes that transcend all classes and social organizations. Its apparel is made for all, going beyond age, sex, occupation, ethnicity, and all different ways that describe people. They also offer shoes, socks, scarves, tights, caps and different accessories. All the clothes are simple and basic yet common, so people can liberty join them in their own distinctive style (uniqlo.com).
As the founder stated that UNIQLO clothes are created for all highly completed elements of style in clothes that fit your values wherever you live. The special clothes concepts locate apart from clothes companies whose only for the purpose to seek for fashion trends (uniqlo.com).

2.0 Country Profile
Political
The Indonesia politics occur in a framework of a presidential representative democratic republic, the both head of state and head of government are whereby the President of Indonesia and a multi party democracy. Administrative power is performable by the government. Legislative authority is accordance in both the government and the two People's Representative Councils. The Judiciary is autonomous of the executive and the legislative body (princeton.edu).
The 1945 constitution accommodated for a limited separation of executive, legislative power and jurisdiction. The system of government has been showed as the characteristics of president and congress. Following the Indonesian rebellions of May 1998 and the abdication of President Suharto, a few political changes were set in movement by means of changes through constitutional amendment of Indonesia, which brought about changes to all departments of government (princeton.edu).
Changes likewise included an important approach of decentralization of political and monetary force. Considerable political forces were inherited to the nation's regions and were given control in excess of a great part of the state budget. Despite the fact that this mass decentralization risked expanding the rate of embezzle, it elevated regional governments to settle on a large portion of the crux choices about how best to utilize local assets (Aspinall, 2010). Therefore, local ethnic clashes and grievances could be managed in a useful political way (Lane, 2012).

Economy
Indonesia is the fourth generally crowded nation in the world at more or less 240 million people. Indonesia's economy is equality, incorporating manufacturing, services, and agribusiness. Indonesia’s most important cooperation partner is Japan, accompanied by the United States, Singapore, and South Korea (ambest.com, 2012).
In spite of the fact that being a relatively open economy, Indonesia weathered the worldwide downturn astoundingly well. Supported by a strong national market, a sound monetary sector, and well-coordinated and very viable risk management by the government and the central bank, Indonesia's economy rise by 6% in 2010, up from 4.5% in the previous year. In 2010, CPI inflation was at 6.96% through year over year, after price of commodities plough into the second half of the year and predicted to increase. This advancement puts force on private consumption and also compelling the central bank to monetary restraint (bti-project.de, 2012).
Enormous foreign investments are a further concern, as they take on the risk of forward inflationary force and bubble creation. Unemployment pressed on turn down to 7.14% at the close of 2010. On the other hand, the majority of the new employments were made in the informal sector. The improvement of financial conditions happens because of the strong economic growth and tax changes. It was increased significantly for both exports and imports. In spite of the fact that the Indonesian Rupiah acknowledged by 3.8% in 2010, the sound economic get over of trading partner countries and rising worldwide commodity prices result in unusually high trade growth rates. Determined by growing purchasing capacity and crop losses, imports rise high significantly at the finish of 2010 (ambest.com, 2012). The growth of economic was around 6% is predicted in full year 2012 and 5.9% into 2013, push forward by healthy domestic purchaser spending and investment (bti-project.de, 2012).

Figure 1

Legal
The Indonesian legal institution is a mixture of the traditions which have affected it through the hundreds of years. The three principal strands are customary law, Romano-Dutch concept of citizens, and after independence of legislation. In business law every one of the three strands could be seen: the principle business statute (the Commercial Code 1847) dates from the colonial period, but is supplemented by present day enactment, for example the Capital Market Law 1995 and the Oil and Natural Gas Law 2001. Concept of Law, for example "agreement through decision making” are additionally part of business practice (law.gov, 2002).
The constitution dates from 1945 and has been changed 4 times since the fall of Soeharto. These changes have given limited authority of the President and the central government. The 2001 alteration accommodated the formation of a Constitutional Court, which is authorized to review legislation, resolve debates between national institutions, ruling disputed election results and regulate on Presidential indictment. Judgment of the Constitutional Court are final and binding (lawsociety.org, 2010).

Culture
The key concepts and values of Indonesian Culture which categorized into four groups are communication style, time, conformity and religion. Indonesians have a tendency to convey in a subdued and not direct manner. They do not always say precisely what they think. Indonesians talk in an unobtrusive tone and in this way it is dependent upon the audience to grab on communication subtleties by paying attention to non-verbal communication and signals. Indonesians are good-mannered and diplomatic in their discourse and will make great efforts not to irritate others. Indonesians will do anything to conceal any hint of failure face and also means avoiding argument or telling others what they need to catch instead of coping with immediate issues (bina-antarbudaya.info).
Next, time in Indonesia is going on for in a very relaxed and flexible way. Through the commercial negotiations Indonesians do not like to rush and regularly do not spend their time to arrange everything in detail. Punctuality is seldom observed, as Indonesians dislike feeling hastened and do not have the western sense of urgency. The Indonesian disposition towards time is reflected in that, for them time is not very important. They might demonstrate less concern in profit or material triumph but rather establishing relationships (Anne Foss,2008).
Furthermore, Indonesia is a collectivist social order that places higher essentialness on the gathering than the single person. The Indonesian counterparts will constantly position for their family and community focus more on the business or individuals (Anne Foss,2008).
Lastly, Indonesia presently is the world’s biggest Islamic country Muslims supplicate five times each day and in a few working environments in Indonesia there are discrete spaces for day by day pray to God. There are however diverse degrees to which Islam impacts Indonesian commercial culture, however it is key to remember that its impact when working with Indonesian counterparts. Ramadan is a major Islamic custom that involves fasting for a whole month. Despite the fact that outsiders are not needed to fast, it is acknowledged rude to eat or drink in front of others throughout this time (Anne Foss,2008).

3.0 Entry mode strategy
To expand business to foreign country, I would choose exporting method. Exporting is the direct sales of goods of domestic products and market in another country. It is also a traditional and effective approach of reaching foreign markets (quickmba.co).
There are several advantages to expand the business in Indonesia. In Indonesia, there are more than 300 ethnic groups which is the world’s fourth most densely inhabited country in Southeast Asia and with a strong and growing economy by expanding 6% for the past nine quarters (wikipedia.org).
There are three effectively affect through the amazingly unique fashion sense in Indonesia which are mixing traditional and modern styles. Besides that, UNIQLO designs are very simple, easy to mix and match for different races to have their own unique styles (expat.or).
The largest economy in Southeast Asia’s Indonesia was increased rapidly through the fashion market during the past few years. The Indonesia’s income per person is almost twice in the past six years. In addition, a survey which provided by Bank Indonesia about the customer confidence in January showed that Indonesians maintained optimistic on economic growth. Lastly, for another central bank survey demonstrated that the index of retail sales increased by 15.7 percent in December from 2012 (thejakartaglobe.com, 2013).
As a result, the high population, growing economy, unique fashion sense, high income and retail sales which are having a good condition that suitable for expanding the business in Indonesia country.

4.0 Challenges
There are several challenges that the international business may face in doing their UNIQLO business in Indonesia country. The first challenge of Uniqlo to do business in Indonesia will face a problem due to the proportion of customer is big and need segmentation to satisfy them. The high population and consumer spending can show that the economic power is very high. Due to the economic power is very high that can affect the demand going to increase in the country (Hadi Susanto, 2013).
According to the recently report, the gross domestic product (GDP) showed that 60 percent of Indonesia people based on household consumption. In the past year, Indonesian spent on household consumption which in Rp 4,496.4 trillion compare to the GDP in the Indonesia country was only Rp 8,241.9 trillion. It showed Indonesian spent a large amount on household consumption (Hadi Susanto, 2013).
Furthermore, the Indonesia population and consumer spending are increasing in year after year. Based on the population and consumer spending are showed in the reported by the Indonesia statistics.

Figure 2
In 2012, the final recorded showed the total population in Indonesia was at 245.9 million people (tradingeconomics.com).

Figure 3
Based on the months between October to December 2012 through January to march 2013 has been increased by consumer spending. From 2012 to 2013 are increased at 368212.80 IDR Billion to 369310.20 IDR Billion (tradingeconomics.com). As a result, high population and consumer spending are benefits to the UNIQLO to expand the business in Indonesia but they will face a problem on serving and satisfied their customers due to the large amount of people. For example, customers need to spend plenty of time to find, try and make payment for their clothes which inconvenient for them. It will have an effect on the company to make the sales decrease by the reason of customers think it is spending too much time on purchasing the products at UNIQLO.
The second challenge of UNIQLO to do business in Indonesia will face languages problem. The problem will face in Indonesia because of UNIQLO Company will expand the business from Japan to Indonesia. Japan and Indonesia speak different languages in their country. Through the communication, they will have problem of misunderstanding what the speaker expresses to the original meaning.
Japan is a place that is known for numerous languages. The major languages involved Japanese, Korean, and Okinawan. For a small number of minor languages are Kikai, Kunigami, Oki-No-Erabu, and Yonagami. Generally, most of people in Japan speak the Japanese language. Around the range of 121,000,000 people in Japan speak Japanese as their first language. The Japanese language has some dialects with the Kagoshima vernacular being spoken by 84% of the people. There are no less than three distinctive composition frameworks together with Hiragana, Katakana, and Kanji. Kanji framework utilizes Chinese characters. Buddhist, Shinto, and Christian compositions have all been made as Japanese. Around the range of 5% of number of inhabitants in Japan speaks Korean (thinkquest.org).
In the opposite side, Indonesia languages are more complicated and categorized in numerous forms. There are numerous languages used in Indonesia. The Indonesian name for the dialect is Bahasa Indonesia. The major dialects of Indonesia are Austronesian. Austronesian is a group of agglutinative dialects spoken in the range limited through Madagascar in the western Indian Ocean and Easter Island in the eastern Pacific Ocean.
There is an impressive differences in the dialects utilized as a part of Indonesia. It is no less than 669 dialects. The main dialects spoken by 1 million or more people involved Javanese (70 million), Sundanese (25 million), Malay (10 million), Madurese (9 million), Minangkabau (7.5 million), Bahasa Indonesia (or Indonesian, 6.7 million), Balinese (3 million), Buginese (2.5 million), Acehnese (2.2 million), Toba Batak (2 million), Banjarese (1.8 million), Makassarese (1.5 million), Sasak (1.5 million), Lampung (1.5 million), Dairi Batak (1.2 million), and Rejang (1 million). And also, about 2 million occupants additionally spoke one of some vernaculars of Chinese (mongabay.com, 1999).
Malay was utilized for hundred years as a most widely used language in numerous parts of the archipelago. The term Bahasa Indonesia which implies to change form of Malay. Bahasa Indonesia was spoken in more than 90 percent of families in Jakarta, however outside the capital just 10 to 15 percent of the inhabitants spoke the dialect at home. In Javanese ranges, just 1 to 5 percent of the people spoke Bahasa Indonesia in the home. Across the nation, then again, around 6.7 million Indonesians utilized Bahasa Indonesia as a main dialect while more than 100 million others utilized it as a secondary dialect (omniglot.com, 2013).
As a result, it is difficulties for Japan and Indonesia to communicate well by understanding each other. During the communication, both parties need to spend a lot of time by repeating and explaining the same topic to each other. This will be the big impact on doing the business in Indonesia.
The third challenge of UNIQLO to do business in Indonesia will face some competitors. Indonesia is one of the most competitive markets through the business. Giordano and PADINI are the main competitors in Indonesia. Men’s, women’s and children’s clothes and accessories are the leading International retailer of Giordano. From their beginnings as a maker of leisure wear in the 1970s, Giordano has improved into one of the world’s most reputation, clothing retail brand. By concerning relentlessly on their five corporate business qualities value, knowledge, innovation, service, and simple and easy. Giordano's vision is to be the most amazing and best world brand in clothing retailing. It is also a dynamic retailer of leisure wear by providing what needed in a market that is young and has a desired for refreshing and affordable clothes. In an industry which is plagued by always showing signs of change patterns that make rising production costs, Giordano has developed a more malleable approach to stylish retailing. The clothes can be easy mix and match and casuals has demonstrated famous for all age of customers and nationalities exhibiting the worldwide appeal of the brand (giordano.in, 2009).
Padini furnishes stylish and basic formal and leisure wear for today young executives. Padini's style concerns on portions, sharp clipping and easy style. The sum of the collections items are can be simply understood and appears can be very simple to place together. Through different seasons, Padini likes to focus on coherence and consistency while as of now keeping in with current trends. To be the best stylish company is the vision of the Padini Group. Padini seek to be a worldwide leadership in the stylish and retail industry with the highest design standards, manufacturing, quality, client administration, branding and innovation. As an innovatively push forward and design oriented organization, Padini need to make design cognizance that is fashionable yet reasonably priced inside their brand in the market segmentation (padini.com, 2013).

5.0 Recommendations According to the first challenge of UNIQLO to do business in Indonesia, I will recommend two useful methods to convenient for customers by purchasing their products in spending less time at UNIQLO shop. The first method is to schedule the time for customers to shop at UNIQLO. For example, the first 1000 customers shop at UNIQLO, they can shop at the time they visit. After the 1000 customers want to shop at UNIQLO, they will need to shop according to the number which every individual have been taken. For the customers schedule time, it will post the customers shopping time by the numbers on the UNIQLO website per hour for customers to know the latest and having their own period of time to shopping at there. The second method is to provide the unique services for the VIP customers. UNIQLO Company will provide the unique services to convenient customers by trying their clothes with a single touch. For customers to try their clothes, they only need to stand in front of the IT screens and choose the types of clothes and colors that they are interested in without going to the fitting room and wasting their valuable time for queuing up. For using the above methods, it will help the customers to save their time and convenience for them. And also, customers are having a good service at UNIQLO. To compare the other shops in Indonesia, UNIQLO provide the strength that the other competitors do not have. Because of the special services at UNIQLO, it will increase the sales of the company.
According to the second challenge of UNIQLO to do business in Indonesia, I will recommend the UNIQLO company to invest in employees language-training programs before they go to work at oversea to help company growing the businesses well. Most of the companies by using this method, it showed an improvements in employee productivity and business performance over five main business ranges which at market development, client administration, workforce improvement, work environment wellbeing, productivity and collaboration Figure 4.
As the saying that business is not just all about the relationships, however the fact is that business is truly all about communication. Communication is the main things to almost for all part of the business. It is for gaining and holding customers to enhancing worker engagement and performance. At the most basic level, business cannot happen without communication. In this globalization time, it is even more needed. To communicate effectively with customers, workers, colleagues, suppliers and different stakeholders over the globe turn into important to be successfully running a business. The more knowledge you have, the better business you will create (strategy-business.com, 2013).
According to the third challenge of UNIQLO to do business in Indonesia, I will recommend that to build up the strengths of the UNIQLO company. First, the company needs to do more publicizing for their products because of expansion consciousness of the clients towards its brands. And also, for launching the new products within 4 months to complete it. Firstly, clothing designs are sent to original equipment manufacturer to offer the sample. At that point, the designer group might survey the pattern items for numerous times before it acknowledgement its production.
Next, given the seasonality of stylish retailing, new designs from UNIQLO could stay in front of the competitors. In every season, UNIQLO proceeds promotional campaigns for core products for example fleece, Ultra Light Down coats, polo shirts, and HeatTech. Throughout campaigns, UNIQLO publicizes a core product’s exclusive qualities and newsworthy offers on TV and in other media. For instance, week by week flyers in the Saturday version of national newspapers push the most cutting edge clothing at weekend only prices.
Furthermore, to provide the customer center to receive more than 70,000 opinions from the customer's point of view in yearly. The appropriate department and take action to help them get better products, stores and services.
The declaration of global quality over the years in September 2004, UNIQLO’s brand image has been modifying completely. Before, UNIQLO is regarded as cheap clothing retailers, but now the image is on high quality clothing by functional materials and fabric quality. After the announcement, is fully complete the internal product development system, lead to an unwavering commitment to quality at affordable price (fastretailing.com, 2011) Figure 5.
UNIQLO key strengths are to provide clothing which has with sumptuous materials at affordable price. To compare the others company, UNIQLO sell same types of products in cheaper price and obtaining better quality materials for the products. Such as cashmere, American Pima cotton and premium down at relatively level costs.
Lastly, another key strength of UNIQLO is able to build demand and by the fiber manufacturers to jointly develop new functional materials. UNIQLO grow with its innovation HeatTech materials with artificial fiber producer and strategic companion Toray Industries. Enduring upgrades throughout the years have guaranteed the proceeded accomplishment of this project. By collaborating with specific producers, UNIQLO provides garments with new, special functionality at costs that everyone can afford it.

6.0 Conclusion
Doing business in Indonesia, it faces challenging undertaking for the forecasted future. The decision making by the company, it may affect the operating of the business. Under the economy market is also playing an important role in the business. Although doing the business in Indonesia is a good place but it also makes a lot of challenges in the market. Moreover, through the challenges the company will know what are the problems they are going to face and to know where the weaknesses of the company need to improve it. To stand up with those competitors, the company needs to always think about the strategies of the business. And also, it makes an improvement on the effectiveness and efficiency of foreign companies. In the point of view, every company has to find out the unique operating model and include the core competencies with an understanding of its specifics. Lastly, to build a company successful, every individual need to be more knowledgeable.

7.0 References
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