Lotus Bankrupt, Aprindo: Cannot Survive due to Conditions

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Vice Chairperson of the Indonesian Retail Entrepreneurs Association Tutum Rahanta said PT Mitra Adiperkasa Tbk (MAPI) plans to close three Lotus Department Store outlets in Thamrin, Bekasi and Cibubur, the impact of business competition that cannot be matched at this time. The reason, the online sales industry or e-commerce is developing quite rapidly.

"Because it can't survive anymore. Because the conditions alone (sales trends change to digital), "Tutum told Tempo in Jakarta, Tuesday, October 24, 2017.

He said the retail industry will continue to experience a contraction next year. For this reason, Tutum suggests that the retail industry must also participate in the changes that occur.

"The solution (so that the retail industry can survive) follow the changes in consumers," he said.

In addition, the government must immediately make regulations or rules of the e-commerce business that is currently developing. According to him, the government must make fair rules for offline and online sales businesses.

With the same treatment, said Tutum, the two industries will be able to compete. "There should be the same treatment from taxation, SNI, BPOM, distribution permit and others."

He further said that in business competition there must be success, even bankruptcy such as Lotus. That, he said, was used to doing business. It is expected that as long as there is fair treatment for all, "he said. "If not, then those who obey will follow those who don't."

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