As the leading impact consulting firm in Indonesia that works closely with social enterprises, we have seen firsthand how quickly global changes, like the United States’ recent tariff decisions, can affect local businesses. Here’s our perspective on what’s happening and what social entrepreneurs can do next.
The recent tariff policies introduced by the US are shifting the global landscape. As one of the world’s most powerful countries economically and politically, actions taken by the US often affect the rest of the world. These recent policies are disrupting trade systems, investment flows, and business relationships that have been built over decades.
As a result, we’re seeing how the policies are being met with various responses. Countries with power are pushing back, whereas others with less leverage are choosing to negotiate. But one thing is clear: many are actively seeking alternatives and new ways forward. A new balance will emerge. It won’t happen overnight, but it has started; more and more countries are realizing they don’t want to be overly dependent on the US.
The global landscape is slowly changing, and social enterprises need to be aware of what that could mean for their business in the long run.
What should social enterprises in Indonesia do?
If you’re a social entrepreneur in Indonesia, especially one connected to the international markets, the recent US tariff policies can feel overwhelming. But there are steps you can take to navigate the uncertainty.
- Stay calm
First, don’t panic. Keep an eye on developments that directly affect your business, but try not to overreact. When we make decisions out of fear, we often make the wrong ones. It’s important to stay grounded and focused. - Get back to your business fundamentals
Look at the core of your business. What are your biggest costs? Where is your income coming from? Which parts of your supply chain are most critical? Are they exposed to risk because of these new policies? Make sure to have a clear view of the basics. It will help you make better decisions. - Tighten your belt, protect income
Now is the time to be more disciplined with spending. Cut unnecessary costs and keep a close eye on cash flow. At the same time, make sure your sources of income are still secure. Are your customers still buying? Are they being affected by the change? If yes, it’s time to start preparing for that impact. - Look at how your customers are being affected
It’s not just about your own sales, it’s about your customers too. Are their sources of income stable? They may be safe now, but will they still be able to buy from you 6 months from now? Looking one step farther helps you anticipate what’s coming and adapt accordingly. - Explore new markets and customers
You have more control over expenses than income. That’s why this is the moment to think creatively. Are there new types of customers who might be interested in your product or service? New sales channels you haven’t used? Markets you haven’t entered yet? Use this time to explore. But remember, with uncertainty still in the air, you need to be selective and cost-conscious.
These kinds of global shifts are never easy to navigate. But we’ve seen how much resilience and creativity Indonesian entrepreneurs bring to the table. By staying calm, revisiting the basics, and being open to new possibilities, there’s a real opportunity not to just survive, but to grow even stronger.
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This article is part of our #INScope column, where we explore key trends, challenges, and solutions shaping the industry. Through #INScope, we share our perspectives on the evolving impact ecosystem and offer insights for sustainable growth and positive change.