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International Equity Placement Strategic Alliance: Exploring Stakeholder Support

International Equity Placement Strategic Alliance (IEPSA) is a strategic alliance of shared ownership between different nationality of partners. In 1998, the Indonesian Government initiated the IEPSA to privatise the State-Owned Enterprises (SOE). The problems were due to the lack of Stakeholder Support although the implementation was able to improve the performances. Variables within Stakeholder Support and the relationship were keys to bring IEPSA into prevalence. They comprise transparency, share price, a degree of internal relationship, fulfilment of the budget deficit, company restructuring, single moment, restricted shares in the market, the existence of the floor price, and plan for IEPSA. The research reveals that the dimensions of share price and degree of internal relations are the required bases for the government to formulate and implement the strategy to secure stakeholder support (involvement) using the matrix of a general strategy to secure stakeholder support (involvement)