The Indonesian government is encouraging their state-owned enterprises to utilize their local tech startups. Both have cooperated in new and numerous products and projects with additional partnerships and capital back-ups from various companies. An example of this being the Bank Mandrini launching a co-branded visa with Shopee to attract clients and meet the demand of their existing ones. 

These start-up companies are using a “bottom-up approach,” meaning that they are developing products that the market is demanding. This is also an approach that is encouraged for state enterprises to use and partnering with tech companies could expand and introduce them to a new user base. 

Though this is great for growth and development, it also increases the competition which comes with its downsides. For example, when start-up company Gojek introduces their ride services in Indonesia, The biggest ride service there, Bluebird taxi’s demand started to drop. With this, there were many complaints and as a solution, they partnered up and now Blue Bird taxis could be called the front of the Gojek app. The main point to take away here is that to have a win-win situation collaboration is needed.