Philippines 26.2 29.9 33.3 36.5 39.2 Vietnam 20.7 24.6 28.6 32.0 35.2 Source: eMarketerLEGAL FACTORSAccording to the Annual Corruption Perceptions Index, which offers a ranking system of the public sector corruption in 180 different countries, Indonesia was listed as 89 out 180. With a score of 38/100, Indonesia was listed as a highly corrupt country. Usually low scores come from countries were democratic foundations are not stable. However, Indonesia has had an improvement in score over the last five years. In 2015 the score was 36, by 2018 it had improved to 38. The GOI has worked toward a structural reform. By implementing social programs such National Program of Community Empowerment (PNPM), Sustainable Development in the National Development Plan (RPJMN), and PAMSIMAS Program, the continuation of Water Supply and Sanitation for Low Income Communities Project. The GOI has also made it a priority to provide healthcare and education to every individual in Indonesia. Many new rules, regulations, tax reforms and improvements in labor laws and company laws,
11 has drastically reduced poverty rates by half, since 1999 ((Meryana el al., 2019). ENVIRONMENTAL FACTORSIndonesia, comprised of over 17,000 islands lies between the Indian and Pacific Ocean. Rich in natural resources such as petroleum, tin, natural gas, nickel, timber, bauxite, copper, fertile soils, coal, gold, and silver have provided the country with profitable exports. In additional to natural resources the countries location has placed them at a geographical advantage. Indonesia shares many borders with many countries and due to being so diverse, Indonesia also shares many cultural similarities with neighboring countries. Similarities between Indonesia and neighboring countries are not only territorial and cultural but also for the economic needs. Being a member of the ASEAN has positioned Indonesia to participate in the Free Trade Agreement has economically boosted not only Indonesia but ASEAN economic positioning on a global level. Indonesia has a vast ocean area has been an advantage as ships became one of the main ways transport imports and exports to and from foreign countries. Currently land and ocean corridors are being used and constructed. Amazingly Indonesia, despite some strain and tension, has managed to keep fairly peaceful relationships with Malaysia, Philippines, Australia, and Papua New Guinea. Although geographically positioned for ideal trading through land and ocean corridors, the location of Indonesia does not come without natural disaster threats. Due to active volcanoes, reoccurring earthquakes and tsunamis thousands of people have died recently. In 2018, Indonesia suffered three of top ten deadliest natural disasters according to US News and World Report. In July and August, a 6.4 and 6.9 magnitude earthquake took 468 lives. By late September, a 7.5 magnitude earthquake which brought with it 20 foot tsunami, brought devastation to Sulawesi Island, leaving 330,000 people homeless and 2,783 dead. In December, a tsunami killed 430 people, triggering a state of emergency on the west coast of Java.