This research aims to formulate an effective corporate strategy for PT Pindad to penetrate the Middle East defense market. Using the AFI (Analyze–Formulate–Implement) framework as a foundation, the study applies PESTEL, Porter’s five forces, VRIO, and SWOT analyses to comprehensively evaluate the current conditions. Data collection was conducted through in-depth interviews with key stakeholders. Findings indicate that the Middle East presents an extremely potential market but with a highly competitive landscape. Based on the Ansoff matrix, this research proposes a stage-based corporate strategy, beginning with market development, leveraging PT Pindad’s existing product portfolio and diplomatic networks for short-term market access and transitioning toward Diversification through co-development of advanced defense technologies with regional partners. This two-phase strategy offers a balance between risk mitigation and long-term competitive advantage.
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