Case Study

Young Living: a Case Study of Establishing a Branch Office in Jakarta

1. Problem

As the world leader in essential oil products and wellness solution, Young Living has successfully produced and distributed one of the most genuine essential oils worldwide. Young Living is committed to providing pure and powerful products with life-changing benefits for every family.

Established in 1994, Young Living has its main headquarters in Lehi, Utah, and has offices across Australia, Europe, Canada, Japan, and Singapore as well as farms around the world.

At the end of 2015, Young Living decided to open a branch office in Indonesia located in Jakarta . Through PT Young Living Indonesia, the company seizes a good opportunity to serve the Indonesian market with their products and some variants of their products.

2. Solution

Young Living decided to engage Cekindo as their consultant company in Indonesia to provide with local partner services, including legal advice on some documents in connection with their intention to establish their own legal entity in Indonesia. Since their core business is direct selling (multilevel marketing), they were keen to import their essential oil products as well as food and dietary supplements and have them distributed in the local market for the Indonesian customers.

3. Cekindo Services

Young Living appointed Cekindo as their consultant for their product registration process along with local partner services. They engaged with Cekindo to provide them the following services during the initial stage of their product registration process:

  • Food and Dietary Supplement Registration
  • Local Partner Service

4. Result

At this stage, Cekindo successfully provided local partner services to support the company formation of Young Living in Indonesia. Currently Cekindo is managing the company’s product registration for food and dietary supplement for Young Living to obtain approval from the National Agency of Drug and Food Control (BPOM).

5. Challenges and Cross Services

The whole process was conducted within a specified time. Obtaining product licenses requires expansive knowledge and experience with the Indonesian regulations on product registration and being up to date on any changes with the regulations.

The communication between Cekindo and the client (Young Living) was important during project implementation to ensure excellent coordination in accordance with the requirements from the local authorities.

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