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Did Paul Lahti, the director of the Minahasa Raya mine, make the correct decision in the closing of Newmont Mining Corporation's Minahasa Raya mine?
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Scott Reisman 12-18-04 International Business Prof. Milton Newmont Mining Term Paper BACKGROUND: Indonesia is a country full of civil unrest, political reforms, economic struggle, and government turmoil. Paul Lahti, the director of the Minahasa Raya mine for Newmont Mining Corp. choose to do business in this country. After Japanese rule a man by the name of Ahmed Sukarno took power and Indonesia claimed their independence on August 17, 1945. He was the first president and tried getting rid of all the communist presence that was left there by killing them. After a financial crisis in 1997 hit, the economy was sent spiraling out of control, and citizens demanded that Sukarno give up his reign. In 1999, Abdurrahman Wahid was elected president, and was expected to restore an already fragile economy. Newmont Mining faced many new challenges in Indonesia. There was the change of political power, illegal mining, environmental protestors, and declining gold prices. The change...
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