SOCONY, The Trace of Rockefeller in Semarang

Petroleum industry since in the late of 19th century was became a freshly new lucrative mining industry in the world. Indonesia or Netherlands East Indie  in the old days became became the fourth-largest exporters of oil after the US, the USSR, and Iran during the first half of the 20th century. As for Saudi Arabia, its oil deposits weren’t discovered till 1938 and no one knew how much they had till after the war. The Petroleum industry in Netherlands East Indie started in Pangkalan Brandan, North Sumatera in 1883. Soon its attracted another petroleum company to do the oil exploration in these Dutch colonies.  One of them, was the company of one’s of the world famous tycoon from the United States of America, SOCONY. SOCONY currently part of the Exxon-Mobile company, one's of the major petroleoum company in world.

SOCONY former headquarter in Semarang, currently occupied by
Hotel Pelangi. The numberings of the building in the area that never changed
since the colonial period, made it easy to track its location although the
name of the street indeed was completely different.

SOCONY history dates from the late 19th century as part of American John D. Rockefeller’s oil giant Standard Oil. Rockefeller, along with Maurice B. Clark and Englishman Samuel Andrews, founded Standard Oil in 1870 in Cleveland, Ohio after investing in an oil refinery in 1863. Following a trust agreement in 1882, the Standard Oil Company of New York was created, the predecessor to SOCONY-Vacuum and later the Mobil Corporation. In the next decades, the company spread its business to Europe and Asia, and employed the use of large ‘kerosene clippers’ to transport their material overseas. 1911 marked the end of the giant consortium of 34 Standard Oil companies after an antitrust suit forced Rockefeller’s conglomerate to split. Standard Oil Company of New York was now a spin-off company of the original Standard Oil, and became known as SOCONY (an acronym for its full name).

view from the terrace of the former SOCONY office in Semarang, situated in its 2nd floor and it has a great panoramic view toward the Tawang Railway Station. 

SOCONY begin to open their business in Netherlands East Indie  as its announced in De Indische Courant in February 7th 1922 as one of its vessel arrived directly from United States, carrying 1.500 boxes of petrol (old form of carrying the petrol with capacity of 20 litres each box). Soon, the service station of SOCONY spread all over Netherlands East Indie, serve the people who was in the first generation of automobile. Four year later in 1926, SOCONY already had its offices in several cities like Weltevreden (currently Jakarta Pusat areas), Semarang, Cilacap, Bandung, Surabaya and Makassar.  Their office in Semarang was still exist until today but its changed into a hotel named Hotel Pelangi in the Kota Lama, an old town areas of Semarang. The building although very modest but it has a great view toward the Tawang train station, the most artistic railway station building in Indonesia. Another interesting story about this three-story building was, once it became a silent witness of the Nelson Rockefeller visits during his trip to Netherlands East Indies in the end of 1930.     

One out of the few original part that remains in the
former SOCONY office in Semarang.

The visit of  Nelson Rockefeller itself which is the The visit this Rockefeller Jr became a hit for the newspaper in Netherlands East Indies where several newsapaper wrote an articles about this events like Bataviasch Nieuwsblad, Het nieuws van den dag voor Nederlandsch-Indië, etc. Nelson took His wife also during His trip, and started in Bali as their first destination in 27 November 1930. Then they crossing the Balinese strait into Java and visiting Tosari village for the famous Bromo Mountain. After that a stop in Surabaya and then continues to Yogyakarta, where they spent several days there. Accompanied by J.B. Emmert, the general-manager of SOCONY in Batavia, they drove a car to the north, to Semarang. The head of SOCONY in Semarang , W.F.C. Nieuwhuizen indeed busy with the reception over this honorary guest. During His visit in Semarang, the Mr and Mrs. Nelson A Rockefeller spent a night at Hotel Du Pavillon, later known as Hotel Dibya Puri.  After Semarang, they took a planes to Bandung, before then to Batavia and back to the United States of America.

Margoredjo Koffie and The Struggle Against Europeans Hegemony Over Coffee Comodity

A range of jars contains various type of coffee from all over Indonesia in Dharma Boutique Roastery (DBR), former major coffee brand of Margo-Redjo that hailed as the first company who owned by non-Europeans that gained success as coffee exporter in Dutch East Indie, present days Indonesia.

An advertisement about Margo-Redjo in De Locomotief
newspaper in 1948. (source: delpher.nl) 

A cup of Java, please! a term widely known in coffee outlets mainly in the United Kingdom and the United States. According to an explanation from the United States National Coffee Association (NCA) page, it was explained that coffee plants were originally grown in the Arabian Peninsula, specifically in Yemen, until in the 17th century Dutch merchants who exploring the eastern world hemispheare under the so-called first enterprise in the world,  Veerenidge Oostindische Compagnie (VOC) tried to cultivate it outside Arabian Peninsula. In the beginning, to cultivate coffee outside the Arabian Peninsula turned into failure when they tried to cultivate it in their new colony in Ceylon. But things changed drasticaly when VOC tried it in their most valuable colony of Java, in Indonesian Archipelago. Its not getting so long until this plant became one of the most valuable commodity for VOC commerce acitivity, even when the power shifted into Den Haag after the collapse of the VOC in 1799. This coffee commodity from Java is really a world famous, and the word Java sometimes associated with coffee. A computer-programming language, founded in 1995 by James Goosling that so popular before even use Java as their name and did you remember whats their icon? Its a cup of coffee! 

House of Tan Tiong  with the strong Indische style architecture in 
Kebonkarang, Semarang. The people mostly recognize the house as 
Rumah Kopi Wotgandul, as its not far from Wotgandul neigborhood.

Semarang, the main port city in Central Java was a silent witness to how valuable the trading of coffee commodities in Java was. In 1913, it was noted that the Dutch colonial government recorded 25,852 tons of export of coffee ore from the Dutch East Indies worth 16 million guilders or 437 million dollar in todays money. Most of the traders were dominated by Europeans, however  in the early 20th century a non-European trader emerged from Semarang, as well manage into the ranks of world-class coffee traders from the Dutch East Indies, present days Indonesia. It was Tan Tiong Ie, born in Semarang in 1883 initially tried His luck as a salt trader. Unfortunately,  the business went into bankruptcy and forced Him to move to Bandung and open a bakery. Tan Tiong Ie then returned to his hometown, Semarang and opened an ice plant factory, and finally in 1928, He begin the business that would perpetuate His name, Margo-redjo Koffie. 

According to Alexander Claver's book titled "Dutch Commerce and Chinese Merchants in Java: Colonial Relationships in Trade and Finance, 1800-1942", it is stated that Tan Tiong Ie was the first successful Chinese entrepreneur as a coffee trader and producer in the Dutch East Indies. It was also stated that in the times of economic depression that hit the world in 1930s, Margorejo managed to survived during this difficult times. Partly due to product diversification factors run by the company, which is officially named Koffie Branderij Margoredjo, by making various products based on the prices and qualities. The most expensive product is clearly the Margo-redjo brand, and the cheapest one was Tjap Grobak Idjo. Among the two products, there are other brands such as Tjap Pisau, Tjap Orang-Matjoel, Koffie Sentoso, Koffie Mirama and so on.  This was a breakthrough from His oldest son, Tan Liang Ho who has a strong enthusiasm in the marketing and public relation field. He even act as a copywriter as well as designer for Margo-Redjo advertisement. No wonder, once He has a position as the chairman of Radio Vereeniging "Midden Java", one's of the earliest broadcasting network in Dutch East Indies. He's nominated to seat in the board of advisory for Nederlandsce Indies Radio Omroep Maatschappij (NIROM), the government national radio broadcast company in 1936. 

The stand of Margo-Redjo in annual exhibition title
 Jaarmaarktstand in 1929, designed Liem Bwan Tjie.
(source: Stichting BONAS)

The triumph of this company began to recede after the Pacific War, which then spread to the Dutch East Indies and caused the end of Dutch rule which fall into Japanese hands until 1945. In the early days of the Japanese invasion of the Dutch East Indies there was a panic among the citizens of Dutch East Indies. Pak Basuki Dharmowijono, grandson of Tan Tiong Ie who is now continuing the sustainability of the Kopi Margorejo business said that His great-grandfather also experienced panic when Japan began to enter the Dutch East Indies. He mentioned in His story over that hard period that His Grandfather decide to moved the machines to the Sultanate of Surakarta Palace in Solo to prevent it to be plundered by Japanese.

After Indonesia's independence and the chaotic period during the Revolution for Independence that lasted until the beginning of 1950, it seems difficult for Margo-redjo to regain its position like before, as a major coffee producer and distributor. But the glory of Margo-redjo Coffee in the old days still can be found on Jalan Wotgandul Timur 14, a two-story house with an Indisch architecture. In the same place currently Pak Basuki continues His grandfather legacy with its new name, Dharma Boutique Roastery (DBR), right in where the business started, not so far from Chinatown of Semarang. In the place that also widely known as Rumah Kopi (eng:House of Coffee), a variety of raw coffee ore is processed and then marketed in the form of ore that has been roasted. A wide selection of Indonesian coffee ores ranging from Robusta and Arabica type of Coffee from various locations in Indonesia such as Bengkulu, Gayo-Aceh, Mandailing, Flores, etc. are available here. This outlet serves its customers mainly from various cafes in Semarang from 09.00 to 15.00.

Kali Semarang, Main Artery of Commerce in Semarang

Kali Garang taken from the Jatibarang Dam in 2016. The Kali Garang was the main water sources for Kali Semarang. 

Kali Semarang was a river that divides the city of Semarang, a branch of Kali Garang (Eng: Garang River) from the west part of the city and flows to the Java Sea. The development of Semarang City was really depends on Kali Semarang, as the major commerce hub of the inner city of Semarang since centuries ago. One of the traces was the toponym of Kampung (Eng: village) along Kali Semarang which is an age marker of its vital role for commercial activities for Semarang City. One of them was Kampung Pabean which is now part of the Kecamatan Semarang Utara areas. In this Kampung, used to be the location of customs/ tax posts for the boat which passing through Kali Semarang to trades in the hinterland of ​​Semarang City. There’s a fun fact that on that time where customs post was marked by a large tree trunk that was chained and floated across the river as a barrier in the river flow. This is where the name of Boom Lama was coming from, as the word Boom in Dutch means tree, refers to the tree trunk that has a functions as the entrance gate. The name of Boom Lama still used today as the name of one of the major roads not far from its location.

Kali Semarang taken from the opposite of Dokter Djawastraat, nowadays 
Jalan Kol. Sugiono, nearby Kampung Melayu Semarang in 1900.
(Source: Leiden University Library) 

The settlements then grew following the flow of Kali Semarang such as Kampung Melayu, Pedamaran, Sumeneban, Sebandaran, Kelengan, Sekayu, Bedagan, etc. A journalist from Semarang, Liem Thian Joe who published his book titled Riwajat Semarang, back in 1933 stated that trading activities moved to the Boom Lama area after previously concentrated in Mangkang, in the western part of Semarang city today. Liem Thian Joe said that consider to have the better facilities of the Boom Lama's position as well as its closer to the downtown of Semarang. Thus the Kampung Darat  gained its name as its the location when people who firstly cames to Semarang at that time will ndarat, step their foot in land.

We have to remember that the Semarang city at that time was way smaller than the condition nowadayas. The city of Semarang on 18th century was refers to the part of the city that now called as Kawasan Kota Lama Semarang, an area which is developed from the VOC base which was established in the Sleko area in 1705. This trading post was surrounded by a defensive wall which had five bastions, which later well known as Vijfhoek fortress which means a pentagon. In 1748, due to the increasing commerce activity in Semarang, the VOC main base in Batavia, nowadays Jakarta raised the status of the leader of its trading post in Semarang into governor and its became the center of the area of the Noordoostkust (eng: North East Coast) of Java region. Vijfhoek as the main base of the VOC in Sleko then became unable to accommodate more European migrants, until later this settlement expanded rapidly. It was unknown exactly when European settlers began to organize the area outside Vijhoek as settlement but referrings to the Atlasof Mutual Heritage website, its shows that in 1787 a plan was made to expand the city defensive wall complete with urban arrangement with road networks and various facilities such as church, military barracks, health service facilities, civil service facilities, etc. Interestingly, the road network and the parcels of land were almost unchanged, compared to the current conditions with this map that comes from the past three centuries.

The Groot Boom with the boat tethered on the edge of Kali Semarang taken from the high stories of Uitkijk, ca. 1870-1910
(source: Rijksmuseum)

As the settlements grow bigger, its port as the major trading hub also grow either.  Trading activities in Kali Semarang developed a main port near the European residential area, which is located in the Sleko area, known as Groote Boom. Until now, the remnants of its glory still existed, one of them was the Watchtower to arrange the traffic in Kali Semarang, or in Dutch called as Uitkijk. Its located in the land owned by PT. State Gas (PGN) in Sleko as in the 19th centuries the land was part of the Coal fired Power Plant owned by Nederlandsch Indische Gas Maatschappij. The growth of the trade activity in the city of Semarang then strengthens its position as the main port in the central part of Java Island. Semarang may not  have vast fertile land as its located in swampy and barren land, but its port became its major power. Rural areas in the hinterlands of Central Java that rich in agricultural products are very dependent on the City of Semarang to trades their products. Plus the very prosperous kingdom region in the south, the Vorstenlanden, consist of the Yogyakarta Sultanate, Surakarta Sunanate, Praja Mangkunegaran and Praja Paku Alaman relied heavily on Semarang towards their trades activity.

The schutsluis (locks) that connected Kali Semarang and Kali Baru in 1927.

(Source: Leiden University Library)

The role of Boom Lama then shifted after the construction of the Nieuw Kanaal  also called as Kali Baru in 1872 and was completed in 1878, a response from the increasingly crowded commercial activities after the opening of the Suez Canal. Then the trade activity moved to Nieuw Haven , a new modern port  nowadays known as  Tanjung Emas Port. This canal simplifies the previously winding path of the Semarang River flow, into straight canal, right away approaching the Groote Boom position. The project was equipped with the construction of a new lighthouse and prior to adjusting the water level of the Kali Baru and Kali Semarang, a Sluis (eng: Locks) also built and equipped with a breakwater on each side.

Nieuwe Kanaal also known as Kali Baru, the new canals that also became part of Port of Tanjung Mas Semarang, taken from the top of Willem III Lighthouse in 2017.

The stories about the triumph of Kali Semarang are now no longer traceable. The increasingly dirty condition of the Kali Semarang, coupled with the decreasing water flow and width of Kali Semarang made its impossible for the boat to afloat and passing the river into the downtown. I heard from the locals in Kampung Melayu that the last time He saw boat passing through the Kali Semarang to through His Kampung was in the beginning of 1980’s decade.  Even the Uitkijk building now left in ruins as its looted by the mob during the Reformation in 1998. The locks that used to regulate the boat traffic from the Kali Baru to Kali Semarang was no longer functioning, and above it is now built a pumping house to prevent the Semarang city from the flood. It was a blessed to have the Kali Semarang in the old days but todays its seems no longer anymore as its even endangered the settlers from the flood. Flood was a serious problems in the Semarang city moreover in its northern part as its also facing the serious land subsidence problems. The last four years the government put a serious efforts to revitalized Kali Semarang by dredging and swept away the ilegal settlement on the banks of the river to keep the streams flows well. The people also persuaded not to littering into it, so now its really depends on the people of Semarang for their willingness to preserve it. Will they?

Stadion Semarang, The First Velodrome in East Asia

The Semarangsche Stadion, currently well-known as Stadion Diponegoro as shown in reconaissance photos in January 1945. The complex in its opposite to the right is the Gementelijke Zwembad, currently turns into culinary centre.
(sources: Semarang Beeld van Een Stad)

The needs for sport facilities in the modern city is couldn't be denied, there’s countless car-free day event every weekends thorughout cities in Indonesia to accomodate the needs of its citizen to do sport. Just like what Latin phrase said Mens sana in corpore sano which translated as there’s healthy mind in a healthy body. In the city of Semarang, the efforts to provides public sport facilities once were one step ahead among the cities in Indonesia and its provided by such a crowdfundings movement among its citizens, isnt provided by the government. 

view from the main tribune of the stadium which can be seen
from the distance steeply sloping bend of the cycling track (velodrome)

A stadium but not only accomodate football activity but also standardized athletics tracks and even cycling and motorcycle race tracks, hence its consider as the first modern sports complex in the Dutch East Indies, present day Indonesia according to the Locale Techniek Journal Vol. 3 Issue No. 5 published in 1934. Its pioneering modern style stadium at that time time where its not only an open area for sport with tribunes for its spectators, but also with supporting facilities such as changing rooms, toilets and the other spaces required to support its activity. These changing rooms in the stadium each equipped with a lavatory and shower with hot and cold water. The hot water is obtained by means of a hot water appliance, made by Askania-Werke AG, a Germans company, which works automatically and amply meets the required requirements. Furthermore, each dressing room is equipped with a washing table with mirror, coat hooks, table and benches. 

An overview of the steeply sloping bend of the
cycling track (velodrome)with two warring tricycles.
(source: Locale Techniek Journal Vol. 3
Issue No. 5, 1934)

Besides a football field on its largest dimensions and a modern cement cycling track made of stamped concrete with 10 cm thick sheets whereas this so-called velodrome was the first in East Asia as its mentioned also in the journal! Its indeed that this kind of sport facilities is not the first in the colony as before it there’s several were built e.g Malangsche Stadion or well-known as Gajayana Stadium, opened in August 2nd 1926 which actually much simpler than the Stadium of Semarang. Another its predecessor is in Solo, which only different couple of months with Semarang. The Sriwedari Stadion in Solo which initiated by Sri Susuhunan Paku Buwono X, Sultan of Solo, officialy open in January 1934 and Semarang is in April 1934.

As reported by a Bataviaasch nieuwsblad, the opening of Semarang Stadium held on Sunday, 29th  April 29th 1934. The opening was enlivened by several activity performance which is started with a football match of  Semarang vs Solo, a relay race,  a gymnastic demonstration of 950 students,  Holland-China korfball match,  and closed with cycle and motorbike race which involved riders from Batavia, present day Jakarta and Semarang. To attract the events, the committee cooperate with the major railway company at that time, Nederlandsch Indische Spoorweg Maatschappij (NIS) that for Solo-Semarang, Yogyakarta-Semarang and Surabaya-Semarang lines it allow groups of ten or more people a reduction.

The soccer field covered with Lamuran type of grass, and around it once used as an athletic track of 4 meters wide, then next to it directly the cycling track made of concrete 7 meters wide.  

Its very interesting once again to found out that this Semarangsch stadium, nowadays well-known as Stadion Diponegoro was created and built by private initiative. Because of the fortunate circumstance that a very favorable building site was being put into operation by the Administration Office of Peterongan, its possible to change the city plan with the help of the city's urban advisor Semarang Ir. Th. Karsten as required and to ensure that the access and exit roads to the stadium were provided.

The design of this stadium itself was based on the idea: how can we classify a sports park, which meets all the requirements, on a surface that is as small as possible, with a view to the cost price of the land. The tribunes had to comply with the following information for seating and standing space provided by local associations: main seat stand could accomodate around 1.000 places and the standing places around 8.000. This space consider to be sufficient enough for a large competitions at that time. Its also equipped with such a high-end lighting facilities which consists of 4 pieces of 32 m high masts, partly from the overhangs of the tribunes. Eight spotlights are mounted on each mast for the 1000 Watt football pitch lighting, so that the field is illuminated by 32,000 watts, giving a light intensity of 30 Lux on the field. This lighting is excellent. The illumination of the cycling track is done from the masts before the bends; for straights from the stand The bends are illuminated with 6000 watts each, while the straights are also illuminated with 6000 watts each; total 24,000 Watts.

Semarangsche Gementelijke Zwembad in 1947 by C.J. (Cees) Taillie, a photographer and reporter that serves for Dienst voor Legercontacten (Service for Army contacts) during the Indonesian Independence Revolution period.
(source: Tropenmuseum)

The natural spring in Candi Stoom, Tegalsari, Semarang. This only
active natural springs in the downtown of Semarang once became the
main water sources for the Semarangsche Gementelijke Zwembad.

Later in 1941, a large swimming facilities accross the stadium were built and its designed by Liem Bwan Tjie, the Semarang born architect which famous for its art-deco style. Its has an Olympic-size swimming pool where the race course is 50 metres (164.0 ft) in length and its provided with cafetaria as its supported facilities. The water for this brand new swimming pool provided by the natural springs in Candi Stoom, distributed with the pipeline network almost 3 Km away. This springs currently the only natural springs that still preserved in the downtown areas of Semarang, and serves as the water sources for the neighborhood surround it. Well its not like the stadium in its opposite, its built and managed by the Gemeente (city municipality) of Semarang, thus its called Semarangsche Gemeentelijke Zwembad.  Bataviaasch nieuwsblad on its articles reported that on its opening that held in October 25th 1941, the municipal authorities invited the Dutch Indies Swim Club to organize a competitions between swimmers from Batavia, Bandung, Surabaya and Malang. Couple of polo teams came over so that the opening of the swimming pool grazed by large swimming competitions that cost the municipality ƒ 750.- for the opening. 

The main entrance to the Semarangsche Gemeentelijke Zwembad,
designed by famous Semarang born architect Liem Bwan Tjie.
(source: wikimedia commons) 

The fate of this sport complex nowadays does not reflect its glory in the past at all.  Either the stadium and swimming pool were declined over the decades. The swimming pool even closed in 1999 and turns into a culinary centre with several tenants inside it, and the pool were converted into skate area and fish ponds. The stadium were lucky as its still stood till today but its badly neglected. The peoples nowadays mostly recognized the stadium as the place for concert, and also place for buy a book with cheap prices, as in the east sides of the stadium wall there’s bunch of seconhanded book seller tenant. There’s an rumours in 2013 appears to public from the online advertorial that the stadium will be sold for Rp 260 billion which soon afterward generates a lot of criticism regarding its historical value. But then the 4th Military Area Command of Diponegoro as the current owners  reject the claim and said its no way for them to sold the property as its belongs as the national property of Republic of Indonesia. 

Could The VOC Consider as The Most Valuable Companies of All-Time?

infographics from visualcapitalist[dot]com, stated VOC as
The Most Valuables Company of All-Time

In the end of the year of 2017, I saw an interesting infographics in my social media feed that reminds peoples about an old company that for long time ago take a part in the colonialization process in Indonesia, the Veerenigde Oostindische Company (VOC). This infographics released by visualcapitalist[dot]com as a part of their weekly feature of “Chart of the Week”, and in Friday December 8th 2017, they put VOC as The Most Valuable Companies of All-Time. The valuation of VOC reachs 7,9 trillion, taken from Tulip Mania period which the market cap of VOC reachs 78 million Guilders, or 7,9 trillion USD in todays money. Tulip Mania itself widely considered the world’s first financial bubble. This value worth as much as the sum of 20 world’s largest companies market caps, such as Apple, Microsoft, Amazon, Exxon Mobil, Berkshire Hathaway, Tencent, and Wells Fargo. All of them combined gets us to $7.9 trillion. Its indeed that VOC were considered as one’s of the first capitalist enterprises in the world. But maybe its not a good comparison to put VOC with these modern enterprise as this company wouldn’t succeeded without government support and it had an army and a navy it used to attack and intimidate, well its absolutely not a free trade.

VOC fleet victory over the Portuguese fleet for Banten, 1601 engraved by Bartholomeuw Dolendo (source: Rijksmuseum)

VOC history started in the beginning of 17th century, when the Europeans compete each others to dominate the world trade of spices. Its began in the where the country which just get its independence from Spain, formed Amsterdam based investment syndicate, with the dreams of vast wealth and spices from South-East Asia. They made the first attempt to Indonesia lead by Cornelis De Houtman in 1595, which despite is success to reach Banten, but ended disastrously with 142 casualties even De Houtman itself. The second attempt, lead by Jacob Cornelius van Neck as Dutch persisted planned to try to break into the existing trade network on equal term in South China Sea Region and Eastern Indian Ocean which consider  as trade hot-bed.  Though Van Neck said, "Not to rob anyone of their property, but to trade uprightly with all foreign nation”. In fact, free trade gave way to reality that competition meant lower prices. In 1601 there were plenty successful trade companies in Netherlands, hence the cost of buying spices in Indonesia was going up and also there was suddenly tons of pepper in Amsterdam which meant price that could be charged for that pepper was going down, something had to be done. Then in the same year, the representatives of Zeven Provincien body met at Den Haag and all the the provinces accept the single entinty to monopolize the East Indian trade, the VOC was formed. VOC was run by seventeen-member board called Heeren XVII and these director supposedly had control over company was chartered with the power to hire its own people and also to wage war. The reason behind is reasonable which is it took years for communication from the Netherlands to reach the East Indies and another years for company to respond. 

Jalan Letjend Suprapto a major artery in Kota Lama
(Old Town) Semarang, formerly Heerenstraat
possibly named after the Heeren XVII , the VOC board.

VOC basically operated as its own sovereign nation with power to use as much violence as it needed to build and maintain its trading power. VOC also different from a lot of corporations because it was intialy funded with 6,5 million Gulden or 100 million USD in todays money. The capital was expected to fund business ventures for a long time going forward. Its long term business thinking was uniques compared to the funding strategies of EIC and it reflected the advanced financial acumen of the Dutch model generally. Thus in 1648 the Netherlands were in better financial shape than any other countries in Europe which it could seen from its  Interest rate, although its not the only one to measures of financial health and power but they're an important indicator, even today. Dutch businesses could borrow at a rate of 4% annual interest, and its pretty cheap compared to England which applied 10% rate for corporation to borrow money. Dutch debt so much cheaper that they could invest two and a half times as much in pretty much anything than the English could, like an army, a navy and obviously gave Dutch a huge head start over their rivals. 

The nature of Dutch people carrying bonds, was begin long time before as its mostly investing their money in bonds that had been issued for land reclamation project like dykes and windmil that turned land below sea level. With the low interest rate, companies healthy and its gained more and more support from the Dutch people to invest, moreover the company tended to pay people back. This kind of fractional shares allow merchants to bear greater risks by purchasing smaller percentage shares in business ventures.  Dutch business people also enthusiastically invested in future markets, guessing what the price of pepper would be six months or a year from now and they created new financial instruments that could bought and sold and merchants purchased maritime insurance which further lowered their risk. Lower risk means anyone could invest more of your capital until eventually you have completely efficient market. The better Dutch financial instruments among others made they able to seized the lions share of the trading business

The ruins of Uitkijk (lookout), a place for the harbour master arrange the
traffic of Semarang old harbour before its moved into the Nieuw Haven
(new port) in 1880's. At the same place, once stood the first colony of Dutch
people, a fort called Vijfhoek.

Another reason of VOC was so successful was government sponsorship and centralization. Government support chartered by States General and it could count on the Dutch government for financial and military support, while the centralization was depicted in the way VOC had a single Governor General managing operation in Indonesia while British EIC was more like collection of trading posts which each competing each others for a shares of the spices.  Competition may bring down prices for consumers but it also bring down profit for business. 1605 VOC realized that if it really wanted to maximize its profits, it would need a monopoly of the worlds spice trade, and to do that they would need permanent bases in Indonesia.

VOC soon reached Banda Island, the only places at that time where nutmeg is grown, a commodity that once worth more than pieces of gold as its essential for food preservation process that really a big deal during this age of explorations.  The Bandanese welcomed the Dutch because they were more laid back in terms of religion than Portuguese, but Dutch ricked them to signed the exclusieve trade aggrements with Dutch. Its happens under the ruthless militay leader Jan Pieterszoon Coen which Between 1614 and 1618, secured a clove monopoly in the Moluccas and a nutmeg monopoly in the Banda Islands. Coen brought shift in VOC policy away from straightforward trade and toward monopoly of both shipping and production of spices. He also made it clear that this trade needed to be based on military force. Coen not only made VOC dominate trade of the spices but also its production as His plan depopulate the Banda islands to replace their inhabitants with imported slaves and indentured labor under VOC control, taken thousands lives of Bandanese and forced them to flee to another island surround it.

The Former Stadhuis (City Hall) of Batavia, currently serves as Jakarta Historical Museum or also known as Museum Fatahillah. The building that had a similiar shape as Paleis op de Dam in Amsterdam, reminiscing the glory of Batavia as important trade hub in South-East Asia.

The monopoly of spices trade over South East Asia region made the main port of VOC, established at the razed city of Jayakarta in 1619 became the most important port in all of the South East Asia, where spices from Indonesia , Gold and cooper and silver from Japan, Tea and porcelain and Silk from China all passed thorugh to India where they were traded for cotton, which was used to by more Asian goods. Its indeed VOC successfully became money-maker for the Netherlands and its brought this young country into its Golden Age as it depicted in Rembrandt and Ver Meer paintings about all the wealth and finery of Dutch people at that time. As We could see the trace now that all of the Canals and beautiful row houses in Amsterdam, many of them were built in 17th century.

source:
- Capitalism and the Dutch East India Company: Crash Course World History 229

- Banda The Dark Forgotten Trail (2017)