Thats why i said Google pulling out for China is a big loss to them mah. Your comparisons to Google with Temasek and KFC/McDonalds is not appropriate lah, pengz -_-"
MNCs from any country ought to know that when they operate in any country they must abide by the local laws - simple as that. You want to do business, please follow our laws, thank you. As a business entity, you invest in a country for business purposes, not some altruistic reasons (China can do it for political reason because they are state entity, no shareholders to account for). If you can't make a profit, you don't go in - the shareholders will throw you out instead.
Temasek invested heavily in Telcos in Indonesia - for business purposes because they use sibling companies as vehicles to launch their mission. But politics is at the back of their mind - to give support and respect to a bigger neighbour as uttered by the PM and SM - creating investment confidence - which is good for Singapore in the long term.
What can a little red laser dot do? We can't force them to sell us their useless soil or sand, which they have unlimited quantities, for our land reclamation project. Or granite chips - for our construction industry. Temasek like the gahment is pragmatic.
Indonesia changes their laws - even if at their whim and fancy - Temasek (or any MNCs for that matter) simply has to follow. Otherwise face their courts - or worse their people - who can easily be turned into a mob. What can a little red laser dot do? Timor Leste learnt their lessons with a heavy price.
Alternative is to pack and get out. You go into the country to do business with your eyes open. Same with Thailand. Unfortunately, miscalculation that the masses could throw the popular Thaksin out. We groomed and tutored Thaksin before he became PM, but miscalculated on the public and national sentiments.
Well life goes on. Wealthy Temasek seeks ventures elsewhere where they are wanted and wooed. Temasek simply has to change their philosophy of being a white knight and try to invest in down and trodden companies. The magic wand doesn't work everytime - no matter how smart you are.