The the huge amount of globalization these days, it is essential that anyone doing business abroad be well versed in both their own country’s legal policies and the foreign country’s policies and unwritten rules. This can help you dodge problems and jump through hoops.
Background
Social Environment
In the past, many businessmen in Korea have used their positions to further their personal agendas. After the IMF crisis of 1998 these irregularities have largely been taken care of.
Personal Relationships
Most business transactions in Korea happen between people who have personal ties. You need to be able to deal ethically but at the same time deal with local idiosyncrasies.
Competition
Since Korea is such a small country, competition is extremely fierce and sometimes leads to a philosophy of one must win at any cost.
When in Rome…
Local Expertise
Rather than relying on your own expertise in your own country, you must use local methods to be successful. Much of the time that means having loyal Koreans that help you build relationships and make contracts.
Like it was brought up before, you should be cautious when dealing with some people who are considered expert “foreign handlers.” They commonly use flattery like telling you that you understand their culture better than others in order to get what they want. It doesn’t always mean they are buttering you up, but stay on the look out.
Third Parties
Sometimes the best way to make sure that you stay ethical and get things done is to hire local third parties to handle the situation. But make sure that you trust the party who you choose, remember that they will act in your behalf.
Lofty Causes
Sometimes non-monetary methods are used to sweeten the deal. This can involve offering educational incentives, travel expenses all paid for, etc. Rather than giving certain individuals deals this usually involves the entire company. This is a better alternative to trying to give individuals incentives, which can approach the line between ethical and not.
Personal Ties
Time and money invested in simply building personal relationships is very well taken and is essential if you want to develop a long term relationship if trust.
Public Relations
In Korea, a company’s public image can make or break them. They must appear to be a company that helps the local community and basically makes Korea a better place. If your company gets a name publicly for being unethical, you can kiss your future goodbye.
Overall Insight
Never stop developing your knowledge and expertise in doing business in Korea. It’s a never ending process which can be very fruitful and joyful.
Go to the next chapter, Managing and Being Managed by Koreans or select a chapter.
Ethnically I am much a westerner, but my habits and interests are really like that of a European man. My relationship with Korean people has not always been clean, because, I had proof of a high honor and having lost that printed paper nobody has officially recognized me as a first dan black belt. I care very much to be in Korea, Japan, or China. I want to spend the rest of my life there, however, the timing to realize such a desire is early. I would like to work in korea and hopefully complete many works for Koreans. I have also been recognized by Japanese friends, but, the “becoming” process in itself is not trivial and not to be made a laughing joke. I am a dark Japanese person first, who was later taught by Koreans. Someday I hope to teach a beautiful language like Chinese in the way that I annunciate. The cultural improvement between Asians needs work over “a long stretch of time.”
Thank you for your thoughtful comments Aaron. It’s so interesting to see how people fit into all the different parts of society. I’m still finding mine even here, so the next few years are going to be very interesting and most likely very important. I hope you are able to achieve your dream!