On My Way To Korea

There’s a typo in the first paragraph, The second to last paragraph should probably end with “household brands.”

The Korean Viewpoint

It is important to know how foreigners and foreign products are regarded when dealing with anyone.  This chapter will introduce how those feelings are in Korea.

Feelings Toward Foreign Dependency

Koreans have a long history of having their independence taken from them.  Therefore they are very careful when committing to being dependant on outside influences, even though they are a high-exporting country.

Lingering Dependency

Only forty years ago, Korea was a very poor nation and was accepting donations for survival.  They have come up from the dust very fast to become one of the larger economies in the world but still feel like they are the little-guy who needs preferential treatment.  Sometimes negotiations can take a long time because Koreans will fight hard to get some benefits from the deal, because they are so “poor.”

Growing Nationalism

As part of becoming more powerful and wealthy, there has also been a rising national pride level.  This leads to many Koreans resenting foreign influence on Korea, whether bad or good.  Although Koreans protest and vent frequently, it is rarely directed at foreign individuals inside the country.  Just make sure to acknowledge this fact and deal with it.

Consumer Brand Preference

Foreign products are regarded as high quality, so many local-only products use Westernized product names in order to look and sound more fancy (although the government discourages this).

One interesting language tidbit is that there isn’t really a word for ‘brand’ in Korean, they just use the English word.  Korean companies have generally used their name on all of their products (like Hyundai meaning cars, oil tankers, credit cards, etc.) which is a slightly different way of advertising than branding which highlights individual market lines.

Officials, Elite Perspective Vs. That of the Working-Level Bureaucrats

In Korea, high-level government officials are very open-minded and willing to compromise and negotiate with foreign companies.  The main problems that foreign companies face are when they start to deal with the local authorities, who usually don’t have the same goals as those above them.  Oftentimes that can mean more time and money spent to get a permit or other business-license than how long it was projected to take.

Businesspeople Attitudes

There are two general attitudes taken by local businessmen.  One is grudgingly accepting the fact that one must coexist with a foreign company in order to succeed.  The second is to block them out of the local market entirely.

Employee Feelings

Foreign firms have a couple of issues with Korean employees.  Due to the ease of closing overseas operations, Koreans see foreign companies as having less job security.  There is also the possible frustrations of working under people who don’t understand your customs and Korean business practices.

Of course there are benefits also.  Many Koreans look at who has become the top managers and a common feature is that they worked for a foreign company at one time or the other, giving them insight into the world and English.  Work conditions are also generally more pleasant.

Mixed Feelings

The country is somewhat polerized over how they regard foreign influence, but a majority seem to be in favor of creating freer trade.

Go to the next chapter, Negotiating Business or select a chapter.  That ends part II, the next chapter starts part III: Getting Along With The Koreans.