• Strategy21
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• s.34
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• pp.128-148
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• 2014

In south Korea, the so-called 'conservative-liberal' rivalry over the assessment of the government's North Korean policies is seen to be impeding the road to right policy choices. For example, the liberals accused former President Lee Myung-bak's hardline policy of provoking Pyongyang and leading to a deterioration of inter-Korean relations, while the conservatives appreciated it for helping nurture mutually beneficial inter-Korean relations in the longer term by compelling North Korea to observe international norms. However, such debate over the vices and virtues of Seoul's North Korea policies is hardly meaningful as the measuring sticks used by the liberals and the conservatives are entirely different matters. The two major goals South Korea must pursue with its North Korean policies should be 'peaceful management of division' and 'change in North Korea'. The former is related to maintaining stability within South Korea and promoting co-prosperity with North Korea. For this, the nation needs to engage, encompass and assist the Pyongyang regime. The second goal is also necessary since South Korea, as a divided nation, must seek a unified Korea under the system of democracy and market economies by bringing change in North Korea. For this, South Korea needs powerful leverages with which it can persuade and coerce the North. This means that the nation is destined to simultaneously chase the above-mentioned two goals, while also both recognizing and negating the legitimacy of the North Korean regime. This situation necessitates Seoul to apply flexibility in reconciling with Pyongyang while applying firm principles to sever the vicious circle involving the North's military provocations. The May 25 Measures, which banned trade and economic cooperation with the North except those related to humanitarian assistance, were taken as sanctions against Pyongyang for sinking the South Korean corvette Chonan in March 2010. The Measures were taken by the Seoul government immediately after a multinational investigation team discovered evidence confirming that the South Korean naval ship had been torpedoed by a midget North Korean submarine. Naturally, the May 24 Measures have since then become a major stumbling block in inter-Korean exchange, prompting opposition politicians and concerned entrepreneurs to demand Seoul to unilaterally lift the Measures. Given the significant damages the Measures have inflicted on inter-Korean economic relations, removing them remains as homework for both Koreas. However, the Measures pertains to the 'principles on national security' the Seoul government must adhere to under all circumstances. This is why North Korea's apology and promises not to repeat similar provocations must come first. For now, South Korea has no alternative but to let North Korea solve the problems it has created. South Korea's role is to help the North do so.

• Journal of Technology Innovation
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• v.31 no.3
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• pp.1-37
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• 2023

The Korean innovation ecosystem has evolved from a catch up stage to a creative leader stage where government's role in creating a private sector driven, healthy and dynamic ecosystem is important. Korea's innovation ecosystem shows a stagnation of innovation performance and a lack of linkage activities within the national innovation ecosystem and in global cooperation, despite the dramatic advancement and expansion of the ecosystem. A next-generation innovation ecosystem model is required to create a future-oriented innovation ecosystem. The next generation innovation ecosystem was prepared on the basis of the framework, which has 6 elements among which inter-firm network is the the micro-foundation of the ecosystem. On the basis of the framework, assuming that the next generation innovation ecosystem is the evolved existing ecosystem, responsive the discontinuous change in market and technology, which is private sector driven healthy and dynamic ecosystem, the next generation innovation ecosystem model was created. The concrete details on the direction of the policy entities responsible for building the ecosystem was presented, and the contribution of this study was discussed.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.7 no.3
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• pp.1-16
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• 2012

Under the international business circumstance, global supply chain management is considered a vital strategic challenge to small and medium-sized enterprises(SMEs) suffering from deficient resources and capabilities to exploit overseas markets comparing with large corporations. That is because they can expand their business domains into overseas markets by establishing strategic alliances with global supply chain partners. Although a wide range of previous researches have emphasized the cooperative networks in the chain, most are ignoring the importance of developing relational characteristics such as trust and reciprocity with the partners. Besides, verifying the relational factors influencing firms' export performances, some studies proposed different and inconsistent factors. According to the social capital theory, which is the social quality and networks facilitating close cooperation of inter-individual and inter-organization, provides the integrated view to identify the relational characteristics in the aspects of network, trust and reciprocal norm. Meanwhile, a number of researchers shows that global entrepreneurship is the internal and intangible resource necessary to promote SMEs' internationalization. Upon closer examination, however, they cannot explain clearly its influencing mechanism in the inter-firm cooperative relationships. This study is to verify the effect of social capital accumulated within global supply chain on SMEs' qualitative and quantitative export performance. In addition, we shed new light on global entrepreneurship expected to be concerned with the formation of social capital and the enhancement of export performances. For this purpose, the questionnaires, developed through literature review, were collected from 192 Korean SMEs affiliated in Korean Medium Industries Association and Global Chief Executive Officer's Club focusing on their memberships' international business. As a result of multi-regression analysis, the social capital - network, trust and reciprocal norm shared with global supply chain partner - as well as global entrepreneurship - innovativeness, proactiveness and risk-taking - have positive effect on SMEs' export performances. Also global entrepreneurship affects positively social capital which has mediating effect partially in the relationship between global entrepreneurship and performances. These results means that there is a structural process - global entrepreneurship(input), social capital(output), and export performances(outcome). In other words, a firm should consistently invest in and develop the social capital with global supply chain partners in order to achieve common goals, establish strategic collaborations and obtain long-term export performances. Furthermore, it is required to foster the global entrepreneurship in an organization so as to build up the social capital. More detailed practical issues and discussion are made in the conclusion.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.20 no.6
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• pp.379-389
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• 2019

The study empirically investigates financial factors that may influence on corporate R&D intensity during the post-era of the global financial turmoil (from 2010 to 2015) to mitigate possible spillover effect associated with the crisis. Concerning the empirical research settings of the study, chaebol firms listed in the KOSPI stock market are used as sample data with adopting various econometric estimation methods to enhance validity of the results. In the first hypothesis test, it is found that there exist inter-industry financial differences in terms of the ratio of R&D expenditure across all the sample years, but the statistical differences may arise from only a few domestic industries beloning to the high-growth sector. Moreover, it is also interesting to identify that, for the high-tech sector, 3 explanatory variables such as R&D intensity in a prior year, firm size and change in cash holdings are proved to be financial factors to discriminate between chaebol firms and their counterparts of non-chaebol firms, whereas a proportion of tangible assets over total assets as well as the former two variables are shown to be significant factors on the R&D intensity for the low-tech sector.

• Journal of Service Research and Studies
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• v.6 no.2
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• pp.23-35
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• 2016

Firms should seek greater profits and corporate growth through new businesses. New businesses contribute realizing creative economy that creates good jobs, and expanding the company by securing new markets and creating new profits and growth. However, new business is risky management decision-making to have a high failure rate because it involves the adaptation of new business environment and the burden of new investments, including the uncertainty of success in business. Therefore, innovation strategies play important roles for the new business entry, using product innovation, process innovation, business model innovation, disruptive innovation, and strategic innovation, etc. and company will get huge economic results by pushing them into successful business. It is essential that innovation strategy and IT development strategy along with business strategy of a firm are linked, and their strategic alignment is considered to be a critical success factor for new business success. Hyundai Heavy Industries(HHI) pursued marine engine business for the development of precision machinery industry and shipbuilding industry of Korea, and the company recognized the importance of new business strategy, innovation strategy, and IT strategy inter-linked, and pushed strategic alignment boldly. As a result, HHI won the competition in European and Japanese engine manufacturers and climbed into the world's largest engine manufacturer. This study suggests investigating and analyzing a case that HHI succeeded in marine engine business expansion using strategic innovation strategy as a way of the introduction of CNC machine tools and the development of HEMAPT system.