Economic Miracle Market South Korea: A Blueprint for Economic Growth in Developing Nations

290 Pages·2016·2.07 MB·English

Dieter K. Schneidewind
Economic
Miracle Market
South Korea
A Blueprint for Economic Growth in
Developing Nations
Economic Miracle Market South Korea
Dieter K. Schneidewind
Economic Miracle Market
South Korea
A Blueprint for Economic Growth
in Developing Nations
1 3
Dieter K. Schneidewind
Faculty of Economic Science:
International Management
and Communication
Justus Liebig University Giessen
Giessen
Germany
ISBN 978-981-10-0613-5 ISBN 978-981-10-0615-9 (eBook)
DOI 10.1007/978-981-10-0615-9
Library of Congress Control Number: 2016932330
© Springer Science Business Media Singapore 2016
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Register of a Few Korean Expressions
aigu, aiju An expression of surprise, or astonishment
amhaeng eosa Secret supervisor of the king
Arirang Popular song; also name of many institutions
baedal Distribution system
Baekje Old kingdom
baksu Shaman
borigogae Permanent poverty, period of poverty
Bueyo Historical place in Korea
bujang Head of department
buk North
bulgogi Grilled meat
chaebol Economic conglomeration
chaengi Narrow-minded specialist
chajang Manager, below head of department
Choson Old name for Korea
Daehan Minguk Official name of South Korea
daejeonggyo Male, macho behavior
daekgeul Chatting on the Internet
do Province
donghak Eastern teaching; term for revolutionaries
eum Yin (female)
galbi Meat dish
gibun Feeling; mental state
gimchi Fermented side dish
gisaeng Traditional, high-class restaurant
Goguryeo Old Korea, including Manchuria
gokkam Persimmon
Goryeo Old Korea
gu City district
gukhoe National assembly
v
vi Register of a Few Korean Expressions
gun County
gwajang Head of a unit
gyejang Team leader
Gyeongbok Royal palace at Seoul
haenyeo Female mussel diver
hagwon Cramming school
Han Term for “Korean”
hanbok Cloth for Korean women
hanguel Korean alphabet
hanja Chinese pictograms
hansik Korean food
hoejang Chairman
hwangje Emperor
ingan Seal for real estate transactions
inhwa Human harmony
isa daeu Manager, above department head
jeonmu Senior board member
jigwon Qualified employee
jikgu-jok Web user
jolbu Newly rich woman
Joseon Name of dynasty, also for Korea
keyul Name for a modern chaebol
kkangpae Type of gangster organization
makgolli Rice liquor
meot Cool, relaxed, elegant
mudang Female shaman
nam South
nunchi Empathy
perioe Korean toothpaste brand
pojangmacha Fast food cart
ppalli ppalli Hurry up
pungsu Feng shui
saemaul undong The new village movement
sahwa Literal purges in Korea
sajang President
samguk Three kingdoms
samguk sagi The annals of the three kingdoms
samguk yusa Testimonials of the three kingdoms
samgyeopsal Pork belly
samil undong Independence movement
sanmu Board member
seonsaengnim Master
Shilla Old kingdom
Register of a Few Korean Expressions vii
si City
si sang pil bol With the carrot and the stick
siksa Meal
Sirhak Teaching of practical learning
songbang Business branches
taekbae Delivery to target
ulzzang (eoljiang) Divine beauty
waegu Japanese pirates
yang Yang (male)
ye Moral standard, law
eosin Goddess
Yi Dynasty (1392–1907)
Preface
During the time of my educational upbringing, as well as in my business life, I
have been associated with Germany in manifold ways. Therefore, I am delighted
that Prof. Schneidewind has ventured on writing a book on my homeland, which
sheds light on various features of my fellow citizens, the national economy, and
the business management of our rapidly growing state.
In the 1970s of the proceeding century, my own enterprise, the Dong-A
Pharmaceutical Co., Ltd., collaborated on a license base with the German
business group of Wella. This relation turned into a joint venture, which developed
quickly to the market leadership in its specific market segment in Korea and
almost immediately produced positive figures. Later, Wella took over our capital
shares. The cooperation was always based on mutual trust, and all the numerous
prevailing difficulties were smoothly cleared upon in fruitful dialogues. Both,
Dr. Schneidewind, who served as an executive board member of his German
headquarter and who had formerly worked for a long period of time in Asia, and
Mr. Nolden, his managing director in Korea, who commanded a fluency in Korean
language and was well associated with our country, showed great understanding of
my homeland and its inhabitants.
International business is always accompanied by frictions and unforeseen
events, for which textbooks do hardly provide solutions. However, if the investor
shows understanding for the chosen guest country and with patient cooperation on
both sides, a successful business relation is, in general, possible.
Besides the business activities, we enjoyed to foster harmonious and amicable
relations, which also contributed to a personal and cultural enrichment for both
sides. Even though our business relation ended years ago, we still meet
occasionally and I appreciate that Dr. Schneidewind has even widened his interest
in my home country and, by now, has even moved to Seoul. It was a particular
pleasure to read his book manuscript. I cordially thank him for the excellent
research work on my country, which I greatly admire and assess. There is still a
shortage of published papers on Korea and her business environment. Using the
title Economic Miracle Market South Korea, Dr. Schneidewind’s work has not
ix
x Preface
only shed light on economic facts but also shed light on the Korean history,
culture, and society. Some representations are new and highly interesting not only
for me but also for most Koreans. Korea investigated from the point of view of a
foreigner offers a new, refreshing perspective. Therefore, I sincerely wish the sub-
mitted book project the well-deserved success!1
Kang Shin-ho
1A curriculum vitae of Dr. Kang is attached at the end of the book
Acknowledgements
First of all, I would like to thank Mr. Detlef Nolden, for his extensive, invaluable
help when writing the manuscript and later supervising it. For many weeks, we
have worked together in Zwingenberg, my former residence in Germany, as well
as in his residence in Witten at that time. Mr. Nolden graduated from the Ruhr
University Bochum with a master degree in Korean sciences and also studied eco-
nomics in Bochum. Later, he was a temporary student at the University of Boston
and at INSEAD. He worked 19 years for Wella in Korea, the last six years as CEO
of the local daughter company. Today, he lives with his Korean wife at the lovely
Baldeneysee in the vicinity of Essen/Germany.
I owe a sincere “thank you” to the former chairman of the Federation of Korean
Industries, Dr. Shin Ho Kang.2 He wrote the preface to this book and encouraged
me to write a volume on some aspects of Korea. My gratitude goes to a friend of
Dr. Kang, Prof. Dr. Chongkoi Choi, Emeritus of the Seoul National University,
who went through the complete text and provided some inputs and replenishments.
I dedicate this monograph of an East Asian country also to my academic tutors,
Prof. Dr. Dres. h.c. Willy Kraus, formerly lecturing on the subject of Economic
Development and Economy of East Asia at the Ruhr University Bochum and also
Prof. Dr. Ehrenfried Pausenberger, formerly lecturing on the subject of International
Business Administration at the Justus Liebig University of Giessen. Both always
showed a keen interest in the development of the Asian Pacific area and frequently
traveled there.
2Dr. Shin Ho Kang was twice chairman of the Federation of Korean Industries and is the managing
owner of the leading pharmaceutical manufacturer in Korea since 1967, Dong-A Pharmaceuticals.
He formerly served as an advisor of external economic relations to a Korean president. At a con-
ference of German business leaders and scholars in Berlin, he scintillated with a lecture given in
German. He proves his vitality at a rather advanced age by learning the Chinese language and also
still plays many rounds of golf. He is the coeditor of a dictionary of Korean–Chinese–Japanese–
English. In his home country, he is highly respected because of his always modest behavior and
his social engagement. This gentleman delivered the following curriculum vitae, which is not at all
a typical for a top representative of the Korean business society (selection).
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