Business Strategy, Government and Globalization: Policy and Miscalculation in the Korean Electronics Industry

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Acknowledgements

This study is based on a project funded by the Economic and Social Research Council, entitled ‘Korean Foreign Direct Investment in the UK: Three Case Studies in Electronics’, Award Reference Number R000 223299.

Notes

 1. Segyewha Planning Committee, Report, 1994.

 2. Seoul Kyungje Shinmun, 17 Sept. 1996; Bank of Korea, ODI Statistical Yearbook, 1994, 1995.

 3. Ministry of Finance and the Economy, Trends in International Investment Technology Inducement. 1998, 1999; Korea EXIM Bank, FDI Statistics, 2001, p.2.

 4. The electronics industry was designated a strategic export industry in 1961 and under the Foreign Capital Inducement Act, it could receive overseas capital. KOMI Semiconductors, founded in 1965, was founded by inward FDI. See also Cherry, 2001: 62.

 5. Interview, Kim Yong Sub, President, Daewoo Human Management Centre, 26 April 1999; Interview, Oh Se Chul, government minister, under President Park, 11 July 2001.

 6. Interview, Oh Se Chul, government minister, under President Park, 11 July 2001. See also, Amsden, 1989: 127.

 7. Daewoo, Company Report, 1979–1998.

 8. Daewoo, Internal Memorandum, ‘Daewoo at the Crossroads’, 1995, p.11. See also Ungson, Steers and Park, 1997: 123.

 9. Interview, Oh Se Chul, government minister, under President Park, 11 July 2001; Daewoo, Company Report, 1979–1998.

10. Interview, Kim Yong Sub, President, Daewoo Human Management Centre, 26 April 1999. The LG plant in Spain was never built, in part because the company decided to construct a VCR and microwave factory in Tyne and Wear, England, in 1988. See LG Electronics, Company Report, 1970–2001.

11. Korean Electronics Industry, Annual Report, 2001.

12. Korean Electronics Industry, Annual Report, 2001.

13. Samsung Group, Annual Report, 2000.

14. Samsung Group, ‘Samsung's Global Strategy and Operation’, Samsung Strategic Report, 1997; Far Eastern Economic Review, 26 May 1994.

15. Korean Electronics Industry, Annual Report, 1997. See also Cherry, 2001: 61.

16. Ministry of Finance and the Economy, Trends in International Investment Technology Inducement, 1998, 1999.

17. Interview with Professor Kim Seung-Jin, Hankook University for Foreign Languages, 7 July 2001.

18. Segyewha Planning Committee, Report, 1994.

19. Interview with Professor Kim Seung-Jin, Hankook University for Foreign Languages, 7 July 2001. See also Graham, 2003 : 89–91,118–19.

20. Far Eastern Economic Review, 20 June 1996, pp.46–8.

21. Maekyung Economic Daily, 8 June 1996. See also Graham, 2003: 98–102.

22. Interview, Kang Man-Soo, former Deputy Minister at Department of Finance, 6 July 2001.

23. Samsung Group, ‘Samsung's Global Strategy and Operation’, Samsung Strategic Report, 1997.

24. Daewoo Group, Internal Memorandum, ‘Daewoo Segyewha: From Korea to the World’, 1995.

25. Daewoo Group, Internal Memorandum, ‘Dream with Daewoo’, 2000.

26. Interview, Kim Yong Sub, President, Daewoo Human Management Centre, 26 April 1999.

27. Hankyung Business, 3 Dec. 1996.

28. Daewoo, Inryuk Gaebal (HRM in Daewoo), 1997.

29. Daewoo Electronics, Internal Memorandum, ‘Daewoo as a World Leading Company’, 1998.

30. Maekyung Daily Newspaper, 1 Sept. 1998.

31. Daewoo, Internal Memorandum, ‘Daewoo in the EU’, 1999.

32. Interview, Bae Chan, CEO of Samsung, Wynyard, 27 April 1999.

33. Samsung, Company Report, 2002.

34. Samsung, Company Report, 2003, 2004.

35. Interview, Lee Chang Sil, Manager, LG, Northern England, 4 Sept. 2000.

36. Hankook Kyungje, 5 April 1999.

37. Hankook Kyungje, 15 Jan. 2001.

38. Financial Times, 23 Dec. 1997.

39. Hankook Kyungje, 15 July 1999. See also Graham, 2003: 103,122,124 .

40. Hankook Kyungje, ‘Daewoo Jasalinga tasalinga?’ (Daewoo: Suicide or Murder?), 2002, pp.30–39.

41. Hankook Kyungje, 15 July 1999. See also Graham, 2003: 103,122,124.

42. Wall Street Journal, 22 April 1998.

43. Financial Times, 24 Nov. 1998.

44. Hankook Kyungje, 15 July 1999.

45. Hankook Kyungje, 15 July 1999. See also Graham, 2003: 133–5.

46. Hankook Kyungje, ‘Daewoo Jasalinga tasalinga?’ (Daewo: Suicide or Murder), 2002, p.21.

47. Interviewed, Lee Chang-Sil, Manager, LG, Northern England, 4 Sept. 2000. See also Graham, 2003: 136–44 .