This document provides an overview of key facts about South Korea, including its history, culture, economy, and technology adoption. It discusses historical periods like the Three Kingdoms period and Japanese colonial rule. It also outlines demographic characteristics, noting South Korea's highly educated and technologically connected population. The economy is characterized as innovative with major companies like Samsung and a focus on exports. Internet and mobile technology have been widely adopted. The document analyzes South Korea's culture, including traditions like Hanbok dresses and the importance of family and education. It also summarizes business etiquette and opportunities/threats around marketing to seniors.

1. Seorak Mountain, Seoul,Virtual grocery store in
subway, “Gangnam Style,” and Samsung Galaxy

2.  Earliest Pottery: ~8000 BCE
 Proto-Three Kingdoms: 238
BCE-108 BCE
 Three Kingdoms: 57 BCE-668
CE
 Unified Silla and Balhae: 676-
936
 Goryeo: 936-1388
 Joseon: 1392-1896
 The Korean Empire: 1897-1910
 JapaneseColonial Rule: 1916-
1945
 PostWWII (Separation of North
and South Korea): 1945-Present
 KoreanWar: 1950-1953
Ancient Korean Art
Korean Empire
The KoreanWar

3.  Continent: Asia
 Location: Below the
38th parallel on the
Korean peninsula
 Size: 37,421 square
miles, slightly larger
than the state of Indiana
 Capital: Seoul
 Climate: Temperate,
Cold winters, Monsoons
&Typhoons
 Topography:
Mountains, River Basins

4.  Nuclear family
 Extended family
 Family dynamics
 Parental roles
 Marriage and courtship
 Gender roles
Traditional masculine culture

5.  Crucial component to
success
 Six days a week until
2012
 High speed internet in
all schools
 Traditionally split by
gender
 Same curriculum for
boys and girls
 Literacy rate = 99.8%
The most connected schools in the world

6.  Primary education
 English begins in third grade
 Secondary education
 Academic or vocational
school after ninth grade
 High school is not mandatory
 97% graduation, the highest
of any country
 Higher education
 400 higher education
institutions
 4,000,000 students
 Seoul National University,
Korea University andYonsei
University
Seoul National University
Male vs. Female Literacy (‘90-’98)

7.  Political system
 The Republic of Korea
 Executive, legislative, and
judicial branches
 Power of the president is
dominant
 Relatively stable democracy
 Legal system
 Civil Code law
 Similar to both Germany and
US
▪ Combination of European civil
law, Anglo-American law, and
Chinese classical thought
 No jury; a court of one or
three judges hears the cases
South Korean Supreme Court
South Korean Flag

8.  Religion:
 No affiliation-46%
 Buddhist-26%
 Christian-26%
 Confucianist 1%
 Language:
 Korean
▪ Chinese Characters
 English
Confucius

9.  Visual arts
 Bold colors, pottery, and
calligraphy
 Music
 Traditional: slow and
somber; represents the
plight of the working class
peasants
 Modern: K-pop
 Performing arts
 Women dance in costume
 Men tell the story known
 Elaborate costumes and
masks, knots, embroidery,
and fabric screens
 Traditional dress:
 Hanbok
Traditional performance in Hanbok
Calligraphy K-pop

10. South Korea n Profile

11. South Korea n Profile
US Profile

12.  Lower-ranking individuals bow first
 Bow to each person individually when leaving
 It is essential to be introduced by a third party
 Business relationships are developed through
informal social gatherings
 Very broad view of legal documents
 Never criticize someone in front of others
 South Koreans are very direct- be concise in
business dealings
 Appointments are required and should be
made 3 to 4 weeks in advance
 Arrive on time for meetings to show respect to
the person you are meeting
 Do not remove your jacket unless the most
senior South Korean does so

13.  48,860,500
 83% Urban
 Seoul ~ 10 million
 Homogenous Korean
Society
Age Distribution
0-14 Year
15-64
65+

14.  GDP:$1.574 trillion
 13th in the world
 Personal income per
capita: $32,100
 Ranked 40th
 Income Classes
 Upper Class (Chaebol): 1.5%
 Middle Class: 53.4%
 Lower Class: 45.2%
▪ The lowest 10% consume 2.7%;
highest 10% consume 24.2%
▪ Poverty among the old is 45%,
3x the rich nation average

16.  US-Korea FreeTrade
Agreement (KORUS
FTA 2012)
 Total Exports: $556.6
Billion
 Total Imports: $524
Billion
 Ranks 16th in BoP
 IT & Smartphones
 ~1,110 KRW per US
Dollar
Korean Won (KRW)

17.  One of the world’s
most connected
countries
 40%+ own a
Smartphone (2011)
▪ ~ 52 million
 11th in the world in
internet usage
▪ Broadband in all homes
and schools
▪ Over 39.4 million users in
(2009)
Internet Cafe

18.  Television
 Radio
 Print
 Newspapers
 Internet
 Mobile
 Outdoor
Seoul City Hall covered with a billboard
Mobile AdsTV Network concert sponsored by Google
TV & Radio
Broadcasting

19.  Relative advantage
 Compatibility
 Complexity
 Trialability
 Observablity

20.  Acer
 Apple
 Dell
 HP
 Hyundai
 Samsung
 Sony
 Toshiba
 And more…
 Tablets (Galaxy Note, iPad)
 E-readers (Kindle, Nook)
 Smartphones

21.  Internet addiction
 Hypermarkets
 E-commerce
 High tech
 Move to mobile
 Domestic companies
have the advantage
 Price
 Relationship
 Relationship-oriented
culture
Electronics Store in South Korea

22.  Seniors
 11%+ population is over
65
▪ More women than men
▪ Higher rate of poverty
among the elderly
 Only 4% 55-64 use
internet
 Total market ~ 5 million
▪ 1% share = $12.5 million in
sales
Elderly Korean
woman &
Jitterbug phone

23.  Traditional vs. Modern
 Young vs. Old

24. Strengths Weaknesses
Opportunities Threats
The XO

25.  Core component
 Too childish looking
 Eliminate unnecessary
features
 Packaging component
 White, blue, red
 Logo/Brand name change
 Support services
component
 Phone-based customer
service 24/7
The Imported XO
vs.The Domestic
Samsung

26.  Objective
 Get seniors to buy product
for themselves
 Media mix
 Newspaper, radio
 Senior fair
 Direct response
advertising
 Direct mail
 Message
 Still the head of the family
 My son and grandson may
live far away, but I can still
be there for them

27.  Objective
 Buy XO for mom, dad, or
grandparents to stay
connected
 Media mix
 Digital/Mobile ads
 SEO
 Direct response
 Message
 Live guilt free… stay
connected to parents from
far away
 Easy to use system
 Respect your elders in a
whole new way

28.  Optimistic Outlook
 1% market penetration
Year One
 10% growth rate
 Potential Profit = $1.8
Million inYear 5
 Good?
 Samsung may be a $400
Billion dollar company
by 2020
$0.00
$1,000,000.00
$2,000,000.00
$3,000,000.00
$4,000,000.00
$5,000,000.00
$6,000,000.00
$7,000,000.00
$8,000,000.00
$9,000,000.00
$10,000,000.00
Total
Revenue
Year 1
Year 2
Year 3
Year 4
Year 5

29.  Bridge the gap between traditional and
modern
 Focus on relationships
 Make seniors feel special and superior
 Keep costs down
 Get in and out… fast!