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KORBRAND 2011




   TOP 50
KOREAN BRANDS




    | KorBrand 2011 | TOP Korean Brands |   |1|
About the KorBrand


Regardless the globalization, every country always has its own national brands that sometimes could
be much stronger and more popular inside the country, that well known international brands.

Today the brand is often the biggest and very valuable assets, because the very strong and popular
brand regardless of its scale and age allows the company to retain or to gain significant market share,
and also provides an opportunity to actively develop at the global markets.

In our times the business are increasingly faced the situation when the brand becomes one of the
most expensive assets in the company's value, even compared with manufacturing facilities. And in
such a situation, the most attention is paid to the brand value in mergers and acquisitions, as well as
in public offerings of shares on stock markets or placing other types of securities in order to attract
investment. In this case It is necessary to solve the puzzle, when the company realizes the full value
of its brand, but can not express it in concrete figures.

After many researches, the optimal solution was found, and since early 2010, the agency MPP
Consulting has established long-term project of the national brands evaluation. Using the developed
methodology in 2011 the rating of the most valuable brands of South Korea was created.

The main task of the rating KorBrand 2011 was to determine the 50 most expensive Korean brands,
as well as their current real market value, based on the financial performance of companies using
such brands (trademarks), as well as the positions of each company in the market and prospects for
development both companies and their brands.

It is worth noting that the ranking only includes brands created in Korea or for Korean goods
(services), although how much later they became known at national or global levels. The geographical
origin of brands from Korea was the main criterion for selection of brands (trademarks), assessed in
rating.




* All rights to brands and trademarks mentioned or referred to in the ranting belong to their respective owners.




                                              | KorBrand 2011 | TOP Korean Brands |                                |2|
Methodology


The methodology of the brand evaluation based on the evaluation of activity of companies brand-
owners, and also takes into account several factors showing the market conditions that influence the
brands, possible threats and perspectives for industries development.

This methodology is based on analysis of factors influencing the market value of the brand: the
company's position on market, consumer value of brand, as well as factors actual trends for the
company and its brand.

Brand value calculation formula:


    V = Fc * (Iq * Gq * Tq * Cq) * Uid

 V – brand value
 Fc – composite financial index
 Iq – investment index
 Gq – geographical index
 Tq – technological index
 Cq - competitive index
 Uid – unique identity index


It is worth noting that the brand value includes only the cost of the brand (name), excluding production
facilities, infrastructure, patents, inventions and other tangible or intellectual property.


* Value of Brands in rating indicated in millions $




                                               | KorBrand 2011 | TOP Korean Brands |                |3|
TOP 50           1 - 18


     Brand               Value, mln.$                 Logo                          Industry

1    Samsung               31 420                                       Electronics

2    Hyundai                8 523                                       Automotive

3    LG                     7 260                                       Electronics

4    Kumho                  1 170                                       Chemistry

5    KIA                    1 016                                       Automotive

6    Hankook                 981                                        Chemistry

7    ZIC                     702                                        Oil & Fuels

8    KEB                     638                                        Financial services

9    KT                      563                                        Telecommunication

10   SK Telecom              511                                        Telecommunication

11   Shinsegae               471                                        Retail

12   Asiana Airlines         412                                        Transport

13   Milkis                  403                                        Beverages

14   Cass                    381                                        Brewing

15   Kookmin Bank            366                                        Financial services

16   Orion                   357                                        Confectionary

17   Daewoo                  347                                        Electronics

18   Busan Bank              332                                        Financial services




                                    | KorBrand 2011 | TOP Korean Brands |                      |4|
TOP 50         19 - 36


     Brand             Value, mln.$                Logo                           Industry

19   Korean Air            324                                       Transport

20   Heungkuk              307                                       Insurance

21   Arirang               302                                       Media

22   Shinhan Bank          291                                       Financial services

23   SsangYong             288                                       Automotive

24   Hynix                 257                                       Electronics

25   Hanjin                234                                       Logistics

26   Interpark             211                                       Retail

27   Nexen                 204                                       Chemistry

28   POSCO                 199                                       Metallugry

29   Sokenbicha            187                                       Beverages

30   Glaceau               181                                       Beverages

31   Hansol                174                                       Electronics

32   Kyobo                 163                                       Insurance

33   Laneige               138                                       Cosmetics

34   KBS                   122                                       Media

35   Hollys Coffee         119                                       Foods

36   Mamonde               114                                       Cosmetics




                                 | KorBrand 2011 | TOP Korean Brands |                       |5|
TOP 50      37 - 50


     Brand          Value, mln.$                Logo                          Industry

37   IBK                113                                       Financial services

38   Skin Food          111                                       Cosmetics

39   Hitejinro          110                                       Alcohol

40   Wooribank          109                                       Financial services

41   CJ                 108                                       Media

42   Bohae              106                                       Brewing

43   Crown              105                                       Confectionary

44   Seoul Milk         104                                       Foods

45   Hana Bank          103                                       Financial services

46   IOPE               102                                       Cosmetics

47   YTN                101                                       Media

48   SKC                100                                       Chemistry

49   Ottogi             99                                        Foods

50   WisePower          98                                        Electronics




                              | KorBrand 2011 | TOP Korean Brands |                      |6|
Conclusions


The rating KorBrand 2011 is the 15-th rating in 2011 published under the project TOP National
Brands.

The issue of defining the most expensive national brands is not new, and consist not only in the
complexity of the assessment, but in the presence of a single methodology that would unify the
approach to this process regardless of the regional characteristics of individual countries.

That is why the primarily goal was to create a single universal methodology to assess the brands that
can be used to determine the real market value of any brand in any market.

Process of developing the methodology was started in 2006 and only four years later she was finally
worked out in practice and has shown its real effectiveness. Thus, the use of this rating method of
evaluation reflects most accurately the elements forming the current market value of each brand, and
allows us to create the rating of the most expensive national brands in a single country.

We hope that this rating, as well as an evaluation technique will be in demand by companies and
investors, and help more accurately and quickly determine the current real market value of each
brand.


MPP Consulting
Kiev, Ukraine
+380 44 3614647

www.mppconsulting.com.ua
office@mppconsulting.com.ua




                                     | KorBrand 2011 | TOP Korean Brands |                         |7|

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KorBrand 2011 - TOP50 Korean Brands

  • 1. KORBRAND 2011 TOP 50 KOREAN BRANDS | KorBrand 2011 | TOP Korean Brands | |1|
  • 2. About the KorBrand Regardless the globalization, every country always has its own national brands that sometimes could be much stronger and more popular inside the country, that well known international brands. Today the brand is often the biggest and very valuable assets, because the very strong and popular brand regardless of its scale and age allows the company to retain or to gain significant market share, and also provides an opportunity to actively develop at the global markets. In our times the business are increasingly faced the situation when the brand becomes one of the most expensive assets in the company's value, even compared with manufacturing facilities. And in such a situation, the most attention is paid to the brand value in mergers and acquisitions, as well as in public offerings of shares on stock markets or placing other types of securities in order to attract investment. In this case It is necessary to solve the puzzle, when the company realizes the full value of its brand, but can not express it in concrete figures. After many researches, the optimal solution was found, and since early 2010, the agency MPP Consulting has established long-term project of the national brands evaluation. Using the developed methodology in 2011 the rating of the most valuable brands of South Korea was created. The main task of the rating KorBrand 2011 was to determine the 50 most expensive Korean brands, as well as their current real market value, based on the financial performance of companies using such brands (trademarks), as well as the positions of each company in the market and prospects for development both companies and their brands. It is worth noting that the ranking only includes brands created in Korea or for Korean goods (services), although how much later they became known at national or global levels. The geographical origin of brands from Korea was the main criterion for selection of brands (trademarks), assessed in rating. * All rights to brands and trademarks mentioned or referred to in the ranting belong to their respective owners. | KorBrand 2011 | TOP Korean Brands | |2|
  • 3. Methodology The methodology of the brand evaluation based on the evaluation of activity of companies brand- owners, and also takes into account several factors showing the market conditions that influence the brands, possible threats and perspectives for industries development. This methodology is based on analysis of factors influencing the market value of the brand: the company's position on market, consumer value of brand, as well as factors actual trends for the company and its brand. Brand value calculation formula: V = Fc * (Iq * Gq * Tq * Cq) * Uid V – brand value Fc – composite financial index Iq – investment index Gq – geographical index Tq – technological index Cq - competitive index Uid – unique identity index It is worth noting that the brand value includes only the cost of the brand (name), excluding production facilities, infrastructure, patents, inventions and other tangible or intellectual property. * Value of Brands in rating indicated in millions $ | KorBrand 2011 | TOP Korean Brands | |3|
  • 4. TOP 50 1 - 18 Brand Value, mln.$ Logo Industry 1 Samsung 31 420 Electronics 2 Hyundai 8 523 Automotive 3 LG 7 260 Electronics 4 Kumho 1 170 Chemistry 5 KIA 1 016 Automotive 6 Hankook 981 Chemistry 7 ZIC 702 Oil & Fuels 8 KEB 638 Financial services 9 KT 563 Telecommunication 10 SK Telecom 511 Telecommunication 11 Shinsegae 471 Retail 12 Asiana Airlines 412 Transport 13 Milkis 403 Beverages 14 Cass 381 Brewing 15 Kookmin Bank 366 Financial services 16 Orion 357 Confectionary 17 Daewoo 347 Electronics 18 Busan Bank 332 Financial services | KorBrand 2011 | TOP Korean Brands | |4|
  • 5. TOP 50 19 - 36 Brand Value, mln.$ Logo Industry 19 Korean Air 324 Transport 20 Heungkuk 307 Insurance 21 Arirang 302 Media 22 Shinhan Bank 291 Financial services 23 SsangYong 288 Automotive 24 Hynix 257 Electronics 25 Hanjin 234 Logistics 26 Interpark 211 Retail 27 Nexen 204 Chemistry 28 POSCO 199 Metallugry 29 Sokenbicha 187 Beverages 30 Glaceau 181 Beverages 31 Hansol 174 Electronics 32 Kyobo 163 Insurance 33 Laneige 138 Cosmetics 34 KBS 122 Media 35 Hollys Coffee 119 Foods 36 Mamonde 114 Cosmetics | KorBrand 2011 | TOP Korean Brands | |5|
  • 6. TOP 50 37 - 50 Brand Value, mln.$ Logo Industry 37 IBK 113 Financial services 38 Skin Food 111 Cosmetics 39 Hitejinro 110 Alcohol 40 Wooribank 109 Financial services 41 CJ 108 Media 42 Bohae 106 Brewing 43 Crown 105 Confectionary 44 Seoul Milk 104 Foods 45 Hana Bank 103 Financial services 46 IOPE 102 Cosmetics 47 YTN 101 Media 48 SKC 100 Chemistry 49 Ottogi 99 Foods 50 WisePower 98 Electronics | KorBrand 2011 | TOP Korean Brands | |6|
  • 7. Conclusions The rating KorBrand 2011 is the 15-th rating in 2011 published under the project TOP National Brands. The issue of defining the most expensive national brands is not new, and consist not only in the complexity of the assessment, but in the presence of a single methodology that would unify the approach to this process regardless of the regional characteristics of individual countries. That is why the primarily goal was to create a single universal methodology to assess the brands that can be used to determine the real market value of any brand in any market. Process of developing the methodology was started in 2006 and only four years later she was finally worked out in practice and has shown its real effectiveness. Thus, the use of this rating method of evaluation reflects most accurately the elements forming the current market value of each brand, and allows us to create the rating of the most expensive national brands in a single country. We hope that this rating, as well as an evaluation technique will be in demand by companies and investors, and help more accurately and quickly determine the current real market value of each brand. MPP Consulting Kiev, Ukraine +380 44 3614647 www.mppconsulting.com.ua office@mppconsulting.com.ua | KorBrand 2011 | TOP Korean Brands | |7|