Study On South Korean Companies Entering The Chinese Market

In 2003, a report on investment strategies by famous American investment bank Goldman Sachs pointed out that the economic growth of BRICs (Brazil, Russia, India, China) had the most potential value. Those four countries have something in common:vast territories, rich resources, huge domestic markets from large population, affluent labor, preferential policies towards foreign companies. They develop from these advantages provided to overseas companies. In particular, China enjoys an annual 7% to 10% growth rate since the 1990s, and the 2008 World Olympics and the 2010 Guangzhou Asian Games had attracted world attention. China is the world's most concerned emerging markets, with various countries eager to seize the opportunities in China. Among them, Korea and Japan have a geographical and cultural advantage over Europe and America. Many Korean companies take advantage of the opportunity of China's opening up to enter the Chinese market. They are successful but some of them encounter failures. This study uses empirical study of Korean companies' entering into the Chinese market, and hopes to find out an effective strategy to further help those want to enter the same cultural circle of the Asian countries.