Academic journal article Academy of Marketing Studies Journal

Globalization and Market Adjustment: Korean Case

Academic journal article Academy of Marketing Studies Journal

Globalization and Market Adjustment: Korean Case

Article excerpt

INTRODUCTION

Information revolution is taking place in every corner of the world, linking people and nations in a most dramatic way in the 21st century. No human civilization has ever seen such an unprecedented technological breakthrough, which enables almost free flow of knowledge and communication among the citizens of the world. Man in the remote corner of the Himalayan mountains can instantly communicate with the man in the middle of Manhattan, New York through internet networking in our time.

This revolution has a significant impact upon the world trade, business, investment, politics, economic growth, marketing activities, social and cultural aspects of every nation. This change will redirect the course of the future history of mankind. No one can escape from the consequences of this information revolution which is transforming the age of many national market into an age of single world market, turning the world into a global village. The 21st century is ushering in more stateless, borderless, global market organizations. There is a tremendous pressure to do business across national borders, as globalization can be a means of reducing costs and expanding markets (Ashkenas,2000).

The method of production, pricing, promotion and distribution are greatly affected by the changes in our instant communication. Consumers are also changing their ways of obtaining information of product, quality, pricing, and purchasing. Increasing levels of consumer sophistication can be seen in all the industrialized markets. Thus, managers and decision-makers are required to adopt new innovations in order to accommodate increasingly complex consumer wants and needs. The markets in the new millennium are being integrated in an unprecedented scale worldwide. As a result, competition is becoming stiff worldwide, and the challenge is most often competitive survival in a changing world of market.

Economical and political environments in this new age are hastening the process of globalization in every nation. However, the speed and way of changes are difficult to predict for each country, because of the differences in their cultural and historical backgrounds. The long-held values of each society are so deeply rooted in the minds of consumers that the transformation may be hard to achieve in many cases. Values change on a time scale of generations, not months or years.

In this paper, Korea is chosen to study the impact of globalization and market adjustment. Korea is an ancient country which has held a long tradition of rigid neo-Confucian ethical values, racial homogeneity, and thus a limited experience with racial and cultural diversity. How Korea would react to the globalization and market adjustment should be of great importance to the world citizens, as this country may possess many similarities of several Asian and other nations whose values and traditions are similar to Korea.

GLOBALIZATION AS NATIONAL GOAL

The globalization is more than just simple free market system which allows free trade, free movement of capital and investment among the nations of the world. The concept of the globalization involves political, cultural and social transformation into liberalization. Korea understood that the globalization can be an ideal way to become an advanced industrialized nation in the world through mainly economic changes. Many intellectuals and politicians in Korea thought that globalization may be the quickest avenue to become a highly industrial country, as the concept of internationalization seems to be consistent with democratic system with the free market economy (Kim, 1999).

In 1995, Korea adopted globalization as a national goal to be implemented in several major areas such as market and economic systems, environmental dimensions, cultural life and education.

Many thought that a drive toward the globalization in Korea could boost the image of a mature nation among the nations of the world, so that economic activities and trade could be enhanced in a new height. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.