Business Opportunities for Foreign Companies in the Korean Domestic Market

Running head: ECONOMICS
Economics
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ECONOMICS
Where do you see the biggest business opportunities for foreign companies inside the
Korean domestic market?
The South Korean domestic market which is termed as KDM is the name for South
Korea’s economic market for domestic brand goods which mainly deals in automobiles and
parts. The biggest business opportunities for the foreign companies are in the Korean
automobiles sector. South Korea have known to grow significantly during the last decades
and is considered to be one of the largest and the most developed economies in the world. It
is also known to have an excellent location centre of East Asia which offers geographic
advantage in the region with easy access to other markets (Clifford 2016). The foreign firms
can also make good profit by selling cars and opening more service centres. In the year 2017,
the automotive industry in South Korea had been the world’s top automotive manufacturing
countries and is one of the largest automotive exporters. The automotive sector of South
Korea is one of the most important sector in the country and is also the key factor for the
economic growth of South Korea. It is also known to contribute more than ten percent of the
country’s gross domestic product (Nagy and Jámbor 2018). The automotive industry of
South Korea continues to boom and is also the leading position in the global automotive
industry. Therefore, it is known to attract large number of buyers and traders from all over the
world who hope to source best business deals in the country.
South Korea is therefore expected to be highly influential and is also termed as one of
the most innovative nations for doing business. Since the 1990s. South Korea had been one of
the fastest growing economies in the world (Schott, Jung and Cimino-Isaacs 2015). The
foreign companies will be benefitting enough while investing in this particular country. This
country is also known to be the most advanced automobile producing countries in the world.
The foreign investors should also be investing in South Korea since they have a highly skilled
workforce, advanced research and development capabilities along with high quality