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Home / General Information / Korea Business Success eZine / Korea Business Success eZine – Fall 2007

Korea Business Success eZine – Fall 2007

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Welcome to the Fall 2007 issue of the Korea Business Success eZine of Korean Consulting & Translation Service, Inc. We hope you find this information helpful to your business in Korea and with Koreans everywhere.


Table of Contents

  1. Greetings in the Workplace
  2. Korean Culture: Eating on the Run
  3. Feature Article: North-South Relations
  4. Flooding in Korea
  5. Population Trends in South Korea
  6. New Information Website for Foreigners
  7. Korean Etiquette: Eye Contact and Shaking Hands
  8. MT

1. Greetings in the Workplace

In the workplace or other situation where you commonly encounter people several times a day, Westerners would consider it polite to greet or at least acknowledge another person each time you see them. However, this is seen as excessive by Koreans and would tend to make them feel uncomfortable. You should certainly greet a Korean the first time you see him or her each day but it is not necessary to greet them each time after that. There is no problem in having a chat with a Korean whom you bump into again but if you have nothing you wish to say, then just walking on by without greeting them is not considered rude.


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2. Korean Culture: Eating on the Run

In the last edition of the eZine, the culture of people eating lunch together was discussed. An extension of this is that eating alone is avoided because it is taken as a sign that a person has been excluded from a group or groups. To Koreans, being excluded from a group means there must be something wrong with that person and he should therefore be shunned by both those who know him and those who don't know him.

You should also avoid eating on the run because it gives the impression that you have been excluded if you are alone and is a sign that you are rejecting those that you are with if you eat by yourself when you are part of a group.

If are out and about by yourself and need to eat, go into a restaurant, even a fast food restaurant, to eat. Eating alone in public creates a bad impression - by eating in a restaurant, you reduce the stigma of eating alone. If you are with others then don't eat by yourself - suggest that the whole group grab something to eat and if they decline, wait until you get a chance to eat together or take your leave and find a restaurant or return to your accommodation to grab a bite to eat.

It is perfectly acceptable to drink a bottled non-alcoholic beverage alone in public. If you are with a group, it would be polite to ask the others whether they would like a drink and offer to pay for their drinks. It is not necessary to go to a restaurant for a drink - you can just purchase the drinks from a vending machine or convenience store. But buying yourself a drink without offering drinks to others would be considered bad form.

If you suffer from a medical condition such as diabetes that requires you to eat at irregular times, explain this to the group you are with and, if possible, carry and eat food which is fairly small and unobtrusive, such as candy or biscuits.


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3. Feature Article: North-South Relations

South Korea's president Roh Moo-hyun just got back from visiting North Korea for a three-day summit. This was the second inter-Korean summit - the first was in June 2000 when then President Kim Dae-Jung visited North Korea and the two Koreas agreed to improve relations and promote economic co-operation. The first summit was truly a momentous occasion and there was great interest and very high hopes among the South Korean population. Most South Koreans supported the summit this time around too but interest and expectations were much lower.

Undoubtedly, Kim Jeong-Il has seized the opportunity to have another summit before the upcomming South Korean presidential elections because negotiating with a right-wing president or even holding a summit with him would be much more difficult.

The main purpose of the visit was to further facilitate business co-operation. President Roh was accompanied by almost 50 business leaders and inspected a joint motor plant and the Gaeseong industrial zone.

The Korean War has technically not ended but is in a state of extended ceasefire. President Roh had expressed a desire to reach a peace deal with North Korean leader Kim Jeong Il formally ending the Korean War, which would have been a major political prize for him, but it was not exactly forthcoming on this occasion. The two parties agreed to have a meeting at an unspecified future date along with the US and China, the other participants in the Korean War, to negotiate a treaty to formally end the war. This is just a re-iteration of the September 19 Joint Statement agreed to at the six-party talks in 2005.

Many believe it comes down to how Kim Jeong-Il wants to play the summit for its domestic propaganda value or for the aid or concessions he can extract. To use it for propaganda, he might talk up the possibility of negotiations at home, then refuse to negotiate or commence negotiations and then later pull out and tell the North Korean people that it is the US and South Korean "warmongers" that are blocking the "ardent desire of North Korean people" for peace, or he may participate in negotiations and then claim all the glory. It could go either way.

Kim Jeong-Il is not mad or illogical. He is often deliberately insincere and unreasonable in negotiations but there is method to his madness. Typically, he refuses to negotiate or pulls out of negotiations for no apparent reason so he can blame their failure on the other party to use for domestic propaganda, or to extract aid or concessions in future negotiations.

There was considerable controversy among some in South Korea prior to the summit because President Roh's itinerary included watching the North Korean Arirang festival, the mass gymnastics games, with Kim Jeong Il. The Arirang festival is considered to be steeped in communist propaganda and is a symbol of Kim Jeong Il's control over and oppression of the North Korean people. The viewing of the Arirang festival by a foreign leader can be interpreted as a show of support for Kim Jeong Il and his regime. Roh did attend the Arirang festival and stood and applauded at times. He went even further and expressed his desire for the long life of Kim Jeong-Il during his visit to the North Korean assembly. These two things can be construed as saying that President Roh of South Korea recognizes the superiority of the North Korean political system and such is propaganda gold for Kim Jeong-Il and an excellent opportunity for Roh's political opponents back home to attack him.

President Roh of South Korea had expressed the desire to get a lot out of the summit and will certainly be talking up his achievements in the weeks ahead. He wanted to use the summit to achieve something of note on the international stage in order to create a historical legacy for himself and put his party in a good position at the next election as he nears the end of his term in office. Kim Jeong-Il, on the other hand, seems to be trying to use the summit to legitimize his grip on power both domestically and internationally. It appears that Kim Jeong Il has made full use of the summit to get what he wanted and then sent Roh Moo-hyun away virtually empty-handed. A summit of this nature is mostly about symbolism with the substance to come in later bureaucratic negotiations, but Kim did not provide Roh with any big symbolic prizes to take back with him. However, Roh may see some political dividends in the weeks and months ahead if negotiations lead to further economic co-operation between the North and South, particularly if road access for trade and tourism becomes a reality.


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4. Flooding in Korea

Korea experiences a rainy season ("jang-ma cheol" in Korean) every year approximately extending from late June to early August. The timing and severity of rains varies from year to year and some years a lot of rain can fall in a short time. The rainfall in North Korea and South Korea is similar during the rainy season but North Korea is always affected much more than South Korea because South Korea has invested a lot of money on flood mitigation infrastructure while North Korea has not. The extensive deforestation in the North also exacerbates the problem there.

Flood damage still does occur in South Korea but South Korea is wealthy enough to carry out reconstruction work and provide aid to its effected citizens so floods in modern times don't have major or lasting effects in the South. On the other hand, North Korea, as well as being more severely affected, is much less able to deal with flood damage and often has to rely on foreign aid. Floods in North Korea can have flow-on affects and take years to recover from.

You might remember stories of severe famine in North Korea in the mid to late 1990s. North Korean agricultural production is low because of the country's low proportion of arable land, lack of fertilizers, lack of access to modern machinery, fuel shortages, and communist inefficiency. It struggles to produce enough food to feed its population under normal circumstances, so any disruption to production has the potential to cause a famine. It was a series of floods that destroyed crops and agricultural capacity that brought about the famine in the 1990s.


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5. Population Trends in South Korea

South Korea has been aging steadily since 1980 and the trend seems set to continue. The National Statistical Office in a recent report estimated that people over the age of 65 will be double the number of those under 15 by the year 2030.

The cost of raising children in South Korea is very high due to the culture of education and providing housing for sons and furnishings for daughters when they get married. One reason for large families in the past was the desire for people to have a son who would support and care for them in their old age but this custom is under threat from the new economic reality.

There are foreign guest workers in South Korea but mass migration of non-Koreans would not be acceptable to Koreans in the foreseeable future. However, migration from or further economic integration or political unification with North Korea is a possible way to alleviate labor shortages in South Korea. Additionally, there are presently large numbers of South Korean men and women who for various cultural reasons are not engaged or not fully engaged in the workforce and it is conceivable that cultural attitudes might change enough to allow them to re-enter the workforce.


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6. New Information Website for Foreigners

Galbijim is a new internet forum for foreigners living, working or traveling in Korea. It was started and is maintained by a 33-year old Canadian who has been in Korea for about four years. The name of the website comes from a famous Korean dish made from marinated beef ribs.

The website consists of various sections including Wikipedia articles on Korea, Korean newspaper articles translated into English, job advertisements (mostly for English teachers), and several different forums.


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7. Korean Etiquette: Eye Contact and Shaking Hands

In a Western business setting, making direct eye contact when speaking and greeting others with a firm handshake are signs of respect but this is not necessarily the case in Korea.

In Korea, direct eye contact is best avoided with people more senior (higher up the hierarchy) than you because it might be interpreted as a challenge to status. Look at people when speaking to them without looking directly into their eyes. However, looking right away when speaking would also create a bad impression. Looking slightly downwards when talking to someone more senior than you is a sign of respect because you are clearly showing that you recognize and accept their status.

Shaking hands is not a traditional part of Korean culture so expect some Koreans to be unfamiliar with it. A firm handshake, by Western standards, would be too firm by Korean standards and might make a Korean feel uneasy. Handshaking between men and women is also unusual.

Notwithstanding the above, Koreans will expect to shake hands with foreigners and you are unlikely to face problems by shaking hands with people you meet in a business setting.


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8. MT

"MT", which stands for membership training, is a modern phenomenon in Korea. It is basically a retreat where a group of people from an organization go away together for a day or more and carry out a variety of group-bonding activities and training activities.

It is a rite of passage for university students who might go on several MT retreats for the various clubs and associations they have joined and is a good way for the younger students and older students to bond with each other and establish and strengthen the all-important "senior-junior" relationship. (See the feature article in the previous edition of the eZine for an explanation of the senior-junior relationship.) Drinking alcohol together is considered by Koreans to be one of the best ways to bond with others, so naturally there is lots of drinking when people go on MT.

MT is not done just by university students. Companies, religious organizations and others also go on MT. The ratio of training to fun activities will depend on the organization, but in the case of university clubs, very little training is accomplished.

A Korean associate's MT experiences are a great topic for light conversation. Undoubtedly, they have many humorous anecdotes to share.

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