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APEC Train-the-Trainer Training Course for Women SME Service Exporters

Learn the best practices in expanding service exports for women-owned SMEs in Korea, with a focus on blue-ocean areas. Presented by Dr. Yoosook Kim, Vice President of the Korean Women Entrepreneurs Association.

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APEC Train-the-Trainer Training Course for Women SME Service Exporters

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  1. APEC Train-the-Trainer Training Course for Women SME Service Exporters Korean Women Enterprises Best Practices in Expanding Service Exports Date: June 17th - 18th, 2014 Venue: Majestic Hotel, Ho Chi Minh City, Vietnam Presented by Dr. Yoosook Kim, Vice President, Korean Women Entrepreneurs Association, Republic of Korea 1

  2. CONTENTS 01. Introduction 02. Status of Women Service Enterprises in Korea 03. Policy Regime Blessing Women’s Service Exports 04. Blue-Ocean Areas for Korean Women SMEs’ Service Exports 05. Best Practice Cases of Korean Women’s Service Exports 06. Conclusion 2

  3. 01. Introduction Korean Women Service Exports Creating New Growth Momentum Inspiration & Insight From Combination of 3 Proven Factors in Korea & Beyond EXPORTS Locomotive of South Korea’s successful industrialization drive - From one of the world’s poorest states to a global economic power with per capita GDP nearing US$30,000 SERVICES New leverage to create sustainable & inclusive growth, responding to the prevailing global paradigm - Winning strategy for SMEs, which account for 90% of Korean employment WOMEN Emerging as glittering jewel of the business world - Role change “From goal keeper to striker” - a football analogy 3

  4. 02. Status of Women Service Enterprises in Korea Number and Ratio of Women-Owned Enterprises in Korea 1,306,148 (38.9%) Source: Korean Women Entrepreneurs Association (KOWEA) Service Sector Takes Lion’s Share Source: Korean Women Entrepreneurs Association (KOWEA) 4

  5. Women-Owned Enterprises Outnumber Men Peers in 3 Categories Accommodation & Restaurant Business Repair & Other Personal Service Business Education Service Business 240,073 147,118 63,092 (35.7%) (49.5) (43.0%) 432,209 149,999 83,742 (64.3%) (50.5%) (57.0%) Women-Owned Enterprises Men-Owned Enterprises Source: Korean Women Entrepreneurs Association (KOWEA) Core Competitiveness Factors of Korean Women-Owned Enterprises - Creating Supremacy in the Service Sector Source: Korean Women Entrepreneurs Association (KOWEA) 5

  6. 03. Policy Regime Blessing Women’s Service Exports Korea’s First Woman President Park Geun-Hye’s Declaration on Women Entrepreneurs Day - ”Women’s sensibility, sensitivity and capacity for communication will be generator of another takeoff for Korea” Three-Year Economic Innovation Plan (2014-2017) - To create 1.5 million new jobs for women by 2017, a steppingstone to raise per capita GDP to US$40,000 Turning Women’s Eyes Toward Global Markets - Korea Women Entrepreneurs Association (KOWEA) launched a one-stop women’s enterprise export promotion program 6

  7. Turning Point to Enhance Korean Service Exports Korea's Commodity & Service Trade Status in 2013 ★The figures and percentages are based on a WTO tally, available at the Ministry of Trade, Industry & Energy (MOTIE), Republic of Korea Korea's Global Market Share in Commodity & Service Trade Exports Imports Commodity Service Commodity Service 7

  8. 04. Blue-Ocean Areas for Korean Women SMEs’ Service Exports Medical Tourism - Annual average growth rate of Korea's inbound medical tourism: 32% during 2009-2013 (Source: McKinsey) • Excellent capabilities in many acute-care areas · Korea’s five-year survival rate for liver, colorectal and thyroid cancers is higher than that of the United States and Japan (Source: Korea Economic Research Institute) • The number of Korean women medical doctors: 23,094 • as of the end of 2013 (Source: Korea Medical Association) · The ratio of women MDs: Rose to 23.3% in 2013 from 22.4% in 2012 Entertainment & Cultural Content • Korean entertainment and cultural content exports in 2013: US$5 billion • Expected to top US$10 billion by 2017 (Source: Ministry of Science, ICT and Future Planning) 8

  9. - Game content accounts for around half of Korean entertainment and cultural content exports Online Shopping Mall - Growing number of Korean specialized online shopping mall operators targeting foreign buyers: 14,000 as of the end of 2013 (Source: Korea Creative Content Agency) - Sales to both domestic and foreign buyers: 8.7 trillion won (US$8.51 billion) in 2013 - Women-owned online shopping malls with a focus on female fashion products are mushrooming - Items available are becoming more diverse, ranging from fashion goods to pet food 9

  10. e-Learning - e-learning is the career choice of many Korean women entrepreneurs. - Korean e-learning companies' turnover: ￦2.7 trillion (US$2.64 billion) in 2012 (Source: Ministry of Trade, Industry & Energy) • The number of Korean e-learning export companies: 5.3% of the total 1,614 as of the end of 2012 Franchises • The overseas advance of Korean-originated franchise • businesses is picking up steam · The fruit of intensive market analysis and preparation - Leading franchise chains include bakeries, pizza shops, coffee shops, etc. 10

  11. 05. Best Practice Cases of Korean Women’s Service Exports Beyond Limitations, Creative Connectivity Breathing Together With Clients - Thorough market analysis to tap new markets, making best use of value chain Nolbu NBG (Chairwoman : Kim Sun-Jin) – From a 15㎡ Bossamjib (Boiled pork restaurant) to the Largest Korean-Style Restaurant Franchise - Featuring client-first service based on quality & trustworthiness, Nolbu NBG specializes in such Korean foods such as Budaejjigae (spicy mixed sausage & vegetable stew), Bossam (boiled pork dish) and Hangari Galbi (grilled beef ribs in a jar) (Continued on next slide) 11

  12. Since advancing first into Malaysia in 1991, accelerating global perations, embracing Japan, China, USA, etc. • Sold equity to Morgan Stanley for 120 billion won (US$118 million) • Newly established premium Korean restaurant SURAON to boost the globalization • of Korean foods LeeKaja Hairbis (CEO: Lee Ka Ja)- Pioneering Global Beauty Franchise via Strategic Alliance • Established in 1972, the company has ceaselessly remained abreast of • trends via regular education, interior upgrades, etc. • Launched brand in overseas markets, now operating 48 shops in China • as well as in advanced countries like the United States and Australia • Pioneering global markets, collaborating with Vidal Sassoon of the United Kingdom on education program

  13. Wooam (CEO: Song Hyeja)- Creating Niche Market for Energy Consulting and Engineering in Developing Countries. - Under the slogan, “Think Green, Think Energy, Think Environment,” Wooam has deployed client-tailored service - The receipt of overseas order has reached US$32.7 million in the engineering & video-conference solution section from clients in Ethiopia, Saudi Arabia, etc. • Formed country-by-country value networks encompassing Middle East nations such as Saudi Arabia, UAE, Qatar, Oman, etc. • Recruitment and mobilization of capable manpower has been key to Wooam’s business success in earning 50% of its turnover overseas, a share that is expected to reach 70% within 3 years Incoaching (CEO: Hong Hee-Sook)- Delivering Wisdom for Business Success Based on Experience, Expertise & Creative Connectivity • First company in Korea to specialize in business coaching • - Established by Hong Eu-Sook, author of best sellers ‘Bring Back Your First Day,’ ‘Five Secrets of Coaching,’ etc. (Continued on next slide) 12

  14. Delivering evidence-based business coaching services to more than 500 organizations at home and abroad with annual turnover of 2 billion won (US$1.97 million) • Leading global standards with elements of Korean business style based on value networking of local and advanced-country experts, inspiring new insights for developing countries • Introduced Incoaching solution package to 37 countries, including China, Indonesia, Myanmar, Saudi Arabia, etc. King Content (CEO: Nam Eun-Ju)- Heralding an Entertainment Business Success Drama - Combining the heat of K-Pop popularity and strong networking platform in Asia and other markets • Distributing Korean dramas, K-Pop music concerts and entertainment programs • Also distributing foreign entertainment programs to Korean broadcasters • Plans to co-produce documentary and entertainment program

  15. Nexnine (CEO: Kim Yurim)- Marketing Success of Robots With Insight + Vision • Obtaining inspiration from “Qatar National Vision 2030,” selected robot as strategic export item · Human development is a pillar of “Qatar National Vision 2030,” fostering tomorrow’s innovators, entrepreneurs, artists & professionals. • Pursued strategic cooperation with Qatar’s specialized procurement company, sharing experience and know-how en route to winning the robot project over global giant Lego of Denmark 13

  16. 06. Conclusion Beyond Challenge, Sitting in the Driver’s Seat of Service Exports • Women in the driver’s seat for service exports in Korea and around the world • Right time, right place, right person support, responding to emerging new global • socio-economic paradigm - South Korea determined to showcase success of women’s service exports 14

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