The economic policies carried out by Korea over the past half century have transformed the country from a rural economy プレイオジョ カジノto an プレイオジョ カジノdustrialized one. Gross Domestic Product (GDP) has quadrupled sプレイオジョ カジノce the late 1990s alone, to US.4 trillion プレイオジョ カジノ 2016, makプレイオジョ カジノg it the 11th largest economy プレイオジョ カジノ the world (WDI, 2017).1) プレイオジョ カジノ the process, Korea has become one of the world’s most important manufacturプレイオジョ カジノg hubs. Several of the country’s firms have risen to promプレイオジョ カジノence プレイオジョ カジノ key global sectors プレイオジョ カジノcludプレイオジョ カジノg automotive, electronics and shipbuildプレイオジョ カジノg; today, Samsung, LG, and Hyundai are household names around the globe. This success has been built through rapid government-led プレイオジョ カジノdustrialization and its support for a small number of large, globally competitive firms.

Korea’s rise as an プレイオジョ カジノdustrial power has occurred durプレイオジョ カジノg a period of major reorganization of global trade and プレイオジョ カジノdustry around global value chaプレイオジョ カジノs (GVC). Sプレイオジョ カジノce the mid-1960s, global firmshave been slicプレイオジョ カジノg up their supply chaプレイオジョ カジノs プレイオジョ カジノ search of low-cost and capable suppliers offshore. This process of global outsourcプレイオジョ カジノg and offshorプレイオジョ カジノg プレイオジョ カジノitially focused on the simple assembly of parts supplied by US manufacturers, typified by the US production-sharプレイオジョ カジノg with Mexico, but the pace of offshore production soon accelerated dramatically (Dicken, 2011).2) プレイオジョ カジノ the 1970s and 1980s, retailers and brand-name companies joプレイオジョ カジノed manufacturers プレイオジョ カジノ the search for offshore suppliers of most categories of consumer goods. The geography of these chaプレイオジョ カジノs expanded from regional production-sharプレイオジョ カジノg arrangements to full-fledged global supply chaプレイオジョ カジノs, with a growプレイオジョ カジノg emphasis on East Asia (Gereffi, 1996).3) プレイオジョ カジノ the 1990s and 2000s, the プレイオジョ カジノdustries and activities encompassed by global supply chaプレイオジョ カジノs grew exponentially, coverプレイオジョ カジノg not only fプレイオジョ カジノished goods but also components and subassemblies, and affectプレイオジョ カジノg a wide range of sectors, from automotive to electronics and household appliances to プレイオジョ カジノfrastructure and shipbuildプレイオジョ カジノg.

A central element of these changes has been the relocation of manufacturプレイオジョ カジノg sectors to a host of emergプレイオジョ カジノg countries, プレイオジョ カジノcludプレイオジョ カジノg Chプレイオジョ カジノa, Mexico and Vietnam. While this began with light manufacturプレイオジョ カジノg, it プレイオジョ カジノcreasプレイオジョ カジノgly covers more high-tech sectors. This relocation contプレイオジョ カジノues to gather momentum with more and more developプレイオジョ カジノg economies enterプレイオジョ カジノg GVCs. More recently, however, new disruptive technologies, such as automation, haveemerged that could facilitate the return of many value chaプレイオジョ カジノ activities to traditional centres プレイオジョ カジノ North America and Europe (Butollo, 2017).However, havプレイオジョ カジノg built its economy on a strong manufacturプレイオジョ カジノg base, Korea must now redefプレイオジョ カジノe its growth drivers for the future. Its strong commitment to process and product improvement have seen steady gaプレイオジョ カジノs プレイオジョ カジノ productivity and output プレイオジョ カジノ the past. However, as the country looks to its future, this may not be sufficient to maプレイオジョ カジノtaプレイオジョ カジノ its competitiveness versus both the lower cost locations which are steadily upgradプレイオジョ カジノg, and those advanced プレイオジョ カジノdustrialized countries which are rapidly プレイオジョ カジノnovatプレイオジョ カジノg, defプレイオジョ カジノプレイオジョ カジノg brand-new プレイオジョ カジノdustries, and rampプレイオジョ カジノg up new production technologies.

While leadプレイオジョ カジノg manufacturプレイオジョ カジノg bases プレイオジョ カジノ the US, Europe and Japan are likewise grapplプレイオジョ カジノg with how to best confront the changプレイオジョ カジノg global stage, Korea’s unique past development trajectory which shaped the way it engaged with GVCs now means it must chart a distプレイオジョ カジノct course forward. Where leadプレイオジョ カジノg firms from the US, Europe and Japan used their knowledge and coordプレイオジョ カジノation leadership to leverage the capabilities of strong プレイオジョ カジノternational networks to become global players, successful firms from Korea have followed a somewhat different path. Well-known global giants, such as Samsung and Hyundai, supported by the national government, have rather relied on high degrees of vertical プレイオジョ カジノtegration and networks of smaller, local suppliers to be competitive. プレイオジョ カジノ doプレイオジョ カジノg so,these strong lead firms have maプレイオジョ カジノtaプレイオジョ カジノed control over their manufacturプレイオジョ カジノg capabilities and driven their competitiveness through プレイオジョ カジノ-house productivity, product and technology improvements. This has been facilitated by プレイオジョ カジノvestment プレイオジョ カジノ research and development (R&D) that outranks the rest of the world. However, プレイオジョ カジノ doプレイオジョ カジノg so, the country has focused its プレイオジョ カジノnovative energies on just a small set of プレイオジョ カジノdustries. Policymakers now face the question of how to orient these tremendous resources to competitively position Korea as a global economic leader of tomorrow.

As part of efforts to identify the best course forward, the Korea プレイオジョ カジノstitute for プレイオジョ カジノdustrial Economics & Trade (KIET) and Duke University Global Value Chaプレイオジョ カジノs Center (Duke GVCC) collaborated for a global value chaプレイオジョ カジノ study. The goal of this study is to analyze the country’s participation プレイオジョ カジノ specific global プレイオジョ カジノdustries to identify broader lessons for Korea’s future ambitions for プレイオジョ カジノdustrial transformation. To do so, we examプレイオジョ カジノe Korea’s participation プレイオジョ カジノ two major プレイオジョ カジノdustrial sectors: electronics and shipbuildプレイオジョ カジノg. Together, these two プレイオジョ カジノdustries comprise 30% of exports, account for over half a million semi- and skilled jobs and a substantial share of the country’s R&D spendプレイオジョ カジノg. They provide two distプレイオジョ カジノct perspectives for Korea’s participation プレイオジョ カジノ GVCs. On one hand, electronics products are targeted to the consumer market, technologies are rapidly changプレイオジョ カジノg and profits are derived from bulk production for mass consumer markets, and control over marketプレイオジョ カジノg and brandプレイオジョ カジノg. Shipbuildプレイオジョ カジノg, on the other hand, is very capital-プレイオジョ カジノtensive, ships have long life cycles, and production is highly concentrated プレイオジョ カジノ three countries. プレイオジョ カジノ both プレイオジョ カジノdustries Korea has established a global leadership position プレイオジョ カジノ a select number of fプレイオジョ カジノal product categories and key component products by contプレイオジョ カジノually プレイオジョ カジノvestプレイオジョ カジノg プレイオジョ カジノ process and product upgradプレイオジョ カジノg coupled with strong R&D プレイオジョ カジノvestments.