The Perspective of Small Business in South Korea

Abstract

Korean small businesses have come a long way as sources of industrial power more important than heretofore credited. The nation's undemocratic dirigisme had largely slighted small businesses to the country's disadvantage. Although the government's policy bias against them started to change in the early 1980s, its support of them remained less than fully-fledged. Despite tough socio-economic conditions, however, both the first and second generation small entrepreneurs have strived to prove their self-worth as viable business enterprises and constantly - and increasingly over time - contributed to the incremental improvement of the economy. By shedding light on the little-known motivations, perceptions, and performances of the small business people, this article offers a more balanced and nuanced account of the past and present state of small businesses in the country, which provides a tentative basis for considering alternative vision for future development.