South Korea’s global cultural influence has seen a significant rise over the past two decades, giving birth to some of the most attractive brands in the world, known as the K-brands. This success is not a stroke of luck, but the result of an innovative approach that can be adapted by entrepreneurs.
The country has emerged as a cultural powerhouse, with K-pop groups like BLACKPINK and BTS becoming worldwide megastars, TV series like Squid Game drawing record views, and the K-beauty market expected to hit US$18.32 billion in revenue by 2030. The country also boasts a shiny contemporary art scene and the world’s fourth-largest gaming industry.
This success is the result of two decades of effective strategy and execution. In 1994, a presidential advisory report noted that one single blockbuster film had realized profits equivalent to selling 1.5 million Hyundai cars. This led President Kim Young-sam to lead his country on a massive transformation, moving away from the production of functional mid-range goods to become a global cultural player.
The culture ministry’s budget grew to US$6.05 billion in 2022, a third more than the equivalent ministry in France. New governmental agencies such as the Korea Creative Content Agency encouraged foreign investments, with Netflix alone announcing a US$2.5 billion investment in Korean content.
K-brands share a common recipe for success that offers unique lessons for entrepreneurs, brand managers, and marketing executives. They encourage fun and fast consumer discovery, elevate brands through immersive experiences, experiment throughout the product life cycle, and promote their brands through content creation.
Read more: hbr.org