The Korean Business Culture

The Korean business culture, as with Korean culture in general, has been heavily influenced by Confucianism. This belief emphasizes a strong bond with family, relationships and country. Koreans believe in forming "company families" where personal, business and social interactions occur. These business relationships are built on trust and loyalty. Often in Korean business a person's word is stronger than a written contract.

That still holds true today, except the paradigm shift of Korean business is moving towards a more egalitarian society. Business methods are becoming more practical with accountability becoming more important. As technology and business practices are evolving so too are the relationships that were once a huge part of this culture. In today's Korean business, due to rapid developments, relationships may not be able to be fully sustained as they once were. Although forging life-long friendships, continued trust in your colleagues and a dedication to company still runs deep in the Korean business culture.

How does this affect you?

Being a foreigner in a new country can be an exciting experience. The best way to acclimate yourself to being successful in Korea is to become involved. This is not the time to approach Koreans and demand that the company structure be based on western standards nor is it a time to try to change a culture that is thousands of years old. Accept the fact that Koreans have their way of conducting business and simply adjust your business practices to accommodate this structure. This is not to say abandoned all of your business or personal strategies, but alter them to fit into the Korean ideology. The easiest way to accomplish this is to get involved. This includes forming personal relationships with your employees, i.e. attending weddings, funerals, graduations.

In western companies it is said that some of the most important business decisions are conducted around golf courses and not around conference tables. This holds true in Korea. Be prepared to host your employees for dinner, a sports event, or any other social activity. This not only shows your employees that you care about them but helps to strengthen company loyalty and bonding.

A successful company starts with a good foundation.
A good foundation of any successful company starts with its people.'
~William Sisson 2008