What to Shed and What to Keep: Corporate Transformation in Korean Business Groups

Long Range Planning

Volumn 40, Issue 4-5, 2007, Pages 465-487

  Choe, Soonkyoo ^a   Roehl, Thomas W ^a  

^a NONE

Author keywords

[No Author keywords available]

Indexed keywords

COMPETITIVE INTELLIGENCE; DECISION MAKING; INDUSTRIAL ECONOMICS; INDUSTRIAL MANAGEMENT; MANAGERS;

COMPETITIVE MANAGEMENT SYSTEM; CORPORATE TRANSFORMATION;

STRATEGIC PLANNING;

BEST MANAGEMENT PRACTICE; BUSINESS DEVELOPMENT; CRISIS MANAGEMENT; DECISION MAKING; INDUSTRIAL COMPETITION; INDUSTRIAL RESTRUCTURING;

ASIA; EURASIA; FAR EAST; KOREA;

EID: 34548836328     PISSN: 00246301     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.lrp.2007.06.010     Document Type: Article

References (36)

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28. We initially obtained a detailed list of the business groups' major industries from the NICE company database provided by NICE Inc. To check the validity of the list, we calculated the business portfolio of each group by summing up the sales amounts of the affiliates that belonged to the same Korean SIC 3-digit industry in 1997. We found that each of the group's major industries in the list accounted for a significant portion (usually over 30%) of its business portfolio. For several groups, however, the portion of an industry was lower than 10%. In this case (or in the very few cases where an industry that took up more than 10% of a group sales was not included in the list) we counted it as a major industry only if the group was one of the market leaders (usually the top three firms) in the industry as reported by major credit rating agencies and securities analysts.
29. Due to incomplete data on establishment modes before 1981, we designated all firms entering the group before the year as newly established. Many large enterprises grew and became chaebols during the 1970s, and thus the establishment mode of a firm that was included in its group prior to 1981 may not have much impact on its exit.
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