LG International has become the 15th free-willed mutual cooperative company by specializing in the overseas market2020.07.28
■ Selected as a problem solver that helps small venture startups to enter the overseas market, with the ‘Korea International Trade Association’ as its partner
■ Great assistance for resulting in the overseas business achievement of promising startups, excellent K-health companies, and the brand K
■ Major resources of mutual growth and cooperation include the ‘overseas marketing capability’ and ‘abundant network’ that are the unique characteristics of a general trading company
LG International has been selected as the 15th free-willed mutual cooperative company, and among the other free-willed mutual cooperative companies chosen so far, it is the first company that practices mutual development with small venture startups by targeting the overseas market instead of the domestic one.
On July 22, at LG Gwanghwamun Building located in Jongno-gu, Seoul, LG International concluded an MOU with the Ministry of SMEs and Startups and the Korea International Trade Association regarding the free-willed mutual cooperative company. On the day of the MOU conclusion, dignitaries including Yoon Chun-sung CEO of LGI, Minister Park Young-sun of the Ministry of SMEs and Startups, President Kim Young-ju of the Korea International Trade Association, Secretary General Kim Suncheol of the Large and Small Enterprise Cooperation Foundation , Director Kim Gwanghyeon of the Korea Institute of Startup & Entrepreneurship Development, Director General Baek Mihyeon of the Industrial Bank of Korea, and other major parties from startups and small venture companies were all in attendance.
A ‘free-willed mutual cooperative company’ refers to an enterprise that carries out a voluntary win-win relationship and cooperation with small business and small business owners by sharing the technologies and infra of the major company with them; it is a private cooperation project that connects major companies with the related associations and organizations under the selection of the Ministry of SMEs and Startups. A year has passed since the free-willed mutual cooperative company projects first began, and so far 14 major companies, financial corporations, public institutions including Naver and Posco have been selected.
From this MOU, LGI made an agreement to carry out intensive support for the overseas market entry of small venture companies along with helping with overseas expansion and the commercialization of startups.
Through utilizing the overseas startup infra of the Korea International Trade Association and the infra and network of the K-startup center of the Ministry of SMEs and Startups, LGI plans to develop a new model that will support the overseas expansion of startups from private and public cooperation with the overseas expansion base for startups (ICT Innovation Center). In addition to this, together with the Korea International Trade Association, the company will provide demonstrative overseas business opportunities for promoting startups and direct and indirect investment.
Besides, as LGI is a specialized trading company affiliated to a major company, it greatly assists excellent K-health enterprises and brand K businesses to find the best methods as they seek to enter the global market based on LGI’s expertise in imports and exports and various kinds of overseas business experiences accumulated over the past 70 years. Along with promoting marketing that makes use of the influential online and offline distribution channels, the company arranges partnerships while actively reviewing a joint expansion in the form of a consortium. In the second half of this year, LGI plans to hold a video conference on exportation, establish an on-site offline showroom in foreign countries for promising and excellent small businesses, and additional projects. It will also offer loan support with low interest by applying a 60 billion scale growth fund.
According to the agreement made, Minister Park Young-sun of the Ministry of SMEs and Startups discussed “This agreement on the free-willed mutual cooperative company will be an opportunity for small venture startups to obtain the expertise and network of major companies which will allow them to easily enter the global market and expand their existing business models.” She further mentioned, “With esteemed gratefulness, LGI has provided a model that could lead to a win-win partnership between major companies and small venture businesses through coexistence and cooperation and the government will surely offer active support.”
Furthermore, President Kim Young-ju of the Korea International Trade Association said “The participation of LGI has allowed us to secure the bridgehead for overseas expansion, and our association will develop various kinds of supporting models and carry out joint businesses for the overseas expansion of small businesses and startups as a mediator between LGI and the trading industry.”
Last but not least, CEO Yoon Chun-sung of LGI highlighted that it is such a meaningful event that LGI can contribute to the overseas expansion of small venture companies and their growth and development by using the global marketing capability and abundant network which are the outstanding advantages that a general trading company specializes in. He further presented that the company will conduct responsible management as a free-willed mutual cooperative company that practices joint growth and cooperation in an exemplary manner.
Recently, LGI has been actively considering to develop new businesses within its overall business fields including energy, industrial-materials, solutions, etc. While expanding its roles and the importance of ‘distribution and trading’ which are the fundamental functions of a general trading company, LGI continues to quickly respond to the rapidly changing market environment by developing ICT solution businesses and entering healthcare related businesses such as medical and health industries.