Korean Companies’ Internet StrategyTo Improve Competitiveness

2000. 10. 26.

Korea TradeKorea Trade--Investment Promotion Agency (KOTRA)Investment Promotion Agency (KOTRA)

Contents

1.1. The Number of Domains by CountryThe Number of Domains by Country2.2. IInternet nternet Users in KoreaUsers in Korea3.3. EE--Commerce in AsiaCommerce in Asia4.4. EE--Commerce Outlook in KoreaCommerce Outlook in Korea5.5. TThe Object of the Silkroad21he Object of the Silkroad216.6. CConcept oncept of the Silkroad21of the Silkroad217.7. SSystem ystem Structure of the Silkroad21Structure of the Silkroad218.8. KKorean orean CompaniesCompanies’’ Internet Activity Change after Silkroad21Internet Activity Change after Silkroad219.9. SSilkroad21ilkroad21’’s Visions Vision

1. The Number of Domains by Country(1,000)

Source : Korea Network Information Center(2000.6)

12,250

1,044 1,033 450

U.S.A. U.K. Germany Korea

Total : 17,760 ThousandTotal : 17,760 Thousand

2. Internet Users in Korea (1,000)

Source : Korea Industrial Property Office

366 731 1,634

3,103

10,860

13,930

1995 1996 1997 1998 1999 2000.3

3. E-Commerce in Asia

1999 : 1999 : Total $ 3,350 MillionTotal $ 3,350 Million

Japan : $1,520 MillionJapan : $1,520 Million

Korea : $ 720 MillionKorea : $ 720 Million

Source : Boston Consulting Group (2000.3)

2000 : 2000 : Total $ 7,000 Million (Estimated)Total $ 7,000 Million (Estimated)

4. E-Commerce Outlook in Korea

•• Rapid Exchange & SharingRapid Exchange & Sharingof Trade Informationof Trade Information

•• Immediate Deal throughImmediate Deal throughCyber SpaceCyber Space

•• Time & Cost SavingsTime & Cost Savings(more than 50%) (more than 50%)

Utilization of ValuableUtilization of ValuableTrade InformationTrade Information

Standardization ofStandardization ofTrade InformationTrade Information

5. The Objective of the Silkroad21 (www.silkroad.com)

To Establish a InternetTo Establish a InternetTrade WindowTrade Window

MOCIEMOCIE’’s s FiveFive--Year PlanYear Planfor Internet Marketingfor Internet Marketing

National InfraNational Infrafor Efor E--TradeTradeSilkroad21Silkroad21

LeadingLeadingGlobalGlobal

EE--MarketplaceMarketplaceEE--Trade Trade

CommunityCommunity

66. Concept of the Silkroad21. Concept of the Silkroad21

Silkroad21Silkroad21

KOBO, EC21, KOBO, EC21, ECplazaECplaza,,Korean MarketplaceKorean Marketplace

Korean Trade Organizations,Korean Trade Organizations,Regional Governments, etcRegional Governments, etc

Korean FirmsKorean FirmsKorean FirmsKorean Firms

Foreign FirmsForeign FirmsForeign FirmsForeign Firms

Overseas Trade OrganizationsOverseas Trade Organizations Overseas Trade SitesOverseas Trade Sites

Information SharingInformation Sharing

Information SharingInformation Sharing

Hyper Search &Hyper Search &Auto PostingAuto Posting

Hyper Search &Hyper Search &Auto PostingAuto Posting

TrademartTrademart PowerPowerSearch EngineSearch Engine Info PlazaInfo Plaza

EE--CatalogCatalog MyMySilkroad21Silkroad21

Trade NewsTrade News ManagementManagementSystemSystem

AutoAutoLoadingLoading

Silkroad21Silkroad21

7. System Structure of the Silkroad21

Users•• KOTRA(www.kobo.netKOTRA(www.kobo.net))

•• KTNET(www.KTNET(www.ecplazaecplaza.net).net)•• KITA(www.ec21.net)KITA(www.ec21.net)•• SMIPC(www.SMIPC(www.smipcsmipc.or..or.krkr))•• Regional GovernmentsRegional Governments

Search TypeSearch Type

Participating SitesParticipating Sites

•• Offer SearchOffer Search•• Buyer/Seller SearchBuyer/Seller Search•• Product SearchProduct Search

• Hyper Search to retrieve info dispersed among participating trade sites7-1. Key Function - Hyper Search

Participating Sites

••Cyber Trade MartCyber Trade Mart-- Offer to buyOffer to buy-- Offer to sellOffer to sell

••Match MakingMatch Making

InformationInformationSourcesSources

Buyer

•• Cyber Business RoomCyber Business Room-- BBS Type Biz RoomBBS Type Biz Room-- Real Time ChatReal Time Chat

•• Virtual Business FilingVirtual Business Filing

Seller

• Capability to exchange talks instantly between buyers and sellers

7-2. Key Function - Cyber Consulting Service

SearchSearchEngineEngine

8. Korean Companies’ Internet Activity Changeafter the Silkroad21

EE--Catalog Catalog RegistrationRegistration

51,049 51,049 Products (Dec. 1999) Products (Dec. 1999) 90,526 (July 2000)90,526 (July 2000)

Company ProfileCompany ProfileRegistrationRegistration

52,650 52,650 Companies (Dec. 1999) Companies (Dec. 1999) 75,090 Companies (July 2000)75,090 Companies (July 2000)

Internet UseInternet Usefor Trade Infofor Trade Info

20 % 20 % (Dec. 1999) (Dec. 1999) 50 % (May 2000)50 % (May 2000)

Remarks : Total of the Participating SitesRemarks : Total of the Participating Sites

Hyper Search for Hyper Search for Korean Major SitesKorean Major Sites

••Attracting Foreign Buyers Attracting Foreign Buyers tthrhroouugghh Abundant KoreanAbundant KoreanTrade InformationTrade Information Hyper Search for Hyper Search for

Overseas SitesOverseas Sites

9. Silkroad21’s Vision

Korean Firms Korean Firms Participating moreParticipating more

Foreign Buyers Foreign Buyers Participating Participating mmoreore

Cyber Cyber TTrademartrademartCI Strategy

Integration of Cyber Trade Integration of Cyber Trade Promotion FunctionsPromotion Functions

Free eFree e--Trade ZoneTrade Zone

Overseas Silkroad21Overseas Silkroad21DuplicationDuplication

Strategic Alliance

Thank You!Thank You!