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A Study on the Promotion Policy for Korean Born Global Ventures Based on the Empirical Analysis of Their Differentiated Characteristics

Author Lee Youngjoo, Lee Donghee, Han Changyong, Kim Seungmin Date 2016.12.26 Page
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1. The Need for Global Startup Research

Born global companies, or global startups, are a form of entrepreneurial activity in which the targeting of global markets and market advancement are aims from the outset. A startup with a history of less than seven year may be deemed to a born global company if it produces a certain level of results through successful overseas advancement that leverages innovative technology or ideas applicable to the global market and an adventurous entrepreneurial spirit.

 

The policy and strategic significance of global startups is even greater for Korea. Despite their policy importance, however, global startups are also an area that presents a risk of market failure in that they tend to fall short of societal demand when they rely solely on market functions. The government is thus obliged to lead ?the way in eliminating potential risk factors and promoting global startups. The followings are also specific reasons why global startups are essential:

· Implement key state policies

· Overcome the limitations of startup policies that only emphasize “entrepreneurial spirit”

· Improve the fundamentals of the global growth ladder and achieve an advanced industry structure

· Increase the efficiency of policies aimed at fostering businesses through global entrepreneurship

· Reinforce policies to help startups satisfy their desire for global entrepreneurship