The electronic equipment industry in South Korea and factors that contribute in high fastest in the world
There are millions factors that made South Korea to be number one in electronics production, these factor have elaborated bellows.
Although South Korea’s political scene has experienced a lot of instability, its economy has grown rapidly to become one of the best in the world. This has been geared (spearheaded) by its giant electronic industry, a light industry that produces products such as television sets, radiocassette recorders, microwave ovens, radios, watches, computers, video tapes, calculators and memory cards, among many others. The leading manufacturers of electronics in South Korea include Samsung and LG.
A number of factors have led to growth and development of South Korea’s electronics industry. These factors include the following:
- Adequate labour:South Korea has a large population of skilled and experienced labourers who work in the electronic industry. Because the industry is based on research and development, students are encouraged to take science subjects in schools and colleges, ensuring the modelling of future engineers, scientists and technical traders.
- Availability of capital:The giant electronic companies in South Korea have so far accumulated much wealth to invest in research and development of the electronic industry. Furthermore, the companies are trusted by big financial institutions which are ready and willing to borrow them whenever they need capital. The government’s financial support is also at the maximum.
- Advanced technology:South Korea has kept up with the changing trends in electronics technology. Indeed, in some areas, South Korea has set the standards in new technology. This has given its electronic industry an edged over other electronic manufacturers.
- Improved research:Research in electronics industry to come up with improved and modern products is very crucial in the development of the electronic industry in South Korea. A lot of the fund is injected into research to design high quality products to meet the changing market demands as well as liaise with stiff competition from other countries like China, Japan and North Korea.
- Availability of market:South Korea is one of the most populous countries in the world. So there is a wide internal market for some of the products while a big portion is exported. Electronic products are always on high and persistent demand due the dynamic nature of electronics technology.
- Affordability of the products:The electronic products from South Korea are of high quality but affordable. This makes them popular around the world, hence highly marketable.
- Government support:The government of South Korea is very supportive to the electronics industry through laying down policies and business-friendly environment, which has promoted the growth and development of the industry. The government also provides financial support in areas like research and development. This has encouraged investment in the industry.
- International relations:South Korea has a good relationship with many countries in the world. This has attracted many countries to become trade partners with South Korea, hence expanding markets for its electronic goods.
- Well developed infrastructure:South Korea has well development transport and communication infrastructures which include an extensive network of railways, roads, seaways and airways that criss-cross the country. Thus, the raw materials and finished goods are transported easily. This makes the export of raw materials cost-effective.
- Availability of energy:South Korea generates power through various means. These include nuclear power, which accounts for 45% of the total power production. The other energy sources are thermal and hydroelectric powers. Energy for use in electronics industry is abundantly available and affordable.
Incase of Korea electronic production include availability of resource that made that's a main reason to be fastest electronic production in the world
