South Korea Ranked Low in Global Business Report

In a report recently released by the International Finance Corporation (IFC), South Korea ranked among low other nations in its prception as a haven for global business. The IFC is the private sector arm of the World Bank Group.

South Korea’s labor flexibility stood at the bottom of the world’s ranking as local companies face difficulties in hiring and firing workers due largely to the country’s strong labor unions.

It ranked 105th among 155 countries in conditions for the hiring and firing of workers, reflecting its rigid labor market, according to

Among the 10 subcategories, South Korea placed 13th for the convenience in closing businesses and 16th in ease of trading across borders. It posted 25th in both dealing with business licenses and access with regard to credit.

Cumulatively,to many these conditions form a invsibile barrior for foreigners to operate businesses in Korea. Nevertheless, the Korean government is agressively working to improve ability to do business in South Korea.