For a lot of traders in Korea, it is not easy for them to break open into the market for their products in a ‘clicks and bricks’business. However with GIGAKOREA Inc., you can sell products online, also export them to overseas markets without any special skills. The GIGAKOREA online shopping mall is expected to open sales markets and bring about distribution innovation, which will enable customers to buy products at reasonable prices.
The Chinese market found out about this Korean company’s new technology before the Korean government. That is, the Chinese have found this innovative technology can be used as an overall platform which is available for maintenance of IDs, combining saving money, shopping malls, websites,and SNSs across the board. And the technology has developed creatively and without any copies over the last decade, so that the Chinese see its reliability and stability. This also means the technology has public confidence abroad.
Korea grows up in healthy/’Smart’ consumption culture
In Korea,businesses with‘Smart’ products such as Smart Home, Smartphone,and Smart healthcare has grown as our future growth engine. The government solidly plans to solve the unemployment crisis by creating more jobs through these new businesses and markets. It is good to develop a new market and business, but for people, only a rational and healthy consumption culture can help ‘Smart’ development of Korea.
On the Internet, you can see a lot of advertising for shopping malls everywhere. Online shopping malls increase as along with the amount of advertising, and people are using those malls generally more and more. However, these malls rarely receive good reviews, much less than their number of users. GIGAKOREA, Inc is an online shopping mall with a system which leads to job creation and satisfies manufacturers, businessmen,and customers together by creating a healthy consumption culture. The president, Kwon O-seok,set up the company that now deals with 613 sole distributive businesses including the IT and distribution, all while only purchasing a shopping mall and a website or getting the right to have an affiliated store.
Paradigm-shifting for shopping malls
President Kwon studied an online and offline integrated system using IT technology and constructed a new paradigm for online shopping malls by inventing ‘a multi-calculating shopping mall’ for manufacturers, sellers,and customers to develop ‘Smart’ consumption.
GIGAKOREA Inc. has several distinctions. First, they graft new technology onto the existing one. As a result, they developed the first multi-calculating personalized online shopping mall in Korea. The online shopping mall gives benefits for manufacturers, sellers,and customers alike and operates and manages easily. It is the only calculating system that makes it a win-win game for manufacturers, sellers,and customers. Also, it provides GIGA points which is available in all ‘clicks and bricks’malls.
Second, the website is easy to use. They provide more than 20 free skins for online malls and multi-dragging for easy operation, so everyone can edit websites without editing sources difficultly Users can edit any layouts they want, not just fixed and limited ones. Also, they provide compatibility with varied OSs and browsers.
Third, they have a Recommendation System on Single Product(RSSP). President Kwon said about this system, “RSSP is a system that gives the right of selling a product to only one company. The advantage of the system is that unit prices can be lowered by institutionalizing mass production under a capitalistic economy.It is possible to sell products stably if everyone purchases and sells a single product cooperatively through GIGAKOREA with no clear demarcation between customers and producers.”
Fourth, they have a lot of sole distributions both online and offline. They have 613 rights of sales in the manner of securing and selling inexpensive and good-quality products which are also on sale offline. Also, you can get the rights for exclusive sales without having to guarantee deposits and supplies and they provide advertising for your online shopping mall.
Fifth, they run a franchise business. You can get 80% retailing margins when members of your franchise purchase products on GIGAKOREA shopping malls, and you can purchase products at a wholesale price and distribute them at a price for members. Also, you can get 15% more profit if the members use a membership card at any franchises in varied industry of Korea.
Finally, they supply various contents monopolistically. They provide varied contents such as CP products, games, movies and so on. This is one of the strong points of GIGAKOREA.
Before the development of GIGAKOREA an expert knowledge of online technology and IT businesses was needed, but president Kwon understood, after 30 years of study,that with the development of GIGAKOREA technology more jobs can be created even without expertise. Thus he achieved the development of new GIGAKOREA technology, and it has been resulted in the creating of jobs for 613 producers, 800 businessmen,and 5,200 sellers.
Korea looks away, China gives attention to GIGAKOREA
Even though the government looked away after reviewing the technology, China was interested and offered about one hundred million Yuan(about 19.5 billion won). However, Mr. Kwon broke the contract twice because they asked for the transfer of the original technology. “I thought I should not to sell valuable technology made in Korea abroad for the reason that it was unappreciated and unacknowledged by my country.”
China held their position, but as did Mr. Kwon. In the end, the final decision was made to work together under a joint venture agreement. China and Korea would receive profits on a fifty-fifty basis with Korea holding the technology and China covering all the expenses on operation, technicians, experts,and funds.
Of course it is a great achievement to make the contract with China, but considering the cost of research and development so far, it is also an impetuous conclusion to think that it’s a big gain. Mr. Kwon has kept on with the business using profits from producing shopping malls and websites and selling products and even his private assets (about three billion won worth) for research and development and other matters. As a result, he has applied for more than 50 patents, achieved 21 of them and registered 18 copyrights so as to open and operate a venture company and a research institute.
GIGAKOREA takes the lead in finding overseas markets since the technology has received enthusiastic attention from Japan and other countries. President Kwon has a dream that the Korea brand,GIGAKOREA spreads all over the world, gathers all goods made by small businesses and opens ‘GIGAKOREA’ franchises in every local market. It is for this reason that he is actively working on opening up overseas markets. Also, we can expect expanding overseas exports throughout the world through fast and easy sales and consumption using its online platform.
Mr. Kwon constructed a system which can exchange information among producers, sellers,and customers that it can resolve a consumer price problem which usually is overpriced due to difficulties during distribution and other unnecessary steps. Also, it provides a complete direct dealing between customers and producers. Mr. Kwon is a hero who promotes lower prices and creates employment and a leader is Korea’s creative economy.
Clearly, this online shopping mall is going to be a success. The technology has removed the separation of producers, sellers,and customers, led innovation of the distribution and realized a new IT technology. Completion of this technology will receive acclaim for years to come.It would be great if the government starts paying attention to this technology armed with 25 patents on systems, programs,and invention. The government talk about ‘Creative economy’ so much, and it’s all here, in this system.