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The nation brand value soaring: from Korea Discount to Korea Premium
January 21, 2013

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Good morning, fellow Koreans,


Two years ago today, Operation Dawn of Gulf of Aden was successfully carried out to wipe out a group of Somali pirates. Also 45 years ago today in 1968, a North Korean commando team led by Kim Shin-jo infiltrated in an attempt to raid Cheong Wa Dae. I am reminded once again of the importance of national security.


Last year, we had some good news, one of which was about the rise of Korea’s sovereign ratings. About a month ago, another piece of truly cheering news reached us.


The Economist of the United Kingdom announced a where-to-be-born index ranking countries according to where would be the best place to live in 2030 for a baby born this year. Korea was in 19th place in the world. The index was the result of a comprehensive measurement of which country will provide the best opportunities for a healthy, safe and prosperous life in the years ahead, taking into account more than simply economic factors.


Among the countries that rank above Korea and are larger than Korea are the United States and Germany, which tie for 16th. Most high-rankers are small countries like Switzerland and Hong Kong. Italy, Japan, Britain and France lag behind Korea. China ranks a distant 49th. Only the United States, Germany and Korea have populations of over 50 million among the countries ranked within the top 20.


That the future for new generations born in Korea is bright is good news bringing us great hope. We all need to work harder to make this forecast become reality.


Fellow Koreans,


Over several years, the international stature of the Republic of Korea has been amazingly enhanced. This might hit home to those who have recently travelled to foreign countries and particularly to those who are running a business, residing overseas or serving as diplomats.


I, too, have realized how our standing has been upgraded year after year while travelling around the world over the past five years. Every time there was an important issue affecting the globe, the international community asked for Korea’s opinions. Besides that, what Korea proposed drew keen attention from the international community, which even caught us by surprise.


It is true that so far Korea has been sometimes associated with negative images as a divided nation where the South and North confront each other or a nation where labor-management relations remain unstable. For this reason, Korea’s image or brand indexes were relatively low compared with its standing as one of the ten or so strongest economies in the world. In a bid to better the situation, the Presidential Council on Nation Branding was launched in the early days after the inauguration of my Administration in 2008.


The principle that works in the improvement of an individual’s reputation can also be applied to a nation’s brand value. People do not show respect to those who are simply rich, but rather to those who share what they have and serve others. In addition, people have a tendency to be fascinated by those who exhibit sophisticated cultural maturity.


The same is true for a nation. A country can win global confidence only by becoming a mature member of the international community that shares and gives help to other nations going beyond establishing itself as an economic powerhouse. On top of this, an agreeable impression will be accorded to a nation that has a time-honored history and cultural refinement.


In 2010, Korea joined the OECD Development Assistance Committee, becoming the first country that has transformed itself from an aid-receiving nation to a donor nation among about 140 nations which obtained independence in the wake of the Second World War. For the past five years starting in 2008, the amount of Korea''s foreign aid doubled: Korea increased it even while many other nations decreased theirs in the midst of the global economic crisis.


Such a feat can become a source of pride. Furthermore, it has served as an opportunity that helped the international community give due credit and show respect to Korea. On the occasion of the G20 Seoul Summit, an African leader shed tears of appreciation holding my hands. I still vividly remember that moment.


In 2011, the Government consolidated private and public volunteer corps into the World Friends Korea. Many young Koreans have reached every nook and corner of the world to give a helping hand, and by committing themselves to volunteer service there, they are passing on our country’s development experiences. The number of volunteer workers dispatched by the Government amounts to about 5,000, ranking second following the United States. When I was touring Ethiopia two years ago, I was able to meet with many young Koreans and professional retirees who were working hard with sweat running down in beads.


The continued unfolding of such stories of service, both at home and abroad, is a welcome trend. The greater our interest and involvement with this work, the farther the narrative of service and care will spread, taking us farther in our pursuit of shared growth. 


The worldwide Hallyu phenomenon also played a large part in raising our national status. The sensation sparked last year by PSY was truly astonishing, and it continues to this day. Last year also opened a new era for Korean tourism with the number of annual foreign visitors topping 10 million, and Korea’s international balance of payments in the culture and entertainment industries recorded its first-ever surplus.


We have overcome countless difficulties over the years to emerge today as a nation recognized internationally not only for our economy but also our culture, sports and green growth sector. There has never been a time when our national status was higher.


Korea’s nation brand index also rose above the OECD average last year, placing 13th in world rankings. As our nation brand value continues to go up, the synergy created—both seen and unseen—will be tremendous.


In 2009, Korean goods were undervalued by roughly 30 percent compared to those of the United States, Japan and Germany. But today, with the arrival of the age of the Korea Premium, the value of our goods has risen. While products made by Samsung, Hyundai, LG and other major conglomerates already enjoy a high brand value even higher than Korea''s nation brand, the days to come will surely see the value of the goods made by small and medium-sized enterprises climb greatly.


Fellow citizens,


On January 29, the Special Olympics, the winter sports festival for the intellectually disabled, will open in PyeongChang, Gangwon Province. Not only will the Special Olympics be grand in scope, with 3,300 people from approximately 120 countries taking part, it will also provide an arena for us to join with our neighbors in need in an Olympics of sharing. I would like to ask for your warm support and interest. 


Already, volunteers are giving their all in preparation for the event. Coming together to help intellectually disabled athletes from around the world run harder and enjoy greater happiness is a sign of the maturity of our society, not to mention a worthy contribution to further lifting our national status. My deepest gratitude goes to all of you who are working hard to this end.


Thank you very much. 
 


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