University of finance – marketing faculty of marketing international marketing final exam assignment



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4.2 
Macro Environment
 
Political
 

Republican presidential regime bisexual nature 

The political situation is relatively stable, diplomatic relations are wide, much towards the 
United States, diplomatic relations between Vietnam and Korea were established on 
December 22, 1992. 

The average level of political stability in Korea in the period 2015-2019 was 0.3 
Economic 

As a capitalist market economy, one of the "Four Asian Economic Dragons.

According to the OECD, Korea's nominal GDP in 2020 will reach $1,624 billion, ranking 
10th in the world, growing by 1.1%, previously stabilizing at 2% per year.

According to the World Bank, Korea's per capita income is 30,664 USD/person and ranks 
26th in the world.

Vietnam - Korea signed the VKFTA agreement and joined the RCEP together. 
Social

Dense population density, about 540 people/km2, 85% in urban areas, high aging rate. 

People have a high national spirit, giving priority to using domestic products. Korea is facing 
a high shortage of labor resources in the future. 

Due to the influence of Confucianism, Koreans attach great importance to politeness and 
order, especially in relationships of blood, fellow disciples, and compatriots. 

Young Koreans today tend to favor American and Japanese culture. 

Korea has a relatively developed film, music, and era in Asia 


11 
Technological 

Having a modern technology background, belongs to the leading group in two fields: 
telecommunications system and factory operating system. 

The rate of Internet users is high, reaching 96%, Naver and Daum are the 2 main search 
engines. 
Environmental 

Because it is an industrial country, the pollution problem is very serious. The 2020 air 
pollution rating is 41 with a PM2.5 index of 19.5. 

There are many major environmental policies to protect 
Legal 

Korea has a legal system that is "a mixture of Common Law and Civil Law", with policies to 
support businesses through loans, guarantees, and tax breaks that allow companies to grow 
and enter many markets. 

Notably, Korea has a strong intellectual property protection legal system that is close to WTO 
and WIP0 rules. 

The level of convenience in business ranked 6th in the world. 

Coffee import tax into Korea is quite low and not subject to excise tax: unroasted coffee beans 
= 2%; roasted coffee =8%; instant coffee = 8%. 

Value Added Tax (VAT) = 10%. 

Regulations on product labeling: According to the law, coffee imported into Korea is required 
to have a label in Korean or a piece of Korean label instead of a label. 

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