President Yoon: 'Abuse' of SMEs is undermining innovation
President Yoon Suk-yeol expressed concerns that the exploitation of small and medium enterprises (SMEs) by large corporations hinders innovation and competitiveness.
During a dialogue with SMEs at the Blue House, President Yoon Suk-yeol stated that the practices of large corporations, such as tech and profit appropriation, which he termed 'abuse', are detrimental to the innovative spirit of SMEs. He argued that when SMEs feel that their improvements in management are met with unfair practices like price manipulation or appropriation of achievements, their focus shifts from innovation and market exploration to lobbying for better terms with stakeholders. This shift not only hinders the growth and competitiveness of SMEs, but also affects the economy as a whole.
President Yoon emphasized the need for a fair business culture and societal norms that eliminate unjust competition and prevent the acquisition of undue profits. He noted that for a balanced relationship between labor and corporate interests, open dialogue and cooperation are essential. Drawing on his own background as a laborer, he highlighted the importance of both laborers and entrepreneurs having their voices heard, facilitating a reasonable adjustment of interests that benefits all. Without rational discussions and mutual respect, the growth of competitiveness within industries is at risk.
In his comments, President Yoon acknowledged past stigmatization of laborers and unions, which hindered their ability to represent themselves in discussions. He argued that it is counterproductive for laborers to hope for the failure of the very companies that employ them. To facilitate better relations between workers and organizations, he urged for substantial communication between various departments such as the Ministry of Industry, SME Ministry, and Ministry of Labor to address industry concerns effectively. He believes that if ministers engage in vigorous discussions over differing positions, it can prevent conflicts between labor and businesses, and lead to a more collaborative approach towards resolving mutual interests.