| Revision as of 02:17, 25 January 2017 editSantamoly (talk | contribs)Extended confirmed users2,387 edits →Daewoo Motor Co., Ltd.: Now General Motors← Previous edit | Revision as of 15:49, 28 January 2017 edit undo타블로와 꿈꾸는 라디오 (talk | contribs)7 editsm ←Replaced content with '에라 모르겠다 SBS TV'Tag: blankingNext edit → | ||
| Line 1: | Line 1: | ||
| 에라 모르겠다 SBS TV | |||
| {{Infobox company | |||
| | name = Daewoo | |||
| | logo = ] | |||
| | type = ] | |||
| | image = Seoul Square.jpg | |||
| | image_caption = Former Daewoo Group Headquarters building(Now Seoul Square Building) | |||
| | foundation = March 22, 1967 | |||
| | defunct = November 1, 1999 | |||
| | fate = Bankruptcy | |||
| | successor = | |||
| | location = ], ] | |||
| | key_people = ], founder | |||
| | industry = | |||
| | products = | |||
| | revenue = | |||
| | operating_income = | |||
| | net_income = | |||
| | num_employees = | |||
| | parent = | |||
| | subsid = | |||
| | caption = | |||
| | homepage = | |||
| | footnotes = | |||
| }} | |||
| {{Infobox Korean name | |||
| |logo= | |||
| |hangul=대우 | |||
| |hanja=大宇 | |||
| |rr=Dae-u | |||
| |mr=Taeu | |||
| }} | |||
| '''Daewoo''' ("Dae" ]: 대. ] for "Great" and "Woo" ]: 우. ] the first name of founder and chairman Kim Woo-jung) or the '''Daewoo Group''' was a major ]n '']'' (conglomerate). | |||
| It was founded on 22 March 1967 as ''Daewoo Industrial'' and was dismantled by the Korean government in 1999. Prior to the ], Daewoo was the second largest conglomerate in Korea after ], followed by ] and ]. There were about 20 divisions under the Daewoo Group, some of which survive today as independent companies. | |||
| ==Corporations== | |||
| ], ]]] | |||
| There were about 20 divisions in the Daewoo Group. | |||
| Daewoo Group had under its umbrella several major corporations: | |||
| *''']''', is a manufacturer of buses. headquartered in Busan, South Korea, established in 2002. These buses are primarily used for public transportation | |||
| *''']''', the motor vehicles division (sub-branch Daewoo Automotive Components Co. Ltd., Daewoo Bus Co., Ltd., Daewoo Commercial Vehicle Co. Ltd.) | |||
| *''']''', an auto sales company sold Daewoo but also GM cars and others in Korea (Sub-branch: Architectural Iaan Div., SAA-Seoul Auto Auction) | |||
| *''']''', a strong force both internationally and in Korea (sub-branch Daewoo Electronic Components Co. Ltd, Daewoo Electric Motor Industries Ltd., Orion Electric Co. Ltd.) | |||
| *'''Daewoo Precision Industries''' produced small calibre firearms and auto parts. It was spun off in February 2002 and relisted on the Korean stock-market in March 2002. It was renamed S&T Daewoo Co., Ltd in September 2006,<ref>{{cite web | |||
| |url=http://www.sntdaewoo.com/st/company04.html | |||
| |title=Company History | |||
| |publisher=S&T Daewoo | |||
| |accessdate=2011-08-09 | |||
| |deadurl=yes | |||
| |archiveurl=https://web.archive.org/web/20110828225429/http://www.sntdaewoo.com:80/st/company04.html | |||
| |archivedate=2011-08-28 | |||
| |df= | |||
| }}</ref> and then ] Co., LTD in March 2012.<ref>{{cite web|url=http://www.webcitation.org/689U9cavl?url=http://www.sntdaewoo.com/template/html/company/S%26Tdaewoo.pdf | |||
| |title=Official S&T Motiv Co., Ltd. brochure, page 5|accessdate=2012-06-03}}</ref> | |||
| *'''Daewoo Textile Co. Ltd.''' | |||
| *'''] (DHI)''', which created heavy duty machinery]]] | |||
| ] | |||
| *''']''' produced container ships, oil tankers and planes. It spun off in 2000 and became an independent company, DSME, re-listing on the Korean stockmarket in 2001 | |||
| *''']''', a financial securities company | |||
| *'''Daewoo Telecom Ltd.''', which concentrated on the telecommunications (sub-branch Daewoo Informations Systems Co. Ltd.) | |||
| *'''Daewoo Corporation''', (sub-branch Daewoo Construction, Keangnam Enterprises) which built highways, dams and skyscrapers, especially in the Middle East and Africa | |||
| *''']''', a trading organization | |||
| *'''Daewoo Development Co. Ltd.''', managing Daewoo hotels around the world and had the ] franchise in South Korea | |||
| *'''IAE''' (Institute for Advanced Engineering): research and development integrated center | |||
| A further subsidiary was the Daewoo Development Company, funded by cash from the Group, and set up to develop hotels. Seven were built in Korea, China, Vietnam, and Africa. They were personally designed and furnished by Kim Woojoong's socialite wife Heeja who was Chairwoman of the company. The most lavish is the 5-star Hanoi Daewoo Hotel, which cost ]163 million to build in 1996 and was decorated by Heeja with fine art, porcelain, sculptures, and marble. She invited 3000 guests to the opening, including ]n President ]. There is an 18-hole golf course on the grounds and a swimming pool which is thought to be the largest in Asia. Kim is believed to have spent time there while "on the run".<ref name="WWN">{{cite book|last=Meredith|first=Richard|title=Which way next?|publisher=Mercury Books|location=|isbn=978-0954143237|edition=Revised|date=January 3, 2004}}</ref> | |||
| ===Daewoo Motor Co., Ltd.=== | |||
| {{main|Daewoo Motors|Daewoo Motor Sales| Korea}} | |||
| ]'s 1997 ]]] | |||
| ] in 1985]] | |||
| ] was founded when the Daewoo Group purchased ] in 1978, but the Daewoo Motor name did not appear until 1983. | |||
| The Daewoo Motor brand appeared in the ] in 1995. At the time, it was the only manufacturer not using traditional dealerships – it owned and operated its own retail network. It was once considered to be among the top 10 motor companies in terms of production.{{Citation needed|date=October 2012|reason=By who? Top 10 in UK or what?}} | |||
| Due to financial trouble, Daewoo's automotive arm, Daewoo Motor, was sold to ] (Korean) in 2001. The Daewoo nameplate continued in ] and ] until 2011. The former Daewoo facilities are now producing General Motors vehicles for Asian markets. | |||
| Daewoo Commercial Vehicles Division was sold to ].<ref name="Tata press">{{Cite press release|url=http://www.tata.com/article/inside/g!$$$!uQcBt5PoY=/TLYVr3YPkMU=|title=Tata Motors completes acquisition of Daewoo Commercial Vehicle Company|last=|date=March 29, 2004|website=www.tata.com|access-date=2016-07-06}}</ref> | |||
| ==History== | |||
| The Daewoo Group was founded by ] in March 1967. He was the son of the Provincial Governor of ]. He graduated from the Kyonggi High School, then finished with an Economics Degree at ] in ]. | |||
| During the 1960s, after the end of the ] government, the new government of ] intervened to promote growth and development in the country. It increased access to resources, promoted exports, financed industrialization, and provided protection from competition to the chaebol in exchange for a company's political support. In the beginning, the Korean government instigated a series of five-year plans under which the chaebol were required to achieve a number of basic objectives. | |||
| Daewoo did not become a major player until the second five-year plan. Daewoo benefited from government-sponsored cheap loans based on potential export profits. The company initially concentrated on labor-intensive clothing and textile industries that provided high profit margins because of South Korea's large and relatively inexpensive workforce. | |||
| The third and fourth of the five-year plans occurred from 1973 to 1981. During this period, the country's labor force was in high demand. Competition from other countries began eroding Korea's competitive edge. The government responded to this change by concentrating its efforts on mechanical and electrical engineering, shipbuilding, petrochemicals, construction, and military initiatives. At the end of this period, the government forced Daewoo into shipbuilding. Kim was reluctant to enter this industry, but Daewoo soon earned a reputation for producing competitively priced ships and oil rigs. | |||
| During the next decade, the Korean government became more liberal in its economic policies. Small private companies were encouraged, protectionist import restrictions were loosened, and the government reduced positive discrimination (]), to encourage free market trade and to force the chaebol to be more aggressive abroad. Daewoo responded by establishing a number of joint ventures with U.S. and European companies. It expanded exports of machine tools, defense products (under the S&T Daewoo company), aerospace interests, and semiconductor design and manufacturing. Eventually, it began to build civilian helicopters and airplanes, priced considerably cheaper than those produced by its U.S. counterparts. It also expanded efforts in the automotive industry and was ranked as the seventh largest car exporter and the sixth largest car manufacturer in the world. Throughout this period, Daewoo experienced great success at turning around faltering companies in Korea. | |||
| In the 1980s and early 1990s, the Daewoo Group also produced consumer electronics, computers, ] products, construction equipment, buildings, and musical instruments (]). | |||
| ==Crisis and collapse== | |||
| Daewoo Group ran into deep financial trouble in 1998 due to the ], increasingly thin relationships with the Korean government under President ], and its own poor financial management. With the Korean government in deficit, access to cheap and nearly unlimited credit was severely restricted. | |||
| In 1998, when the economic crisis forced most of the chaebol to cut back, Daewoo added 14 new firms to its existing 275 subsidiaries, in a year where the group lost a total of 550 billion won (US$458 million) on sales of 62 trillion won (US$51 billion). At the end of 1997, South Korea’s four biggest chaebol had a debt of nearly five times their equity. While ] and ] cut back in the midst of the economic crisis, Daewoo took on 40% more debt."<ref>{{cite news|url=http://www.economist.com/node/233562 |title=South Korea: The death of Daewoo |publisher=The Economist |date= 19 August 1999|accessdate=2015-10-13}}</ref> | |||
| By 1999, Daewoo, the second largest conglomerate in South Korea with interests in about 100 countries, went bankrupt, with debts of about 80 trillion won (US$84.3 billion). | |||
| Soon after the demise, Chairman ] fled to Vietnam, and former Daewoo factory workers put up ] with his picture. Kim returned to Korea in June 2005 and was promptly arrested. He was charged with masterminding accounting fraud of 41 trillion won (US$43.4 billion), illegally borrowing 9.8 trillion won (US$10.3 billion), and smuggling US$3.2 billion out of the country, according to South Korea's Yonhap News Agency.<ref>{{cite news|url=http://www.cnn.com/2006/BUSINESS/05/30/skorea.daewoo/index.html |title= Daewoo founder Kim gets 10-yr term |date=30 May 2006 |accessdate=2008-11-20 | work=CNN |archiveurl = https://web.archive.org/web/20080408091248/http://www.cnn.com/2006/BUSINESS/05/30/skorea.daewoo/index.html |archivedate = April 8, 2008}}</ref> On 30 May 2006, Kim was sentenced to 10 years in prison after being convicted of fraud and embezzlement.<ref>{{Cite web|url=http://www.atimes.com/atimes/Korea/HF01Dg03.html|title=Daewoo founder sentenced to 10 years in prison|date=June 1, 2006|website=www.atimes.com|publisher=Asia Times Online|access-date=2016-07-06}}</ref> On the last day of the trial, Kim tearfully addressed the court, "I cannot dodge my responsibility of wrongly buttoning up the final button of fate."<ref>{{cite news|last=Ramstad |first=Evan |url=http://online.wsj.com/article/SB114896838655866106-search.html?KEYWORDS=daewoo&COLLECTION=wsjie/6month |title=Daewoo Founder Gets Prison Term - WSJ.com |publisher=Online.wsj.com |date=31 May 2006 |accessdate=2008-11-20}}</ref> | |||
| ===Analysis=== | |||
| According to an article in '']'', dated 19 August 1999 (not long after Daewoo's bankruptcy), "Its failure was a long time coming." | |||
| The downfall of Daewoo was and still remains highly controversial because of the sheer importance of chaebols in the national economy. The collapse caused billions of dollars in losses for both South Korean banks and the government, who were forced to stage-manage{{ambiguous|date=October 2012}} Daewoo's dissolution to soften the blow. The bankruptcy was not only a financial crisis, but also a political one, and it came as a shock to much of the nation. | |||
| Michael Schuman of '']'' stated that while Daewoo's demise had significant consequences, it would have nonetheless been better than propping it up with fresh funds. There was a persistence of the belief that Daewoo and other Korean conglomerates were "too big to fail". Such belief led many bankers and investors to continually waste money on bailouts, despite the sign that Daewoo was unable to engineer a turnaround and repay these ]s. Once the too-big-to-fail perception was dispelled, with large conglomerates no longer considered the safest investments, bankers and investors began financing new opportunities in areas which had been starved of capital, such as small firms, entrepreneurs and consumers. Korea's GDP actually rose after Daewoo's unwinding. | |||
| Schuman also noted a similar analogy with ] during its ], where banks kept injecting new funds into unprofitable "zombie firms", on the belief that the firms were too big to fail. However, most of these companies were too debt-ridden to do much more than survive on further bailouts, which led to an economist describing Japan as a "loser's paradise." Schuman states that Japan's economy did not begin to recover until this practice had ended.<ref name="schumantimes">{{cite news|url=http://www.time.com/time/business/article/0,8599,1867847,00.html|title= Why Detroit Is Not Too Big to Fail|last=Schuman|first=Michael|date=2008-12-19|publisher=Time Inc.|accessdate=2008-12-23}}</ref> | |||
| ==Breakup and present status== | |||
| The group was reorganized into three separate parts: '']'', '']'' and '']''. They are active in many markets, most significantly in steel processing, ship building and financial services. The corporate entity known as "Daewoo Corporation" is now known as "]" and is focused solely on manufacturing electronics. | |||
| Daewoo Electronics survives to this day, despite bankruptcy, with a new brand logo "DE", but many of the other subsidiaries and divisions have become independent or simply perished under the "reorganization" by the Korean government under Kim Dae Jung. In North America, ] stores market Daewoo Electronics products under their "Trutech" brand on an ] basis. | |||
| In 2004, ] pulled the ] brand of vehicles out of ] and ], citing irreparable brand damage. Later that same year, GM announced that Daewoo Motors in ] would change its name to ] on 1 January 2005. In 2005, it was announced that Daewoo cars would have a ] badge in Australia and New Zealand. In ], ], and the ], Daewoo models were already branded Chevrolet. In South Korea, Daewoo was renamed GM Korea. | |||
| As part of the company reorganization, the content and the structure of its brand portfolio (its brand architecture) was reorganized.<ref>{{cite web|url=http://merriamassociates.com/2010/11/general-motors-a-reorganized-brand-architecture-for-a-reorganized-company/ |title=General Motors: A Reorganized Brand Architecture for a Reorganized Company |publisher=Merriamassociates.com |date=2010-11-22 |accessdate=2012-06-23 |deadurl=yes |archiveurl=https://web.archive.org/web/20120604181905/http://merriamassociates.com/2010/11/general-motors-a-reorganized-brand-architecture-for-a-reorganized-company/ |archivedate=2012-06-04 |df= }}</ref> In 2011, GM discontinued the Daewoo brand name in South Korea and replaced it with the Chevrolet brand.<ref>{{cite web|url=http://www.bernama.com/bernama/v5/newsworld.php?id=567096/ |title=GM Korea Says Goodbye To Daewoo, Hello To Chevrolet |publisher=bernama.com |date=2011-02-28 |accessdate=2012-06-23}}</ref> | |||
| The Daewoo commercial vehicle manufacturer was taken over by ].<ref name="Tata press" /> | |||
| ===Involvement in Myanmar=== | |||
| Daewoo is also moving into the oil and gas industry. While Western oil and gas companies were unwilling to conduct business in ]<ref>{{cite web|url=http://www.upstreamonline.com/live/article157719.ece |title=Daewoo to tap Burma gas for China - Upstreamonline |publisher=Upstreamonline.com |date= |accessdate=2008-11-20}}</ref> on account of the abysmal human rights record of the ruling military junta, Daewoo is one of three oil companies, along with the French company ] and the American company ],<ref>{{cite web|url=http://www.nickyblack.com/Nicky_Black/Corporate_Citizenship_and_Myanmar_files/BM%20Chp%207%20-%20Myr%20O%26G%20industry.pdf |title=Blood Money - Chapter 7, Corporate Citizenship and the Oil and Gas Sector in Myanmar (Burma) |publisher=nickyblack.com}}</ref> which is already, or is close to, starting gas production in the country{{Citation needed|date=August 2008}}(at the Yadana Field). During explorations, Daewoo found one of the largest gas fields in ]. The field is located at blocks A-1 and A-3 at the ], about 100 km off ] in ]. The field will go into production in five years,{{When|date=October 2012}} providing a lucrative (and probably the largest) source of hard currency for the ruling junta. Daewoo has long been one of the largest foreign investors in the country. Daewoo International was investigated by South Korean prosecutors for allegedly selling machinery with potential military applications to the junta.{{Dubious|date=September 2008}}<!--Burma strikes Gold, Upstream 28 August 2008 -- What is this? A Ref? --> | |||
| ===The Daewoo brand today=== | |||
| Today five companies with the Daewoo brand name remain: | |||
| * ] (DE) - Specializing in electronics | |||
| * ] - Specializing in construction | |||
| * ] - Specializing in trading and investment | |||
| * ] (DSME) - Specializing in shipbuilding | |||
| * ] - Specializing in commercial vehicles, wholly owned by Tata | |||
| ==See also== | |||
| {{Portal|South Korea|Companies}} | |||
| *] | |||
| *] | |||
| *] | |||
| *] | |||
| ==References== | |||
| {{reflist}} | |||
| ==External links== | |||
| * | |||
| {{Chaebol}} | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
| ] | |||
Revision as of 15:49, 28 January 2017
에라 모르겠다 SBS TV