Special Report

Special Report is an English digest of KRIHS research reports, published to provide information about Korea`s key urban and regional issues to interested scholars and policy makers across the world. It highlights the outstanding research studies completed by the research fellows of KRIHS.

Special Report (Vol. 45)

  • 2019-01-15
  • /

Special Report Vol. 45 (2018)

 

 

ANALYSIS OF BUSINESS DEMOGRAPHY DATA FOR REGIONAL DEVELOPMENT POLICY


Chapter I. Introduction 


Chapter II. Changes in Industrial Location Conditions

1. Global Economic Slump and the New Normal 

2. Occurrence of Externalities such as Changes in Demographic Structure

3. Manufacturing Slump and Demand for Industrial Locations in Korea

4. Arrival of Industry 4.0 and Transformation Toward a Service-oriented Industry Structure

Chapter III. Projection of Industrial Location Trends Using Big Data and SNA

1. The Need for Developing Future Industrial Location Strategies Using Big Data

2. Big Data Collection and Analysis Methods 

3. Future Industrial Location Trends Using Big Data and SNA

 

Chapter IV. Empirical Analysis of Industrial Location Megatrends

1. Empirical Analysis of Industrial Location Megatrends: Need & Objective

2. Empirical Analysis of Industrial Locations Trends 

 

Chapter V. Industrial Location Strategies and Policy Measures in Response to Socioeconomic Changes

1. Industrial Location Strategies in Response to Socioeconomic Changes

2. Industrial Location Policy Measures in Response to Socioeconomic Changes


References



Summary

 

2017 will be significant for Korea, as the working age population posts a negative growth

for the first time in its history, pushing the country to the edge of a demographic cliff.

When slow growth becomes the norm, businesses need to secure competitiveness to

survive, and single-person households will likely live closer to their jobs. Automated

systems will accelerate the replacement of manual labor by machines and AI.


This study projected how rapid socioeconomic changes will change the Korean

manufacturing sector environment and systematically analyzed institutional

improvements needed for national territory and industrial locations by conducting largescale

big data analytics and empirical analyses. This study enhanced the reliability of big

data analytics through dual analysis, by conducting big data analytics of future trends and

verifying the results with empirical data, and provided quantitative data that supports

future policy development.


It is imperative to set a clear direction for industrial location policies by focusing on

either promoting balanced national development or satisfying business needs. It is also

essential to apply different approaches to different types of industrial locations, with

regard to the designation process for industrial parks and supportive measures. The

UK and Japan have shifted their policy focus from balanced distribution of industrial

locations toward the concentration on large cities and the capital areas. As such,

this study suggests that Korea should prioritize efficiency over equality in supplying

industrial locations. In addition, more comprehensive management is needed to achieve

efficient supply of industrial sites that are currently divided across different government

ministries. Policy focus should be placed on supplying industrial sites to urban areas,

rather than supplying low-cost factory sites to rural areas to ensure that businesses can

be more competitively located.

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