Inside Korea’s Social Impact

  “Every time one of our products is sold, a job is created for someone from a vulnerable group.”   When you spend time reporting on the social solidarity economy, you often meet founders whose eyes light up as they speak. They passionately explain how their products create positive change in the world. Their faces are filled with anticipation, excitement, and a deep sense of purpose.   But those conversations often end with the same bitter and frustrated question.   “If we’re doing something so meaningful for society, why don’t people open their wallets?”   Many impact-driven companies believe that their social mission is their strongest competitive advantage. But at some point, an uncomfortable truth has to be faced: sometimes, that very “good story” becomes a distraction from the core of the business — and can even turn into a poison that blocks revenue.   In this post, I want to talk about the paradox of “doing good.” It may feel unc...

[Editor’s Note🖊] How does a young person who simply wanted to “do good” grow into an innovator working to reshape corporate governance?   This interview features Seonguk Jeon, who began with the aspiration to build a company that does good, and went on to work across various fields of the social and solidarity economy — including social enterprises, cooperatives, intermediary support organizations, and member-based networks. Today, he is active as a social economy expert and the founder of the social venture Soact Inc.   Organizations in the social and solidarity economy are expected to pursue both social value and financial sustainability, which can sometimes make them difficult for consumers or investors to fully understand. However, this very characteristic can also be a strength. Building a virtuous cycle of K-Impact — where value creation and financial systems reinforce each other — has become increasingly important.   In this interview, Jeon shares how he f...

Korea Social Enterprise Promotion Agency logo (Source: Korea Social Enterprise Promotion Agency website) What Is the Social Economy in Korea? In Korea, businesses engaged in social innovation activities are referred to as social economy enterprises. These are not simply non-profit organizations; they are enterprises that aim to solve social problems and create social value through business models. The key difference between social economy enterprises and conventional businesses lies in their core purpose. While conventional companies prioritize profit maximization, social economy enterprises pursue both profit and social value simultaneously. South Korea’s social economy grew rapidly with government support. This is a runway event in Gyeonggi Province introducing local enterprises.(Photo by Milly)  Types of Social Economy Enterprises in Korea Korea’s social economy enterprises are officially recognized and supported by the government. Major types include: Social Enterprises Hybrid ...