Research Article
The Jeju-do's Local Company Combining 'Tradition' and 'Modern Management' for 62 Years, Hallasan Soju
1 Seoul School of Integrated Sciences and Technologies
Published: May 2014 · Vol. 18 No. 2 · pp. 113-146
Full Text
Abstract
Hallasan Soju, the representative local company of Jeju-do, has grown uniquely in the domestic liquor business over 4 generations. Hallasan Soju had received the benefit of system of obligation to purchase a soju at the local area and managed steadily for about 20 years thanks to that. But the purchase system was abolished in 1996 and since then on competition has become fierce in the Soju market. In that market situation president Hyeon seung-tak was appointed as the third CEO of Hallasan Soju and he concentrated the resources to the R&D for the product competitiveness. As a result, Hallasan Heobeoksul won the gold prize award in the spirituous liquor section in 2012 IWSC(International Wine and Spirit Competition), which is for the first time in Korea. The competitive advantages of Hallasan Soju are caused by the facility investment, premium brand strategy and high quality use of the materials. Finally Hallasan Soju has grown as a sustainable company contributing to the local job creation and local economy. In addition, president Hyeon seung-tak has had the management principle that considers the faith of the region as the most valuable asset. So Hallasan Soju has maintained continuously the various CSR activities to local communities. In this growth process, the management philosophy combining tradition and modern management has been becoming the competitiveness. But because of the limited geographical situations as the island area which the high logistic cost required and the intensifying competitive environment, Hallasan Soju is asked to push ahead the past success strategy and another innovative strategy.
