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South Korean Economy Culture and Branding
Understanding a nation’s soft power, particularly in the context of the global proliferation of Korean pop culture, is crucial. This cultural influence, often called soft power, plays a significant role in shaping consumer behaviour and the perception of South Korea’s persuasive capabilities.
(Here is my behind the paywall link.)
People don’t just buy goods and services because they are expensive; their value is intrinsically tied to people’s perception of worth. We do not spend money on a Swiss watch because it is a watch but because it is Swiss.
This is where the link between real value, market value, and perception meets people buying expensive watches from Switzerland rather than China.
In this context, real value refers to a product's actual quality and utility, which may be overshadowed by market value and perception in the case of luxury goods associated with a particular country.
This attitude can change if China is perceived as wealthy or if the product is successful and conveys status.
The South Korean economy is known for exporting Korean fashion, cosmetics, music, holidays, and plastic surgery, which are highly demanded products because they are associated with South Korea.
