[The Editors' Verdict]Regrets on Hallyu

Recently, controversy arose over the acceptance speech of the idol group BTS in China, where some netizens expressed nationalist sentiments, state-run media criticized BTS, and some major corporations announced plans to halt the transportation of BTS products, continuing the group's hardships. Domestically, there are calls for special military service exemptions for popular culture artists like BTS who have positively contributed to national prestige, and the political sphere is raising issues about legal amendments. Additionally, BTS's agency, Big Hit Entertainment, was listed on the KOSPI market on October 15 amid much attention, but its stock price has been declining daily, drawing complaints from so-called 'Donghak Ant' investors. Behind this is the fact that many people, who previously had little interest in Hallyu, believe that BTS's achievement of a Billboard No. 1 single could serve as a breakthrough during the COVID-19 pandemic era.

Last August, the Ministry of Culture, Sports and Tourism and the Korea Culture and Tourism Institute jointly analyzed the economic ripple effects of BTS reaching the top of the Billboard 'Hot 100 Chart' last month, revealing a production inducement effect of 1.2324 trillion KRW and a value-added inducement effect of 480.1 billion KRW. This includes not only direct effects such as album and digital music sales, performances, intellectual property (IP), and other income but also increased exports of related consumer goods, including cosmetics, food products, and clothing. Furthermore, over the past 20 years, Hallyu has had a significant impact on enhancing the national image and brand. Whereas Korea was once remembered for being a divided country, the Korean War, and economic development, it is now recognized as the land of K-pop, a strong IT nation, and Hallyu, contributing to national competitiveness.

Although interest in Hallyu is very high, those on the ground are requesting practical support such as minimizing regulations, creating an autonomous environment, supporting small and medium-sized agencies that form the ecosystem, and securing diversity rather than excessive attention. To borrow the words of an expert, the government's role is to act as the 'beast' that removes obstacles to protect the 'beauty' called Hallyu. To add a bit more, there is even a joke that it would be great if the government simply refrained from interfering with those actively working in the field.

As demonstrated by the economic effects, there is a shared call for creating and supporting an ecosystem where more people benefiting from Hallyu?including those in automobiles, home appliances, cosmetics, food and beverage, consumer goods, and related product services?can pay greater attention and collaborate. Cases like Europe's so-called 'cultural tax' and 'Google tax' are also worth noting. Hallyu should not be viewed merely as a short-term money-making tool but should focus on improving quality for customer management and satisfaction, as well as considering diplomatic relations, as seen in the BTS case. As with the THAAD incident, when diplomatic issues arise, the stock prices of related listed companies can plummet by trillions of won, clearly showing Hallyu's vulnerability to external factors. Considering that statistics on foreign residents' consumption expenditures and foreign investment in Korea are not well captured in calculating Hallyu's effects, managing international students domestically is also important from the perspective of managing promotional ambassadors.

Recently, a documentary about the idol group BLACKPINK was released on Netflix, generating much attention. The important point is not the glamorous stage presence but the fact that it takes up to more than 10 years of trainee periods and intense competition to achieve success and show a polished performance. If we hope for Hallyu to continue, we should not only pay attention when it is thriving but also remember the countless people who have worked hard behind the scenes and served as the foundation. We should continuously consider ways to help without hindering their efforts, a thought that keeps lingering in my mind.

Byungmin Lee, Professor, Department of Cultural Contents, Konkuk University

This content was produced with the assistance of AI translation services.