Busan is good

Busan-Jinhae FEZ attracts U.S. retailers

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The Busan-Jinhae Free Economic Zone is gaining the attention of international retail companies, officials said yesterday.

 

BJFEZ Authority officials said that a delegation led by BJFEZ Commissioner to the United States Kim Moon-hee successfully promoted the free economic zone in Busan to U.S. retailers including Amway, J.C. Penney Co. and Wal-Mart Stores Inc.

 

Kim's delegation, which included BJFEZ Authority officials and representatives of logistics companies which have facilities in the free economic zone - including Korea Express BND and Daewoo Logistics BIDC - were in the United States from June 8-19 to attract U.S retail companies to the zone. Korea Express BND is a logistics company established by Korea Express in collaboration with Japan's Hatsumura Daiichi Warehouse Co. and Naru International Co.

 

BJFEZ Authority officials said that the marketing trip to the United States was the first time it employed marketing strategies tailor-made for specific companies that were developed in collaboration with companies operating in the region.

 

According to BJFEZ Authority officials, during their presentation to Wal-Mart officials, Wal-Mart vice president Rob Kusiciel said that, although the company is considering building a logistics center in China, BJFEZ's business model presented interesting advantages and that the company will take them into due consideration.

 

The BJFEZ's business model also received good responses from the department store operator J.C. Penney, whose executive manager Kelvin Block said that the model is very close to ones which the company is researching. He said he plans to discuss the approach with J.C. Penney's executives.

 

The delegation received a more direct response from Amway, whose vice president Robert Hunter told the delegation that the company is aware of the merits of BJFEZ and that Amway is looking for land on which to build manufacturing facilities, BJFEZ Authority officials said.

 

In addition to meeting the representatives of U.S. businesses, the delegation also met with the leaders of Korean businesses operating in the United States, including the Sam Moon Group chairman David Moon, and asked his company to invest in the BJFEZ.

 

The BJFEZ delegation also visited the U.S. real estate development company Alliance Texas, which manages a commercial district in Texas, and was briefed about public-private collaboration in running economic projects.

 

To build on the results of the promotional trip, the BJFEZ Authority will establish a database of information regarding the companies which the delegation visited to upgrade its business models.

 

The source of news : The Korea Herald,  June 25, 2008