Korea: reform focuses on the customer.

• Author: Ki-Wha, Hong

New trends in international trade mean that TPOs need to reassess to stay relevant to their clients. The Korea Trade-investment Promotion Agency (KOTRA) has, in its own words, focused on essentials -- customers' needs. From new customer satisfaction targets to increased online delivery of services and decentralized operations for a stronger field presence, the organization has reoriented itself around clients' needs.

Today's global trade and economic environment has undergone change at a speed never before experienced. Three trends in particular are creating an important impact. First, values are changing as to what constitutes competitiveness. Second, the importance of regional blocs is growing with the spread of global economic standards. Third, the digital revolution has changed the speed at which information is disseminated, thrusting trade into a world of information, knowledge and creativity and spawning borderless competition.

Competitiveness redefined

What values drive competitiveness? The value that dominated last century's global economy and trade was productivity per time unit based on a quantitative input of labour. The prime competitive elements of the past were material capital and the capability to mass-produce.

Today, information, knowledge and creativity are emerging as core competitive elements.

The creation of synergy via a construction of networks (rather than individual efforts) has become a major factor in achieving competitiveness.

Standardizing policies

As globalization advances, the world is fast entering an era of borderless competition. Economic policies are increasingly standardized to better regulate the global economy. International organizations such as the World Trade Organization and the Organisation for Economic Co-operation and Development now determine the framework of international commerce and investment.

Because the world's economies are globalizing rapidly, the influence of regional economic blocs, such as the European Union, the North American Free Trade Agreement, the Asia Pacific Economic Cooperation and the Common Market of the South, is becoming stronger.

Knowledge-based economy

We are fast heading toward a knowledge-based economy as a result of the ongoing digital revolution, considered by many the third revolution in human history following the agricultural and industrial revolutions. The Internet saves time and costs in acquiring information, resulting in significant changes in the way...