Increasing possibility of North Korea's open through Kaesung complex
1.Description:
North Korea trying to open their market to the world especially the cheap labor market through such as Kaesong complex that will help their economy. This work is similar with the way of China what open their market and developed their unique capitalism. Now the South is dangling an even bigger piece of economic bait: an industrial park in Kaesong, just 15 kilometers north of the Demilitarized Zone. So far, 15 South Korean companies have announced they will set up shop there by yearend to produce everything from clothing to car parts. The idea is to follow China's model of experimenting first with reforms in special economic zones, then expanding them to other parts of the country. "In view of the proximity and the fact that we speak the same language, Kaesong will be a better alternative than China for labor-intensive companies in the South," says Moon Chang Seop, president of Samduk Tongsang Co., a shoe manufacturer that is investing $2.6 million in Kaesong. Pyongyang expects hundreds of companies to set up plants there, though that may be optimistic. A similar zone near China has been a bust.
2.Enablers:
North Korea bad economy
South Korea sun-shine police
China’s help to North Korea
6 parties talk
3.Inhibitors:
North Korea Nuke problem
Bush administration war scenario
4.Paradigms:
North Korea will be like a 1980’s China in near future that lifting economy using cheap labor and developing free economic complex.
5.Experts:
South Korea Foreign Affairs and Trade Minister Ban Ki-moon
Woo Seong-ji, professor at Seoul’s Institute of Foreign Affairs and National Security
Jang Jip CHOI, director of the Asiatic Research Center, Korea University
Hong Koo LEE, chair of the Seoul Forum for International Affairs
6.Timing:
N/A
7.Web Resources:
http://today.reuters.com/news/default.aspx
http://yahoo.businessweek.com/magazine/content/04_30/b3893074.htm