Monday, February 15, 2010

Chaebol: A form of Collective Entrepreneurship

The last reading in CAC, while talking on the topic of collective entrepreneurship, gives teh example of Chaebols. Chaebol is a conglomerate of multinationals in Korea, which brings together expertise from different fields to setup a common venture. However, they are generally spoken of as simply another form of crony capitalism, nothing but an arrangement between business houses, mostly owned by the same family. What this really leads to is a whole web of lies, forgery and cheating the common investor. This is an extreme example of a collective that could only harm the people outside the collective!

-rajat, 30029

1 comment:

George Paul said...

It may harm the people outside the collective.. But, it is a collective nevertheless! Whatever be their intention, be it creating synergies in business or forming a mega-corporation to take over the entire world, they are simply adhering to the 'getting ahead' aspect of co-operating and forming a collective. And I'm sure that other collectives will form to check Chaebol's ambitions...That's how the world works! I think another example of such a conglomerate would be the Carlyle Group in the U.S.