The Rise of the South Korean Economy
Considering GDP, South Korea is the 4th largest economy in Asia and ranks 10th globally. After achieving independence through the Korean War, South Korea has become a remarkable name and model of a rapidly growing economy worldwide.
How did they achieve such rapid prosperity? What was the source?
Yes, South Korea followed a unique strategy in this regard, known as ‘soft power.’ The core of soft power is Korean culture, which they have turned into their strength. South Korea is the only country in the world that is dedicatedly striving to become a leader in exporting culture.
The message of establishing Korean culture as a form of soft power was first conveyed by Kim Gu, the leader of Korea’s independence movement and the provisional president. His statement (March 1, 1948) was:
… I want our country to be the most beautiful in the world. By this, I do not mean it should be the most powerful country. Because I have felt the sorrow of being attacked by other nations, I do not want my country to attack others. It is enough that our wealth enriches our lives; it is enough that our power is capable of defending against external attacks. There is only one thing I want unlimitedly, and that is the strength of a noble culture. This is because the strength of culture makes us happy and also brings joy to others….
What an extraordinary statement, right!
It can be said that the soft power movement of Korea actually began with this statement from the hero behind Korea’s independence, and the result is Hallyu or the Korean Wave. This is the main weapon behind South Korea’s economic prosperity; there is no other mystery.
This article will discuss the Korean Wave in detail.
What is Hallyu or the Korean Wave?
The phenomenon of the rapid spread and increasing popularity of South Korean culture worldwide is known as Hallyu (Korean Wave).
Korean drama (K-drama), Korean music (K-pop), Korean movies, games, fashion, food, Korean beauty cosmetics, tourism, etc., have all spread worldwide through this Hallyu or Korean Wave.
Initially, this wave started through Chinese media, but gradually it expanded to neighboring countries of Korea such as Japan, Vietnam, Taiwan, various South Asian countries, the Middle East, Africa, and Europe. Currently, through the Korean Wave, South Korea’s entertainment and culture have taken over the international media world, surpassing famous Western media like Hollywood and Disneyland in terms of popularity.
Especially the popularity of the K-pop boy band BTS has skyrocketed globally. According to Vox Media (2018), BTS, as the most popular K-pop band, has given the Korean Wave a new dimension worldwide. According to Time Magazine (2018), the craze created by the popularity of PSY’s ‘Gangnam Style’ in 2012 was surpassed by BTS, initiating a new Korean Wave.
Different countries have accepted the Korean Wave and culture in various ways. Korean dramas are made in such a way that they match people’s likings in some way or another in every country.
A study found that
To Americans, Korean dramas seem relaxing and cheerful, Europeans find K-drama plots quite simple and romantic, Asians find their wants and lifestyle reflected in K-drama plots, thus wanting to follow those trends. The study also found that in the Middle East and other Muslim countries, the popularity of K-dramas is due to the fact that Muslims feel safe watching these dramas as they do not contain explicit sexuality.
The difference in the history and culture of each continent or country is enormous. Therefore, making Korean drama and music so vast was quite challenging. However, the Korean industry has overcome all obstacles and is now internationally established and recognized. They have succeeded in creating content that resonates with people’s needs in every country, embedding their culture into people’s minds through their presentation.
Korean dramas draw viewers with their combination of artist glamour, visuals, acting, unique stories, family bonding, social challenges, life ups and downs, action, humor, mystery, thrill, romance, etc. Each drama beautifully showcases Korea’s beautiful nature and tourist areas, attracting viewers to Korean tourism. Additionally, their traditional clothing, food, and everything else have found a place in viewers’ hearts through the dramas’ presentation. Another reason the young generation is so addicted to Korean dramas is that the stories and characters of these dramas inspire them and awaken a new sense of life.
The Sequential History of Hallyu or Korean Wave
The progression of the Korean Wave can be divided into three phases: Hallyu 1.0, Hallyu 2.0, and Hallyu 3.0.
Hallyu 1.0:
Through Hallyu, South Korean culture has created a new realm of global entertainment. Although its journey began in the era of radio and television, it has now spread through smartphones, changing people’s entertainment tastes by introducing music, drama, dance, gaming, and evolving a new cultural trend.
The term “Hallyu” was first used by Chinese media in the 90s. In 1992, with the establishment of diplomatic relations between China and South Korea, Korean entertainment culture, particularly Korean dramas, started being broadcast in China, rapidly gaining popularity. When the Korean drama “What is Love All About” was aired on China Central Television (CCTV) in 1997, it created a huge sensation. The audience rating in China for this drama was 4.2%, meaning 150 million Chinese viewers watched it. This marked the beginning of the Hallyu phenomenon in Chinese media. The growing demand for Korean dramas and pop culture led Chinese media to first use this term, which became known globally as the Korean Wave.
In early 1997, a radio program named “Seoul Music Room” was broadcast from Beijing, through which K-pop music and dance became known in China and gained immense popularity among Chinese teenagers.
In February 2000, SM Entertainment‘s boy band H.O.T. held a concert at Beijing Workers’ Gymnasium, which played a revolutionary role in popularizing Korean culture in China. To explain the popularity of this concert, Korean news media first used the term Hallyu or Korean Wave.
Subsequently, from the early 1999s, Koreans began using this term to describe the influence and popularity of Korean culture worldwide. In the late 90s, several more Korean dramas started becoming popular not only in China but also in neighboring countries and some parts of Asia, significantly contributing to South Korea’s economy. In 1995, their television program exports were valued at $5.5 million, which increased 27.4 times to reach $150.9 million in 2007, setting an incredible record.
The first success in the Korean movie industry was the release of the big-budget action movie ‘Shiri’ in 1999. It was so commercially successful that it earned over $11 million, surpassing the revenue of Hollywood blockbuster Titanic in Korea.
Through cable TV networks and satellite broadcasting media, the demand for Korean music, drama, and movies began to increase in China, Taiwan, Vietnam, and Western Asian countries. A report from 2016 revealed that in the early 2000s, K-dramas like ‘Winter Sonata’ and ‘Jewel in the Palace’ went viral not only in Western Asia but also in South Asia, Western Europe, the Middle East, and Africa. This was when Korean films and music gained immense popularity.
In 2002, the DVD of the K-drama ‘Winter Sonata’ sold for $3.5 million in Japan alone. This can be considered the entry point of the Korean Wave in Japan. In 2004, Japanese Prime Minister Junichiro Koizumi mentioned the main male character of this drama, saying, “He is more popular than me in Japan.”
Hallyu 2.0
In the mid-2000s, the popularity of K-pop began to rise due to its attractive dance and music. During this period, the internet played the most significant role in spreading Korean pop music globally. Platforms like YouTube and social networking sites helped K-pop go viral. However, the growth of the K-pop industry was slow at that time, and it did not play as crucial a role in the Korean wave and the global music industry as it does now. Despite the slow growth, the K-pop industry exported music worth $80.9 million in 2010. Korean dramas were also steadily gaining popularity in Asian countries during this time.
With the advent of Hallyu 2.0, modern Korean technology and high-speed internet added a new dimension. They introduced a series of new smartphones and smart devices, launched SNS (social networking sites), and developed online gaming, which played a crucial role in the evolution of Hallyu 2.0. According to a report from 2012, Korea exported games worth $102 million in 2000, which increased to $1.6 billion in 2010.
Hallyu 3.0
The era of Hallyu 3.0 began in the early 2010s. During this period, the Korean government undertook various initiatives focusing on K-pop, K-culture, and K-styling to expand its global reach. It is known that they formed a global promotional task force called Hallyu Culture in January 2012, which aimed to represent K-culture globally by combining Korean culture with K-pop.
In 2012, Korean superstar PSY’s first music video ‘Gangnam Style’ went viral overnight after being published on YouTube. The humorous dance steps and visual appeal of the music video created a new genre that garnered significant attention worldwide, becoming the first video on YouTube to hit a billion views and breaking multiple records, even reaching the top 2 positions on the Billboard charts.
Korean music features excellent beats, attractive sound mixing quality, and the use of instruments, all of which create a captivating blend. The sound quality of Korean music is thus compared to American and Western pop music at the same level. According to a 2016 report, Korean pop music videos were viewed 2.3 billion times on YouTube in 2011, compared to 800 million views in 2010. This rapid development of the Korean music industry and the success of Hallyu 3.0 is evident from these statistics.
Previously, the Korean wave had reached mainly Asian countries. Later, streaming sites like Netflix provided an opportunity for it to enter the Western entertainment world. In 2017, Korean director Bong Joon-ho created the movie ‘Okja’ with funding from Netflix. The same director made the dark comedy thriller movie ‘Parasite,’ which was showcased at various international film festivals and won numerous awards, including the Oscars.
In 2020, ‘Parasite’ made history by winning two Academy Awards for Best Picture and Best International Feature Film. Through ‘Parasite,’ the world recognized the unique qualities of Korean content, and during the COVID-19 pandemic, the audience leaned more towards Korean content. Following this, the Korean drama ‘Squid Game’ created a global sensation through Netflix, marking the beginning of a new wave of Korean content.
These international recognitions of the Korean wave have significantly increased the demand for talented Korean artists in the global entertainment market, and even Hollywood is keen to collaborate with the Korean industry. Foreign filmmakers are now investing in production companies in Korea and taking initiatives to produce Korean films.
Characteristics of the Korean Wave
One of the primary reasons behind the rapid spread of the Korean Wave (Hallyu) is its openness and generosity. The Koreans have allowed their culture to continuously evolve with modern touches, updating it without straying from its core foundation. As they aspired to surpass Western culture, they crafted their own culture in such a way. Alongside modern cultural elements, they also present their historical music and dramas in a manner that showcases old traditions and places, which captivates and impresses the audience.
Originality is another driving force of the Korean Wave. Like many other countries, Korean culture has been influenced in various ways by other cultures. Nevertheless, they have maintained their uniqueness with creativity and innovation.
Koreans also believe in cultural hybridization. They blend their culture with foreign cultures to create a unique cultural wave. This results in a culture that neither strays from its roots nor fails to be modern. This balance makes Korean culture and its waves acceptable to people from every country in the world.
K-pop and K-dramas are the main contributors to Hallyu. Platforms like YouTube, Netflix, and various streaming sites have brought Korean culture to the fingertips of audiences and become the best sources of entertainment during leisure. Korean dramas are mini-series in nature. Initially, the dramas were longer, with over 100 episodes, but gradually the number of episodes has been reduced and the storylines improved.
Nowadays, most series have 16-20 episodes, each lasting 30 minutes to an hour. These dramas air twice a week, making it possible for audiences to follow them regardless of how busy they are. Thus, K-drama series has become a constant companion for entertainment in today’s busy world.
K-pop bands have introduced a new trend in the world music industry. Over time, numerous K-pop songs have been listed on Billboard’s top charts and have attracted global media attention. The new era of K-pop began in 2012 with the release of PSY’s famous “Gangnam Style.” This song, written based on the lifestyle of Gangnam in Korea, combined unique and attractive dance steps, enough to captivate the audience. Following this, bands like Big Bang, Girls’ Generation, Super Junior, and EXO arrived to take the world by storm.
Recently, the popularity of BLACKPINK and BTS has skyrocketed globally. BTS has even surpassed the popularity of Western music artists.
The reasons behind the immense popularity of K-pop include their incredibly appealing music, perfect-looking idols, artists’ vocals, rap, mind-blowing dance moves, makeup, and costumes – all executed with perfection.
Besides K-pop and K-dramas, other elements contributing to the advancement of the Korean Wave include Korean computer games, online games, fashion statements, Korean movies, Korean food, tourism, products, language, traditions, and culture. Among the popular movies contributing to Hallyu since the beginning of the 20th century are “My Sassy Girl” (2001), “A Millionaire’s First Love” (2006), and “Train to Busan” (2016). The 2020 Oscar-winning movie “Parasite” added a new dimension to the Korean Wave.
Contribution of the Korean Government to Hallyu
It is believed that one of the factors that paved the way for the Korean Wave was the decision to lift the travel ban for Koreans in the early 1990s. This allowed many Koreans to explore Western countries, especially the USA and Europe. Many Koreans pursued higher education and started careers in renowned companies in these countries. They returned to Korea in the late 1990s with new perspectives, creative business ideas, and a world of innovation. This led to a revolution in Korean technology, education, business, and the entertainment industry.
During this time (1997-1998), Asia was going through the Asian Financial Crisis, which also affected South Korea. To tackle the crisis, Korea took a $97 billion loan from the IMF in December 1997. Despite the economic struggles, Korea quickly repaid the loan by 2001, three years ahead of the scheduled time.
However, the crisis significantly impacted Korean trade, damaging its global image. To regain investor confidence and attract tourists, then-President Kim Dae-Jung and the head of their global PR agency, Edelman, wrote a book – “Korea: On Course – And Open for Business.”
The economic crisis also heavily affected major Korean companies like Samsung, known as Chaebols. These conglomerates were integral to the Korean economy, producing everything from microchips to ships. The crisis forced these companies to scale back and focus on core products and services, creating opportunities for new entrepreneurs and small business firms.
The Korean government realized the danger of over-reliance on Chaebols. President Kim Dae-Jung then decided to focus on Information Technology and popular culture as future growth sectors. He believed that emerging from traditional models would create new sectors and industrialization with technology playing a crucial role, and their popular culture would become a significant export product, rebranding Korea globally.
Post-crisis, major Chaebol companies like Samsung adopted new strategies to expand their business internationally, contributing to the progress of the Korean Wave.
Lifting various restrictions on the Korean film censorship board in 1996 allowed filmmakers to explore creative and bold works, enriching the entertainment industry.
The Korean government invested heavily in high-tech internet infrastructure, enabling citizens to stay connected globally with high-speed internet. They also invested in startups, with one-third of venture capital spent on the entertainment sector.
Another significant budgetary step was the establishment of 300 cultural departments in colleges and universities. These departments have produced many talented artists who have contributed to the advancement of the Korean Wave.
Role of YouTube in the Korean Wave
YouTube and its user-generated content have played a unique role in the rapid spread of Hallyu globally. The head of YouTube’s Korean Music Partnership said, “Achieving global popularity for K-pop might have been impossible without YouTube’s global platform.”
The relationship between YouTube and K-pop began in 2009 with a partnership agreement between Korean ‘Big Three’ entertainment agencies – SM Entertainment, YG Entertainment, and JYP Entertainment – and YouTube’s user-generated content site. The success of this partnership was evident in 2011 when YouTube metrics showed that outside of Asia, the highest views of K-pop on YouTube came from the United States.
The partnership between the agencies and YouTube allowed audiences the freedom to create content related to K-pop music. This worked well as audiences created dance cover videos, reaction videos, and remakes of various K-pop music. As a result, many user-generated content channels on YouTube centered around K-pop music, rapidly increasing its popularity. The audience played the role of promoters here.
The remarkable ascent of South Korea from the ruins of war to an economic powerhouse is a story of resilience, innovation, and strategic cultural diplomacy. The Korean Wave, or Hallyu, has not only redefined global entertainment but has also positioned South Korea as a beacon of cultural influence and economic prosperity.
Through a unique blend of tradition and modernity, South Korea has leveraged its soft power to create a global phenomenon that transcends borders, bringing joy and inspiration to millions worldwide. The strategic foresight of integrating culture with technology, supported by robust government initiatives, has been pivotal in this transformation. As Hallyu continues to captivate global audiences, it stands as a testament to the enduring power of culture in shaping a nation’s destiny and its global stature.
