Energy overconsumption is prevalent in Korea, which must import nearly all of its energy supply. On July 22, 2010, electricity usage soared to 6,7 million kilowatts, the second highest ever. Such a rapid increase in power consumption suggests electricity shortages will eventually occur if demand is not controlled.
Today, green lifestyle is no longer an option. It is a solution to an imbalance in energy demand and supply as well as an effective response to climate change. Green living is the continuous and conscientious pursuit of green values in consumption by both households and businesses. Only when it takes root in an entire society can green growth gain traction, with green technology and green industry acting on the supply side while green living generates demand. Thus, it is imperative to instill a stronger sense of green values in the public’s mind and to encourage green consumption behavior in all aspects of daily life.
Furthermore, green living is a catalyst to further advances in green technology and green industry, helping form a virtuous cycle of low carbon green growth. That is, green lifestyle will bolster sales of environment-friendly products, which will encourage companies to develop and produce green products, boosting green industry development.
The Samsung Economic Research Institute (SERI) defined the potential ability to promote green living as green life capacity and created a “Green Life Capacity Index.” The index consisted of two sub-indices, the Capability of the Central Government and Capability of Local Communities. The former refers to the capability of the central government to prepare laws and regulations related to green living and to develop technologies and infrastructure. The latter refers to the capability of local communities to set up green governance and effectively maintain it.
Analysis showed that among 29 Organization of Economic Cooperation and Development (OECD) countries, Korea ranked 24th in the SERI Green Life Capacity Index. Due to low green life capability, greenhouse gas emission per one dollar’s worth of GDP for Korea is 0.43kg, 1.7 times higher than the average of the advanced green countries. Korea is weak in all of the sub-indices measuring the capabilities of local communities. The index for the capability of Korea’s local communities ranked 28th among 29 countries, while the index for Korea’s green life capability of the central government ranked 12th.
Thus, it is essential to improve the capability of local communities to develop green lifestyle. First, the roles of central and local governments should be divided according to comparative advantages. The central government should set up a legal and institutional framework as well as a green infrastructure. Local communities should operate green governance effectively and create standards that will encourage voluntary adoption of green living.
Second, Local Agenda 21, a public and private cooperation program, should be embraced more vigorously. It should be used as an opportunity to build public consensus and increase enthusiasm for public-private cooperation.
Third, green living programs should be promoted based on each region’s economic and cultural potential. For example, a “local green living brand” program should be promoted in places where tourism, education and medical industry are the main sources of revenue and a “healthy and green life” program should be promoted in areas with high concentrations of the elderly and the young.
Finally, efforts should be made to form a virtuous circle of green living and green industry by constructing energy-zero housing complexes and a “Green Life Cluster” - a city where green living is possible thanks to environment-friendly industrial facilities. In a Green Life Cluster, capital, technologies, governance and social standards interact organically to maximize green life capacity. In the process, energy efficiency and the development of new or renewable energy business are fostered. Currently, most environment-friendly pilot projects are government housing areas, which focus on raising energy efficiency. So, it has been difficult to create synergy between public and private sectors as well as between central and local governments. To build a Green Life Cluster, green technology companies and related research institutions should be attracted and a smart grid and environment-friendly transportation network should be included from the start.
Hyundai Motors remains strong in markets like the US, Canada, Russia, Europe, and Egypt, but there are growing concerns over its retreating performance in China and India. The Chinese and Indian markets are the most important markets in the automobile industry - along with the US - and determine this year's 'harvest.'
Hyundai Motor's total monthly sales in China shrunk by 11.5% to record 47,862 units. It had been on a continuous downfall - falling from 61,638 in March to 57,014 in April, 56,006 in May, and 54,083 in June. Sales decreased more rapidly last month, with total sales falling short of 50,000 for the second time this year - since the New Years Holiday in February.
Sales for Kia Motors in China also dropped by 3,000 last month to record 22,010. This is its lowest performance in 11 months.
Part of the reason is attributed to the overall deterioration in the sales environment. The total number of sales for automobile in China for July was 946,200 - a 9.27% decrease from the previous month. Year-on-year sales growth rate is the lowest in 16 months.
However, the main cause is found in the cutthroat competition with global carmakers and domestic Chinese producers. Unfortunately, Hyundai and Kia are located in the middle of the polarized market, sandwiched between premium brands like Mercedes Benz, BMW, Volkswagen, Audi and low-priced Chinese brands like BYD.
An official from the car industry remarked, "global carmakers and Chinese producers are engaged in a life-or-death battle. The market structure will not be easy for Hyundai and Kia in the future."
To add to the problem, the Chinese automobile market is expected to rapidly contract in the second half. Hyundai Motors is hoping to regain its growth in China with the launching of the newest model, Verna, on the 23rd.
Performance in India is an area also ripe with concern. Last month, Hyundai Motors ranked second place with total sales amounting 28,811 units. However, Hyundai's market share dropped below 20% (19.3%) for the second time since last May (18.7%). Hyundai Motors believes that it is strengthening its competitiveness in the India market, and the current drawback is temporary.
However, the Indian market is also crammed with ruthless competition with local car companies. The number one seller, Maruti, recorded 76,111 in sales last month, stealing more than half of the total market share (51.0%). Tata Group's Telco, which ranked third place, achieved a 10% share within 5 years of jumping into the market. Ford multiplied its share from 1.9% last year to 5.7%, soaring from sixth place to fourth.
Nonetheless, both Hyundai and Kia are doing well in the US market, with a year-on-year growth of 18.8% and 20.7%, respectively. Their market shares have increased from 7.0% last year to 8.5% last month.
In Canada, they covered a 11.5% share, ranking fourth after the big 3 US companies of Ford, General Motors, and Chrysler. Kia has been the number one seller for imported cars in Russia for three consecutive months. Both companies' market share in Europe stayed near last year's average of 4.1%.
Korea posted the highest economic growth in the Organization for Economic Cooperation and Development in the second quarter of this year backed by a rapid economic recovery.
OECD data show Korea's GDP expanded 7.1 percent in the April-to-June period from a year earlier. It was followed by Slovakia at 4.9 percent, Germany at 3.7 percent, Sweden at 3.6 percent and the U.S. at 3.2 percent. Spain and Greece were the only two nations to post negative growth as both are currently in the midst of a financial crisis.
Analysts say Korea's strong economic performance can be attributed to brisk exports backed by its competitive manufacturing sector and a revival in domestic demand and investment. Korea was the only country among the 17 OECD members whose on-year growth rate was in positive territory for the fourth consecutive quarter.
The volume of e-commerce in Korea exceeded US$170 billion for the first time during the second quarter of this year.
According to a report by Statistics Korea, the total volume of online transactions during the April to June period increased by more than 20 percent compared to the same period last year and over 12 percent on-quarter.
E-commerce between businesses grew nearly 25 percent year-on-year while that between customers and companies surged by nearly 35 percent.
However, there was one low point as online transactions between the government and businesses dropped by 13.4 percent.
Coffeehouses operated by 12 branded chains now exceed 2,000 locations recently, with 500 added since the end of last year. Starbucks opened 27 new locations from January to August to reach a total of 318 locations. Angel-in-Us Coffee follows closely with 311 branches, of which 103 opened in 2009 and 80 more this year. Most chains have goals to add 30 to 50 more locations by the end of 2010, and ambitious newcomer Caffe Bene - which has opened 270 locations since its launch in April 2008 - plans to open 100 more by the end of the year.
Industry representatives say such growth is possible because coffeehouses in Korea provide a space to be rather than just a cup of coffee. They cite the coining of a new word - “coffice,” which combines “coffee” with “office” - as how customers see their local coffee shop. It’s a place to work, study or socialize.
“Customers now seek out coffeehouses for various reasons: to meet friends or to work,” said a spokesperson for Angel-in-Us Coffee. “Though Seoul has many coffeehouses, the rest of the nation still has a wealth of untapped locations.”
Office of Commercial Affairs, Royal Thai Embassy in Korea
Source : http://www.depthai.go.th