[People人] 'Export Patriotism Passed Down Generations' New Head of the Korea International Trade Association Koo Ja-yeol, Chairman of LS Group

[Asia Economy Reporter Kim Hyewon] It was unexpected. But soon everyone nodded in agreement. It was the same when his name came up as a candidate for the heads of the Korea Chamber of Commerce and Industry or the Federation of Korean Industries, and also when he was finally appointed as the President of the Korea International Trade Association (KITA). This is about Koo Ja-yeol, Chairman of LS Group. Koo has always been among the candidates for major economic organization heads undergoing leadership changes this year. This indicates that he was widely regarded as a suitable candidate. Recommendations from those around him were also frequent. It seems that Koo’s decision to choose KITA over other options was influenced by his late father, Koo Pyung-hoe, Honorary Chairman of E1. His father served as KITA chairman for five years during his lifetime, playing a significant role as a private diplomat and leaving behind the landmark ASEM Tower. This marks the first time in KITA’s history that a father and son have both served as chairmen.

It was not difficult to find acquaintances of Chairman Koo. Although he is the head of a chaebol family who might be hard to approach, he is quite approachable and has many friends. A younger brother close to Koo described him in one sentence as a “warm-hearted person.” He is easygoing and lacks a sense of authority. He also dislikes formality and pretentiousness. This is evident from his polite refusal of the official car and even a multi-hundred-million-won annual salary that come with the position of KITA chairman. He serves as a non-paid, non-executive chairman.

Another acquaintance said about Chairman Koo, “He doesn’t seem like he was born with a silver spoon.” In fact, when meeting Koo in private, he feels like the neighbor next door. He gently leads the atmosphere of the room and lacks the image of a self-centered maverick who grew up spoiled. What left the strongest impression was his remark that “the younger generation nowadays lacks a spirit of challenge.” He said it is wrong to grow up with little hardship, think only about oneself, and not try to consider others. He also added that the younger generation is not as willing as the older generation to embrace new changes. Everyone present agreed with his candid remarks, which could have been perceived as ‘old-fashioned.’ It was a statement coming from the head of a large corporation who seemed to have lived a life without major shortcomings.

Known as a “bicycle enthusiast,” Chairman Koo is famous for cycling across the Alps and completing tours in Germany and Italy. In 2002, he became the first Asian to cycle 650 km across the Alps in 7 nights and 8 days. This shows his strong spirit of challenge?once he decides to take on a challenge, he sees it through to the end. He is also known for his “bicycle management theory,” which likens management to cycling: if you don’t pedal, you fall; uphill is tough, but if you overcome it, there is always the reward of downhill.

Chairman Koo seemed surprised that he would become the head of KITA. His reaction was clearly one of astonishment when he was contacted about being the sole nominee. However, there is no disagreement that he will do his best in the position once given. Officially debuting as KITA chairman on the 24th, Koo declared in his inaugural speech that he would represent the trade industry. He also expressed his intention to serve as a communication channel with the government. He pledged to convey the vivid voices from the “field,” which is his greatest strength, without distortion. Koo stated, “Based on my lifelong experience in the corporate field, I will do my utmost to help the 70,000 member companies overcome the COVID-19 crisis and enhance global competitiveness so that our trade can take a leap forward.”

He then presented three principles. The first is “digital transformation,” which LS Group is also focusing on. He said KITA will become a testbed for discovering new support measures and business models amid the era of digital transformation. The second is a strategy of selection and concentration. In line with changes in the economic paradigm of export markets, he announced plans to reduce high dependence on China and diversify into promising new markets. He promised to produce tangible results by strengthening private economic and trade cooperation using KITA’s long-established overseas networks. Lastly, he plans to actively assist companies struggling with overseas expansion amid the COVID-19 situation and serve as a stepping stone for startups with technology and ideas to collaborate with global corporations and grow into unicorn companies. This is Chairman Koo’s grand vision for leading KITA for at least the next three years.

“Haehyeon-gyeongjang (解弦更張).” In his New Year’s address as LS Group chairman earlier this year, Koo encouraged, “Let us remember the phrase ‘haehyeon-gyeongjang,’ which means tightening the loosened strings of a geomungo to regain its original sound, and encourage each other.” He hopes that this confidence?that despite difficulties, desired results will be achieved?will permeate the 70,000 member companies of KITA, which have been plunged into despair by COVID-19.