[Viewpoint] A Nation Without Technological Innovation Has No Future to Expect

Jae-Seung Park, CEO of VisualCamp and Adjunct Professor at Soongsil University

[Asia Economy Reporter Kwak Min-jae] There is no formula for creating the future. Companies must have a perfect vision of the role only they can fulfill, and then support that vision with conviction and capability to ensure successful progress. The government must also fulfill its efforts and responsibilities by reviewing regulations or rules that hinder change and innovation and transforming them into realistic and constructive systems. Both companies and the government need to focus on productivity and efficiency and work together.

Since the mid-1990s, with the expansion of the PC revolution, the previously stagnant global productivity gained new momentum. However, the annual growth rate of GDP per capita remained around just 1 percent. Ultimately, to achieve continuous growth and increase productivity, we had to keep innovating and fostering technology.

Looking back at history, the starting point of the 19th-century Industrial Revolution that changed the world was the United Kingdom. Automatically, the UK secured a position as the absolute dominant power in economic hegemony based on its technological superiority. However, complacency and arrogance from being ahead held it back. Neighboring countries skillfully utilized the gem-like technologies and opportunities first discovered by the UK, changing the hierarchy of absolute superiority. Belgium, a neighboring European country, wholeheartedly embraced the UK's spirit of innovation and applied it to industries such as railroads and infrastructure construction, surpassing the UK in industrial economic power. This case confirms that the answer lies in who captures the opportunity in a given situation and swiftly executes it.

Regarding the global economic situation caused by COVID-19, it is said that we have entered the so-called 'VUCA' era, which stands for Volatility, Uncertainty, Complexity, and Ambiguity. This means that the post-COVID era is shrouded in fog, making it difficult to foresee even a short distance ahead. Even in difficult and challenging times, politicians (states) and entrepreneurs who practice the values of challenge and innovation have emerged, and the world has evolved repeatedly because of them. It is precisely in this difficult situation that a true spirit of challenge is needed to turn crises into new opportunities. Perhaps the greatest crisis is remaining stagnant without any change.

We are facing an era of great change. After fierce battles, a new administration has been born, and the starting point for dreaming of a different future has now begun. Promises to abolish regulations that hinder innovation must be transformed one by one into effective systems. The people expect and hope to see a government and politicians different from before.

With the lifting of social distancing, we are regaining the freedom of the pre-COVID era. Although it will take considerable time for reopening to settle due to the inertia caused by the long, gloomy memories, we will gradually adapt and engage in dynamic thinking and actions toward new things. It has been a long period of patient endurance and waiting.

This is a crucial time politically and economically to put new wine into new wineskins. In the digital innovation era, where innovative technology stands out as an important growth factor, how should our companies and government fulfill their respective roles? We must contemplate role division and practical measures together.

Jae-seung Park, CEO of VisualCamp & Adjunct Professor at Soongsil University