Hong Jeong-do, Vice Chairman of Joongang Group, Town Hall Meeting
Values Studio System Transition Over Series of Achievements
Mentions Liquidity as a Solution to Overcome Investment-Constrained Market
"Let's maximize profits through agile responses and create the Disney of South Korea." Hong Jeong-do, Vice Chairman of JoongAng Group, has reorganized his team to realize this grand ambition. On the 17th, he held a town hall meeting at Phoenix Pyeongchang in Gangwon Province, spending time communicating with SLL and its subsidiary label employees. They reviewed the achievements made over the past four years and sought ways to enhance competitiveness in a rapidly changing environment.
Since 2020, SLL has entered a stable trajectory by producing numerous hit works. In particular, dramas such as "The World of the Married," "Itaewon Class," "All of Us Are Dead," "The Youngest Son of a Chaebol Family," "Suriname," "My Liberation Notes," "D.P.," and "Bodyguard" have become global hits through OTT platforms. Last year, the movie "The Outlaws 2" also dispelled the theater crisis theory by attracting 12,693,302 viewers.
Vice Chairman Hong valued the transition to a studio system more than the series of achievements. He stated, "It is significant in that we have established a system that supplies content to various platforms, breaking away from production centered on broadcasting stations." He added, "We will establish the industry's best compensation system to create an environment where the company and talents grow together through clear rewards based on performance," and urged, "Please unite with one heart and mind to supply the necessary content in a timely manner."
It is not a situation to push forward with proven strategies as they are. The volatility of the global OTT market has increased more than ever. In addition to the slowdown in global economic growth, consecutive interest rate hikes have destabilized product prices. Naturally, investment scales have shrunk, and major companies are changing their business directions toward improving profitability.
Vice Chairman Hong plans to overcome difficulties with flexible thinking. He said, "Since the quantitative expansion of drama distribution has somewhat slowed down, another strategic shift is necessary," and added, "We must seek solutions for sustainable growth." He emphasized, "To maximize profits, we must respond agilely not only in the quality of content and global performance but also in distribution business innovation, verified IP and seasonal planning, and strengthening IP-related ancillary businesses."
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