After News of Treksta's Management Crisis,
Citizens Rally to Buy Shoes; Busan City Joins the Effort
Netizens Say, "Helped Me Get Through Military Service, Can't Let It Fail"
"Top Value for Money, Domestic Brand, Hope They Keep Producing for a Long Time"
"Better Than Any Overseas Product," Cheering for the Company
Busan-based local company Treksta, once ranked number one in Asia for outdoor hiking shoe sales, has recently been reported to be experiencing management difficulties, sparking a voluntary purchasing movement among citizens to "save the local company." Regional businesses and the Busan city government have also decided to join in.
According to a recent KNN report, after news of Treksta's financial struggles became known, there has been a flood of citizen requests to support the local company through purchases. Following the report, purchases on Treksta's online shopping mall surged by about 70%.
One local company provided Treksta with an interest-free loan worth several hundred million won, and a regional bank is reportedly planning to purchase a large quantity of shoes. Support is coming not only from Busan but also nationwide. A company in Hwaseong, Gyeonggi Province, decided to buy shoes worth tens of millions of won to use for employee welfare. A local government in Gyeongbuk also decided to place an order for shoes worth about 100 million won.
Kwon Dong-chil, CEO of Treksta, told KNN, "I am both grateful and humbled," adding, "We will find ways to repay the Busan citizens, Busan Bank, and the Busan city government who have helped us so much, and we will definitely put those plans into action."
Amid the ongoing voluntary movement to save local companies in the private sector, the Busan city government has also stepped up with policy support. Along with interest support programs and assistance with real estate sales, they have decided to promote a "Buy One Pair of Treksta Shoes" campaign. Park Hyung-joon, Mayor of Busan, said, "We will encourage Busan city employees, especially those who need Treksta shoes, to buy more," and added, "We will also recommend our Busan brand shoes to public institutions, chambers of commerce, and other related organizations when they need shoes."
Netizens who heard the news responded enthusiastically, saying things like, "Great value product, domestic brand, and the CEO even sold his building to pay employees. Hope they continue producing products as a conscientious company," "Thanks to Treksta, my military service was great. Wore the shoes for two years without a single hole. The quality is truly amazing," "Why is this possible? Because the quality supports it," "A heartwarming news for a change. Let's save our companies like this, attract better companies, or if not, transform existing ones into quality companies and create jobs for young people," "Treksta? I guarantee it's better than any overseas company," and "This is true patriotism."
Meanwhile, Treksta is the only shoe manufacturing company that has protected Busan for 37 years since 1988. Treksta is currently facing a management crisis, with sales in 2024 expected to drop by about 20 billion won compared to 2023. The main cause of the sharp sales decline is the accumulation of inventory due to a drastic drop in new orders. The stockpile of shoes produced during the COVID-19 period remains, and the European market, the main export destination, has been depressed due to the Ukraine war, leading to a rapid decrease in orders.
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