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"Consensus on Platform Law"... Korea Federation of SMEs Holds Small Business Distribution Industry Committee Meeting

Discussion on Measures to Ensure Fairness on Online Platforms and More

The Korea Federation of SMEs announced on May 27 that it held the "2025 First Small Business Distribution Industry Committee" meeting at the Win-Win Room of the federation's headquarters in Yeongdeungpo-gu, Seoul.


"Consensus on Platform Law"... Korea Federation of SMEs Holds Small Business Distribution Industry Committee Meeting

The Small Business Distribution Industry Committee was launched by reorganizing the existing Distribution Service Industry Committee to identify on-site difficulties faced by small and medium-sized distributors and to support their competitiveness. Kim Jaemyeon, Chairman of the Korea Super Chain Distribution Business Cooperative, will continue to serve as the committee chair.


During the meeting, participants discussed key initiatives and policy directions of the federation, including: measures to ensure fairness on online platforms; ways to promote win-win relationships between franchise headquarters and franchisees; and solutions to address difficulties faced by small businesses in the process of digital transformation, such as the adoption of kiosks.


In particular, the committee members pointed out the current structure in which small businesses are compelled to join online platforms for survival despite excessive commission and advertising costs. They reached a consensus on the need for separate legislation that goes beyond self-regulation.


Chairman Kim Jaemyeon stated, "The proposed amendment to the Large-Scale Retail Business Act alone is insufficient to resolve unfair trade practices," and emphasized, "It is urgent to improve laws and systems in a way that reflects the opinions of the distribution industry." He added, "To ensure the self-sufficiency of small businesses, it is essential to actively promote practical support measures for establishing fair relationships between franchise headquarters and franchisees, as well as for digital transformation."


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