Pukyong National University

"Instead of copying third-party products, we will develop and succeed Dongwon Group's own products."
The Korea Economic Daily Interview reported...People keep eyes on the move of 'Dongwon', the 'Big 3' Domestic food company.

△ A student is reading the article about the alumni Mr. Kim in the Korean Economic Daily. Ⓒ Photo by Lee Sung-jae (PR team)

Kim Jae-cheol, a chairman of Dongwon Group, and an alumni of Pukyong National University (graduated from Fisheries Department in 1958), declared, "We will develop and succeed Dongwon group's products without following the competitors products in the food industry."

Mr. Kim said in an interview with the Korea Economic Daily on July 10. Currently, Mr.Kim is the honorary president of his alma mater, Pukyong National University,

Even if the market evaluation of any product is good, he will focus on making his own product without making a 'mimic product' (me-too product) based on that.

In this article, the Korea Economic Daily wrote, "As the chairman of Dongwon group, the domestic 'Big 3' food company, announced that he would not make me-too product, the industry's interest in" copying "custom would be improved.

Mr. Kim said in an interview, "We will expand R&D investment by Dongwon Group and affiliates including Dongwon F&B. "It is only up to R&D that can bring out the differentiated products of Dongwon," said Mr. Kim. "So we can open up a new overseas market," he added.

According to this interview, Dongwon F&B has set a R&D budget of 20 billion won this year. It is 63% of the company's net profit (32 billion won) of last year. The company plans to expand its research facilities and increase the number of researchers from 50 to more than 100 by the end of the year.

Then, what is the 'first product in Korea' that has been released by his will so far?

Article quoted by Dongwon Group official, "After strengthening investment in R&D, we have introduced 'Gae-sung King-sized Shirimp Dumpling', a Korean dumpling that has filled with shrimp stuffing, and the Denmark Meals Drink, a simple liquid-based easy substitute food."

The official said in the article, "All 50 products introduced this year are not me-too products but the first ones in Korea." Last year, 95 new products were developed and released.

This article stated, "Mr. Kim, the chairman said he would positively review domestic and overseas food business mergers and acquisitions (M&A)." Mr. Kim said, "If a company is synergized with the Dongwon Group, I am actively considering M&A for any company.", and he added "We will not hesitate to secure future growth engines."
 
"Mr. Kim was born in Gangjin, South Jeolla Province in 1935 and graduated from Gangjin farming high school (Jeonnam Life Science High School) and Busan Fisheries University (Pukyong National University) in 1935. At the age of 23, he started fishing tuna as a practical navigator for Korea's first deep-sea fishing vessel, Ji-nam. In 1969, Dongwon Industries was established with a capital of 10 million won. It was the first time in Korea that tuna cans were made and sold, resulting in rapid growth.

Chairman Kim is considered to be the first generation of Korean food industry to enter overseas. He was a trainee at Pukyong National University, the former Busan Fisheries University in Busan, Korea in the fourth grade and went to the South Pacific for a tuna catch on the first vessel, Ji-Nam, the first Korean fishing boat, because he founded Dongwon Industries in 1969 and started exporting tuna.

 "As of May this year, Dongwon Group was ranked 45th with 8 trillion won in assets and it has 22 affiliates including Dongwon Enterprise as a holding company and Dongwon Industry Dongwon F&B Dongwon Systems Dongwon Home Food as a holding company." <Pukyong Today>