This file assesses the present prestige of Korea’s innovation process and guidelines, and identifies the place and the way the govt. may still concentration its efforts to enhance the country’s innovation functions. It reveals that Korea has one of many optimum premiums of spending on R&D on the earth, a lot of that is played via inner most businesses. It additionally has a hugely proficient labour strength – as signalled via its remarkable PISA functionality and quite excessive premiums of tertiary point commencement – with a robust curiosity in technology and expertise.
However, a couple of bottlenecks persist that impede Korea’s fiscal convergence with the prime OECD economies. those comprise a comparatively susceptible SME area and susceptible functionality in prone, in addition to lagging capacities to behavior modern examine in lots of parts. moreover, Korea faces a number of threats within the mid time period, significantly elevated degrees of pageant from China and different newly-industrialising economies, the bottom fertility fee within the OECD and an growing older society, and a continual excessive dependency on imports of normal assets, fairly hydrocarbons. within the shorter time period, the industrial challenge bargains its personal demanding situations, with the necessity for a few coverage changes to accommodate anticipated falls in company funding in R&D and growing to be degrees of unemployment one of the hugely skilled.