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women and the income disparity between top and bottom wage earners in South Korea is quite vast. As of 2013, data suggests that Korean women's wages were 36.6 percent less than men's. Further, wages of the top 10 percent of Korean workers were also 4.8 times higher than the bottom 10 percent. 2016). The labor market in South Korea also needs to be taken into consideration. South Korea has falling birth rates coupled with a growing aged population and has a negative impact on the
8-1 Case Study: Acquiring a Company in South Korealabor market in terms of a declining productive age population. According to United Nations estimates, South Korea's productive age population is in a downward trend. South Korea’s priorities are beginning to shift in efforts to increase capital inputs and total factor productivity and raise work force participation rates to strengthen its human capital. (Sung-jin, 2016). It can be advantageous to have more human capital as this can increase productivity, but this requires investments that entail opportunity costs and can have economic risks. (Hubbard, 2014). Legal Considerations South Korea follows the civil and commercial codes of Continental Europe, which is comprised of general legal principles and is subject to more interpretation by courts than in the United States. South Korea's post-occupation Civil Code was officially only put into place in 1960 and lawyers must interpret the laws. Additionally, Korean laws are not as consistent or enforceable. Korean lawsuits are generally initiated as a last resort; most conflicts are expected to be resolved outside of the courts. Corruption remainsan issue in South Korea; it’s business economy is not as transparent as one may expect from the 12th-largest economy in the world. Authorities have yet to stamp out bribery and corruption completely. Though there are numerouslegal considerations, there are organizations that can help Chapman with new business in Korea, such as the such as the nonprofit Korean-American Business Institute. (Nathan-Park, 2015).