The purpose of this study is to investigate the growth of the Korean shipbuilding industry and the reorganizing process of spatial structure in production networks with the development of technology. The results not only could be used in determining a new location or moving internal or external allied firms, but also could help plan a spatial strategy of large shipbuilding firms. The following are the results.
Firstly, since launching into shipbuilding industry from the latter part of the 1970s with political support of government, active investment intention of the firm, and foreign firm's joining, Samsung Shipbuildings grew into a global shipbuilding firm in size. Now Samsung Shipbuildings is improving the quality through resolute structural reform, development of technology, and external cooperation.
Secondly, Samsung Shipbuildings does business with affiliated company, shipbuilding agencies, and cooperation firms on the whole. A characteristics of business relationships is stable, long lasting, and systemic thorough mutual cooperation.
Thirdly, in the spatial characteristics of Samsung manufacturing networks, a spatial arena was a center for companies in Europe or Japan at an early stage, but nowadays the importance of other areas of Asia, including the Gyeongnam province, which is adjacent Samsung Shipbuildings, is greatly increasing. The reason why cooperation firms gather around the mother company is that it brings economy in expenditures including cost of transport and technical innovation through contact.
Fourthly, the spatial structure of Samsung production networks is developing from external dependence into internal solidification, mutual supplement, and mutual cooperation. This change means that relationships between enterprises are developing from dependency or opposition to coexistence and cooperation. It contributes to the establishment of matured industrial culture.
Fifthly, nowadays the central axis of shipbuilding industry is moving from Europe into Asia, and relative importance in Asia is increasing at Samsung Shipbuildings production networks. Therefore, the pan-Yellow Sea shipbuilding industry belt connecting Japan (technology and capital), Korea (equipments and processes), and China (labor power) will strengthen the international competitiveness in shipbuilding industry through mutual supplement.
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