South Korean tire giant's absence of top management raises 'red flag'... Industry 'concerns about weakening competitiveness'

Hankook & Company Group (formerly Hankook Tire Group), Korea's largest tire manufacturer, is facing a difficult situation. Group Chairman (Cho Hyun-beom) Cho
The company has been in a vacuum since Hyun Bum was arrested and indicted in March of this year, and the court recently extended his detention period by six months. Industry insiders say that Hancock, the group's core company,
Concerns have been voiced that the absence of a top executive who is responsible for making important management decisions, such as investment in new businesses by Tire & Technology (Hankook Tire), will lead to a decline in competitiveness in the global market.
I'm looking forward to it. Reuters and other foreign media have previously introduced examples and characteristics of Korean companies that are operated under a general managerial system, saying, ``They are in fierce competition with global companies.
"In such a situation, if the person with the highest decision-making authority is excluded from the major decision-making process, it will have a huge impact on the general manager's leadership of the entire company," he said, expressing concern about the absence of top management.
According to the Korean tire industry, Hankook Tire has the seventh-largest share of the global tire market, with more than 85% of its sales coming from overseas markets. Industry officials say, ``Competition is fierce.
In order to survive in the global market, we must continually improve our ability to innovate new products and our cost competitiveness."
"This process itself is impossible for truck tires." The bold investment case spearheaded by Chairman Cho also adds to the persuasiveness of the outlook both at home and abroad. Canada's ultra-compact precision machinery in 2021
It acquired a manufacturer for 200 billion won (approximately 22.1 billion yen), and last year built Asia's largest driving test facility, Hankook Techno Ring, at a cost of 200 billion won. Also, Tennessee, USA
The company also announced a 2 trillion won factory expansion plan. There is also an emergency situation in securing new growth engines. Last May, at the welcome ceremony for the completion of Hancock Techno Ring, Chairman Cho said,
"I feel more deeply than anyone else the reality that if we don't do that, we will have no choice but to be weeded out," he said, expressing his desire to secure new growth engines. However, since the beginning of this year, new investments and business
There are no further announcements regarding the development. Stock prices, an indicator that reflects a company's future value and market expectations, are also showing a flat trend.
Another industry source said, ``A lack of leadership and a period of stagnation in new investment
It may seem like only a few months, but the repercussions will be felt years later.''In today's market, which is dominated by high value-added and high-tech industries, short-term R&D investment gaps can become numerous. Year
"There is a possibility that this may appear as a difference in the amount of time."