Nearly half of South Korea’s small catering and accommodation companies have lost money, directly or indirectly, to political turmoil, with year-end parties being cancelled, according to a new survey. South Korean government officials are urging people to hold events as planned to support struggling small businesses.
According to the“Korea Times” reported on the 16th, the Korean Federation of small and medium-sized enterprises on the 10th to 12th of 248 restaurants and 257 hotels nationwide survey. Survey results show that 3, the outbreak of martial law storm, 46.9% of the surveyed enterprises encounter customers suddenly cancel year-end activity orders or suffer other types of losses. 46.6% of the companies that were not damaged by the martial law were also worried about the adverse impact on their follow-up operations.
According to a survey of more than 1,630 micro-business owners conducted by the Korea Federation of micro-enterprises last week, the political turmoil caused 89.2 percent of surveyed micro-business visitors to decline, 88.4 percent of sales decline. These small and micro enterprises involved in catering, accommodation, wholesale, retail and other industries. The federation called on the government to take strong measures to help small and micro businesses, such as income tax relief.
The South Korean economy “Is facing more severe challenges than ever before,” acting President Han Duk-soo said at an event Monday, promising the government will help small and medium-sized enterprises tide over the crisis.
South Korea’s deputy economic prime minister and Minister of Planning and Finance Choi Sang-mu, National Assembly President Yu Won-sik and local officials have called on people to hold the end-of-year events as originally planned. “Please continue with the planned gatherings and activities to support the struggling small business owners,” Cui said