North korea and the new strategic industries of the future the case of ict and tourism
Download
1 / 35

North Korea and the new strategic industries of the future: the case of ICT and tourism - PowerPoint PPT Presentation


  • 261 Views
  • Uploaded on

North Korea and the new strategic industries of the future: the case of ICT and tourism. Tim Beal Victoria University of Wellington. Overview. Strategic industries of the future Geo-political context Tourism ROK DPRK ICT ROK DPRK Conclusion. Strategic Industries .

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'North Korea and the new strategic industries of the future: the case of ICT and tourism ' - Sharon_Dale


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
North korea and the new strategic industries of the future the case of ict and tourism l.jpg

North Korea and the new strategic industries of the future: the case of ICT and tourism

Tim Beal

Victoria University of Wellington


Overview l.jpg
Overview the case of ICT and tourism

  • Strategic industries of the future

  • Geo-political context

  • Tourism

    • ROK

    • DPRK

  • ICT

    • ROK

    • DPRK

  • Conclusion

Tim Beal: North Korea and the new strategic industries of the future


Strategic industries l.jpg
Strategic Industries the case of ICT and tourism

……..new motifs for economic growth will be developed as the nation advances into a knowledge-based economy.

First, infrastructure of information and telecommunication industries will be established, and new strategic industries of the future, such as culture and tourism, nurtured. In addition, industries in general will be transformed into ones suitable for the knowledge-based economy

ROK Ministry of Finance and Economy, January 2001

Tim Beal: North Korea and the new strategic industries of the future


Ict and tourism l.jpg
ICT and Tourism the case of ICT and tourism

  • ICT – information and communication central to contemporary economies

    • ‘New economy’

  • Tourism?

  • Claimed to be NZ largest earner of foreign exchange

Tim Beal: North Korea and the new strategic industries of the future


Contemporary international tourism l.jpg
Contemporary International tourism the case of ICT and tourism

  • 11 September events will have unknown and uneven impact

    • ‘Korea's travel industry is reeling from the impact’ (Korea Herald 20 Sep)

    • Chinese tourism has continued to rise

  • Nevertheless, tourism has been and probably will continue to be major component of global economy

Tim Beal: North Korea and the new strategic industries of the future


Slide6 l.jpg
2000 the case of ICT and tourism

  • World tourism grew 7.4%

  • 698 million international arrivals

  • Receipts of US$476 billion

Tim Beal: North Korea and the new strategic industries of the future


Geopolitical context l.jpg
Geopolitical context the case of ICT and tourism

  • Collapse of Soviet Union plunged DPRK into economic crisis

  • GDP halved, lack of electricity, fertilizers, spare parts…

  • Still on US ‘terrorism list’

    • Despite condemning terrorism

    • Effectively excludes it from loans from WB, ADB etc.

  • Restraints on technology exports to DPRK

Tim Beal: North Korea and the new strategic industries of the future


Dprk rok relations l.jpg
DPRK-ROK relations the case of ICT and tourism

  • Spirit of Pyongyang summit has faded

    • Largely because of Bush administration

    • Domestic opposition to ‘Sunshine policy ‘ (GNP, military?…)

    • Unwise DPRK strategies

      • Should outflank US/GNP via KDJ

  • ROK Defence White Paper still describes DPRK as ‘main enemy’

  • US-ROK joint landing exercises

Tim Beal: North Korea and the new strategic industries of the future


Current n s relations l.jpg
Current N-S relations the case of ICT and tourism

  • Talks resumed in September but relations overshadowed by ‘terrorism issue’

  • Kim DJ under great pressure – star fading fast?

  • Seoul has complied with US pressure

    • Eg US has sent extra aircraft to ROK

  • 22 Nov - Test of missile ‘able to hit virtually anywhere in the North’

Tim Beal: North Korea and the new strategic industries of the future


Tourism l.jpg
Tourism the case of ICT and tourism

  • ROK is a small player, but

    • Tourism is growing importance to ROK

    • ROK experience can offer pointers/example to DPRK

    • Joint ventures (eg border airport)

Tim Beal: North Korea and the new strategic industries of the future


Rok in international tourism 2001 l.jpg
ROK in international tourism, 2001 the case of ICT and tourism

Tim Beal: North Korea and the new strategic industries of the future


Rok in asian tourism 2001 l.jpg
ROK in Asian tourism, 2001 the case of ICT and tourism

Tim Beal: North Korea and the new strategic industries of the future


Rok tourism l.jpg
ROK tourism the case of ICT and tourism

  • Being close to Japan and China tourism could become ROK ‘mega industry of future’

  • Sports events have positive impact

    • 2002 World Cup

    • Beijing Olympics?

Tim Beal: North Korea and the new strategic industries of the future


Dprk tourism l.jpg
DPRK tourism the case of ICT and tourism

  • Paradoxes

  • Politics

  • Kumgangsan

  • Other destinations

  • Prospects and problems

Tim Beal: North Korea and the new strategic industries of the future


The paradox of dprk tourism l.jpg
The paradox of DPRK tourism the case of ICT and tourism

  • DPRK is an ‘industrial economy’ (45% of GDP) but tourism as great a share of foreign earnings as Caribbean

  • Tourism requires peace but still in ‘state of war’ with major actual and potential sources

    • ROK, USA, Japan

  • Negative international image

    • Derives substantial earnings

    • Has huge tourism potential

Tim Beal: North Korea and the new strategic industries of the future


The politics of dprk tourism l.jpg
The Politics of DPRK tourism the case of ICT and tourism

  • Tourism originally not commercial but ‘winning friends and influencing people’

  • Example: essay competition run by korea-dpr.com

Tim Beal: North Korea and the new strategic industries of the future



Politics underlies kgs l.jpg
Politics underlies KGS the future

  • North

    • ‘is a noble national project which started and has been under way in reflection of the unanimous aspiration of all the fellow countrymen after national reconciliation and unity and the reunification of the country and the wishes of the South Koreans to visit Mt. Kumgang‘ (KCNA)

Tim Beal: North Korea and the new strategic industries of the future


South l.jpg
South the future

  • Both Hyundai and ROK Government have been driven by political considerations

  • ROK tourists to KGS – not ‘just the sightseeing but that they could set their foot on the long forbidden half of motherland. For students in particular, the four-day tour is better than 100 classroom lectures about their nation and history’ (Korea Herald)

Tim Beal: North Korea and the new strategic industries of the future


Sources and destinations l.jpg
Sources and destinations the future

  • ROK major source

    • Mainly to KGS

    • 425,715 Nov ’98 – Nov ‘01

  • China

    • Sinuiju

    • Rajin-Sonbong

  • Europeans….Aus, NZers

Tim Beal: North Korea and the new strategic industries of the future


Destinations l.jpg
Destinations the future

  • Kumgangsan

  • Myohyangsan

  • Paektusan

  • Chilbosan

  • Pyongyang

  • Rajin-Songbong

  • Kaesong

    • Historical attraction

    • Close to Seoul

Tim Beal: North Korea and the new strategic industries of the future


Problems and prospects l.jpg
Problems and prospects the future

  • Geo-political situation

    • Country image

  • Inadequate infrastructure – electricity, roads, etc.

  • Personnel

  • But…great potential

    • Marvellous scenery

    • ‘unusual destination’

    • Hub of fastest growing tourism market in world

    • Sports – World Cup, Olympics..

Tim Beal: North Korea and the new strategic industries of the future


Slide23 l.jpg
ICT the future

  • ROK is one of most highly ‘wired’ countries in world

  • Internet in hotel, at airport

  • Date on connectivity uncertain but ROK comes out well by most surveys

Tim Beal: North Korea and the new strategic industries of the future


Of population online top countries and asia 2000 l.jpg
% of population online, top countries and Asia, 2000 the future

Tim Beal: North Korea and the new strategic industries of the future


Fig 5 internet use and wealth 2000 l.jpg
Fig 5: Internet use and wealth, 2000 the future

Tim Beal: North Korea and the new strategic industries of the future


Fig 6 growth in internet users in asia pacific by country 1997 2000 l.jpg
Fig 6: Growth in Internet users in Asia/Pacific, by country, 1997-2000

Tim Beal: North Korea and the new strategic industries of the future


Fig 7 e readiness in major and asian emerging markets l.jpg
Fig 7: E-readiness in major and Asian emerging markets 1997-2000

Tim Beal: North Korea and the new strategic industries of the future


Slide28 l.jpg
DPRK? 1997-2000

Tim Beal: North Korea and the new strategic industries of the future


The sky at night l.jpg
The sky at night 1997-2000

Tim Beal: North Korea and the new strategic industries of the future


Ict in dprk l.jpg
ICT in DPRK 1997-2000

  • Hampered by

    • Economic crisis of 1990s

    • US-led sanctions

      • Eg Wassenaar Arrangement bans export of 486 machines and above

  • ICT has central place in economic strategy

    • Compulsory in all secondary schools

    • ‘The North's IT frenzy originates in Kim Jong Il’

  • Hardware and telecom infrastructure rudimentary

Tim Beal: North Korea and the new strategic industries of the future


Computers l.jpg
Computers 1997-2000

  • Ministry of Electronic Industry Pyongyang factory produces Pentium and Celeron computers

  • ‘Best school in North Korea using outdated computers’

    • Moranbong

  • Korea Computer Center has 80 Pentiums, 500 researchers

Tim Beal: North Korea and the new strategic industries of the future


Software l.jpg
Software 1997-2000

  • DPRK strong point

  • Kim DJ’s entourage impressed

  • Produces own software – Korean wp, speech recognition, translation…

  • Joint ventures with ROK, Japanese and Chinese companies

  • Creates software to order

  • Niche in animation

Tim Beal: North Korea and the new strategic industries of the future


Internet l.jpg
Internet 1997-2000

  • Backbone linking research centres, universities and government ministries

    • Already? This year?

  • International agencies in Pyongyang have satellite access

  • Silibank just launched

    • Shenyang

    • DPRK, Chinese and Korean Chinese

    • Commercial ISP aimed at foreign business (DPRK businesses ?)

Tim Beal: North Korea and the new strategic industries of the future


Conclusion l.jpg
Conclusion 1997-2000

  • DPRK is far behind in tourism and ICT

  • Both greatly affected by geo-political situation

    • Have implications for local political order

  • Both are vital to economic rehabilitation and growth

  • Both have great potential but uncertain whether this potential will be realised

Tim Beal: North Korea and the new strategic industries of the future


Watch this space l.jpg
Watch this space 1997-2000

  • http://www.vuw.ac.nz/~caplabtb/dprk/

Tim Beal: North Korea and the new strategic industries of the future


ad