The head of the Ssangyong Motors union has been arrested and detained
by the Seoul Metropolitan Police Department for setting up tents for
union protestors in the front of a heavily touristed downtime palace.
The arrest was obtained via a court detention warrant.
The
Seoul City, during past demonstrations, has been crippled by
demonstrators hellbent on disrupting the lives of fellow citizens.
Protests have even lead to the burning of police buses and the
destruction of other city property.
The union leader
has violated a law on setting up illegal facilities multiple times and
was arrested while on probation. It seems the purpose of these protests
has little to do with the freedom of expression and more to do with
attempting to occupy a space in order to disrupt the lives of residents
and tourists.
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Jun 13, 2013
Check List of 7 Things to Do Before Doing Business in Korea
1. Do you Have a Registered Company/Business? Operating in Korea is not as simple as just leasing an office. All businesses whether in the form of a corporation or sole proprietorship in Korea are required to register as business with the tax office and local government offices. For some businesses the approval of a government agency will be required. Other articles on Korean corporate forms may be found at:
No your U.S. agreements are not good enough. Other articles on the need for Korean-tailored agreements that may be of interest may be found at:
Please - this is not to be taken as an exhaustive checklist. Please scroll the blog for more issues that may arise in your operations in Korea.
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
- Establishing a Company in Korea: Under Revised Corporate Code
- Limited Liability Companies Under the Revised Korean Commercial Code
No your U.S. agreements are not good enough. Other articles on the need for Korean-tailored agreements that may be of interest may be found at:
- Basic Agreements for Doing Business in Korea
- Doing Business in Asia: Due Diligence, Agreements, Lawyers and Street Smarts
- Negotiating a Joint Venture Agreement in Korea
- You Can Succeed in Korea without Resorting to Bribery
- Foreign Corrupt Practices Act: Don't Forget Your Business in Korea
- How to Protect your Brands, Trademarks and other IP in Korea
- Nine Musts for a Successful License Agreement in Korea
- Don't Only Trust Us: Trademarks in Korea
- Korea Due Diligence: Not So Different from China
- Stock Purchase and M & A Due Diligence Checklist
- Beware the Grey Market Trap: Due Diligence, Agreements and Street Smarts
- Top 10 Mistakes of Companies Operating in Korea
- Compliance Control Standards in Korea Under the Amended KCC
- I should write more about this issue.
Please - this is not to be taken as an exhaustive checklist. Please scroll the blog for more issues that may arise in your operations in Korea.
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Data Theft in China: Often Comes from the Inside
We often discusse Intellectual Property rights and enforcement here in the Jungle and it must be looked at from a different angle than most Westerners are accustomed.
First of all, the inhabitants of the Jungle don’t really consider it infringement and certainly most don’t have the core internal belief that there is anything wrong with taking someone’s information or intellectual property. In addition, they don’t really believe in Win – Win business outcomes and if they can get the upper hand through any means, they will try and it is your fault for letting the playing field remain un-leveled to their benefit.
Finally, there is a long history of companies coming to China and sharing technology in the hopes of doing future business or having a successful Joint Venture only for the technology to be taken by their “partner” – Wahaha and Danone are a fine example as are Siemens and their MagLev high speed train technology. So, it’s no surprise that according to a recent survey of U.S. companies in China that 25% report that they have been a victim of corporate espionage in some form – these are the companies who are willing to admit it. I tell everyone who wants to do business here in The Jungle to make sure you know who you are dealing with before you do a deal and protect your intellectual property at all costs regardless of where you are doing business.
These companies need to beef up their data security and watch out for their own employees because data theft usually comes from the inside.
by Frank Caruso
_____
info@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
First of all, the inhabitants of the Jungle don’t really consider it infringement and certainly most don’t have the core internal belief that there is anything wrong with taking someone’s information or intellectual property. In addition, they don’t really believe in Win – Win business outcomes and if they can get the upper hand through any means, they will try and it is your fault for letting the playing field remain un-leveled to their benefit.
Finally, there is a long history of companies coming to China and sharing technology in the hopes of doing future business or having a successful Joint Venture only for the technology to be taken by their “partner” – Wahaha and Danone are a fine example as are Siemens and their MagLev high speed train technology. So, it’s no surprise that according to a recent survey of U.S. companies in China that 25% report that they have been a victim of corporate espionage in some form – these are the companies who are willing to admit it. I tell everyone who wants to do business here in The Jungle to make sure you know who you are dealing with before you do a deal and protect your intellectual property at all costs regardless of where you are doing business.
These companies need to beef up their data security and watch out for their own employees because data theft usually comes from the inside.
by Frank Caruso
_____
info@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Jun 12, 2013
Illegal Professions in Korea: Private Investigator, Tatto Artist, Chiropractor
It is illegal to be a private investigator, tattoo artist or chiropractor in Korea. Of course, Korea has private investigators, tattoo artists and chiropractors. Thus, those practicing these occupations in Korea face criminal prosecutions and fines.
Additionally, the clients of those practicing these occupations are not safeguarded by the typical administrative agency regulations that serve to protect these individuals.
Some issues have occurred with regard to private investigators. Some have utilized tactics that many consider less than ethical. These criticisms may be lessened with the regulation of the profession.
I believe in the near future that tattoo artists and private investigators will become legal occupations, but I believe you will see a vigorous fight from massage therapists (anma- blind practitioners), pharmacists and doctors towards legislation of the chiropractic profession.
Some lawyers are against the private investigator profession, but in my own straw pole I found no Korean attorney that is against the profession if the profession is monitored by an agency not controlled by those within the profession.
What do you think?
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Additionally, the clients of those practicing these occupations are not safeguarded by the typical administrative agency regulations that serve to protect these individuals.
Some issues have occurred with regard to private investigators. Some have utilized tactics that many consider less than ethical. These criticisms may be lessened with the regulation of the profession.
I believe in the near future that tattoo artists and private investigators will become legal occupations, but I believe you will see a vigorous fight from massage therapists (anma- blind practitioners), pharmacists and doctors towards legislation of the chiropractic profession.
Some lawyers are against the private investigator profession, but in my own straw pole I found no Korean attorney that is against the profession if the profession is monitored by an agency not controlled by those within the profession.
What do you think?
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Jun 9, 2013
Contracts in China: Do you Even Have One?
The following is from a blog post I put up a few years ago and although
it is brief and not as verbose as my other posts, it is certainly in my
top ten favorites.
It is not surprising how many companies and entrepreneurs are in such a hurry to get started in manufacturing, partnering or marketing that they totally disregard the need for a contract, a simple memorandum of understanding or something written on a cocktail napkin. It’s also not surprising anymore (after 10 years in the Jungle) that people come to me looking to recover losses incurred with Chinese suppliers, factories, or partners and they don’t even have a basic agreement. Usually I have to tell them that without an agreement, you really have no chance to recover and that there are very few lawyers or legitimate collection agencies in China that are willing to work on a contingency fee basis, including yours truly.
So, as we enter the second quarter of 2013 and try to reach our manufacturing goals and sales targets for the year, it might be time to conduct a thorough review of your contracts. Do you have them? Are they written in English and Chinese? Are they written by your U.S.-based lawyer who knows nothing about China? Are they written by your Chinese lawyer who has little or no obligation to advocate on your behalf and has never even traveled outside of China?
I thought I would share this blog posting from The International Technology Law Blog as a reminder that you shouldn’t start without a contract, and if you have started you must conduct a thorough contract review or you risk not having any recourse for recovery when you get shafted by your Chinese factory, supplier or partner. There are many factors that must be considered when presenting and negotiating a contract with the Chinese and you better have someone skilled and experienced in China looking out for your best interests.
by Frank Caruso
_____
info@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
It is not surprising how many companies and entrepreneurs are in such a hurry to get started in manufacturing, partnering or marketing that they totally disregard the need for a contract, a simple memorandum of understanding or something written on a cocktail napkin. It’s also not surprising anymore (after 10 years in the Jungle) that people come to me looking to recover losses incurred with Chinese suppliers, factories, or partners and they don’t even have a basic agreement. Usually I have to tell them that without an agreement, you really have no chance to recover and that there are very few lawyers or legitimate collection agencies in China that are willing to work on a contingency fee basis, including yours truly.
So, as we enter the second quarter of 2013 and try to reach our manufacturing goals and sales targets for the year, it might be time to conduct a thorough review of your contracts. Do you have them? Are they written in English and Chinese? Are they written by your U.S.-based lawyer who knows nothing about China? Are they written by your Chinese lawyer who has little or no obligation to advocate on your behalf and has never even traveled outside of China?
I thought I would share this blog posting from The International Technology Law Blog as a reminder that you shouldn’t start without a contract, and if you have started you must conduct a thorough contract review or you risk not having any recourse for recovery when you get shafted by your Chinese factory, supplier or partner. There are many factors that must be considered when presenting and negotiating a contract with the Chinese and you better have someone skilled and experienced in China looking out for your best interests.
by Frank Caruso
_____
info@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
If it is good for Apple why isn't it Good for your Company
If it is good for China, then, why isn’t it good for your company as well. You might even argue that Apple has billions of dollars and lots of cash and can spend money on high priced lawyers and accountants and you can’t. Well, that is true and they do spend a lot of money on lawyers and accountants, but what is untrue is that you can.
Some of you might remember 2008, just before the economic crisis and shortly after George W. Bush pushed through sweeping changes in the U.S. Bankruptcy laws, Haliburton moved their corporate headquarters out of the U.S. to Dubai.
This didn’t just mean they moved their physical address, which they did, they also changed the jurisdiction of their incorporation. Why did they do this? Simple, Dubai has very low, if any Corporate taxes and Haliburton can be shielded from paying those taxes, from the onerous restrictions of the Foreign Corrupt Practices Act, and from liabilities that they would otherwise be subject to under U.S. law. “Well, that doesn’t sound fair,” you might say. Fair or unfair it is completely legal and companies do it all the time.
I have been promoting Hong Kong as one of the best jurisdictions in the world for protecting your assets and for legally paying less taxes and in fact in the annual Report on Economic Freedom Hong Kong is regularly ranked number 1, well ahead of the U.S.
I often wonder why U.S. individuals and companies that do business in Asia and Europe would not want to incorporate in Hong Kong and invoice out of Hong Kong and instead prefer to generate revenue in a tax system that is wasteful and takes more half of their income. It doesn’t make sense.
So, I thought I would share the below article from Zero Hedge and share it with you and hope it is enlightening. Apple and Taxes Confused why AAPL is opting for the dividend recap route (as we predicted it would in January )?
Simple: as the first chart below reminds us, as of December 31, nearly 70% of the company’s total cash, which has grown to a record $145 billion in the current quarter, was held offshore. This means that if AAPL wanted to repatriate this $100 billion or so in cash, it would have to pay Federal tax on it, amounting to dozens of billions in remittances to Uncle Sam as this is cash which AAPL does not have full access to for US based operations.
Hence: it has opted to raise cash by issuing debt instead of repatriating its cash. Which brings up an interesting point. As we have shown in the past, perhaps the one thing Tim Cook’s company has loathed more than anything in the past, is to pay taxes, which is why it has some of the most convoluted legal tax shelters imaginable. Indeed, in the current quarter, according to the company’s cash flow statement, a tiny $2.4 billion was paid in cash taxes. Putting this number in perspective, the company had an operating profit of $12.4 billion. Or, cumulatively, since December 2008, AAPL has generated a grand total of $149 billion in operating profit, while paying just $21 billion in total taxes. Is it apparent now why some $100 billion in Apple cash is not fully recourse to the company? Unless, of course, AAPL decides to follow Gerard Depardieu’s example, and run away into the tax-amnesty friendly steppes of Russia, where it will be free to do as it wishes with all of its cash…
Read the Article with all the cool graphs.
by Frank Caruso
info@ipglegal.com
Some of you might remember 2008, just before the economic crisis and shortly after George W. Bush pushed through sweeping changes in the U.S. Bankruptcy laws, Haliburton moved their corporate headquarters out of the U.S. to Dubai.
This didn’t just mean they moved their physical address, which they did, they also changed the jurisdiction of their incorporation. Why did they do this? Simple, Dubai has very low, if any Corporate taxes and Haliburton can be shielded from paying those taxes, from the onerous restrictions of the Foreign Corrupt Practices Act, and from liabilities that they would otherwise be subject to under U.S. law. “Well, that doesn’t sound fair,” you might say. Fair or unfair it is completely legal and companies do it all the time.
I have been promoting Hong Kong as one of the best jurisdictions in the world for protecting your assets and for legally paying less taxes and in fact in the annual Report on Economic Freedom Hong Kong is regularly ranked number 1, well ahead of the U.S.
I often wonder why U.S. individuals and companies that do business in Asia and Europe would not want to incorporate in Hong Kong and invoice out of Hong Kong and instead prefer to generate revenue in a tax system that is wasteful and takes more half of their income. It doesn’t make sense.
So, I thought I would share the below article from Zero Hedge and share it with you and hope it is enlightening. Apple and Taxes Confused why AAPL is opting for the dividend recap route (as we predicted it would in January )?
Simple: as the first chart below reminds us, as of December 31, nearly 70% of the company’s total cash, which has grown to a record $145 billion in the current quarter, was held offshore. This means that if AAPL wanted to repatriate this $100 billion or so in cash, it would have to pay Federal tax on it, amounting to dozens of billions in remittances to Uncle Sam as this is cash which AAPL does not have full access to for US based operations.
Hence: it has opted to raise cash by issuing debt instead of repatriating its cash. Which brings up an interesting point. As we have shown in the past, perhaps the one thing Tim Cook’s company has loathed more than anything in the past, is to pay taxes, which is why it has some of the most convoluted legal tax shelters imaginable. Indeed, in the current quarter, according to the company’s cash flow statement, a tiny $2.4 billion was paid in cash taxes. Putting this number in perspective, the company had an operating profit of $12.4 billion. Or, cumulatively, since December 2008, AAPL has generated a grand total of $149 billion in operating profit, while paying just $21 billion in total taxes. Is it apparent now why some $100 billion in Apple cash is not fully recourse to the company? Unless, of course, AAPL decides to follow Gerard Depardieu’s example, and run away into the tax-amnesty friendly steppes of Russia, where it will be free to do as it wishes with all of its cash…
Read the Article with all the cool graphs.
by Frank Caruso
info@ipglegal.com
Jun 6, 2013
U.S. ITC: Apple Infringed Samsung Patents
The United States' International Trade Commission has overturned ITC Judge James Gildea's September ruling that Apple did not violate Samsung's patents alleged to be utilized in AT&T models of the iPhone 4, iPhone 3GS, iPad 3G and iPad 2 3G.
President Obama has 60 days to review the order that has placed a partial ban on the imports of older versions of Apple IPhone and IPad products.
The ban relates to the use of Apple of "standard essential patents," specifically the 3G wireless technology to transmit multiple services simultaneously that is owned by Korea's Samsung. Three related claims by Samsung were dismissed by the ITC.
The majority of scholars and most U.S. government agencies believe that the damage for violation of these type "patents" should be low-cost licenses - not a ban on imports.
What do you think?
Other articles that may be of interest:
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
President Obama has 60 days to review the order that has placed a partial ban on the imports of older versions of Apple IPhone and IPad products.
The ban relates to the use of Apple of "standard essential patents," specifically the 3G wireless technology to transmit multiple services simultaneously that is owned by Korea's Samsung. Three related claims by Samsung were dismissed by the ITC.
The majority of scholars and most U.S. government agencies believe that the damage for violation of these type "patents" should be low-cost licenses - not a ban on imports.
What do you think?
Other articles that may be of interest:
- Patent Bullies vs. Samsung
- Apple vs. Samsung
- Samsung "Union"
- How to Protect Your Brands, Trademarks and other IP in Korea
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Jun 3, 2013
Korea Campaign of PSY Launches in Australia
A great marketing campaign for Korean tourism is underway with Psy at the helm.
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
May 27, 2013
Basics of Hiring Employees in Korea
“Hiring is your most important task,” said the late Steve Jobs.
Considering a wrong hiring decision can be extremely expensive to
repair, let’s look at some recruiting options.
Ideally, a succession plan will have an internal candidate ready for promotion: advancing a rising star’s career and providing continuity with minimum controversy and a positive message to the workforce that capable people who do well will be recognized and rewarded.
Often, however, hiring from outside is required. If the company has a competent HR recruiting function, direct ads and in-house screening may be effective for lower and some midlevel positions.
For more important midlevel management or specialist positions, outside assistance may be needed. There are many recruiting companies. By going to any networking event, it is hard not to collect business cards from such firms.
Most recruitment firms offer contingency searches. Usually the process begins with interviewing the hiring managers and agreeing on a job description and compensation range. The recruiter ideally provides a long list of candidates and works with the client in coming up with a short list. In reality, the contingency recruiter usually relies on names from their database, or active job seekers. The recruiter may do some fundamental reference and credential checking before the final offer is made. The success fee is normally in the range of 20 to 30 percent of the first year compensation, including regular bonuses.
For lower-level positions the contingency approach is preferred, since a wrong hire is not likely to be a strategic setback. However, a hire of the wrong senior manager can be costly in terms of negative impact on the organization and lost time.
Some recruiting companies claim they do both retained and contingency searches. In reality, these are contingency recruiters that are thrilled to be paid up front - but still deliver a contingency-class service.
There is also a small number of retainer-only search consultancies that focus on identifying, evaluating and attracting “C-suite” executives (CEO, head of region or country and positions reporting directly to the region/country head) - and sometimes accept engagements one level lower. These senior professionals partner with the client in a consultative process aimed at selecting organizational leaders. Success in these partnerships depends upon a shared focus built on trust, candor and responsiveness throughout the process.
The search is conducted through an exclusive engagement with fees billed at the start and throughout the process. Consultant and client collaborate in determining leadership needs and defining executive positions. The consultant leads in identifying well-qualified individuals, selecting those best suited through a comprehensive evaluation process, and convincing them that the company/opportunity is a proper step in their career progression. Meanwhile, retained search consultants provide employers regular, detailed progress briefings.
This methodology proves to be the wisest option for senior leadership and other strategically critical hires. Some employers avoid retainer search due to the perceived costs, although in reality the total amount is not significantly higher than a contingency fee, and the risk of lost opportunity cost or reputation damage is greatly reduced. Most retained search firms are paid the equivalent to 33 to 35 percent of the total annual compensation, or in some cases a fixed fee not linked to compensation.
According to the Association of Executive Search Consultants, “Retained executive search consulting is a specialized form of management consulting. In addition to locating high-quality candidates, the retained search firm should provide information and feedback that not only helps direct the client’s search for executive talent but can also be used to run the client’s business more effectively. This feedback may include general market research regarding how the client’s organization is perceived in the market, competitive intelligence, and what kind of recruiting strategies may or may not be working at any given point in time.”
Retained searches most commonly take place when one or more of the following conditions apply:
Replacement of incumbent: There are times when a very high level of confidentiality must be maintained. As with other professional services firms - attorneys, accountants and strategic consultants - disciplined senior executive search professionals fully understand how to work with total discretion.
Difficult to find individual: Access to high-level executives who are not on the job market is fundamental, as is capability to invest time and resources thoroughly researching the target universe to identify key players.
Difficult internal promotion: Shareholder compliance (or internal debate) may necessitate a thorough look at external candidates in conjunction with independent evaluation of internal candidates.
The retained consultant will invest much more time than a contingency firm in understanding the client’s corporate culture, key executive personalities, vision, strategy and business objectives, and will be able to communicate this effectively to qualified individuals. Out of this process may emerge the “compelling story” critical to attracting a star executive.
A retained search firm will rigorously conduct reference checks with a broader range of people than those suggested by the candidate. It is in the best interest of the consultant as well as the client to flag concerns before an offer is finalized.
Most companies say “people are our most important asset,” yet often default to hiring friends of friends, applicants from newspaper or Internet ads, or resumes thrown at them from many sources. This may work for lower/midlevel positions, but tossing the dice when filling any key leadership role isn’t acceptable in today’s corporate environment.
In summary, there are a broad range of situations requiring different hiring strategies. The hiring executive has several options, and one recruiting strategy rarely fits all needs.
by Tom Coyner. Senior Advisor, IPG Legal.
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
Ideally, a succession plan will have an internal candidate ready for promotion: advancing a rising star’s career and providing continuity with minimum controversy and a positive message to the workforce that capable people who do well will be recognized and rewarded.
Often, however, hiring from outside is required. If the company has a competent HR recruiting function, direct ads and in-house screening may be effective for lower and some midlevel positions.
For more important midlevel management or specialist positions, outside assistance may be needed. There are many recruiting companies. By going to any networking event, it is hard not to collect business cards from such firms.
Most recruitment firms offer contingency searches. Usually the process begins with interviewing the hiring managers and agreeing on a job description and compensation range. The recruiter ideally provides a long list of candidates and works with the client in coming up with a short list. In reality, the contingency recruiter usually relies on names from their database, or active job seekers. The recruiter may do some fundamental reference and credential checking before the final offer is made. The success fee is normally in the range of 20 to 30 percent of the first year compensation, including regular bonuses.
For lower-level positions the contingency approach is preferred, since a wrong hire is not likely to be a strategic setback. However, a hire of the wrong senior manager can be costly in terms of negative impact on the organization and lost time.
Some recruiting companies claim they do both retained and contingency searches. In reality, these are contingency recruiters that are thrilled to be paid up front - but still deliver a contingency-class service.
There is also a small number of retainer-only search consultancies that focus on identifying, evaluating and attracting “C-suite” executives (CEO, head of region or country and positions reporting directly to the region/country head) - and sometimes accept engagements one level lower. These senior professionals partner with the client in a consultative process aimed at selecting organizational leaders. Success in these partnerships depends upon a shared focus built on trust, candor and responsiveness throughout the process.
The search is conducted through an exclusive engagement with fees billed at the start and throughout the process. Consultant and client collaborate in determining leadership needs and defining executive positions. The consultant leads in identifying well-qualified individuals, selecting those best suited through a comprehensive evaluation process, and convincing them that the company/opportunity is a proper step in their career progression. Meanwhile, retained search consultants provide employers regular, detailed progress briefings.
This methodology proves to be the wisest option for senior leadership and other strategically critical hires. Some employers avoid retainer search due to the perceived costs, although in reality the total amount is not significantly higher than a contingency fee, and the risk of lost opportunity cost or reputation damage is greatly reduced. Most retained search firms are paid the equivalent to 33 to 35 percent of the total annual compensation, or in some cases a fixed fee not linked to compensation.
According to the Association of Executive Search Consultants, “Retained executive search consulting is a specialized form of management consulting. In addition to locating high-quality candidates, the retained search firm should provide information and feedback that not only helps direct the client’s search for executive talent but can also be used to run the client’s business more effectively. This feedback may include general market research regarding how the client’s organization is perceived in the market, competitive intelligence, and what kind of recruiting strategies may or may not be working at any given point in time.”
Retained searches most commonly take place when one or more of the following conditions apply:
Replacement of incumbent: There are times when a very high level of confidentiality must be maintained. As with other professional services firms - attorneys, accountants and strategic consultants - disciplined senior executive search professionals fully understand how to work with total discretion.
Difficult to find individual: Access to high-level executives who are not on the job market is fundamental, as is capability to invest time and resources thoroughly researching the target universe to identify key players.
Difficult internal promotion: Shareholder compliance (or internal debate) may necessitate a thorough look at external candidates in conjunction with independent evaluation of internal candidates.
The retained consultant will invest much more time than a contingency firm in understanding the client’s corporate culture, key executive personalities, vision, strategy and business objectives, and will be able to communicate this effectively to qualified individuals. Out of this process may emerge the “compelling story” critical to attracting a star executive.
A retained search firm will rigorously conduct reference checks with a broader range of people than those suggested by the candidate. It is in the best interest of the consultant as well as the client to flag concerns before an offer is finalized.
Most companies say “people are our most important asset,” yet often default to hiring friends of friends, applicants from newspaper or Internet ads, or resumes thrown at them from many sources. This may work for lower/midlevel positions, but tossing the dice when filling any key leadership role isn’t acceptable in today’s corporate environment.
In summary, there are a broad range of situations requiring different hiring strategies. The hiring executive has several options, and one recruiting strategy rarely fits all needs.
by Tom Coyner. Senior Advisor, IPG Legal.
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
May 15, 2013
Steps to Protecting Your Brand, Trademarks and Other Intellectual Property in Korea
I just participated as a panelist for the United States Commercial Service Trade Winds-Asia Seminar for U.S. companies considering investing and/or exporting to Korea, China, the Philippines, Japan and Taiwan. The Seminar brought together over 150 U.S. investors and exporters of products and services. The U.S. Commercial Service did a wonderful job bringing together some of the leading experts on doing business in Korea. I was impressed.
At the event, the most frequent question I was asked was related to protecting companies trademarks and other intellectual property. Additional posts will be written on this topic by Tom Coyner - Senior Commercial Advisor for IPG Legal and head of Soft Landing Korea and myself.
TOP TEN THINGS TO DO TO PROTECT YOUR BRAND IN KOREA
_____
SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
At the event, the most frequent question I was asked was related to protecting companies trademarks and other intellectual property. Additional posts will be written on this topic by Tom Coyner - Senior Commercial Advisor for IPG Legal and head of Soft Landing Korea and myself.
TOP TEN THINGS TO DO TO PROTECT YOUR BRAND IN KOREA
- Do a Complete Intellectual Property AuditForm a team to audit all your intellectual property including your patents, trademarks, service marks, books, manuals, videos, software, know-how, and trade secrets.
The team should include, at a minimum, a senior manager experienced in the internal workings of the company and an experienced Korean-savvy international consultant (attorney or intellectual property consultant) who is experienced in creating inventories.
The team should send a tailored questionnaire to the heads of all your company's departments. From the questionnaire and other ascertained information, the team should produce a complete intellectual property inventory that details what intellectual property the company possesses and evidences how much the intellectual property is worth to the company. (Protecting Your Intellectual Property in Korea)
- Register your Trademarks and other IP in Korea
Yes, your international filings are not good enough for Korea and much of the rest of the world. As the U.S. Commercial Service notes: ``protection of intellectual property and the laws governing enforcement of these protections exist but are not necessarily extra-territorial. What is understood and practiced in the United States is not always practiced in Korea. . . .U.S. companies wishing to sell their products or services in Korea should first and foremost register their intellectual property rights (copyrights, trademarks and/or patents) in Korea.''
- Educate Korean Customs on What is your Product and What is Not your Product
A few professionals in Korea, including professionals at IPG, do presentations to Customs informing them of how to spot counterfeit products. Some fakes are very difficult to spot and, also presentations by your professionals will go a long way in getting the positive attention of Customs of your seriousness of enforcing your IP rights. - Draft an Intellectual Property Protection Plan
The plan should include an internal monitoring and worldwide registration and licensing scheme; an action plan to deal with intellectual property violators and trolls; forming of a team that is responsible for maintaining and fostering intellectual property rights and making sure that intellectual property is properly reflected in the company's financials. - Actively Engage Customs and the Prosecution
Us all administrative avenues available to protect you products. Companies that are perceived weak are companies that are more likely to be targeted by counterfeiters, patent trolls and the like.
- Actively Engage your Sales Channels
So much information can be garnered from those that are competing against counterfeiters and pirates. - Track the Importers of Counterfeit Products into Korea
The Prosecution, generally, does a decent job. However, often it is advisable to employ a professional to obtain the necessary information and present the information to the Prosecution and Customs.
- Integrate the home office with the Korean entityAll too often the Korean branch is totally out of the loop and hence unaware of developments at the home office. The Korean branch, in not only intellectual property, but in other company areas should at least be near the loop.
- Don't Forget Trade SecretsI wrote an article on protecting trade secrets in Korea that may be found at: Protecting your Trade Secrets in Korea: Top 5 Things to Know Before Subjecting your Business to the Korean Market.
- Get Professional Assistance
Speaks for itself. If you don't have an experienced inhouse team of Korean-based attorneys (and often even if you do), you need assistance from professionals in Korean IP law who have high-level contacts with the Prosecution and Customs.
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SeanHayes@ipglegal.com
IPG is engaged in projects for companies and entrepreneurs doing business in Bangladesh, Cambodia, China, Korea, Laos, Myanmar, the Philippines, Vietnam and the U.S.
www.ipglegal.com
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