Seoul: Nearly 80 percent of South Korea's top 500 companies by revenue are headquartered in Seoul, Incheon, and Gyeonggi Province, underscoring a heavy concentration of major corporate headquarters in the greater Seoul area, a local market tracker said Wednesday.
According to Yonhap News Agency, a report released by CEO Score reveals that 385, or 77 percent, of the top 500 companies are based in Seoul, Incheon, and the surrounding Gyeonggi Province. In sharp contrast, only one company each is headquartered in Sejong and Gangwon Province.
The survey comes amidst discussions gaining traction over relocating the headquarters of South Korea's leading shipping company, HMM, to the southern port city of Busan. This move follows the launch of the Lee Jae Myung administration, which aims to relocate the oceans ministry to Busan within the year.
Most of the country's major conglomerates, including Samsung Electronics Co., Hyundai Motor Co., and SK hynix Inc., are located in the greater Seoul area. In contrast, public enterprises are more evenly distributed outside the capital area due to policies promoting the relocation of government institutions and public agencies to provincial cities. Of the 22 public firms among the top 500, 17 are based outside the greater Seoul area.
"Provincial governments that host the headquarters of major conglomerates benefit from tax revenue, job creation, and regional economic development. These survey results once again highlight the excessive concentration of corporate power in the Seoul metropolitan area amid growing concerns over regional population decline," the company said.