Network Management Models of Small and Medium-sized Enterprises for the Korean Green Technology Support

Abstract

This paper presents the network management model of small and medium-sized enterprises (SMEs) established by local authority in Korea. Currently, in order to foster the growth of “green industry,” the government strongly encourages an innovative green technology base of SMEs. However it is difficult to encourage green SMEs in Korea. Many Korean SMEs are adept in adjusting to international market standards, but are less skilled in forging ties with local sector networks. The investigation is consisted of literature surveys and case studies of green technology and network system of SMEs, and suggestions for Korean local authority. We argue that the network system of Green Technology SMEs yields better economic performance than other models. And we suggest the new role of local authority to encourage global network system of SMEs and green growth in Korea. This paper suggests that Korean local authority can provide role in each step, such as supply chain networks, R&D networks, and business networks for global Green Technology SMEs to encourage strong local networks for the host country. Therefore, it is important that the local government expands its assistance to SMEs in order to achieve green growth, and strengthen a network among government departments. Suggested new role of local authority would help boost employment rates in Korea as well. This network model will make Korea’s green growth possible through enhanced competitiveness of SMEs in various fields, and may also lead to an enhancement of national competitiveness.