A new survey has found that South Korea’s top manufacturers view a weak recovery in domestic demand as this year’s largest business risk factor.
 
According to the survey carried out by the Bank of Korea(BOK) on 336 manufacturers nationwide, 33-point-three percent of the surveyed cited the poor recovery in domestic demand as the key business risk factor.
 
Twenty percent of the respondents selected the continued slump in exports as a major business risk factor while some 18 percent cited greater volatility in exchange and interest rates resulting from uncertainties in global financial markets.
 
As for risk factors concerning exports, roughly 36 percent picked the economic slowdown of key trading partners, including China.
 
The survey found that some 29 percent of respondents believe that the best way to respond to export risks is through belt-tightening management, including cost reduction and restructuring. Other response measures mentioned were strengthening global marketing, expanding investment toward research and development as well as releasing new products.