Many well established high-tech manufacturers operate in Northeast Asian region. In particular, Korea has grown to become an industrial hub of electronics, IT, automotive, steel-making, shipbuilding and petro-chemical industries. Almost 50% of market capitalization of KRX Main Board (KOSPI Market) is manufacturing related companies.
Meanwhile, Korea also has strong service sectors. Finance, telecommunication, retail, real estate industries account for almost 60% of Korea's national GDP. Therefore, KRX also has strong companies in services sectors including finance, retail, food, infrastructure and logistics. Combined market capitalization of those service sector companies listed on KRX is over 30% of total market capitalization of KRX Main Board (KOSPI Market).
Along with globally recognized and large scale companies in Korea's leading industries and service sectors, small/medium size companies and start-up companies in bio, IT, software, entertainment are also listed on KRX. KOSDAQ market, KRX's growth market for SMEs and start-ups, is one of the most successful growth market in the world. Since its launch in 1996, over 1,000 companies have chosen to join KOSDAQ and KOSDAQ continues to help smaller and growing companies raise the capital they need for expansion.
With those large clusters of various listed companies both in size and in business sectors, foreign issuers would be able to enjoy good liquidity and strong valuations directly by themselves or by both business and technology partnerships or joint ventures with KRX's listed companies.