South Korea Women-Led Ventures Push Into Manufacturing

Women-led venture companies in South Korea are demanding the support they need to compete in manufacturing and advanced technology sectors traditionally dominated by men.

Eighteen women entrepreneurs gathered in Seoul on May 19th with government officials to discuss the structural barriers holding back their businesses. The meeting, organized by the Small and Medium Business Ombudsman and Korea Women Entrepreneurs Association, focused on accessing capital and expanding beyond service industries.

The numbers tell a promising story. Over the past five years, women-led ventures have shown steady growth in sales, employment, and exports. Several have even achieved unicorn or pre-unicorn status, proving women can lead companies to billion-dollar valuations.

But barriers remain. Most women-led companies still concentrate in service sectors, making them vulnerable to economic downturns. Their representation in semiconductors, biotech, AI, and manufacturing stays relatively low, partly because these industries require significant early research and development funding that women entrepreneurs struggle to secure.

Lee Jin-hee, head of Riyoonbio, pointed out that current government programs evaluate companies solely on financial statements. This approach excludes promising tech startups that invest heavily in development costs, making their balance sheets look weak on paper.

Choi Seung-in from Hephek proposed raising the mandatory purchase ratio for women-led corporations under South Korea's public procurement system. Currently, government agencies must buy just 5% of products from women-led businesses. Increasing this requirement would open crucial sales channels.

The Ripple Effect

The push extends beyond individual companies. When women succeed in manufacturing and high-tech sectors, they create role models for the next generation of entrepreneurs. Their presence also diversifies innovation, bringing different perspectives to problem-solving in industries that shape the future economy.

The entrepreneurs proposed several practical solutions: flexible performance recognition for early-stage startups, streamlined testing requirements across government institutions, and expanded operating funds to handle rising raw material costs. These aren't requests for special treatment but for acknowledgment that different business models need different evaluation criteria.

Ombudsman Choi Seung-jae committed to ensuring women-led corporations can "actively advance into manufacturing and high-tech industries and succeed," signaling government willingness to adapt policies.

South Korea's women entrepreneurs are ready to scale up and compete globally in advanced industries.