Lotte Raises 1 Tln Won in Shared Growth Fund to Help Financially Troubled SMEs

Lotte Group Chairman Shin Dong-bin.

Lotte Corp., the holding company of Lotte Business Group, sees win-win strategies with partners as a driving force for sustainable growth, and is implementing a regime to effectively support partners.

Lotte is promoting shared growth with partners by holding export negotiation sessions, operating experience halls, exploring markets and supporting small business and local farming households.

Lotte raised 986 billion won in a shared growth fund to give a helping hand to SME partners by reducing loan interest.

Lotte sealed a deal with the Korea Federation of Cooperation of Large-Small Business and Rural Affairs in 2018.

In accordance with the agreement, all subsidiaries of the business group introduced a “win-win settlement system,” designed to help their SME partners settle credit payments in a seamless fashion.

Lotte Home Shopping hosted the “Korea Brand Expo” export consultation session to help Korean SMEs explore overseas markets during the period between August 23 and August 27.

The session was designed to help SMEs grappling with market exploration hold one-on-one consultations with overseas distribution companies. It was dubbed as Lotte Home Shopping’s representative win-win program.

Lotte Home Shopping helped 60 Korean SMEs, including fashion, beauty and daily necessity firms, hold online negations with buyers in a tripartite partnership involving Korea, Taiwan and Vietnam.

Each country’s influencers pitched K-brand products. Lotte has held a combined 11 sessions with countries like Taiwan, Indonesia, Vietnam, Thailand, Australia and Russia until now since 2016. About 660 Korean companies participated in the sessions and the number of one-on-one consultations stood at 5,700.

Lotte Home Shopping redoubled broadcasting time for SME’s market exploration with preferential fees since Aug. 26.

Officials with Lotte Home Shopping hold a session on the opening of on-line outlets targeting SME businessmen. (Photos: Lotte Group)

The company has changed the catchphrase of the programs into one, tilted “Create Win-Win Values.” The names of the programs have altered into “Shared Growth Studio” and “Together Shared Growth House.

According to the overhaul, Lotte Home Shopping has offered video production worth 500 million won: giving benefits like the hiring of influencers.

The company plans to strengthen win-win strategies to expand SMEs’ business capabilities, surpassing simple marketing activities such as new product planning and business consultations.

President Yu Jeong-yeol of KOTRA and Lotte Hi-mart President Hwang Young-geun attend a ceremony to sign an MOU on cooperation at KOTRA headquarters in Yeomgok-dong, Seoul, on Aug. 18.

Lotte Hi-mart struck an MOU on cooperation with KOTRA on Aug. 19. The deal is designed to provide support to Korean SMEs and startups’ market exploration.

Lotte Duty-Free implemented the “Cheer Up Project” targeting dinning companies in Songpa-gu, Seoul, on Aug. 21. It was a social contribution activity designed to promote shared growth with small businesses in the area.