Outside management will be introduced for Coex Mall Seoul, which has been struggling to attract shoppers since reopening a year ago after renovation.
Korea International Trade Association (KITA) chairman Kim In-ho says an entity to manage the mall will be named by the end of the year.
This is being entrusted to an outsider so it can be more effectively managed, says Kim.
“We will select the management firm in a fair and transparent manner in accordance with the law.”
A wholly owned KITA subsidiary has been managing the mall, which has been hit by a prolonged consumption slump and intensifying competition, including eCommerce.
“We have to ask ourselves this question: can we compete with Lotte, Hyundai and Shinsegae? I seriously doubt it,” says Kim. “I believe Coex Mall will be more efficiently managed by professionals, and generate larger profits and create more jobs.
“KITA needs to make money from the mall to finance its work, promoting the country’s trade.”
Meanwhile, KITA has started preparing to bid for a convention centre to be built in Jamsil Sports Complex, a few kilometers away from its Coex Convention Center.