South Korea’s Powerful Family Business Ties Could Be Tough to Cut
Forget Machiavelli, or “Game of Thrones.” When it comes to staying in power, South Korea’s richest business clans have the game plan down. There is the charity maneuver, in which family members park their stakes in their business empires in philanthropic nonprofits, letting them keep control without paying heavy taxes. There is the new company maneuver, in which they create new firms that strike lucrative and friendly business deals with the others they control. And then there is old-fashioned corporate engineering, in which they merge arms of their empires together to consolidate power, even as other shareholders complain.