Shinsegae

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Shinsegae Department Co., Ltd.
주식회사 신세계
株式會社新世界
Type Chaebol
Industry Retail
Founded 1955
Headquarters 63 Sogong-ro, Jung-gu, Seoul, South Korea
Area served South Korea
Key people Lee Myung Hee, Chairman
Chung Yong Jin, CEO and Vice Chairman
Revenue 1,430,600,000,000 KRW [1]
Operating income 213,900,000,000 KRW [1]
Net income 3,381,900,000,000 KRW [1]
Total assets 370,000,000,000 KRW [1]
Total equity 1,910,200,000,000 KRW [1]
Website Shinsegae English
Shinsegae in Busan

Shinsegae (Korean: 신세계, KRX: 004170) is a South Korean department store franchise, along with several other businesses, headquartering in Seoul, South Korea. The name of Shinsegae literally means "New World" in Korean. Its flagship store in Centum City, Busan, is the world's largest department store, surpassing the Macy's department store in New York City in 2009.[2]

Shinsegae was originally part of Samsung Group, separated in the 1990s from the Samsung Group along with CJ Group (Food/Chemicals/Entertainment), Saehan Group (Electronic Media/Apparel/Textiles), and the Hansol Group (Paper/Telecom). It owns the brands Shinsegae and E-Mart, and is in direct competition with Lotte Shopping and Hyundai Department Store Group. Currently it is the largest retailer in South Korea.[3]

Shinsegae is also famous for its long history. The main branch of Shinsegae is the oldest department store in Korea. The main building of the store was opened in 1930 as the Gyeongseong branch of Mitsukoshi, a Japanese department store franchise. The store was acquired in 1945 by the late founder of Samsung group, Lee Byung-chull, and renamed Donghwa Department Store. After the Korean War (1950–1953) began, it was used for several years as a post exchange by the American army. In 1963, the store was given the name Shinsegae.[4] The old building is currently used as a luxury hall.

Shinsegae was the first credit card company in South Korea. They issued its own charge card from 1967 to 2000. In 2000, Shinsegae sold its credit card division to KorAm Bank, which was later acquired by Citibank Korea.

Stores[edit]

Shinsegae also has a small branch in Incheon International Airport, and a supermarket in Dogok-dong, Gangnam-gu, Seoul.

Shinsegae has launched Shinsegae Style Market, a smaller shopping mall mainly aimed at young customers, in 2010. Despite its name, the mall is managed by Shinsegae's subsidiary E-Mart.

  • Seongnam Style Market in E-Mart Taepyeong branch, Seongnam, Gyeonggi-do
  • Daejeon Style Market in E-Mart Daejeon Terminal Complex branch, Dong-gu, Daejeon

Planned[edit]

Defunct[edit]

  • Daegu Store (대구점) in Jung-gu, Daegu (opened in 1973 and closed in December 1976)
  • Shinsegae Store Banpo (신세계 스토어 반포) in Gangnam-gu, Seoul (opened in 1974 and closed several years later)
  • Gyeongju Bomun Store (경주보문점) in Gyeongju, Gyeongsangbuk-do (opened in 1979 and closed several years later)
  • Dongbang Plaza Store (동방플라자) in Jung-gu, Seoul (opened in 1982 and closed in 1996)
  • Cheonho Store (천호점) in Gangdong-gu, Seoul (closed in 2000, converted into E-Mart Cheonho Store)
  • Mia Store (미아점) in Seongbuk-gu, Seoul (closed in 2007, converted into E-Mart Mia Store)

Discount store[edit]

E-Mart (이마트) is a subsidiary of Shinsegae and a large discount store chain founded in South Korea, having numerous stores in China and Korea. Domestically, E-Mart is the biggest discount store chain followed by Home Plus, owned by Samsung and Tesco, and Lotte Mart.

In late May 2006, Shinsegae revealed plans to buy all 16 of the Wal-Mart Stores in Korea.[7] All of the country's Wal-Mart outlets were re-branded as E-Mart on October 2006 and Wal-Mart exited the Korean market soon after.

Shinsegae has spun-off its E-Mart department into a separate corporation(KRX: 139480) in 2012. The shopping mall was acquired by E-Mart in January 2014.

Subsidiary[edit]

  • E-Mart
  • Shinsegae I&C
  • Shinsegae Chelsea
  • Shinsegae Construction
  • Shinsegae Food System
  • Shinsegae International
  • Starbucks Coffee Korea
  • Westin Chosun Hotel

Controversy[edit]

Shinsegae has banned any commercial images of actress Ko Hyun Jung (고현정) from their department stores, following her divorce from vice chairman and co-CEO Chung Yong Jin.[8]

See also[edit]

References[edit]

External links[edit]