K-pop in Korea: Future Projections for the Industry Looks Positive

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Economical Impact of K-Pop
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The K-Pop Industry

• South Koreas K-pop culture and music industry
  have become increasingly popular and thus have
  allowed the propagation of the music genre to
  many foreign nations through the Korean wave,
  also known as Hallyu. 
• K-Pop stands for Korean Popular music. Also known
  as Gayo, it is an amalgamation of different music
  genres.
• Psy's "Gangnam Style" and BTS made South Koreas
  K-Pop industry popular worldwide.

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The K-Pop Industry

• K-Pop has evolved into a multibillion-dollar
  industry with its reach all over the world.
• Some of the major markets are the United States,
  India, Brazil, Germany, the Philippines, Japan,
  and France.
• In 2021, Spotify unveiled its global K-Pop hub
  and the monthly average K-Pop streams worldwide
  reached over 7.97 billion per month.

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Economic Impact of K-Pop

• Hallyu exports - from games to music and
  broadcast -, have a tremendous impact on South
  Koreas economy.
• In 2004, it contributed 0.2 of the gross
  domestic product (GDP) approximately 1.87 bn.
  In 2019 Hallyu had an estimated 12.3 bn boost on
  the Korean economy.
• By now, the K-Pop industry generates about 10 bn
  for the country, according to estimates.

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The Role of BTS

• BTS, a seven-member boy band, is bringing in
  an estimated 5 bn to South Korea each year.
• BTS single Dynamite, the groups first
  all-English song launched in 2020, generated
  a stunning 1.43 bn in economic activity and
  about 8.000 new jobs, according to a study by the
  Ministry of Culture.

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The Role of BTS

• However, BTS is currently on a break for a few
  years while the members of the band complete
  their military service.
• According to their label, they will reconvene
  around 2025.
• Until then, South Koreas economy might lose
  billions. Recent estimates say BTS would have
  contributed 29.4 bn to the economy until end of
  2023.

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The Future of K-Pop

• The market for K-Pop is projected to experience
  substantial growth in the future.
• The K-Pop events market was valued at 8.1 bn in
  the year 2021.
• According to a recent report, it is expected to
  reach around 20 bn by 2031, rising at a 7.3
  CAGR between 2022 and 2031.

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