Page 68 - Forbes - Asia (June 2018)

South Korea’s 50 Richest

KENNY PARK

Supplier

to the Stars

For decades Kenny Park has quietly made the pricey handbags
that famous labels sell around the world. Today he’s a billionaire.

BY GRACE CHUNG
er toiling for a month in a hot and a test. If it doesn’t work you’re not going to be burned
crowded Seoul factory, it seemed like and my company won’t go bankrupt. Fortunately it
a slam dunk. But Kenny Park was worked … it really worked.” he irst order for 240
crushed as his pitch to two fashion Donna Karan handbags sold out. A second order of
Aexecutives was going nowhere. He had 600 sold out; 3,000 bags, gone. Within nine months
just started a company to make handbags and had Donna Karan had deployed a designer to Seoul to
lown to New York for the meeting. “hey wouldn’t help create a new handbag for Park to make. In its irst
look me in the eye,” he says. “hey said, ‘Kenny, I’m full year, his contract manufacturer, Simone Acces-
sorry, but we spoke with sales and marketing. heir sory, reaped $4 million in revenue and was already in
opinion is that customers who buy Donna Karan the black, thanks also to another American customer,
aren’t interested in 30% of—if it’s made in Korea.’ ” Esprit, which had signed on a few months earlier.
he executives had been intrigued by the idea of Some 30 years later, Park is still making handbags
producing Donna Karan handbags at a much lower and other accessories for Donna Karan. But today
cost. “hey were so impressed” by his samples, says he also has nearly 20 other customers, and the list
Park. But it was 1988, luxury handbags were pro- reads like a fashion hall of fame: Michael Kors, Kate
duced mostly in Europe, and for many consumers, Spade, Coach, Marc Jacobs, Alexander Wang, Versus
the Made in Korea label meant lower quality. Un- Versace, AllSaints. Chances are you’ve purchased
deterred, he called back two days later. “I told them or owned something he’s made, because every year
I don’t have an M.B.A. I don’t have any expertise in Si mone churns out 30 million handbags and small
business, but I know the three essences of merchan- leather goods. hat keeps 30,000 workers busy in
dising: well-designed, well-made, well-priced. It seven factories in Vietnam, Cambodia, Indonesia
doesn’t have to be me, but you need to prepare. You and China. Starting with the irst handbag design for JAE-HYUN KIM FOR FORBES
need a base in Asia.” Esprit, the company now boasts an archive of 180,000
He proposed a deal. “A couple hundred pieces, just designs.

66 | FORBES ASIA JUNE 2018