Page 70 - Forbes - Asia (June 2018)

South Korea’s 50 Richest

KENNY PARK
Simone—named a er his wife’s for the sea led to a desire to travel, and of development and sales, increasing
nickname—is headquartered 14 miles Park decided to chart his own path: “I revenue by more than tenfold during his
south of Seoul, where 400 staf work said, Dad, give me three years. Without tenure, he says. But in 1987 he ventured
in a suburban-style oice campus. he the safety of your greenhouse I would out on his own and borrowed $30,000
privately held company generated $120 like to go out and learn on my own. I from his father, defying the counsel of
million in net income and $940 million wanted to see outside Korea.” friends and family. hey warned that
in revenue last year. hat proit number But he faced a barrier: South Korea South Korea was beginning to lose its
is 16.2% higher than four years ago, was under military rule, and it was dif- manufacturing prowess as produc-
while revenue is up 45.5%. In 2015 the icult for citizens to get passports unless tion shi ed to less expensive countries.
Blackstone Group, the world’s largest they were traveling on business. So Park “hey said, ‘Kenny, that’s done. Why do
private equity irm, purchased a 30% decided that a job at an export company you want to catch the last train? China is
stake for $300 million. he company’s might pave his way overseas. He landed coming.’ ”
value has risen since then, and Park, 63, at a modest handbag manufacturer But he had a safety net: One big
who now owns 62% with his immediate called Chungsan, where he was the customer was virtually guaranteed. San
family, breaks into the ranks of billion- irst employee with a college degree. “I Francisco-based Esprit, now listed in
aires this year while also debuting on the could’ve gone to a chaebol company, but Hong Kong, had approached Chungsan
list of South Korea’s 50 richest people. I purposely picked a small company,” seeking a supplier, but a conlict of inter-
Forbes Asia estimates his net worth at he says. est with an existing customer thwarted
$1.16 billion. In 1980 his choice paid of. He was the deal. Esprit ofered the contract
But for Park this capstone to his ca- sent to Florence, Italy, to line up a to Park, motivating him to launch his
reer probably doesn’t compare to a title leather supplier and was amazed by the own company. he timing was on his
he earned not long a er he started. In fashion sense of the locals. “I visited a side. he workforce at factories in Italy
1988—just ten years a er China began men’s clothing shop, and I was shocked. and much of Europe was aging as fewer
opening up—no Asia-based factory he gentlemen on the streets were wear- young people were interested in becom-
was yet producing handbags for luxury ing yellow pants, green pants, fuchsia ing cra smen. he business was there,
brands. pants, red pants. here were 15 difer- but the ability to handle it increasingly
“hat was the irst single step for Asia ently colored shirts. I could not imagine wasn’t.
in manufacturing designer handbags,” men wearing those colors. hat excited So Park focused on signing up cus-
he says of the Donna Karan deal. “hat’s tomer number two. “I asked my Ameri-
why Chinese manufacturers called me “My canvas was can friends, ‘Who’s the hottest right
Da ge, big brother. Even when I was just now?’ hey said Donna. Donna Karan.
30 years old, 50-, 60-year-old men were small, but I could It’s American. It shows New York.”
calling me Da ge. Simone will always be paint the drawing I He purchased her bags and worked to
known as a pioneer.” produce the perfect sample before land-
Park sits down at a large wooden liked, the painting I ing his meeting in the summer of 1988.
desk amid an oice dotted with towers wanted. I could see Four years later he established his irst
of books, an array of sample handbags ofshore factory, in Guangzhou, and a
and scores of contemporary artworks. a lady in New York second one ive years later in Jakarta.
“hat’s my root,” he says when asked wearing the handbag His irst European customer signed on
about one of the several ish decora- that I made.” in 1999.
tions that adorn the crowded walls. It’s a he company has lourished as Mil-
nod to his late father’s ishing company, lennials’ appetite for designer goods
which once had nine boats and a facility me very much. It really motivated me.” continues to expand. In 2017 the market
for repairing and building ships. hat sparked his creativity. “My for luxury leather goods among the top
Park igured he’d join the family busi- canvas was small, but I could draw the ive companies totaled $49.2 billion, up
ness a er graduating from Seoul’s Yonsei drawing I liked, I could paint the paint- nearly 30% in ive years, according to
University with degrees in German and ing I wanted. I could see a lady in New data compiled by Euromonitor Interna-
literature in 1978. His two older broth- York wearing the handbag that I made. tional. Simone supplies two of those ive
ers—he’s the i h oldest of six siblings— It was a little thing, but it was a good players: Michael Kors and Coach. Now
already were working with his father, feeling. It felt like an achievement.” the market has come full circle: Where
and he recalls accompanying him on the Park stayed with Chungsan for seven once China was purely a manufacturing
boats for as long as six weeks. But a love years, eventually becoming its head base, today it’s the world’s largest market

68 | FORBES ASIA JUNE 2018