e company is prohibited from, or is required to obtain prior approval for exporting any product it manufactures to areas other than those were the foreign investor is engaged in ordinary sales activities or those where the foreign investor has granted exclusive sales rights to a third party; the joint venture company is required to export any product it manufactures only through the foreign investor or its designee, except where the foreign investor or its designee assumes an obligation to accept such product at internationally reasonable prices and conditions at the appropriate time; and in light of the generally accepted practices in international agreements of this nature, the contractual conditions are unreasonably disadvantageous to the domestic investor (Jeong 6). The Korean Fair Trade Commission might regard as unfair such provisions where a foreign investor elects directors in excess of the equity ratio or a foreign investor has the tie-breaking vote in a 50/50 joint venture. The minimum amount of foreign investment is 50 million Korean won (approximately U.S. $60,000). With Ministry of Finance approval, a foreign investor can incorporate a joint venture company in accordance with the Korean Commercial Code.A joint venture company establishing itself as a value added service provider must register with the Value Added Service Providers by satisfying several requirements under the Telecommunications Business Law. These requirements are as follows: "the financial requirement - the minimum capital is 50 million won;telecommunications facilities requirement - maintenance of certain major telecommunications facilities and satisfaction of the safety and reliability standards; and technical capability requirement - retention of a minimum of two technicians (Jeong 6). Along with an application form, the documentation for registration is limited to those to confirm the above. A registered Value Added Service Provider must notify th...
