University of Warwick institutional repository: http://go.warwick.ac.uk/wrap A Thesis Submitted for the Degree of PhD at the University of Warwick http://go.warwick.ac.uk/wrap/1153 This thesis is made available online and is protected by original copyright. Please scroll down to view the document itself. Please refer to the repository record for this item for information to help you to cite it. Our policy information is available from the repository home page. ýý Rethinking Media flow under Globalisation: Rising Korean Wave and Korean TV and Film Policy Since 1980s w by Ju Young Kim A thesis submitted in partial fulfilment of the requirementsfor the degreeof Doctor of Philosophy in Cultural Policy Studies University of Warwick, Centre for Cultural Policy Studies May 2007 CONTENTS ACKNOWLEDGEMENTS ABSTRACT LIST OF GRAPHS LIST OF TABLES PART I. INTRODUCTION AND METHODOLOGY CHAPTER 1. The Korean Wave: a New Trend in Media Flow ?.......... 1 1.1 THE KOREAN WAVE AS A COUNTER-FLOW 1 ................................... 1.2 OVERVIEW OF THE KOREAN WAVE IN POP CULTURE 5 .................... 1.2.1 Definition and Development of the Korean Wave'Hanryu................. 11 1.2.2 The Impact of'Hanryu............................................................. 24 1.3 METHODOLOGY OF RESEARCH 39 ................................................ CHAPTER 2. Globalisation Media Flow Theory 47 and ................... 2.1 THEORIES ON THE FLOW OF CULTURAL PRODUCTS 47 .................... 2.1.1 Economy Scale 54 of ............................................................... 2.1.2 Cultural Discount 5 8 ............................................................... 2.2 FORMS OF MEDIA FLOW 63 ......................................................... 2.2.1 One Way Flow: Cultural Imperialism 64 ....................................... 2.2.2 Two Multi-Way Flows 69 or ...................................................... 2.3 ISSUES ON THE WORLD TRADE OF CULTURAL PRODUCTS........... 78 2.3.1 Issue One: Culture Vs Trade Dichotomy 78 .................................... 2.3.2 Issue Two: Hybridisation Culture Cultural Identity 85 of and ............... 2.3.3 Issue Three: Government Intervention 92 ....................................... PART II. BACKGROUND AND HISTORY CHAPTER 3. Past and Present of Korean TV and Film Industries... 97 3.1 KOREAN TV INDUSTRY 101 ......................................................... 3.1.1 Historical Background Changes Regulations 101 and of ..................... 3.1.2 Oligopoly Government Protection 110 under .................................. 3.2 KOREAN FILM INDUSTRY 120 ....................................................... 3.2.1 Historical Background Changes Regulations 121 and of ..................... 3.2.2 Wrongly Controlled Policy 136 ................................................... CHAPTER 4. Globalisation and Korean TV and Film Policy......... 147 4.1 BEFORE KIM DAE-JUNG REGIME (1988-1997) 149 .............................. 4.1.1 The Seoul Olympics Globalisation 150 and ...................................... 4.1.2 Direct Distribution U. S. Films Korea 154 of to ................................. 4.1.3 Loosening Censorship 157 ......................................................... 4.2 NEW CULTURAL POLICY UNDER KIM DAE-JUNG REGIME (1998-2002) 159 ................. ........................................................... 4.2.1 Korean Media Policy in the Context of Other Areas of Policy............ 162 4.2.2 Open Door Policy to JapanesePop Culture 171 .................................. 4.2.3 BIT Quota vs. ..................................................................... 178 PART III. ANALYSIS: RETHINKING CULTURAL POLICY IN PERIPHERY CHAPTER 5. What Made `Hanryu' Possible? 204 .................................. 5.1 EXTERNAL FACTORS BEHIND `HANRYU ................................... 205 5.1.1 Cultural Similarity 205 .............................................................. 5.1.2 Asian Economic Growth the Media Boom 211 and ............................. 5.1.3 Global Capitalism Consumer Culture 215 and .................................... 5.2 INTERNAL FACTORS BEHIND 'HANRYU' 219 .................................... 5.2.1 Economic Crisis 1997: The Searchfor Foreign Markets 220 of ............... 5.2.2 Paradigm Shift in Cultural Policy 228 ............................................. 5.2.3 Creative Talent 234 ................................................................... CHAPTER 6. Imitating Hollywood: Contents and Infrastructure.... 246 6.1 IMITATING CONTENTS: THE KOREAN BLOCKBUSTER 247 ............... 6.1.1 Definition History Korean Blockbuster 247 and of the ......................... 6.1.2 Asian Values Cultural Discount 249 and .......................................... Hollywood Style Asian Values 261 6.1.3 Hybridisation of the and .................. Case Studies Korean Film TV Drama 265 6.1.4 of and ................................ 6.2 IMITATING THE HOLLYWOOD SYSTEM 275 .................................... 6.2.1 Exploring Overseas Markets: The Search for Economy of Scale......... 276 6.2.2 Horizontal and Vertical Integration: The Multi-windowing Effect........ 281 6.2.3 Exploiting Various Financial Sources 289 ......................................... 6.2.4 Maximising Commercialisation 294 ................................................ 6.2.5 Case Studies of Two Major Communication Conglomerates in Korean Cultural CJ Entertainment Mediaplex 300 Industry: and ........................ CHAPTER 7. The Korean Way: A Compromise Between Two Extremes 311 .......................................................................................... 7.1 THE DILEMMA OF THE KOREAN CULTURAL INDUSTRY 313 .............. 7.1.1 Broadcasting & Screen Quota System 314 ........................................ 7.1.2 Economy Scale Cultural Diversity 327 of vs. .................................... 7.1.3 Anti-Hanryu Two-way Flow 335 and ............................................... 7.2 MARKET OPENING WITH INDUSTRY SUPPORT 346 ........................... CHAPTER 8. Conclusion: Rethinking Media Flow and Possibility of a `Cultural Bloc' 355 .............................................................. 8.1 'HANRYU' AND ITS CHALLENGES AS A COUNTER FLOW 357 ............... 8.1.1 Korea Agent Americanisation? 358 as an of ................................................. 8.1.2 Cultural Diversity, Cultural Cost Wave? 361 of the ...................................... 8.2 KOREAN APPROACH OF CULTURAL POLICY IN PERIPHERY UNDER GLOBALISATION? 367 ....................................................................................... 8.3 SUSTAINABILITY OF KOREAN EXPERIENCE 371 .............................. 8.4 THE POSSIBILITY OF AN `ASIAN CULTURAL BLOC' 374 .................... APPENDICES 381 ............................................................................. ABBREVIATIONS 390 ........................................................................ GLOSSARY 392 ................................................................................ BIBLIOGRAPHY 394 ......................................................................... ACKNOWLEDGEMENTS I would like to thank all my interviewees who provided me with live experiences and information without hesitation. My thanks go also to the people staffing Warwick libraries, archives, Korean Broadcasting Institution, Korean Film Commission and Korean Ministry of Culture and Tourism which gave me hard facts and data. They were among the most obliging and patient in helping me to gather crucial materials. I would like to expressmy appreciation to my colleagues, Ike Chang, Daniel Lee, Drake Hwang and Wook Jung who advised me to find my way and encourageme to keep on going. In addition, I owe thanks to some of my friends for their efficient and encouraging help; Rita with the proofreading, Rina with the binding and Sharon with editing. Finally, my special thanks go to my supervisor Dr. Chris Bilton whom I have been indebted to for useful advice, inspiration, encouragement and endless patience. Without his help and consideration, this thesis would not be seen into completion. Whilst I am grateful for all of the help people have given me in preparing my thesis, I bear full responsibility for any errors which may occur in this document. ABSTRACT The rising popularity of Korean contents in Asia known as Hanryu ('Korean Wave'), which was partly supported by Korean cultural policy, has many implications with regard to cultural policy in periphery countries under globalisation and the open-door versus cultural diversity debate. This thesis assesseshow recent cultural opening under globalisation in Korea has affected Korea's cultural industries both quantitatively in terms of economic performance and qualitatively in terms of cultural content, identity and diversity. These questions are examined in the context of the changing relationship between the cultural industries and cultural policy in Korea since the end of the 1990s. The researchdraws upon statistical data, historical material and interviews. By researching how the Korean experience has developed, this thesis attempts to look at Hanryu not just as a phenomenon in its own right, but also considers the secondary impact of this phenomenon on perceptions of culture and identity. In particular the thesis considers Hanryu in terms of the cultural influence on neighbouring countries manifest through tourism and a new interest in Korean language and culture. Such cultural effects are less easily measured than economic data but are important