Lotte Hi-Mart () is a South Korean retailer of electronic goods. It was originally a unit of bankrupt
Daewoo Electronics
Winia Electronics, formerly named Daewoo Electronics, is a South Korean home appliances company and a member of South Korean Winia Group. Established in 1971, it has since grown into a global business with more than 64 production sites, research ...
that founder Seon Jong-koo spun off in 1999. Hi-Mart is headquartered in
Seoul
Seoul, officially Seoul Special Metropolitan City, is the capital city, capital and largest city of South Korea. The broader Seoul Metropolitan Area, encompassing Seoul, Gyeonggi Province and Incheon, emerged as the world's List of cities b ...
. Hi-mart was taken over by
Lotte Corporation
Lotte Corporation is a South Korean Multinational corporation, multinational Conglomerate (company), conglomerate corporation, and the fifth-largest chaebol in South Korea. Lotte was founded on 28 June 1948 by Korean businessman Shin Kyuk- ...
on July 6, 2012.
History
Seon Jong-koo was formerly employed by Daewoo Electronics. When the company went bankrupt in 1999, he joined a spin-off company that became Hi-Mart.
In June 2008, South Korean chaebol
Eugene Group
Eugene Group () is a large South Korean ''chaebol'' (conglomerate), producing industry, media, construction, and confectionery products that was founded in 1954. It also has subsidiaries that provide financial, IT, advertising, broadcasting, logis ...
acquired 32.4% of Hi-Mart. in June 2010, the company went public.
In July 2012,
Lotte Corporation
Lotte Corporation is a South Korean Multinational corporation, multinational Conglomerate (company), conglomerate corporation, and the fifth-largest chaebol in South Korea. Lotte was founded on 28 June 1948 by Korean businessman Shin Kyuk- ...
acquired a 65.3% of Hi-Mart for $1.1 billion. Hi-Mart operated 290 stores in Korea, controlling 35% of the market. The acquisition was maneuvered in the midst of a scandal about its founder and CEO, Seon Jong-koo, accused of embezzlement totaling $228 million.
In April 2012, one witness jumped out his apartment's window after being questioned by Korea's justice about bribing Seon Jong-koo. In December 2014, Seon Jong-koo was replaced by Lee Dong-woo.
He was the second largest shareholder of the company and heavily supported by Hi-Mart's employees.
In October 2012, the deal was approved by the
Korea Fair Trade Commission and the company announced it is changing the stores' names to ''Lotte Hi-Mart''.
See also
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Electronic commerce
E-commerce (electronic commerce) refers to Commerce, commercial activities including the electronic buying or selling Goods and services, products and services which are conducted on online platforms or over the Internet. E-commerce draws on tec ...
*
Online auction business model
An online auction (also electronic auction, e-auction, virtual auction, or eAuction) is an auction held over the internet and accessed by internet connected devices. Similar to in-person auctions, online auctions come in a variety of types, with ...
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Shopping mall
A shopping mall (or simply mall) is a large indoor shopping center, usually Anchor tenant, anchored by department stores. The term ''mall'' originally meant pedestrian zone, a pedestrian promenade with shops along it, but in the late 1960s, i ...
External links
Hi-Mart Homepage
References
Companies based in Seoul
Online retailers of South Korea
Lotte Corporation subsidiaries
Companies listed on the Korea Exchange
2012 mergers and acquisitions
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