한·중 FTA가 한국화장품을 중국 시장에 진출에 미치는 영향에 관한 연구

A Study on the Export Market Impacts of China-Korea FTA: Focusing on the Exports of Korean Cosmetics

An FTA is a preferential trade aggreement that mitigates tariff and non-tariff barriers on goods, investments, servies, government procurement, intellectual property rights among member countries, and promotes mutual trade promotion, with particular focus on eliminating tariffs. It is mainstream and proceeds to economic integration through the steps of free trade agreements, customs alliance, common market and single market. In this study, the main factors that the Korea-China FTA affects exports of Korean cosmetics to Chain are the expansion of consumer markets and the enhancement of brandsm product diversity, and market competitiveness through price. The result are as follows: securing safety of direct investment, exporting manufacturing and technology, and benefiting from small and medium cosmetics companies in Korea. Increasing exports to China include localization, targeting niche markets through market segmentation, utilizing “Hallyu” and marketing of word-of-mouth experience, utilizing the origin effect of “Made in Korea”, joint cooperation among small and medium-sized cosmetic companies, establishment of FTA consortium and adequate support from relevant agencies. The Korean market for Chinese cosmetics is expected to be rapidly hit by the Korea-China FTA. The low-priced brand in China is a relatively high proportion and the FTA will likely strengthen the martket position in China. The marketing strategy through cost reduction, quality improvement, and advertising and promotional budgets is expected to boost Korean cosmetic brands in China. This study provides an in-depth analysis of the characteristics and current status of the Korea-China FTA and the Chinese cosmetics market, and examines the effects of Korean cosmetics on exports to China following the conclusion of the Korea-China FTA.