The privatization plan of public enterprises is a trend to reconsider the efficiency of enterprises, and Korea has enforced the plan many times in the past.
Generally, privatization was realized five times, from the first in 1968 to the fifth in 1998. In the first, it was accomplished through selling stocks and investment in-kind in commercial banks. The privatization converted the previous deficits to surplus. However, the government was criticized for selling the public enterprises to the plutocrats for a low price. Moreover, it caused a concentration of economic power. The government would have to use a method like dispersing the stocks to people to minimize it. However, in that case, clarity of process of sale will have to be secured.
The second privatization in 1980 was carried out in the way of an open competitive tender. It was accomplished to create the given condition of financial liberalization centering around four commercial banks such as Hanil Bank, First Bank, Trust Bank and Chohun Bank. It ended in only a partial sale of the government’s stocks. To realize this method successfully, autonomous management has to be accomplished. However, the financial system will need to improve the poor banks at the same time.
The third privatization was promoted by constituting a committee which would promote the privatization. It caused dullness in the stock market because of the influx of a top-ranking public company’s stocks in large quantities. It was because the scale of the internal stock market was weak. There are many ways to minimize the burden on the stock market such as expanding the foreign stocks or making a contract with general stockholders to sell some stocks as convertible bonds. The government will have to run the privatization, combining these policies to succeed.
The fourth privatization was accomplished in 1993, proposing ‘the small government.’ Therefore, the government presented 58 public enterprises for selling, handing over the right of management, and amalgamation of 11 organizations. However, it couldn’t achieve those aims. It is because there was strong resistance by the interested parties. Direct and indirect resistance of them can make the actual results of the privatization low or lead to a failure. The government has to search for ways to relieve the worries of interested parties.
The fifth privatization was realized as a way of overcoming the economic crisis, the International Monetary Fund (IMF) era. The privatization for some companies succeeded, however, some ended with partial privatization due to opponents’ opinions when the driving force of the policy decreased in a late period of political power. Generally, the government tried to promote the policy in an early period of political power, but there is a trend that the passion becomes weaker later. Officials will have to show their firm beliefs to the people and promote a consistent policy. 
The government is realizing the privatization because of its necessity, but reactions by the people are still negative. It was because there were 10 years of inactivity after the fifth privatization, and there were problems in the privatizations which were realized in the past. However, it would be better finding a way to advance to the future than worrying about the inactivity and taking the opposite side.