CJ CheilJedang will take a leap toward becoming a company loved
and recognizedby the world by creating a business model that
pursues both growth and profit for the company while maintaining social values.
CJ CheilJedang has continued to grow, leading advancements in the domestic food industry to provide safe and healthy food to Korean people for the last six decades, while expanding the scope of our business to food ingredients, processed food, feed and livestock, as well as bio and pharmaceutical products.
Last year, the global economy suffered increased uncertainties due to stagnation in major economies, including Europe and
China, as well as issues such as Brexit and the transfer of power in the White House. Even in Korea, the national economy failed to put an end to the prolonged recession resulting from the restructuring in the large-scale industries (such as shipbuilding, oil refining and steelmaking) and the sluggish domestic market. Nevertheless, in 2016, CJ CheilJedang recorded high operating income by selecting and focusing on its core businesses and enhancing operational efficiency. In the bio business, we stepped into the edible amino acid market. In terms of the feed and livestock business, we increased our share in the rapidly growing markets in Southeast Asia. In the food and ingredient business, we focused on the HMR (Home Meal Replacement) market and the global market to lay the groundwork for future growth. Upholding the management philosophy of CJ Group ‘Creation’, 'Win- Win' and ‘Sharing’ we expanded the activities of ‘Jeulgeoun Donghang (Happy Companion)’, and reinforced CSV activities including the ‘Global CSV project’. Because of these efforts, we are now recognized as a company with high social contribution both at home and abroad.
There still are risk factors in the global economy this year, including Trump’s protectionist trade policies and aggressive interest rate policies, political uncertainties in the Eurozone in the aftermath of Brexit, and the slowdown of growth in China and other emerging countries. With the expected frustrated export performance even in Korea, the domestic market will become more sluggish, maintaining the low growth trend. Furthermore, shrinking consumption and delayed investment caused by the political chaos inside and outside the country are predicted to have an additional negative impact on the overall domestic market.
In 2017, CJ CheilJedang pledge to overcome the challenging market conditions with support from our stakeholders and devoted efforts of our executives and employees to become a global company loved and highly appreciated in the global arena. Further, we will develop a business model that pursues both growth and profit for the company, while maintaining social values based on the following efforts.
First, we will accelerate growth by strengthening the competitiveness of the existing businesses, securing future growth engines, and establishing a solid foundation for the growth of our core businesses. We will achieve noteworthy performance by focusing on aggressive expansion of our business into emerging economies and new markets with high growth potential.
Second, we will improve our competitive edge by differentiating our core competencies. Amid prolonged global slump and fiercer competition between companies, we will build strong capabilities and world-class business competitiveness, widening a gap with rival companies and ultimately obtaining the top position in all business sectors.
Last but not least, we will establish our own CSV culture to contribute to society through our business, and promote innovation in our organizational culture to highlight ‘CJ Spirit’, while taking the initiative in ‘Saaeopboguk’ (building a stronger nation through business prosperity) as the demand of the time.
We are committed to fulfilling the promise we made to our customers and stakeholders to receive steadfast support and patronage. Your support and interest in our sustainable growth will be greatly appreciated.