IRKOM Brief

With a history of more than 30 years, K-pop's global expansion has been limited largely to Southeast Asia, and even more so to the markets of Japan and China. Against this backdrop, Big Hit (predecessor to HYBE), known for producing BTS, is not only entering the US and UK markets, home to pop music that was long impenetrable for Korean artists, but also growing as a global multi-label company with many artists who make it to the Billboard charts and the iTunes store in more than 100 countries every time they release a new song. With its recent purchases of various global labels, Big Hit is expected to continue to take on these challenges. This is a case study that examines the management philosophy and directions behind the sustainable successes of Hybe Co., Ltd. as well as the challenges yet to be resolved. To this end, we will explore their strategies in three stages of its growth: 1) Big Hit, until BTS made it to the US Billboard Charts in 2017, 2) Hybe Corporation, as a multi-label company started from 2020, and 3) Hybe International, recently establishing itself as a multinational company by actively acquiring major global labels in the U.S., Japan, and South America. Our research on the first phase focuses on Big Hit's strategy to create strong competence through its various innovative challenges, especially the longevity factors that have sustained their success. The theory of “serendipity,” or “unexpected discovery,” is often mentioned in attempts to predict the success of venture companies or their case studies in recent years. We believe that it is a critical factor in understanding the root of Hybe success. This study also delves deep into Hybe’s organizational culture that has enabled its people to develop a unique approach to overcoming the diverse difficulties on the road to growth, make endless attempts and efforts, discover innovative methods for motivating creativity. Furthermore, considering the volatility of the entertainment industry, where cultural and emotional aspects weigh heavily and fierce competition and constant noise are part of everyday life, it is particularly worth paying attention to HYBE's management strategies. These specific cases will help us understand how Big Hit has continued to grow for more than 13 years since the days of managing only one group, BTS. The primary purpose of this study is to find and instantiate strategies that can be shared with many Korean companies seeking global success. Moreover, this study presents more in-depth and diverse evidence for several factors such as continuous innovation, authenticity, and teamwork for the first-year research. In conclusion, it is hoped that this study will help many companies seeking a foothold in the global market to discover and strengthen success factors – which they may already have – more quickly and more aggressively.