[쿠팡 美상장] Tasks in front of Kim Bum-seok who broke the 70 trillion won jackpot

Coupang made a’jackpot’ on listing on the New York Stock Exchange (NYSE). The corporate value has soared to a whopping 70 trillion won. However, behind the scenes, there are also a lot of problems at hand. This is a task that Bum-seok Kim, Chairman of Coupang’s Board of Directors (founder), must solve.

The public offering price of Coupang (Trade Code: CPNG), which is listed on the New York Stock Exchange (NYSE) on the 11th, was set at $35 (approximately 39862 won). It exceeds the original price of 32-34 dollars, and is the largest among foreign IPO companies in 7 years since Alibaba.

Experts and industry officials have succeeded in attracting large-scale funds in the global market, but predicted that the stock price will plummet if the vision is not quickly seen after the IPO.

Coupang’s listing report (S-1) submitted to the US Securities and Exchange Commission (SEC) and the risk factors of Coupang that experts have picked are △Improved performance to resolve the massive deficit △Coupang friend’s working environment problem △Competitor’s’anti-coupang Solidarity’ and government regulations. These are the problems that need to be solved inevitably in order for Coupang to grow into the’Korean version of Amazon’.

Coupang has a cumulative deficit of $4.1 billion (about 4.6 trillion won). The size of the annual deficit is decreasing to a peak of 1.12 trillion won in 2018, but it is still in the hundreds of billions. An industry insider said, “It will be difficult to continue to maintain a large deficit even after Coupang is listed.”

To reduce the size of the deficit, a stable source of revenue is needed. However,’Rocket Delivery’, which is regarded as Coupang’s competitiveness, is already providing similar services to a number of competitors. In addition, competitors pursued each other as they pursued alliances to complement each other’s weaknesses.

In the case of Amazon, which Coupang benchmarks, there is a view of concern about Coupang in that it has a cash cow called “Amazon Web Service” (AWS), a cloud service. AWS accounts for more than half of Amazon’s total revenue.

The constant controversy over the overwork of delivery drivers and the resulting damage to the corporate image is also a homework to be resolved. Coupang explained that there is no excessive assignment of tasks every time, but it seems difficult to avoid criticism. In particular, as ESG (environmental, social, governance) management has emerged as a global trend, a question mark is bound to be attached to Coupang’s sustainable growth.

Foreign media were also concerned about Coupang’s overwork. On the 8th (local time), the Financial Times (FT) quoted the voices of trade union activists saying, “Coupang’s biggest innovation is finding a way to squeeze employees using data and artificial intelligence.” Questions are raised,” he reported.

One of the concerns is the possibility of business contraction due to the coupang regulation, where most of the sales come from Korea. In Coupangdo S-1, one of the risks facing the company is’regulatory risk’. Coupang is a major target of the recent government’s platform regulation. As the size of Coupang grows, there is a high possibility that it will be designated as a business group subject to disclosure. In this case, it could be subject to more stringent regulations than it is now.