Abstract

South Korea has been continuously praised for its steady economic growth and accurate economic data. ¹ However, in recent reports Korea has also received the lowest-ever scores on accounting transparency from two respectable economic analysis agencies, the World Economic Forum (WEF) and the International Institute for Management Development (IMD). ² The purpose of this chapter is to offer some insights into this conflicting scene by describing the current landscape of accountancy in Korea. We define accountancy as the activities of all parties that are explicitly or implicitly involved in the value chain of producing and consuming accounting information. ³ These parties include the controlling owners, management, audit committees, external auditors, regulators (including standard setters), and outside investors, as shown in Figure 2.1.