Business Crisis and Management Fashion: Korean Companies,Restructuring and Consulting Advice

The concept of management fashion has become increasingly common in studies of management knowledge diffusion, although rarely applied outside of Western economic settings. In this article we examine the activities of one group of management fashion setters, global management consultancies, and their role in the restructuring of Korean industry following the 1997 economic crisis. We find that large Korean companies made significant use of Western consultancies in the aftermath of the 1997 crisis. However, while the engagement of Western management experts provided an impression of reform, the adoption of consultant-directed change has been variable and consultants faced considerable client resistance to the adoption of new practice. The article explores the reasons underlying the limited embrace of Western consulting expertise in Korea and highlights the implications of the Korean case for management fashion theory.