[비즈한국] Shinsegae Group Chairman Chung Yong-jin has personally apologized to the public regarding the Starbucks Korea 'Tank Day' controversy. Following a marketing event that used the word 'tank' on the anniversary of the May 18 Gwangju Democratization Movement, which sparked controversy over historical awareness and escalated into political infighting and boycotts, the Chairman stepped in to personally resolve the situation.
Shinsegae Group management held a press conference regarding the Starbucks 'Tank Day' marketing at the Josun Palace Hotel in Gangnam-gu, Seoul, on the morning of the 26th, to reveal the results of their internal investigation and follow-up measures. The press conference was attended by Shinsegae Group Chairman Chung Yong-jin, along with Executive Vice President Lee Gyu-bong, Executive Vice President Jeon Sang-jin, Executive Vice President of External Affairs Kim Su-wan, and Managing Director of the Audit Team Yang Jong-hwan.
According to the internal investigation by Shinsegae Group, the problematic marketing campaign went through a four-stage reporting process: the person in charge, the team leader, the head of the division, and the CEO. The structure involves the planner proposing the event, the team leader reviewing it, and then the planning division head and the CEO granting final approval. However, it was revealed that no one raised any issues during this process.
It was found that some of the seven individuals involved in the marketing event's approval habitually authorized it without even opening the email attachments containing the design drafts. The legal team did not review it either. Shinsegae explained, "The legal verification process was skipped in the rush to prioritize the immediacy of marketing."
Shinsegae has removed five employees from the commerce team responsible for this marketing from their duties and dismissed the Starbucks Korea CEO and the relevant executives. However, they stated that since three members of the commerce team who proposed 'Tank Day' refused to submit their mobile phones, there are limitations to fully confirming whether there was intentionality in the work process. Shinsegae plans to immediately discipline the involved employees and hold them civilly and criminally liable if the police investigation confirms intentionality to disparage the May 18 Democratization Movement.
The management stated, "The employees in charge of the marketing were identified as two in their early 20s and three in their late 30s. It appears there was a gap between their historical awareness and the level required by the company and society." They added, "Discussions among employees following the incident revealed remarks that showed they did not fully grasp the severity of the situation. We will prepare relevant training programs so that the entire group can have a correct historical consciousness."
It is understood that Chairman Chung Yong-jin's apology to the public was his own decision. Although Starbucks Korea had issued an apology, the controversy did not subside, leading to discussions about the need for further action around the weekend, during which Chairman Chung decided to apologize himself.
In particular, the fact that the controversy spread beyond a simple marketing mistake into political infighting and ideological conflict appears to have influenced his decision. As the June 3 local elections approached, some political groups engaged in a boycott of Starbucks, which was countered by "proof of purchase" posts, turning the matter into a political issue beyond the corporate level.
In fact, some in the conservative camp posted photos certifying their Starbucks purchases, showing support for Chairman Chung as a "conservative entrepreneur." Given that the controversy was fueling political interpretations rather than just consumer backlash, it is interpreted that Chairman Chung stepped in to apologize to prevent the situation from further escalating.
A Shinsegae official stated, "It is true that it is burdensome to see the situation expand into a political debate, with support pouring in from the conservative camp. Above all, we believe it is not right for the partners working in our stores to be harmed."
Regarding this controversy, Starbucks headquarters explained to Bizhankook, "May 18 is a day of great historical and human significance. Although it was not intentional, it was something that should never have happened. We are painfully aware that it caused deep pain and insult to the victims, their bereaved families, and all those who cherish those who contributed to Korea's democratization."
They also added, "Starbucks Korea has immediately halted this campaign and is taking this matter very seriously. Accountability measures regarding the relevant leadership have been taken, and a thorough investigation is underway. We are strengthening internal controls, review standards, and company-wide training to prevent a recurrence. We sincerely apologize to the citizens of Gwangju, those affected by this tragedy, our customers, and the local community."