Abstract
This study reviewed current facts on overseas manufacturing factories of garment vendors that were launched in the countries that have a great influence of the Korean Wave, and investigated the influence of Korean Wave in its sourcing area. By doing so, this study aims to present basic data in order to help fabric and garment vendors to enter into the fashion markets of different countries through a local network. For data collection and analysis, Windows SPSS 19.0 was used for frequency analysis of the facts and figures of the local manufacturing factories. In-depth interviews regarding the current facts on local manufacturing factories and the influence of Korean Wave were conducted with 16 Korean garment manufacturing factories in Vietnam and 9 in Indonesia among the overseas garment companies that were registered in the Korean Apparel Industry Association. Through the interview, it was found that new companies should investigate custom tariffs, salary level of the local employees, and infrastructure prior to launching above all. Also, as a result of analyzing competitors and competitive advantages, good treatment of local employees and a good labor environment were noted the most. As for the influence of the Korean Wave, the image of Korea was positive and favorable, but it did not directly affect the preference for Korean companies. After investigating the obstacles that prevented the entrance into local markets, it was found that the rise in the salary level was the biggest hindrance.