'Drugstore boom hurts smalls businesses'

The number of large “drugstores” in Korea that sell cosmetics and other products is on the rise, government data shows, and some small business owners aren’t too happy about it.

Such stores, including Olive Young, sell beauty products as well as drugs, supplements and accessories. According to the Ministry of Trade, Industry and Energy, there are 669 drugstores all over the country, representing a four-fold increase from 2009.

While many shoppers like their sleek interior design, the conglomerate-owned businesses present a problem to smaller companies because of the wide range of products offered.

“The drugstores have all kinds of products ranging from snacks to beverages,” said Choi Seung-jae the chairman of the Korea Small Business Association.

According to the research by the Small and the Medium Business Association, more than half of small business owners claimed business had suffered due to nearby drugstores. The association reported that the drugstores had caused many pharmacies to shut down.