Korea market feasibility study for global SME founders — brief risk checklist

Begin by stating the specific decisions you will make after the feasibility phase. At a minimum, separate three hypothesis groups: (1) market demand — that a describable customer segment needs what you sell at an acceptable price; (2) channel viability — that a distribution or sales approach can reach that segment reliably; and (3) operational feasibility — that basic legal, fulfillment, and support arrangements are achievable within cost and compliance constraints. Write short, testable hypothesis statements such as “Tech-savvy mid-market HR teams in Seoul will pay for monthly licenses at X price.”

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For each hypothesis list the exact evidence that would change your decision. Evidence should be observable and attributable: signed pilot agreements or deposits, measured conversion rates from a Korean-language landing page, documented logistics quotes or local tax estimates from recognized firms. Avoid relying on anecdotal interest or single introductions. Also record what specialist confirmation you will require—e.g., a Korean-licensed tax advisor to confirm VAT treatment or a labor lawyer to confirm contractor vs. employee risks—so that those confirmations are budgeted into the gate review.

Translate each hypothesis into a 4–8 test plan that is low-cost and time-boxed. Examples: a targeted Korean-language paid acquisition funnel to measure click-to-demo conversion, a two-month pilot with one Korean buyer on commercial terms, or a local logistics feasibility check with two carriers. For each test record inputs (resources, local language assets, contact lists), the exact metric you will observe, who will run it, and the time bound. Use Korean-language assets for any customer-facing test: English-only outreach will undercount demand and bias results.

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Choose tests that produce binary or graded signals you can interpret without guesswork. For demand, a binary signal could be a written pilot agreement or a minimum number of paid trial users over the period. For channels, a successful signal might be a partner who agrees to a documented go-to-market pilot with measurable lead handoff metrics. For operations, secure a written cost and timeline estimate from a qualified local service provider. Avoid tests requiring multi-month integration or heavy custom work before basic validation.

Run tests in a way that captures raw signals and the context that produced them. Maintain an evidence log with items such as timestamped landing page analytics, screenshots of message threads, copies of pilot agreements, and written quotes from suppliers or advisors. For any meetings or introductions, record who initiated contact and why; in Korea, introductions often come through networks and reputation, so capture whether interest stemmed from cold outreach or a trusted referral.

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Actively document potential bias and limit-of-evidence issues. For instance, meetings arranged through a personal contact may overstate general demand; a single retailer agreeing to a trial is not interchangeable with a repeatable channel. Also note any language gaps—if all positive signals came from English-speaking expatriates or multinational subsidiaries, that suggests a different product-market fit than mass-market Korean customers.

Before you fund an expansion tranche, set explicit quantitative and qualitative thresholds tied to the initial hypotheses. Example thresholds: at least three paid pilot users from distinct legal entities, a minimum conversion rate on a Korean landing page, and written operational cost estimates within your target margin. Pair these with required confirmations: a Korean-accountant’s written estimate for VAT and withholding implications, and a local counsel’s memo on labor classification risks. Only approve funding if both signal thresholds and specialist confirmations are satisfied.

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Define the funding envelope and milestones for the next phase, including who has authority to greenlight expenditures. If thresholds are not met, have pre-agreed fallback actions: additional targeted testing, pivoting channel strategy, or deferring Korea as a funded priority. Record the decision rationale in a short gate memo to ensure learning is preserved. This discipline prevents incremental spending driven by optimism rather than evidence.