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Intelligence for Better Decision Making
| Domain | Causal Chain | Possible Outcome |
|---|---|---|
| Macroeconomics & Growth | (Semiconductor export boom ↑ → Terms-of-trade index ↑ → Current-account balance (% GDP) ↑ → Potential GDP growth revision ↑ → Real GDP growth ↑) | The enhanced terms of trade and external surpluses will underpin upward revisions to potential output and drive stronger real GDP growth. |
| Macroeconomics & Growth | (Memory chip price surge ↑ → Import-price pass-through ↑ → Headline CPI/Core CPI ↑ → Inflation volatility ↑ → Inflation-targeting credibility ↓) | Rising import-price pass-through and inflation volatility may erode confidence in the central bank’s ability to keep inflation near its 2 percent target. |
| Competitiveness | (Semiconductor export boom ↑ → Trade-openness & preferential access ↑ → Real export market-share change ↑ → High-value-added export share ↑ → Total-factor productivity level vs frontier ↑) | Greater preferential access and high-value trade gains will accelerate productivity convergence toward the global frontier. |
| Macroeconomics & Growth | (DRAM price surge–driven profits ↑ → Capital-formation rate ↑ → Business fixed-investment growth deviation ↑ → Private fixed-investment growth ↑ → Potential GDP growth revision ↑) | Surging profits will finance elevated business investment, prompting analysts to hike potential GDP growth estimates. |
| Macroeconomics & Growth | (Memory chip price surge ↑ → Global-value-chain reconfiguration velocity ↑ → FDI net inflow (% GDP) ↑ → Foreign-owned green-field project count ↑) | Accelerated value-chain shifts will draw substantial FDI and increase foreign-owned greenfield semiconductor projects. |
| Firms | (South Korean PPI inflation ↑ → Supply-chain restructuring cadence ↑ → Supplier-delivery-times index ↓ → End-to-end supply-chain lead-time deviation ↓ → Capacity-utilisation in manufacturing ↑) | Faster supply-chain restructuring and reduced lead-time variability will boost manufacturing capacity utilization. |
| Technology & Innovation | (Strategic-sector export risk ↑ → Dual-use export-control restrictiveness ↑ → Semiconductor fab utilisation rate ↓ → AI inference cost index shift ↑ → AI adoption GDP uplift ↓) | Tighter export controls will reduce fab utilization, raise AI inference costs, and dampen AI-driven GDP gains. |
Erudite Risk takes an all risks approach to intelligence reporting. We categorize key intelligence into one of 40 different risk intelligence categories.
The goal is to provide intelligence that allows decision makers to avoid being blindsided by what they may have missed, while informing them to make better decisions as well.
Erudite Risk also includes operations categories so you can monitor the environment for better decision making. Everything is tied together--what happens in risk affects operations and what happens in the market impacts risk profiles.
We categorize key intelligence into one of 30 different operations intelligence categories.
Different roles and functions within the organization can monitor different key issue areas. HR may monitor employment, wages, regulations, labor and management relations, etc., while P&L leaders may monitor overall developing trends.
Firefighters battle wildfire raging in Busan for 2nd day
Korea Herald | English | News | Jan. 23, 2026 | Natural Disasters
A wildfire has been burning on a mountain in Busan for a second day, originating at a tile factory in Gijang county on Wednesday evening. The fire spread to a nearby hill, prompting the evacuation advisory for around 30 people from a local resort. No casualties have been reported so far.
As of early Thursday morning, 65 percent of the 11-hectare fire was under control, with around 340 personnel including firefighters, police, and forestry officials working to contain it. Authorities plan to deploy 17 helicopters, five of which are military, to combat the fire amid strong wind forecasts of up to 15 meters per second.
The Korea Forest Service and local fire authorities have warned of dry conditions in Busan, increasing wildfire risks in the area. Efforts continue to prevent further spread of the blaze amid these challenging weather conditions.
"물류는 매일 바뀐다…유연한 로봇 자동화가 답"
Logistics Change Daily… Flexible Robotic Automation Is the Answer
ZD Net Korea | Local Language | News | Jan. 23, 2026 | Supply Chain Issues
CJ Logistics is extensively implementing a "physical AI" strategy that integrates artificial intelligence, robotics, and simulation to address the dynamic and complex nature of logistics environments. Goo Seong-yong, head of automation development, highlighted that unlike manufacturing, logistics requires flexible use of space and the handling of varying product types throughout the day, which renders traditional fixed automation equipment like conveyors inadequate. The company is therefore focusing on robot-based automation that offers mobility and adaptability.
At e-commerce fulfillment centers such as the Incheon GDC, CJ Logistics has introduced mobile palletizers capable of handling multiple types of boxes in random order, enabled by reinforcement learning-based simulations. Similarly, a random piece-picking robot was deployed at the "The Market" center in Dongtan to manage about 300 product types using improved AI segmentation models, significantly reducing development time through virtual simulation environments.
CJ Logistics prioritizes development speed as a competitive edge, aiming to complete the transition from line construction to operation within three months post-contract. To achieve this, all robot and AI development is based on the Robot Operating System (ROS), with a significant proportion of internal developers trained accordingly. The company leverages virtual data generation and simulation to overcome challenges related to frequent changes in box designs, enabling rapid adaptation within hours.
Further innovation includes a vision-language-action (VLA) model using a dual-arm robot, developed in collaboration with ROBOTIS, which demonstrated quick deployment capabilities. Goo emphasized that despite perceptions of high AI costs, well-trained models can substantially reduce on-site development costs and time, proving cost-effectiveness in logistics automation. He also noted that ROS has unified robotics technology for 18 years and is expected to accelerate change in the logistics sector over the next 5 to 10 years.
Lee slams political-religious collusion as 'path to national ruin' in New Year's press conference
Joongang Ilbo | English | News | Jan. 23, 2026 | Communal and Religious Strife
President Lee Jae Myung condemned the collusion between politics and religion as a "path to national ruin" during his New Year's press conference on January 21, 2026. He highlighted the unacceptable use of religious groups like the Unification Church and Shincheonji Church of Jesus in political election meddling and called for stern punishment of such acts. Lee responded to recent accusations that these organizations influenced political processes, including bribery and mass mobilization to sway primaries and elections. Religious leaders meeting with Lee also urged the disbanding of illegitimate religious organizations.
Lee outlined a national growth strategy centered on five key pillars: regionally-led growth, inclusive growth, safety-based growth, culture-driven growth, and peace-supported growth. He emphasized the need for a "great leap forward through a great transformation" as existing strategies fail to ensure future development. Lee pledged continued efforts to combat irregularities, unfair practices, and to pursue prosecutorial reform geared toward fairness and efficiency, with potential allowances for limited supplementary investigations.
On economic issues, Lee acknowledged concerns over the Korean won's recent weakening but said the government would take measures to stabilize the exchange rate. He expressed confidence that the won’s value would recover within one or two months and positioned this as a relatively stable situation compared to other currencies. On industrial and policy matters, Lee addressed the ongoing political debate about the Yongin semiconductor cluster project, insisting that companies choose locations based on profitability rather than political pressure, and reaffirmed government commitment to the existing plan.
Regarding housing prices and taxation, Lee noted taxes should primarily secure national finances and not be used primarily as regulatory tools, reserving such measures as a last resort. On nuclear power plant construction, he advocated for decisions based on necessity, safety, and public opinion, warning against overturning policies simply due to administrative changes, in the interest of policy stability and sustainability.
The 173-minute press conference, Lee's longest to date, included 25 reporter questions and a mix of serious policy discussion and lighter moments, such as his humorous response to questions about his close relationships with aides.
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