YG Entertainment, one of the biggest k-pop agency began to scout big name actors since 2014. The agency now has various top actors such as Cha Seungwon, Choi Jiwoo, Kang Dongwon, Kim heeae and Lee Jongsuk. And it is expected that YG will make a contract with famous actress Go Junhee soon.
Basically, yeah, it is a part of the agency's plans to expand. But let's go into details. K-pop industry has a high degree of uncertainty. For example, BIGBANG, the representative idol group of YG is still very popular but the members are almost 30 and they can't be idol stars for ever. That's why YG has launched its new boy groups such as WINNER and iKON. What YG wants to do is to raise them as the next BIGBANG.
However, that's not enough. WINNER and iKON will grow old too, which means launching a new idol group can't be the ultimate solution to the uncertainty of the k-pop industry.
So, YG has been trying to diversify its business to iron out the uncertainty. The agency has started cosmetics business and fashion business. And the agency is running a food-related business too. And yeah, about its management business, it began to expand its business by scouting various actors because it helps the agency iron out the uncertainty of the k-pop industry.
Let's see. As I mentioned, idol singers can't be idol stars for ever, but actors can be active as actors even if they get older. And you know, k-pop idols these days are not only active as singers but also as actors. However, the problem is that not anyone can appear in a TV drama and take an important role in the drama. But, what if an idol belongs to the same agency as the main actor of the drama? It could be the agency's bargaining chip, and there is a high probability that the idol can get an opportunity to take an important role in the drama. YG is expecting this kind of synergy effect too.
Well, in September 2016, Yang Hyun Suk commented about the necessity of the business expansion. Let's see what he said.
Q. It's notable that you've been trying to diversify your business.
YG: Various business such as cosmetics, food, and fashion have relevance to YG's contents. Before our singers perform on the stage, they wear clothes and put on makeup. Kanye West runs clothing business too. I think it's foolish not to diversify business.
