SEOUL, May 26 (Reuters) – Shares in South Korean retailer Shinsegae fell on Tuesday after its Chairman Chung Yong-jin made a public apology over a Starbucks Korea marketing campaign that evoked a brutal 1980 military crackdown on pro-democracy protesters.
The retail conglomerate, which operates the Korean unit of Starbucks, has faced public backlash over its “Tank Day” campaign involving tumblers on May 18, as the country commemorated the student-led Gwangju Uprising of May 1980.
“I take it very seriously that Starbucks Korea’s inappropriate marketing hurt and angered many people,” Chung said. “I will take all responsibility for the incident.” Shinsegae shares opened higher on Tuesday, but then fell 2.6% after Chung’s comments.
Hundreds of people are estimated to have died or gone missing when the military dictatorship of Chun Doo-hwan deployed troops and tanks to crack down on the protests.
Shinsegae fired the head of Starbucks Korea last week after apologising over “inappropriate marketing.” Starbucks Global has also apologised and said an investigation had begun.
Following the criticism, South Korea’s Interior Minister said his ministry would stop offering products from companies that “make light” of the country’s democratic history.
Starbucks Korea is 67.5% owned by E-Mart and 32.5% by Singapore’s sovereign wealth fund GIC, according to a company filing.
(Reporting by Heekyong Yang and Heejin KimEditing by Ed Davies)
Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibility for its content.