Lotte Group Chairman Shin Dong-bin on Thursday urged employees to pursue growth and innovation in his New Year address. Shin said this year’s business environment requires structural improvement in the group’s core businesses. He cited a combination of high inflation, high interest rates and a weak currency, as well as geopolitical risks and demographic change. Shin stressed that the group needs efforts rooted in thorough self-reflection to achieve qualitative growth.

Shin called for differentiated results based on autonomy. He said organisations grow as members find tasks on their own and solve them. He said employees must remember that individual competitiveness is the source of corporate competitiveness and break past conventions.

He also urged a proactive response to change. Shin said growth is not possible with a passive attitude. He said the group should anticipate change from a PEST perspective and review its strategies and ways of working. He stressed the need to embed AI as a core competitive strength and use its potential to lead change. He called for completing innovation in core businesses based on strong execution.

The company assessed that it delivered global results last year in chemicals, food and retail. Lotte Chemical built a petrochemical complex in Indonesia. Lotte Wellfood started operating a new plant in Pune, India. Lotteria expanded into the United States and Malaysia. In Vietnam, Lotte Mall West Lake Hanoi strengthened its landmark positioning.

Shin said the need for innovation has been discussed but it has not led to visible results. He said the group should narrow the gap between plans and execution and make this year one that lays the groundwork for sustainable growth.

Shin said, "At the foundation of growth and innovation must be a pledge to deliver the best value we can provide to customers," adding, "In the process of thinking intensely and acting to fulfil this pledge, our fundamental competitiveness will become even stronger."

He added, "Trusting in the group’s underlying strength, let us not fear challenges and change, and move forward confidently to write a new history for Lotte together," encouraging employees.