A view of Gwangjang Market in Seoul’s Jongno District, where customer traffic has dwindled. (Yonhap)
SEOUL, Nov. 24 (Korea Bizwire) — A long-running controversy over price-gouging at Seoul’s iconic Gwangjang Market has escalated into a legal battle, as brick-and-mortar shop owners move to sue street vendors for damages, arguing that repeated scandals have driven customers away and caused significant financial harm.
According to interviews conducted by Yonhap News Agency, the Gwangjang Market Merchants’ Association, representing roughly 200 traditional storefronts, plans to file a lawsuit seeking more than 300 million won (about US$230,000) in damages from the Gwangjang Traditional Market Merchants’ Association, which is composed largely of street-food vendors. A formal notice was sent on Nov. 13, but no response has been received.
Gwangjang Market is divided into two sections, each with its own merchants’ association. The complaints center on price-gouging incidents involving vendors in the traditional market zone — the area known for its bustling food alley and popular with foreign tourists — which store owners say have tarnished the reputation of the entire market.
Shopkeepers report a steep drop in business since the latest scandal. A manager at a well-known yukhoe (seasoned raw beef) restaurant said weekend lines have disappeared, revenue has plunged below 60 percent of normal levels, and year-end reservations have dried up. A crafts shop owner of 13 years said downturns often last months: “When Korean customers stop coming, word spreads, and foreign tourists follow.”
Another merchant who sells traditional snacks said Saturday sales have fallen from 3 million won to about 1 million won since the controversy erupted.
The storefront merchants’ association says it has been inundated with angry calls meant for others because of the similar names of the two groups. The street vendors’ association, however, has signaled it will fight back if sued.
Officials at Jongno District, which oversees the market, said they have spoken with both sides but have not intervened, noting that no lawsuit has yet been formally filed.
The dispute underscores deepening tensions in one of Seoul’s most famous markets, where the commercial fortunes of traditional shops and increasingly influential street vendors have become sharply intertwined — and now, openly adversarial.
Lina Jang (linajang@koreabizwire.com)
