As the Northeastern Asia emerges as one of the 3 trading zones around the world and the competition among neighboring countries intensifies to provide a hub of business and logistics in the region, Korea needs a new survival strategy revolving around reformation of its economy. The Free Economic Zone is to invite global premium corporations by providing business and living environment appealing towards global community and upgrading our social institutions to the global standards with a view to lifting our economy to the next level of development and positioning Korea as the business hub of Northeastern Asia by enhancing our global competitiveness. As an initiative to enable proactive response to the challenges facing Korea following the concentration of industrial production capability within China and the ensuing realignment of global economy as well as to learn best-cases in corporate management and lay ground for preemptive response to changes in global economy by inviting foreign businesses and to promote positive production effects by incorporating the value chain of Korean economy within the value chain of global economy, the Free Economic Zone Act and its enforcement decree were enforced on December 31, 2002 and June, 2003 respectively, which has led to designation of 3 free economic zones to date.