Netmarble, the South-Korean mobile game developer, has pledged to join the United Nations Global Compact. The UNGC is an initiative set up by the United Nations in order to ensure corporate sustainability by making moves to ensure rigorous standards of accountability, sustainability, equity and other good practices throughout the corporate world.
The news comes both courtesy of Niko Partners’ end of year reporting, as well as a story on Korean language site Hankyung (Also known as the Korean Economic Daily). The move has numerous small but significant implications for how Netmarble will be operating through 2023 and what the future may hold for the corporation as a whole.
Sustainability and PR
For one, the obvious first benefit to Netmarble is that they will be able to point to this pledge as a significant PR step. Showing that they’re dedicated to numerous, universally approved movements is always a good tick on the corporate 'to do' list. It also offers them a more international branding, dedicating themselves to something that is adhered to the world over.
And increased sustainability and accountability is always a good thing.
It could also indicate greater confidence going into 2023. If Netmarble were in a significantly difficult position, taking on board side moves such as joining the UNGC may not be high on their priority list. Also such moves may indicate that larger plans to expand and recover from the post-Covid gaming industry slump are underway.
It also indicates that Netmarble are confident in their ability to adhere to the guidelines set out by the UNGC, which could show capacity for expansion or existing capability.
Netmarble indeed saw a strong final quarter of 2022, with 14.4% increase in YoY (year-on-year) revenue that buoyed the company. In comparison to companies elsewhere in Asia, such as China which has been struggling under complications from government policy, and Singapore where Sea Ltd, owner of Garena are seeing layoffs and projects cancelled, Netmarble are seeing distinct growth and profitability.