SEOUL – Serolab, the rapidly growing cosmetics brand founded by Cho Min, daughter of prominent politician Cho Kuk, has vehemently refuted allegations that it received preferential treatment to secure an entry deal with a major Korean duty-free store.
Cho Min, whose father is the leader of the opposition Rebuilding Korea Party, published an official statement from Serolab on her social media on October 1st, addressing the controversy. The company asserted that the claims of special privilege regarding its duty-free store launch are "completely contrary to the facts" and a "distortion of a normal commercial transaction process." Serolab expressed "deep regret" over the misreporting.
The brand has now demanded immediate corrections, retractions, and the deletion of the articles. Serolab warned that if these demands are not met, it will file a complaint with the Press Arbitration Commission and pursue legal action, including defamation charges, stating it will "pursue legal responsibility to the end" for the damage caused to its reputation.
Growth and Commercial Selection Process
Serolab detailed its swift commercial success, which it claims led to the duty-free opportunity. Launched approximately 10 months ago, the company announced that its cumulative sales have exceeded 1.5 billion KRW (roughly $1.1 million USD) as of September, driven by strong domestic performance and initial entry into foreign markets like Thailand.
The brand's robust growth allegedly attracted the attention of the industry. Serolab stated that it received simultaneous entry proposals from three separate duty-free vendor companies. The ultimate selection, the company explained, was made after objectively reviewing commission rates and contract terms, emphasizing that the process adhered to "industry-standard procedures."
While Serolab had hoped for distribution across multiple duty-free outlets, the company ultimately agreed to a condition from the selected vendor for exclusive entry into Shilla Duty Free. Serolab explained it accepted the single-store requirement after negotiations but plans to expand its distribution to other duty-free stores once the current contract period concludes.
Compliance and Transparency
Serolab also addressed a separate, recent controversy concerning the alleged temporary omission of the manufacturer’s label on online listings. The company clarified this was a "temporary error" that occurred during the Shilla Duty Free website update process. They confirmed that the information was corrected immediately, and all product details now "accurately comply with all legal regulations."
Reiterating its commitment to ethical business practices, Serolab stressed that "transparent management and compliance with the law have been our foremost values since our founding." The company concluded by pledging to continue an honest and transparent operation, prioritizing customer trust above all else.
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