OBS_VALUE: The Korean Government has instituted a number of policies intended to promote domestic small and medium-sized enterprises (SMEs). In particular, with respect to public procurement of goods or services, the value of which is below the publicly notified amount, the heads of public institutions shall preferentially conclude a PP contract with SME. The law categorizes companies by size, with foreign-based multinational companies frequently categorized as “large” (regardless of their actual size) because SME is defined solely in terms of sales volume. To be considered SME, business must also be deemed independent in ownership and operations (not a subsidiary of a large entreprise). However, for the purposes of this measure favourable conditions granted to the SME are not considered as a restriction.