Aekyung Group Under Fire

The Aekyung Group, the parent company of Jeju Air, is under fire as a consumer boycott gains traction following the devastating crash of one of its aircraft at Muan International Airport on Sunday, resulting in the tragic loss of 179 lives. This disaster has not only triggered widespread public outrage but also revived memories of the company's previous scandals, particularly the humidifier disinfectant controversy linked to numerous injuries and deaths.

The Boycott Movement

The burgeoning boycott is fueled by enraged consumers taking to social media, calling for action against Aekyung's diverse range of products. Many are sharing graphics that detail logos and brands owned by Aekyung, which includes popular items in beauty, dental care, and home cleaning sectors, with well-known products like 2080 toothpaste and Kerasys haircare receiving particular attention. This growing movement is resonating on platforms like X (formerly Twitter), amplifying calls to action.

Concerns About Operational Practices

Public sentiment about the boycott is driven by serious concerns regarding the operational practices of Jeju Air. Investigators revealed alarming data showing that the airline's flights clocked an average of 418 service hours per month—a staggering 63 to 83 hours more than its competitors. This shocking revelation has sparked fears that the airline may have prioritized profit over the critical maintenance and safety of their aircraft.

Delayed Response

Further inflaming these tensions, Aekyung Group’s Chairwoman Chang Young-shin took an agonizingly long 11 hours to issue an apology following the tragic incident, with news reports indicating that her initial statement was communicated only to journalists rather than directly to the public. This delay has further aggravated public perception of the group as unresponsive and negligent.

Legal Troubles Resurface

The Aekyung Group is also grappling with a long-standing legal battle stemming from its humidifier disinfectant products, which have been implicated in health problems for at least 98 victims between 2002 and 2011. The case has drawn significant media attention, particularly after the Supreme Court recently sent the case back to the Seoul High Court, leaving in question the extent of liability.

Aekyung's Market Position

Founded in 2005 through a joint venture with the Jeju Special Self-Governing Provincial Government, Aekyung holds a 50.37% stake in Jeju Air. The airline, which became the first Korean budget carrier to go public in 2015, has typically been known for its strong market position and financial performance. However, with the airline reporting sales of 1.72 trillion won (approximately $1.17 billion) and a 170 billion won operating profit in 2023, the fallout from this incident could jeopardize its lucrative standing.

A Crucial Moment for Aekyung Group

As the public backlash grows, industry experts warn that the cumulative effects of these actions could pose a significant threat to Aekyung's reputation and future, raising more significant questions about accountability and consumer trust in the company. With social media buzzing and voices rising against Aekyung, the company faces a pivotal moment in determining how to navigate this turbulent crisis. Will Aekyung Group manage to restore its image and win back consumer confidence, or will this be the tipping point that leads to its downfall? Only time will tell.