This paper discusses strategies for strengthening the competitive advantage of Korean firms in response to the conclusion of the Uruguay Round Agreement. For Korean firms to fundamentally strengthen their competitive advantage, they must innovate by utilizing new knowledge. However, since firms in advanced countries will further strengthen the protection of intellectual property rights under the Uruguay Round Agreement, Korean firms must first explore various methods for securing intellectual property in order to strengthen their competitive advantage. Korean firms must also improve their business structures and strengthen inter-firm cooperation. In particular, subcontracting transactions between large enterprises and small and medium-sized enterprises must be expanded, and to this end, post-contractual opportunism must be eliminated. Korean firms can strengthen or supplement their competitive advantage by utilizing various international management strategies. From this perspective, Korean firms should develop systems integration strategies across all aspects of international management and expand strategic alliance relationships with foreign firms. Since government support for enterprises will also be subject to constraints from relevant international norms under the Uruguay Round Agreement, industrial support policies should be focused on promoting corporate innovation. Therefore, various innovation-inducing measures are needed to foster entrepreneurship and to vitalize research and development.