The research study focuses on the simple idea of the ‘funnel approach’. This approach looks at the effect/consequence of an occurrence towards a smaller group/entity etc. For this research study, the Asian Financial Market Crisis of 1997 is taken into consideration as the general phenomenon affecting the stakeholders and the citizens. For the specific aspect of this approach, South Korean economy is taken into account. Therefore, the idea of this research study is to portray how South Korea as a country and economy was affected by the 1997 crisis, and how eventually it took correctional measures to recover and be counted as one of the four Asian Tigers. Moreover, this research study looks at the involvement of various tools, statistics and reviews worldwide to show a clear distinction of South Korea in its past years during the crisis, in striking contrast to today, as a leading prototype economy for other economies all around the world. The objective of the study is to learn how a country in the face of adverse conditions, gets itself back to encounter and challenge global conditions considering the dynamic and competitive world today. This study is also focused on furthering the idea of “The Ripple Effect”, which is a spreading and unintentional effect because of an action has already taken place or an action that would prospectively occur. This effect will discover the detailed reasons for the South Korean economy to drop considerably during the crisis years and the almost simultaneous manner in which it was on the path of recovery. There were a lot of countries such as Thailand, Indonesia, Philippines, Hong Kong, Malaysia and Singapore that were affected massively by the 1997 crisis. The most distinctive aspect to be noted here was that South Korea was the first and fastest country to recover and therefore, this research study is an ode to South Korean policy-making and crisis management.