Abstract：The actual mechanism of Songdo Free Economic Zone in Incheon, South Korea, has been provided. Contrary to previous researches, which either consider globalizing market force as naturally causing mega-projects or regarding the state as orchestrating mega-project in order to upgrade a national economy, this paper adopts a new approach. This approach acknowledges the importance of state in building Songdo. However, motivations of the bureaucrats were more about their own interest rather than that of the state. The plan of making Songdo a global business hub such as Singapore was not carefully planned. Boosting up local economy by initiating huge construction project and expansion of the bureaucratic organization were also important. The foreign school in Songdo, which is open to local children, is good news to high bureaucrats who are likely to send their kids abroad for education.