I understand that prestige is super important, especially for those who want high achieving careers, so it makes sense kids decide to hold off one year if they can get in a school that will greatly improve or maintain the type of life they're used to, but I'm still a bit surprised to hear that so many kids do that.
The other universities are good too! A friend of mine graduated from one in Daegu and now has a good job in Seoul living well and supporting his family.
Sure, I suppose if they'd graduated from Seoul university, they might be doing even better, but I wonder if going to Seoul university and ending up being average is considered better than someone graduating with flying colors from a "less important" university. Hell, I've seen tons of people graduating from "less important" US institutions and now doing as well than peers from top institutions
Anyhow, it's complicated: ambition is important, but if kids don't get in they might feel like their life is over, when there are plenty of other good options