While I think the subject is probably a bit more nuanced than Bland’s portrayal, I’m going to keep linking the same thing I always link because it has a relevant passage:

However, Kimilsungism differs from Maoism in rejecting the strategy of forming joint state-capitalist (joint state-private) enterprises in favour of forming ‘cooperatives’ in conjunction with the national capitalists:

“Our country was the first to transform capitalist traders and manufacturers along socialist lines by using the cooperative economy … This is an original experience”. (‘Socialist Transformation of Private Trade and Industry in Korea’; Pyongyang; 1977; p. 28).

“Comrade Kim Il Sung held that, different from some socialist countries, it was wholly unnecessary for the peaceful transformation of capitalist trade and industry to assume the form of state capitalism”. (Baik Bong: op. cit., Volume 2; p. 520).

This process of cooperativisation was not enforced upon national capitalists, but was an entirely voluntary process:

“Our Party adopted the line of transforming capitalist trade and manufacturing along socialist lines and saw to it that the capitalist traders and manufacturers were drawn into diverse forms of cooperative economy in strict observance of the voluntary principle”, (Kim Il Sung: ‘Let Us further Strengthen the Socialist System of Our Country’, in: ‘Selected Works’, Volume 6; Pyongyang; 1975; p. 317).

“The important demand of the voluntary principle is … to strictly guard against coercive methods in cooperativisation and conduct this movement according to the free will of private traders and manufacturers”. (‘Socialist Transformation of Private Trade and Industry in Korea’; Pyongyang; 1977; p. 31).

Of the three forms of cooperative introduced into Korea, two forms were open to national capitalists to join if they wished. In the second form, the national capitalists received what amounted to interest on the capital they brought with them when they entered the cooperative:

“The second form (of cooperation –Ed.) was a semi- socialist form in which the means of production were under both joint and private ownership and both socialist distribution according to work done and distribution according to the amount of investment were applied. The third form was a completely socialist form in which … only socialist distribution applied”. (KIm Han Gil: op. cit.; p. 387).

As has been said, the national capitalists were empowered to choose not only whether to join a cooperative, but which type they would join:

“The essential requirement of the voluntary principle is to make private traders and manufacturers … choose the forms (of cooperation — Ed.) of their own accord, instead of imposing any form on them”. (‘Socialist Transformation of Private Industry and Industry nd (‘Socialist Transformation of Private Trade and Industry in Korea’; Pyongyang: 1977; p. 72).

“The voluntary principle and the principle of mutual interests were observed in the cooperative transformation of capitalist traders and manufactuerers”. (Baik Bong: op. cit., Volume 2; p. 520).

Thus, most national capitalists tended to choose the second form of cooperation, since in this way they received

” … reasonable dividends upon the investments”. (‘Socialist Transformation of Private Trade and Industry in Korea’; Pyongyang; 1977; p. 143).

“The second form (of cooperation — Ed.) was popular in the cooperation of capitalist trade and industry. It was a rational form which was readily acceptable to capitalists because it applied distribution according to the amount of investment”. (Kim Han Gil: op. cit.; p. 387).

However, according to the WPK, the mere act of joining a cooperative transformed national capitalists into ‘socialist working people’:

“By joining the producers’ cooperatives, the entrepreneurs and traders … were transformed into socialist working people”. (Kim Il Sung: ‘The Democratic People’s Republic is the Banner of Freedom and Independence for Our People …’, in: ‘Selected Works’, Volume 5; Pyongyang; 1975; p. 151).

By August 1958,

” … the ratio of private traders and industrialists who joined cooperatives stood at … 100% by the end of August 1958″. (‘Socialist Transformation of Private Trade and Industry in Korea’; Pyongyang; 1977; p. 153).

So that, on this basis, Kim Il Sung felt able to declare in September 1958:

“The socialist transformation of production relations has now been completed … Thus, our society has become a socialist one”. (Kim Il Sung: ‘Against Passivism and Conservatism in Socialist Construction’, in: ‘Selected Works’, Volume 2; Pyongyang; 1975; p. 233).

Though I would say that the bigger concern is probably that of bureaucrats controlling the means of production with, in the main, a joke of a puppet legislature standing where popular input should (the Supreme People’s Assembly). And there’s also the more traditional capitalists in the Special Economic Zone, but that’s more recent and only in part of the country.