• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.11 no.4
• /
• pp.1-15
• /
• 2016

Startups in Korea are experiencing for themselves the laws of survival through competition in the local and international market, and are performing active business movements based on these. Korea's economic growth rate is 2.6% due to the slump in the domestic demand and reduced exports brought by the MERSC incident in 2015. The Korea Development Institute has estimated the economic growth rate in 2016 to be around 3.0%. South Korea's economy is facing the crisis of low-growth solidification due to the decrease in economic growth, and it is forecasted that growth without employment and polarization will worsen. Startups in the high-tech industrial generation of a particular field wherein the market environment is rapidly changing must maintain a competitive advantage with the capabilities and functions exclusive to them. It is very important that they maintain a competitive edge by utilizing the capabilities exclusive to startup companies. Likewise, the accumulation of resources is also crucial in determining the success of a startup business. In a poor local startup ecosystem, majority of the startup companies are performing their business activities while striving for survival, rather than success. About 80% are struggling to survive and are failing to overcome the "Death Valley" faced 3-5 years after establishing the company. Since majority of the startups fail to achieve results during the initial stages of foundation, the importance of research on business activities and achievement during the early stages of establishment is being raised. In accordance to this, this research has performed an actual analysis on how the activities of startups during their preparation phase and early stages affect their achievements. A survey was done on the CEOs or executives (people in a position to make decisions) of local small and medium-sized enterprises that are considered start-ups, and 203 valid data were collected and analyzed. Results showed that the discoveries and utilized activities necessary for the businesses of startups have a significant impact on their achievement through the entrepreneur resources and external partners' cooperation; additionally, the related implications were discussed.

• The Journal of Small Business Innovation
• /
• v.19 no.3
• /
• pp.17-42
• /
• 2016

Financial Accounting Standards Board (FASB) Interpretation No. 48 (FIN 48), Accounting for Uncertainty in Income Taxes: An interpretation of FASB Statement No. 109, requires firms to evaluate uncertain tax positions and disclose information on their liabilities for these positions, unrecognized tax benefits (UTBs). We analyze the FIN 48 disclosures for calendar-year-end Korean companies listed on NYSE and NASDAQ and examine the Korean firms' tax aggressiveness utilizing the UTBs. The results suggest that stock exchange and firm size do not play a role in the Korean firms' tax aggressiveness, contrary to the matched U.S. firms and that the Korean firm in the miscellaneous retail industry is more tax aggressive than the firms in the communications, depository institutions and business services. In addition, we find evidence that the Korean firms are less tax aggressive than the matched U.S. firms. We also examine the Korean firms' tax avoidance tendencies using other measures of avoidance, leading to mixed results. Finally, we examine the association between the UTBs and other measures of tax avoidance and find a significant and negative association between the UTBs and the long-run cash effective tax rate.

• Management & Information Systems Review
• /
• v.37 no.3
• /
• pp.131-145
• /
• 2018

The purpose of this study is to analyze the effect of the fit between innovation strategy and firm characteristics on innovation performance. We conducted surveys for venture companies in the Southeast region, The results of multiple regression analysis based on 135 questionnaires are as follows : First, the higher the fitness between innovation strategy and social network level, the higher the innovation performance. Second, the higher the fitness between innovation strategy and management control system level, the more positive effect on innovation performance. Finally, the higher the fitness between innovation strategy and innovation culture, the higher the innovation performance. This result implies that the enterprise characteristics should be designed and operated in accordance with the innovation strategy implementation.

• Journal of Internet Computing and Services
• /
• v.16 no.4
• /
• pp.121-130
• /
• 2015

Technology based start-up is actively encouraged for job creation and economic performance in Korea. The Korean government has implemented a variety of policy for regulatory improvement to vitalize technology based start-up. In order to maximize the effectiveness of the policy for regulatory improvement should be actively reflect the opinions of policy beneficiaries. In this study, The importance of "The progress plan for regulation improvement about vitalization of start-up(25 contents)" published by the government was analyzed using AHP method. The object of study is the beneficiary of the policy(CEO of ICT sector). Analysis showed that the 25 contents were classified into four(1 - expectation of effect, 2 - urgency of system enforcement, 3 - complement of deficiencies, 4 - after careful consideration). This study has a academic significance to quantitative analysis about importance of policy for regulatory improvement. Also, It can be utilized when policy making and practice about technology based start-up.

• Journal of Venture Innovation
• /
• v.6 no.3
• /
• pp.61-72
• /
• 2023

In December 2020, the Fair Trade Act related to South Korea's separation of industrial capital was amended, and it was announced that the amendments would come into effect one year later, on December 30, 2021. The amendment's content involved breaking the previous principle of separating industrial capital from financial market penetration, allowing for the ownership of shares in general holding companies, small business startup investment companies, and technology business finance specialist companies. While the previous law was based on total issued shares' ownership, there were fluctuations in the subsequent trends of annual establishment and investment counts, as well as strategic investment counts of CVC (Corporate Venture Capital) before and after the law's amendment. CVC and IVC (Independent Venture Capital) are characterized differently based on their investment purposes, fund management types, and investment types. In this regard, the relaxation of the separation of industrial capital law is expected to have a positive impact on the future of the venture investment ecosystem and innovation ecosystem. In this study, we analyze the trends in the establishment count, investment count, and strategic investment count of domestic CVC from 2018, before the law amendment, to May 2023. Using 2021, the year the amended separation of industrial capital law was implemented, as a reference point, we examine changes in the trend. The analysis results indicate a significant increase in domestic CVC in 2021 compared to the previous year, along with an increase in investment counts, strategic investment counts, and the amount of investment in strategic investments. Based on these findings, this study suggests directions for further research related to future domestic CVC investment, strategic investment, and the activation of the venture investment market.

• The Journal of Small Business Innovation
• /
• v.20 no.2
• /
• pp.17-34
• /
• 2017

This study examines the role of family involvement and national culture in entrepreneurs' choice of mode of entry into entrepreneurship. Mode of entry consists of two choices: starting a new venture or taking over an existing firm. Specifically, we investigate how cultural values moderate the relationship between family involvement and their choice of business takeover. Using a cross-national sample of 3,831 respondents from 33 countries in Flash Eurobarometer data, we develop key variables and test our hypotheses employing hierarchical linear modelling. Our results show that the relationship between family involvement of entrepreneurs and their choice of business takeover is moderated by individualism, short term orientation, and power distance. This research contributes to understanding comparative international entrepreneurship based on national culture. Implications for policy makers and educators are discussed.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.13 no.1
• /
• pp.23-30
• /
• 2018

Recent global economic recession and recession of employment have made various efforts to revitalize entrepreneurial ecosystem by presenting entrepreneurial spirit and creative talent development as national top priority strategy in major developed countries. Based on data from the Global Entrepreneurship Trend Report (GETR), which has been conducted by the Venture Small Business Division and the Korea Entrepreneurship Foundation since 2015, the study will be conducted by the entrepreneurs of 10 countries in 2015 and 2016 The components of mental ecosystem were compared and verified. The results showed that entrepreneurship education effect and entrepreneurial environment showed positive relationship with entrepreneurship of individual and organization. Also, entrepreneurship education effect, entrepreneurial environment, individual entrepreneurship. On the other hand, organizational entrepreneurship was not found to have a significant effect on entrepreneurial type (livelihood / opportunistic entrepreneurship). In this study, entrepreneurship education as a lifelong education is required in order to enhance entrepreneurial ecosystem in Korea and to increase the quality of entrepreneurship which is increasing quantitatively. Finally We emphasizing the importance of creating a favorable entrepreneurial environment and offer some suggestions.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.18 no.4
• /
• pp.165-175
• /
• 2023

In venture creation research, studying 'entrepreneurial leadership' is important for uncovering and comprehending the underlying causal process in innovative behavior performance. Although previous studies provide that entrepreneurial leadership enhances followers' innovative behavior, there is few research on entrepreneurial leadership and followers' characteristics interaction. The present study's focus is paradoxical effects of entrepreneurial leadership on self-efficacy and innovative behavior. On the basis of individual regulatory focus, this study suggests that interaction effects of entrepreneurial leadership and followers' regulatory focus differed in promotion view and prevention view followers' innovative behavior. To strengthen the casual mechanism, this study conducted in priming experiment method using employees in SMEs. This study used a 2(entrepreneurial leadership vs. control) x 2 (regulatory focus: promotion vs. prevention) between-participants design. The results of this study provide that (1) Individuals in promotion focus especially benefited from entrepreneurial leadership in terms of its effect on their self-efficacy and innovative behavior; (2) whereas entrepreneurial leadership was negatively related to self-efficacy and innovative behavior of followers' prevention focus. In sum, results of the present study supporting evidence for hypotheses, combined effect of entrepreneurial leadership and regulatory focus on innovative behavior through self-efficacy. Experimental results confirmed hypotheses of this study, revealing that promotion focus show more innovative behavior than prevention focus when their leaders' leadership style is entrepreneurial leadership. Also, the paradoxical effect of entrepreneurial leadership and regulatory focus of followers on innovative behavior was mediated by followers' self-efficacy. This study helps explain how leaders' entrepreneurial leadership boost followers' innovative behavior, particularly for those employees who have promotion focus. The current study contributes to the theory of entrepreneurial leadership and regulatory focus and innovation literature. Findings of this study shed light on the organizational processes that shape innovative behavior in venture/startup corporations and provide contributions for venture business field.

• Analyses & Alternatives
• /
• v.8 no.2
• /
• pp.117-140
• /
• 2024

Major countries are actively pursuing policies to promote entrepreneurship to foster economic growth and employment. Meanwhile, although South Korea's entrepreneurial ecosystem has shown robust quantitative growth since the COVID-19 pandemic, it is still criticized for its shortcomings compared to other major countries. Based on this, this study aims to derive a comprehensive innovation entrepreneurship index for each country to foster an innovative entrepreneurial ecosystem and sustainable growth in South Korea. Specifically, this study first analyzed the entrepreneurial ecosystem of various countries. Second, we utilizing data from sources such as the Global Entrepreneurship Monitor, Global Innovation Index, and World Bank, the study calculates a comprehensive innovation entrepreneurship index for each country. Finally, this study analyzes the type of South Korea's innovation entrepreneurship index and suggests the future direction of through cluster analysis.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.11 no.2
• /
• pp.183-195
• /
• 2016

Although we have faced substantial public interests on the issues of small-business, the lack of effective solutions corresponding to them should be worried. This paper introduces findings from the application of Triple Helix to counseling activities for small-business stores with diagnosing problems and suggesting alternatives. The findings of this paper are based on counseling projects conducted by Gyunggi Small-medium Business Corporation, universities in the region, and multiple small-business stores together from June to November in 2015. The application of Triple Helix was positive for increasing the effectiveness of counseling, and this key finding was obtained from action research cycles. It was also confirmed that cooperation from three different entities including company, university and government institute was beneficial in increasing problem identification capabilities by students and providing opportunities for testing knowledge and skills, which means Triple Helix application to small-business helps management education to be more practical. Contributions of this study supplies substantial insights to academic audience, and practitioners can learn positive effects of Triple Helix and potential issues for implementation in the context of small-business counseling.