• Title/Summary/Keyword: Benefits of E-Commerce

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The Effects of Price-Framing and Message-Framing Strategies on Consumer Attitudes: Focusing on Online Travel Products (가격 프레이밍과 메시지 프레이밍 전략이 소비자 태도에 미치는 영향: 온라인 여행상품을 중심으로)

  • Kim, Mi-Kyung;Chung, Nuree;Yang, Sung-Byung
    • The Journal of Information Systems
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    • v.26 no.3
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    • pp.119-147
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    • 2017
  • Purpose In an online e-commerce environment without face-to-face contact between the seller and the buyer, the attitudes of consumers differ greatly depending on which framing strategy is applied, even in cases when the benefits of the deals represent the same value. The purpose of this study is to explore the effects of price-framing and message-framing strategies on consumer attitudes through an experimental analysis in the context of online travel product purchasing. This study suggests a research model based on prospect theory and prior literature on price-framing and message-framing strategies. Design/methodology/approach The experiment was structured as a 2 (discount price presentation: 'Won' vs. '%') ${\times}$ 2 (discount level: low vs. high) ${\times}$ 2 (time-limit message: none vs. one) mixed design. The research hypotheses were tested in a study of 200 undergraduate and graduate students assigned randomly and distributed evenly to each of the eight cells. Findings The findings indicate that consumer attitudes become more favorable when the '%' discount, higher discount rate, and time-limit message are presented. However, no significant interaction effect is found between the discount price presentation and the discount level/time-limit message. This study has a theoretical implication in that it extends the scope of research by examining the influence of framing strategies on experience goods such as online travel products. Moreover, this study can provide managers with more specific guidelines when establishing framing strategies in the context of purchasing online travel products.

The Digital Mock-Up Information System for New Car Development

  • Min, Sung-Ki;Lee, Chul-Woo
    • Proceedings of the CALSEC Conference
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    • 1999.07a
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    • pp.277-299
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    • 1999
  • Since Chrysler Motor Co. had experienced the digital development system in the beginning of 1990's, most of leading automobile companies are trying to apply a digital information system for their own business process reengineering based upon concurrent engineering system from product planning phase. This is called as virtual DMU(Digital Mock-Up) system instead of the traditional PMU(Physical Mock-Up) system. By using the virtual prototype, all of the design requirements and system specifications can be checked, changed and optimized more quickly and more efficiently. This paper consists of five chapters for the DMU information system. In the 1$^{st}$ chapter, the principle of digital design system is suggested by using four basic modules such as product design module, process design module, manufacturing system design module and central control module. The basic scheme of DMU is introduced with the benefits of application in the chapter 2. In the chapter 3, a digital design process of new car development is explained with the detailed DMU design and design review processes. In the chapter 4, the practical DMU manufacturing techniques and applications are introduced as CAD/CAM analyses, DPA(Digital Pre-Assembly)reviews for development, production, operation and maintenance phases, digital tolerance analyses and digital factory analyses for assembling line simulation, automated robot welding processes, production jig & fixtures and painting process simulation. Finally, the activities of digital design support; CAS-styling, CAE-engineering and CAT-testing are summarized for design optimization in the chapter 5. As today's automobile manufactures and related business organizations are struggling to compete in the global marketplace, they are concentrating on efficient use of DMU information system to reduce the new car development cost, to have shorten the delivery schedule and to improve product design quality. To meet the demand of those automobile industries on digital information systems, the CALS(Computer aided Acquisition and Logistics Support) and EC(Electronic Commerce)initiative has been focused as a dominant philosophy in defense & commercial industries, specially automobile industries.s.

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Improvements of Local Government Shopping Mall (지방자치단체 농산물 쇼핑몰 운영 개선 방안 연구)

  • Lim, Gyuhong
    • The Journal of the Korea Contents Association
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    • v.14 no.10
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    • pp.279-286
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    • 2014
  • In this study, the local government proposes to improve agricultural products of the mall. Based on precedent studies, the variables that influence Customer Satisfaction are defined as; Product Quality, Delivery, Price. The result of study model verification is as below. Product Quality, Delivery and Price have positive influence on Customer Satisfaction. Price and Customer Satisfaction have positive influence on Repurchasing intention. Agricultural products through e-commerce transactions is increasing. But, the decreasing sales of professional Mall. Agricultural products have a variety of distribution channels. Because of the distribution system in a variety of price differences. People think that the most important factor is the price. Improvement is as follows. (1) To offer accurate product information, (2) Continuous content maintenance, (3) Conducted a variety of events, (4) To provide consumers with various benefits, (5) Offer a variety of product configurations, (6) Select the appropriate sales methods, (7) Provide ease of search.

Design and Implementation of Hotel Reservation System Based Spring Framework 2.5 of Lightweight Container Architecture (경량 컨테이너 구조 환경의 스프링 프레임워크 2.5를 기반으로 호텔예약시스템의 설계 및 구현)

  • Lee, Myeong-Ho
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.10 no.3
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    • pp.589-595
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    • 2009
  • This paper proposes an object-oriented software development guidance and an evaluation index for the productivity related to Spring Framework 2.5. Spring Framework is a known successful open source standard model for lightweight container architecture. Non EJB and the EBJ architecture to resolve the problem with benefits to support the new architecture is a lightweight container architecture. This architecture, such as the EJB, but not heavy, to provide all of the architecture is possible. The lightweight container architecture is most often used in business spring framework is well-known architecture. Therefore, this research has the Non EJB and the EJB to solve the advantages and disadvantages developed to support the latest spring framework 2.5 lightweight container architecture based on the design and implementation of a hotel reservation system with the objective through the specification of the software previously to provide guidance to development productivity.

Right of disposition of cargo and Air waybill (송하인의 운송물 처분청구권과 항공화물운송장)

  • Nam, Hyun-Sook;Choi, June-Sun
    • The Korean Journal of Air & Space Law and Policy
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    • v.30 no.2
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    • pp.177-199
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    • 2015
  • Commerce enriches human life enriched and within commerce, transportation of cargo is arguably the most important in business transactions. Traditionally, marine transport has been major commercial transaction, but carriage cargo by air is on the increase. While the fare for freight in comparison with that of ocean is higher, air freight has many benefits that justify the higher shipping fee; lower insurance premium, packing charges, inventory control, cost management and especially speed. Therefore, air freight transport is accumulating gradually. An air waybill(AWB) is needed in the air transport flow. It is a nonnegotiable security, so the holder cannot transfer of a right to a third party. Some scholars suggest that a negotiable AWB is needed. However, it seems nearly impossible to do so; an e-AWB use shows a gain in numbers, even if it has not met expectations. Going forward, it would appear reasonable to conduct a follow-up study on the utility and legal problem for e-AWB. After sending goods, the consignor has the right of disposition of cargo in some cases, and more research is necessary, because it is related to change of ownership and a trade settlement. According to WATS (World Airlines Transport Statistics), the Korean Air took third place in international freight in 2014, and fifth in total, domestic and international to great acclaim. However, there is a lack of research supporting the business showing. It is hope that more studies on e-AWB, stoppage in transit, and a risk of outstanding amount, etc. connect to develop Korean air freight industry.

The Impact of Market Environments on Optimal Channel Strategy Involving an Internet Channel: A Game Theoretic Approach (시장 환경이 인터넷 경로를 포함한 다중 경로 관리에 미치는 영향에 관한 연구: 게임 이론적 접근방법)

  • Yoo, Weon-Sang
    • Journal of Distribution Research
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    • v.16 no.2
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    • pp.119-138
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    • 2011
  • Internet commerce has been growing at a rapid pace for the last decade. Many firms try to reach wider consumer markets by adding the Internet channel to the existing traditional channels. Despite the various benefits of the Internet channel, a significant number of firms failed in managing the new type of channel. Previous studies could not cleary explain these conflicting results associated with the Internet channel. One of the major reasons is most of the previous studies conducted analyses under a specific market condition and claimed that as the impact of Internet channel introduction. Therefore, their results are strongly influenced by the specific market settings. However, firms face various market conditions in the real worlddensity and disutility of using the Internet. The purpose of this study is to investigate the impact of various market environments on a firm's optimal channel strategy by employing a flexible game theory model. We capture various market conditions with consumer density and disutility of using the Internet.

    shows the channel structures analyzed in this study. Before the Internet channel is introduced, a monopoly manufacturer sells its products through an independent physical store. From this structure, the manufacturer could introduce its own Internet channel (MI). The independent physical store could also introduce its own Internet channel and coordinate it with the existing physical store (RI). An independent Internet retailer such as Amazon could enter this market (II). In this case, two types of independent retailers compete with each other. In this model, consumers are uniformly distributed on the two dimensional space. Consumer heterogeneity is captured by a consumer's geographical location (ci) and his disutility of using the Internet channel (${\delta}_{N_i}$).
    shows various market conditions captured by the two consumer heterogeneities.
    (a) illustrates a market with symmetric consumer distributions. The model captures explicitly the asymmetric distributions of consumer disutility in a market as well. In a market like that is represented in
    (c), the average consumer disutility of using an Internet store is relatively smaller than that of using a physical store. For example, this case represents the market in which 1) the product is suitable for Internet transactions (e.g., books) or 2) the level of E-Commerce readiness is high such as in Denmark or Finland. On the other hand, the average consumer disutility when using an Internet store is relatively greater than that of using a physical store in a market like (b). Countries like Ukraine and Bulgaria, or the market for "experience goods" such as shoes, could be examples of this market condition. summarizes the various scenarios of consumer distributions analyzed in this study. The range for disutility of using the Internet (${\delta}_{N_i}$) is held constant, while the range of consumer distribution (${\chi}_i$) varies from -25 to 25, from -50 to 50, from -100 to 100, from -150 to 150, and from -200 to 200.
    summarizes the analysis results. As the average travel cost in a market decreases while the average disutility of Internet use remains the same, average retail price, total quantity sold, physical store profit, monopoly manufacturer profit, and thus, total channel profit increase. On the other hand, the quantity sold through the Internet and the profit of the Internet store decrease with a decreasing average travel cost relative to the average disutility of Internet use. We find that a channel that has an advantage over the other kind of channel serves a larger portion of the market. In a market with a high average travel cost, in which the Internet store has a relative advantage over the physical store, for example, the Internet store becomes a mass-retailer serving a larger portion of the market. This result implies that the Internet becomes a more significant distribution channel in those markets characterized by greater geographical dispersion of buyers, or as consumers become more proficient in Internet usage. The results indicate that the degree of price discrimination also varies depending on the distribution of consumer disutility in a market. The manufacturer in a market in which the average travel cost is higher than the average disutility of using the Internet has a stronger incentive for price discrimination than the manufacturer in a market where the average travel cost is relatively lower. We also find that the manufacturer has a stronger incentive to maintain a high price level when the average travel cost in a market is relatively low. Additionally, the retail competition effect due to Internet channel introduction strengthens as average travel cost in a market decreases. This result indicates that a manufacturer's channel power relative to that of the independent physical retailer becomes stronger with a decreasing average travel cost. This implication is counter-intuitive, because it is widely believed that the negative impact of Internet channel introduction on a competing physical retailer is more significant in a market like Russia, where consumers are more geographically dispersed, than in a market like Hong Kong, that has a condensed geographic distribution of consumers.
    illustrates how this happens. When mangers consider the overall impact of the Internet channel, however, they should consider not only channel power, but also sales volume. When both are considered, the introduction of the Internet channel is revealed as more harmful to a physical retailer in Russia than one in Hong Kong, because the sales volume decrease for a physical store due to Internet channel competition is much greater in Russia than in Hong Kong. The results show that manufacturer is always better off with any type of Internet store introduction. The independent physical store benefits from opening its own Internet store when the average travel cost is higher relative to the disutility of using the Internet. Under an opposite market condition, however, the independent physical retailer could be worse off when it opens its own Internet outlet and coordinates both outlets (RI). This is because the low average travel cost significantly reduces the channel power of the independent physical retailer, further aggravating the already weak channel power caused by myopic inter-channel price coordination. The results implies that channel members and policy makers should explicitly consider the factors determining the relative distributions of both kinds of consumer disutility, when they make a channel decision involving an Internet channel. These factors include the suitability of a product for Internet shopping, the level of E-Commerce readiness of a market, and the degree of geographic dispersion of consumers in a market. Despite the academic contributions and managerial implications, this study is limited in the following ways. First, a series of numerical analyses were conducted to derive equilibrium solutions due to the complex forms of demand functions. In the process, we set up V=100, ${\lambda}$=1, and ${\beta}$=0.01. Future research may change this parameter value set to check the generalizability of this study. Second, the five different scenarios for market conditions were analyzed. Future research could try different sets of parameter ranges. Finally, the model setting allows only one monopoly manufacturer in the market. Accommodating competing multiple manufacturers (brands) would generate more realistic results.

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  • The Effects of Headquarters' Levels of Control and Subsidiaries' Local Experiences on Competency in Foreign Subsidiaries: A Quadratic Model Investigation of Korean Multinational Corporations

    • Lee, Jae-Eun;Kang, Joo-Yeon;Park, Jung-Min
      • Journal of Korea Trade
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      • v.24 no.1
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      • pp.82-98
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      • 2020
    • Purpose - This study aims to overcome the limitations of existing studies, which linearly determine the precedence factors of competency in overseas subsidiaries. The research objectives are as follows. First, what kind of nonlinear effects does the level of control held by Korean headquarters over foreign subsidiaries have in terms of competency in the subsidiaries? Second, what kind of nonlinear effects do the local experiences of overseas subsidiaries have on their competency? Design/methodology - With data on Korean multinational corporations (MNCs), this paper analyzes the effects of control levels of headquarters (HQs) and host-country experiences of foreign subsidiaries regarding competency in overseas subsidiaries. In particular, this study focuses on nonlinear models, differentiating it from previous studies. In order to examine research hypotheses, this study conducted a survey of overseas subsidiaries of Korean corporations. Surveys were conducted through various methods including e-mail, online questionnaires, fax, and telephone calls. Copies of the questionnaire were distributed to a total of 2,246 overseas subsidiaries, and 409 completed responses were collected. Excluding 15 copies that were insufficiently answered, responses from a total of 394 copies were used for analysis. Findings - This study presents the following results. First, there is a U-shaped relationship between levels of HQ control and competency in foreign subsidiaries. This means that higher levels of HQ control negatively impact the competency levels of subsidiaries because strict control undermines autonomy in subsidiaries. However, if the level of HQ control exceeds a certain point, then the transfer of knowledge between HQs and subsidiaries is facilitated. Knowledge transferred from HQs can be used as prior knowledge by foreign subsidiaries to the benefit of all parties. Accordingly, knowledge transfer negates the negative effects of excessive HQ control and positively affects competency in subsidiaries. Second, there is an inverted U-shaped relationship between the local (host-country) experiences of subsidiaries and competency in foreign subsidiaries. This means that foreign subsidiaries can overcome the liabilities of foreignness and contribute to capability building by accumulating unique knowledge about their host countries. However, if local experiences accumulate excessively beyond a certain point, then the host country-specific experiences of foreign subsidiaries will offset the benefits discussed above. Excessive local experiences not only increase organizational inertia, but also create a problem of goal incongruence due to information asymmetry between HQs and subsidiaries. Therefore, excessive local experiences have negative effects on competency in foreign subsidiaries. Originality/value - This study suggests the following implications. First, unlike existing studies based mainly on linear models, this study presents important theoretical implications in its focus on nonlinear models and its analysis of the effects of HQ control and local experiences on competency in foreign subsidiaries from perspectives of organizational learning theory and agency theory. Second, in terms of practical implications, the results of this study suggest that optimally raising levels of HQ control and managing the local experiences of subsidiaries without increasing organizational inertia is important for enhancing competency in foreign subsidiaries.

    A Conjoint Analysis of Online Information Privacy Concerns: A case in Korea (온라인 프라이버시 침해 우려에 관한 컨조인트 분석 : 한국에서의 사례)

    • Choi, Mi-Young;Lee, Sang-Yong Tom
      • Asia pacific journal of information systems
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      • v.18 no.3
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      • pp.45-65
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      • 2008
    • The rapid growth of the Internet has increased the amount of transmission of personally identifiable information. At the same time, with new Internet related technologies, organizations are trying to collect and access more personal information than before, which in turn makes individuals concern more about their information privacy. For their successful businesses, organizations have tried to alleviate these concerns in two ways: (1) by offering privacy policies that promise certain level of privacy protection; (2) by offering benefits such as financial gains or convenience. In this paper, we interpret these actions in the context of the information processing theory of motivation. This paper follows Hann et al.(2007)'s methods to analyze Internet users privacy concerns in Korea and tries to compare the findings. Our research objectives are as follows: First, we analyze privacy concern mitigation strategies in the framework of the expectancy theory of motivation. Subsequently, we show how the expectancy theory based framework is linked o the conjoint analysis. We empirically validate the predictions that the means to mitigate privacy concerns are associated with positive valences resulting in an increase in motivational score. In order to accommodate real-life contexts, we investigate these means in trade-off situation, where an organization may only be able to offer partially complete privacy protection and/or promotions and/or convenience, While privacy protection (secondary use, improper access) are associated with positive valences, we also find that financial gains can significantly increase the individuals' motivational score of a website in Korea. One important implication of this empirical analysis is that organizations may possess means to actively manage the privacy concerns of Internet users. Our findings show that privacy policies are valued by users in Korea just as in the US or Singapore. Hence, organizations can capitalize on this, by stating their privacy policy more prominently. Also organizations would better think of strategies or means that may increase online users' willingness to provide personal information. Since financial incentives also significantly increase the individuals' motivational score of website participation, we can quantify the value of website privacy protection in terms of monetary gains. We find that Korean Internet users value the total privacy protection (protection against errors, improper access, and secondary use of personal information) as worthy as KW 25,550, which is about US 28. Having done this conjoint analysis, we next adopt cluster analysis methodology. We identify two distinct segments of Korea's internet users-privacy guardians and information sellers, and convenience seekers. The immediate implication of our study is that firms with online presence must differentiate their services to serve these distinct segments to best meet the needs of segments with differing trade-offs between money and privacy concerns. Information sellers are distinguished from privacy guardians by prior experience of information provision, To the extent that businesses cannot observe an individual's prior experience, they must use indirect methods to induce segmentation by self-selection as suggested in classic economics literature of price discrimination, Businesses could use monetary rewards to attract information sellers to provide personal information. One step forward from the societal trends that emphasize the need of legal protection of information privacy, our study wants to encourage organizations and related authorities to have the viewpoints to consider both importance of privacy protection and the necessity of information trade for the growth of e-commerce.

    On the Study of Developement for Urban Meteorological Service Technology (도시기상서비스 기술 개발에 관한 연구)

    • Choi, Young-Jean;Kim, Chang-Mo;Ryu, Chan-Su
      • Journal of Integrative Natural Science
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      • v.4 no.2
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      • pp.149-157
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      • 2011
    • Urbanization of the world's population has given rise to more than 450 cities around the world with populations in excess of 1 million (megacity) and more than 25 so-called metacities with populations over 10 million (Brinkhoff, 2010). The United States today has a total resident population of more than 308,500,000 people, with 81 percent residing in cities and suburbs as of mid - 2005 (UN, 2008). Urban meteorology is the study of the physics, dynamics, and chemistry of the interactions of Earth's atmosphere and the urban built environment, and the provision of meteorological services to the populations and institutions of metropolitan areas. While the details of such services are dependent on the location and the synoptic climatology of each city, there are common themes, such as enhancing quality of life and responding to emergencies. Experience elsewhere (e.g., Shanghai, Helsinki, Tokyo, Seoul, etc.) shows urban meteorological support is a key part of an integrated or multi-hazard warning system that considers the full range of environmental challenges and provides a unified response from municipal leaders. Urban meteorology has come to require much more than observing and forecasting the weather of our cities and metropolitan areas. Forecast improvement as a function of more and better observations of various kinds and as a function of model resolution, larger ensembles, predicted probability distributions; Responses of emergency managers, government officials, and users to improved and probabilistic forecasts; Benefits of improved forecasts in reduction of loss of life, property damage, and other adverse effects. A national initiative to enhance urban meteorological services is a high-priority need for a wide variety of stakeholders, including the general, commerce and industry, and all levels of government. Some of the activities of such an initiative include: conducting basic research and development; prototyping and other activities to enable very--short and short range predictions; supporting and improving productivity and efficiency in commercial and industrial sectors; and urban planning for long term sustainability. In addition urban test-beds are an effective means for developing, testing, and fostering the necessary basic and applied meteorological and socioeconomic research, and transitioning research findings to operations. An extended, multi-year period of continuous effort, punctuated with intensive observing and forecasting periods, is envisioned.

    Study on the Electronic Contract (전자계약에 관한 연구)

    • Kim, Jae-Nam;Park, Jong-Ryeol
      • Journal of the Korea Society of Computer and Information
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      • v.19 no.6
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      • pp.129-138
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      • 2014
    • The Electronic contract means creation sign management and storage of contract by online without limitations of the time and space through the electronic signature and encode which based on the Certificate instead of the past that treatment the contract such as creation sign management and storage of contract by face-to-face. Recently, the remarkable development of information and communication technology with supplying the high-speed Internet services. Accordingly, the transaction contract made by these also, the steady legal effect occurred by two or more parties by legal action which is the electronic agreement of expression. and it makes agreement improving corporate productivity and it can control the whole process such as contract documents and the actual buying store provision. Like this it has many benefits so, it suddenly rising as the new axis of economic activity area, it is a reality. In this change of era, with the establishment of electronic contracts, there are many problems are occurred to the expression of parties which is core of the contract on civil code so, the systematic legal composition is required. Thus, in this study will propose the reasonable improvements about the issue of electronic contract through the consideration.


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