• 한국균학회소식:학술대회논문집
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• 2018.05a
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• pp.27-27
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• 2018

The production scale of mushroom cultivation in Korea is approximately 600 billion won, which is 1.6% of the Korean gross agricultural output. Annually, ca. 190,000 tons of mushrooms are harvested in Korea. Although the numbers of mushroom farms and cultivators are constantly decreasing, the total mushroom yields are increasing due to the large-scale cultivation facilities and automation. The recent expansion of the well-being trend causes increase in mushroom consumption in Korea: annual per capita consumption of mushroom was 3.9kg ('13) that is a little higher than European's average. Thus the exports of mushrooms, mainly Flammulina velutipes and Pleurotus ostreatus, have been increased since the middle of 2000s. Recently, however, it is slightly reduced. However, Vietnam, Hong Kong, the United States, the Netherlands and continued to export, and the country has increased recently been exported to Australia, Canada, Southeast Asia and so on. Canned foods of Agaricus bisporus was the first exports of the Korean mushroom industry. This business has reached the peak of the sale in 1977-1978. As Korea initiated trade with China in 1980, the international prices of mushrooms were sharply fall that led to shrink the domestic markets. According to the high demand to develop new items to substitute for A. bisporus, oyster mushroom (Pleurotus ostreatus) was received the attention since it seems to suit the taste of Korean consumers. Although log cultivation technique was developed in the early 1970s for oyster mushroom, this method requires a great deal of labor. Thus we developed shelf cultivation technique which is easier to manage and allows the mass production. In this technique, the growing shelf is manly made from fermented rice straw, that is the unique P. ostreatus medium in the world, was used only in South Korea. After then, the use of cotton wastes as an additional material of medium, the productivity. Currently it is developing a standard cultivation techniques and environmental control system that can stably produce mushrooms throughout the year. The increase of oyster mushroom production may activate the domestic market and contribute to the industrial development. In addition, oyster mushroom production technology has a role in forming the basis of the development of bottle cultivation. Developed mushroom cultivation technology using bottles made possible the mass production. In particular, bottle cultivation method using a liquid spawn can be an opportunity to export the F.velutipes and P.eryngii. In addition, the white varieties of F.velutipes were second developed in the world after Japan. We also developed the new A.bisporus cultivar "Sae-ah" that is easy to grown in Korea. To lead the mushroom industry, we will continue to develop the cultivars with an international competitive power and to improve the cultivation techniques. Mushroom research in Korea nowadays focuses on analysis of mushroom genetics in combination with development of new mushroom varieties, mushroom physiology and cultivation. Further studied are environmental factors for cultivation, disease control, development and utilization of mushroom substrate resources, post-harvest management and improvement of marketable traits. Finally, the RDA manages the collection, classification, identification and preservation of mushroom resources. To keep up with the increasing application of biotechnology in agricultural research the genome project of various mushrooms and the draft of the genetic map has just been completed. A broad range of future studies based on this project is anticipated. The mushroom industry in Korea continually grows and its productivity rapidly increases through the development of new mushrooms cultivars and automated plastic bottle cultivation. Consumption of medicinal mushrooms like Ganoderma lucidum and Phellinus linteus is also increasing strongly. Recently, business of edible and medicinal mushrooms was suffering under over-production and problems in distribution. Fortunately, expansion of the mushroom export helped ease the negative effects for the mushroom industry.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.16 no.5
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• pp.109-124
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• 2021

This study tried to verify the causal relationship that SMEs' organizational culture and self-efficacy would affect job crafting and job satisfaction. Unlike previous domestic studies that have been studied for organizational culture at the organizational level and self-efficacy at the individual level, this study tried to verify the interaction between job crafting and job satisfaction using different mechanisms as antecedent factors. In order to verify the research model of this study, questionnaires of 144 small and medium-sized enterprises (SMEs) workers located in Seoul and metropolitan areas were analyzed. Factor analysis and correlation analysis were performed to verify the reliability and validity of the research model on the relationship between variables, and empirical analysis was performed using regression analysis and mediation effect analysis to verify the hypothesis. The results of the study were first, that organizational culture and self-efficacy had a positive (+) effect on job crafting. On the other hand, relationship-oriented culture and hierarchical-oriented culture, which are sub-factors of organizational culture, were found to be insignificant. Second, organizational culture and self-efficacy were found to have a positive (+) effect on job satisfaction. On the other hand, it was found that market-oriented culture and hierarchical-oriented culture, which are sub-factors of organizational culture, were not significant. Third, job crafting was found to have a positive (+) effect on job satisfaction. On the other hand, it was found that the sub-factors of job crafting, disruptive job demands and social job resources, were not significant. This means that organizational culture partially affects job crafting and job satisfaction of SMEs, and job crafting also partially affects job satisfaction. The implications of this study are first, suggesting the meaning of SME organizational culture for stable and efficient human resource management for SMEs suffering from low productivity and high turnover rate. Second, it was meaningful to understand the possibility of introducing job crafting as an effective job management plan for SMEs. Third, in the current situation where there are few cases of practical introduction of job crafting, research on understanding job crafting for SMEs and improving job satisfaction is thought to be helpful in improving the productivity of SMEs.

• Journal of Applied Tourism Food and Beverage Management and Research
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• v.8
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• pp.89-121
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• 1997

Many of the measures and policies advocated by supply-siders, such as lower taxation, less government intervention, more freedom from restrictive legislation and regulation, and the need for increased productivity can be found in writing the classical economist. Nor is supply-side economics a complete divorcement from Keynesian analysis. In both camps the objectives are the same-high level employment, stable prices and healthy economic growth, the means or suggestions for attaining the objectives, however, differ. Consequently, recommended economic policies and measures are different. keynesians rely primarily on the manipulation of effective demand to increase output and employment and to combat inflation. They assume ample resources to be available in order that supply will respond to demand. The supply-siders emphasize the need to increase savings, investment, productivity and output as a means of increasing income. Supply-siders assume that the increase in income will lead to an increase in effective demand. Keynesians suggest that savings, particularly those not invested, dampen economic activity. Supply-siders hold that savings, or at least an increase in after-tax income, stimulates work effort and provides funds for investment. Perhaps keynesians are guilty of assuming that most savings are not going to be invested, whereas supply-siders may erroneously assume that almost all savings will flow into investment and/ or stimulate work effort. In reality, a middle ground is possible. The supply-siders stress the need to increase supply, but Keynes did not preclude the possibility of increasing economic activity by working through the supply side. According to Keynes' aggregate demand-aggregate supply framework, a decrease in supply will increase output and employment. It must be remembered, however, that Keynes' aggregate supply is really a price. Lowering the price or cost of supply would there by result in higher profit and/ or higher output. This coincides with the viewpoint of supply-siders who want to lower the cost of production via various means for the purpose of increasing supply. Then, too, some of the means, such as tax cuts, tax credits and accelerated depreciation, recommended by suply-siders to increase productivity and output would be favored by Keynesians also as a means of increasing investment, curbing costs, and increasing effective demand. In fact, these very measures were used in the early 1960s in the United State during the years when nagging unemployment was plaguing the economy. Keynesians disagree with the supply-siders' proposals to reduce transfer payments and slow down the process of income redistribution, except in full employment inflationary periods. Keynesians likewise disagree with tax measures that favored business as opposed to individuals and the notion of shifting the base of personal taxation away from income and toward spending. A frequent criticism levied at supply-side economics is that it lacks adequate models and thus far has not been quantified to any great extent. But, it should be remembered that Keynesian economics originally was lacking in models and based on a number of unproved assumptions, such as, the stability of the consumption function with its declining marginal propensity to consume. Just as the economic catastrophe of the great depression of the 1930s paved the way for the application of Keynesian or demand-side policies, perhaps the frustrating and restless conditions of the 1970s and 1980s is an open invitation for the application of supply-side policies. If so, the 1980s and 1990s may prove to be the testing era for the supply-side theories. By the end of 1990s we should have better supply-side models and know much more about the effectiveness of supply-side policies. By that time, also, supply-side thinking may be more crystallized and we will learn whether it is something temporary that will fade away, be widely accepted as the new economics replacing Keynesian demand analysis, or something to be continued but melded or fused with demand management.

• Journal of Intelligence and Information Systems
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• v.18 no.4
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• pp.97-116
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• 2012

Conceptual modeling is an important step for successful system development. It helps system designers and business practitioners share the same view on domain knowledge. If the work is successful, a result of conceptual modeling can be beneficial in increasing productivity and reducing failures. However, the value of conceptual modeling is unlikely to be evaluated uniformly because we are lack of agreement on how to elicit concepts and how to represent those with conceptual modeling constructs. Especially, designing relationships between components, also known as part-whole relationships, have been regarded as complicated work. The recent study, "Representing Part-Whole Relations in Conceptual Modeling : An Empirical Evaluation" (Shanks et al., 2008), published in MIS Quarterly, can be regarded as one of positive efforts. Not only the study is one of few attempts of trying to clarify how to select modeling alternatives in part-whole design, but also it shows results based on an empirical experiment. Shanks et al. argue that there are two modeling alternatives to represent part-whole relationships : an implicit representation and an explicit one. By conducting an experiment, they insist that the explicit representation increases the value of a conceptual model. Moreover, Shanks et al. justify their findings by citing the BWW ontology. Recently, the study from Shanks et al. faces criticism. Allen and March (2012) argue that Shanks et al.'s experiment is lack of validity and reliability since the experimental setting suffers from error-prone and self-defensive design. They point out that the experiment is intentionally fabricated to support the idea, as such that using concrete UML concepts results in positive results in understanding models. Additionally, Allen and March add that the experiment failed to consider boundary conditions; thus reducing credibility. Shanks and Weber (2012) contradict flatly the argument suggested by Allen and March (2012). To defend, they posit the BWW ontology is righteously applied in supporting the research. Moreover, the experiment, they insist, can be fairly acceptable. Therefore, Shanks and Weber argue that Allen and March distort the true value of Shanks et al. by pointing out minor limitations. In this study, we try to investigate the dispute around Shanks et al. in order to answer to the following question : "What is the proper value of the study conducted by Shanks et al.?" More profoundly, we question whether or not using the BWW ontology can be the only viable option of exploring better conceptual modeling methods and procedures. To understand key issues around the dispute, first we reviewed previous studies relating to the BWW ontology. We critically reviewed both of Shanks and Weber and Allen and March. With those findings, we further discuss theories on part-whole (or part-of) relationships that are rarely treated in the dispute. As a result, we found three additional evidences that are not sufficiently covered by the dispute. The main focus of the dispute is on the errors of experimental methods: Shanks et al. did not use Bunge's Ontology properly; the refutation of a paradigm shift is lack of concrete, logical rationale; the conceptualization on part-whole relations should be reformed. Conclusively, Allen and March indicate properly issues that weaken the value of Shanks et al. In general, their criticism is reasonable; however, they do not provide sufficient answers how to anchor future studies on part-whole relationships. We argue that the use of the BWW ontology should be rigorously evaluated by its original philosophical rationales surrounding part-whole existence. Moreover, conceptual modeling on the part-whole phenomena should be investigated with more plentiful lens of alternative theories. The criticism on Shanks et al. should not be regarded as a contradiction on evaluating modeling methods of alternative part-whole representations. To the contrary, it should be viewed as a call for research on usable and useful approaches to increase value of conceptual modeling.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.2
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• pp.193-208
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• 2020

In this study, we investigate the effects of technology innovation investments and employment on credit ratings of very small start-up businesses using the data period of 2009 till 2015 test two hypotheses: asymmetric information hypothesis or competence hypothesis. We use financial and non-financial data of 51,903 observations of 12,028 small businesses from a database of a commercial bank and fixed effects panel models and two-stage instrumental variable models. We find that in the short-run small size startups show lower credit ratings than non-startups, and that both technology innovation activities and employment capability improve their credit ratings. In the long-run, technology innovation investments do not improve their credit ratings of later years while employment capability improve their credit ratings of the subsequent year. In addition, the age of startups improves their credit ratings of the current year and until the subsequent two years while employee productivity, fixed ratio and ROA positively affect their credit ratings for up to three years. However, short-term and overall debt ratios, cost of borrowings and firm-size negatively affect their credit ratings for up to three years. The results of the study on credit ratings suggest that credit rating agencies seem to consider both technology innovation activities and employment capability in the credit ratings of small start-ups as 'competence factors' rather than 'asymmetric information factors' with inefficiency and cost burdens. The results also suggest that we must find ways to reflect properly the severe asymmetric information of the early-stage start-ups, and technology innovation activities and employment capability in the credit rating formula.

• Journal of Fashion Business
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• v.6 no.1
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• pp.137-154
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• 2002

It's not easy to renew old brand of over 50 years history to the tastes of new consumer of our time. Most of national brands that has a history of some 20 years in Korea have strove for continuation and growth of brand to no avails, which can be taken as a good example of current situation. For instance, C company, one of the National brand of US which has a history of 51 years, has made its position secure as a fashion group and based itself on a sound foundation by establishing new marketing strategy and completing successful brand renewal in the process of strategic M&A with Italian company. Those successful marketing strategies are as follows. 1) they regarded both market and consumer oriented marketing activity as company's highest priority strategy and put great emphasis upon concentration on target market and reestablishment of brand image of business casual wear. 2) Setting up and operating planning team composed of merchandizer alone in Milano, they set the direction of plan on the basis of concentrated research on potential item in market according to thorough market research done by buying office in Korea, branch office in Hong Kong and buyer in US prior to blueprint planning for season. 3) Great emphasis was placed on business which focused on intensive presentation of basic key item for apparel career women who are main consumer group in the midium-low prices market in US and on supplementation of size and color. they named this line 'collectibles' and helped their customer develop their own clothes plan without worrying about the change of color and fabric by supporting same fabric and color throughout the year and enabled them to add variation easily by supplementing new trend item. 4) Company set black as a main color that lots of apparel career women find easy to care and to express their own image and presented them with pebble which belongs to navy and beige and added fashion color such as wine and brown etc as season goes by. They constructed basic line in order for their customers to coordinate purchased item with new one or to add them to present collection, and to achieve efficient sale by setting up strategy which allows this cross coordination and changing pattern occasionally. 5) Though basic jacket for 99$, short slim skirt for 49$ are products within midium-low prices range, in the material planning stage aiming at production of item that has both resonable function appealing to consumer and is fashionable, synthetic material had to be used as a main source due to price competitiveness. Despite this situation, considering comfortable sense of fit and refined drape of silhouette that has no sign of cheap material, whole collectible line was divided into two items, which contributed to reduction of cost. In case of material that is composed of triacetate and polyester in 70 to 30 ratio, was used up to 4 million yard, which allowed drastic curtailment of cost accompanied by concentration. In case of 'collectibles' line, using Korean material mainly, C company chose to have their product sewed in Southeast Asian countries where transportation is well developed and both productivity and quality verified by operating global production system which aiming at cutdown of cost through outsourcing production from the country where labor cost is low and getting finished product. Polarization between present consumers telling us that consumers with the mind of middle classes in the past no longer exists between consumers who seek after only fine article of highest quality and wise consumers who are sensible enough to judge bubble on correlation between price and quality. To cope with this change in new consumer mind, apparel makes changing their policy so as to produce item that has reasonable quality and falls within affordable price range anywhere in the world. and they're striving to get out of difficult situation by operating global marketing strategy which stresses separation of planning, production and sale and sensibility of fashion shared worldwide. The marketing strategy of C company can be exemplified as a successful one.

• Journal of Distribution Science
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• v.8 no.1
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• pp.21-33
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• 2010

The ICT(information & communication technology) led to a dramatic change of floral distribution service, a phase of competition between wholesales and retail stores, and distribution channels in floral industry. It was expected that a role of the intermediaries in this industry would have reduced due to the improvement of transaction process by ICT. However, the ICT made to overcome a regional limit of the floral retail distribution service leading to an increase in sales and enlargement of the stores. And even it made possible to bring out another type of intermediaries such as private associations. This case study focuses on what kinds of efforts the floral wholesale distributors have made to enable a distribution process more smoothly between the wholesale distributors and retail stores through the information system, and what the failure factors in adopting the information system have been. This paper is also to examine how the wholesale distributors have changed themselves to gain dominant positions in distribution channels. As a result of the study, it was found that the intermediaries mostly failed in successfully achieving the distribution channel innovation through the information system because of several main reasons. FLOMARKET Inc. tried to innovate a distribution channel to obtain high quality goods through consolidating a wholesale distribution market in that segregated both floral joint market from free markets. after implementing the information system with consideration of the failure factors, FLOMARKET Inc. was able to minimize goods in stock and make a major purchase of various goods. In addition, it made a possible pre-ordering process and an exact calculation of purchasing goods so they could provide their products with market price in real time, which helped for the company to gain credits from their customers. Also, FLOMARKET Inc. established the information system which well suited to its business stage in order to deal with a rapidly changing distribution environment. It's so obvious that the transaction processing system of FLOMARKET Inc. definitely helped to share information among traders more seamlessly and smoothly in realtime, standardize goods, and make a transaction process clearer. Besides, the transaction information helped the wholesale distributors and retail stores to make more strategic decisions in their business because through the system they enabled to gather the marketing intelligence information more easily and convenient. If we understand that the floral distribution market is characterized by the low IT- based industry, it's worth to examine a case study proving that the information system actually increases the productivity of the transaction process in the floral industry.

• Journal of Global Scholars of Marketing Science
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• v.19 no.4
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• pp.32-43
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• 2009

Trust has been studied extensively in psychology, economics, and sociology, and its importance has been emphasized not only in marketing, but also in business disciplines in general. Unlike past relationships between suppliers and buyers, which take considerable advantage of private networks and may involve unethical business practices, partnerships between suppliers and buyers are at the core of success for industrial marketing amid intense global competition in the 21st century. A high level of mutual cooperation occurs through an exchange relationship based on trust, which brings long-term benefits, competitive enhancements, and transaction cost reductions, among other benefits, for both buyers and suppliers. In spite of the important role of trust, existing studies in buy-supply situations overlook the role of trust and do not systematically analyze the effect of trust on relational performance. Consequently, an in-depth study that determines the relation of trust to the relational performance between buyers and suppliers of business services is absolutely needed. Business services in this study, which include those supporting the manufacturing industry, are drawing attention as the economic growth engine for the next generation. The Korean government has selected business services as a strategic area for the development of manufacturing sectors. Since the demands for opening business services markets are becoming fiercer, the competitiveness of the business service industry must be promoted now more than ever. The purpose of this study is to investigate the effect of the mutual trust between buyers and suppliers on relational performance. Specifically, this study proposed a theoretical model of trust-relational performance in the transactions of business services and empirically tested the hypotheses delineated from the framework. The study suggests strategic implications based on research findings. Empirical data were collected via multiple methods, including via telephone, mail, and in-person interviews. Sample companies were knowledge-based companies supplying and purchasing business services in Korea. The present study collected data on a dyadic basis. Each pair of sample companies includes a buying company and its corresponding supplying company. Mutual trust was traced for each pair of companies. This study proposes a model of trust-relational performance of buying-supplying for business services. The model consists of trust and its antecedents and consequences. The trust of buyers is classified into trust toward the supplying company and trust toward salespersons. Viewing trust both at the individual level and the organizational level is based on the research of Doney and Cannon (1997). Normally, buyers are the subject of trust, but this study supposes that suppliers are the subjects. Hence, it uniquely focused on the bilateral perspective of perceived risk. In other words, suppliers, like buyers, are the subject of trust since transactions are normally bilateral. From this point of view, suppliers' trust in buyers is as important as buyers' trust in suppliers. The suppliers' trust is influenced by the extent to which it trusts the buying companies and the buyers. This classification of trust using an individual level and an organization level is based on the suggestion of Doney and Cannon (1997). Trust affects the process of supplier selection, which works in a bilateral manner. Suppliers are actively involved in the supplier selection process, working very closely with buyers. In addition, the process is affected by the extent to which each party trusts its partners. The selection process consists of certain steps: recognition, information search, supplier selection, and performance evaluation. As a result of the process, both buyers and suppliers evaluate the performance and take corrective actions on the basis of such outcomes as tangible, intangible, and/or side effects. The measurement of trust used for the present study was developed on the basis of the studies of Mayer, Davis and Schoorman (1995) and Mayer and Davis (1999). Based on their recommendations, the three dimensions of trust used for the study include ability, benevolence, and integrity. The original questions were adjusted to the context of the transactions of business services. For example, a question such as "He/she has professional capabilities" has been changed to "The salesperson showed professional capabilities while we talked about our products." The measurement used for this study differs from those used in previous studies (Rotter 1967; Sullivan and Peterson 1982; Dwyer and Oh 1987). The measurements of the antecedents and consequences of trust used for this study were developed on the basis of Doney and Cannon (1997). The original questions were adjusted to the context of transactions in business services. In particular, questions were developed for both buyers and suppliers to address the following factors: reputation (integrity, customer care, good-will), market standing (company size, market share, positioning in the industry), willingness to customize (product, process, delivery), information sharing (proprietary information, private information), willingness to maintain relationships, perceived professionalism, authority empowerment, buyer-seller similarity, and contact frequency. As a consequential variable of trust, relational performance was measured. Relational performance is classified into tangible effects, intangible effects, and side effects. Tangible effects include financial performance; intangible effects include improvements in relations, network developing, and internal employee satisfaction; side effects include those not included either in the tangible or intangible effects. Three hundred fifty pairs of companies were contacted, and one hundred five pairs of companies responded. After deleting five company pairs because of incomplete responses, one hundred five pairs of companies were used for data analysis. The response ratio of the companies used for data analysis is 30% (105/350), which is above the average response ratio in industrial marketing research. As for the characteristics of the respondent companies, the majority of the companies operate service businesses for both buyers (85.4%) and suppliers (81.8%). The majority of buyers (76%) deal with consumer goods, while the majority of suppliers (70%) deal with industrial goods. This may imply that buyers process the incoming material, parts, and components to produce the finished consumer goods. As indicated by their report of the length of acquaintance with their partners, suppliers appear to have longer business relationships than do buyers. Hypothesis 1 tested the effects of buyer-supplier characteristics on trust. The salesperson's professionalism (t=2.070, p<0.05) and authority empowerment (t=2.328, p<0.05) positively affected buyers' trust toward suppliers. On the other hand, authority empowerment (t=2.192, p<0.05) positively affected supplier trust toward buyers. For both buyers and suppliers, the degree of authority empowerment plays a crucial role in the maintenance of their trust in each other. Hypothesis 2 tested the effects of buyerseller relational characteristics on trust. Buyers tend to trust suppliers, as suppliers make every effort to contact buyers (t=2.212, p<0.05). This tendency has also been shown to be much stronger for suppliers (t=2.591, p<0.01). On the other hand suppliers trust buyers because suppliers perceive buyers as being similar to themselves (t=2.702, p<0.01). This finding confirmed the results of Crosby, Evans, and Cowles (1990), which reported that suppliers and buyers build relationships through regular meetings, either for business or personal matters. Hypothesis 3 tested the effects of trust on perceived risk. It has been found that for both suppliers and buyers the lower is the trust, the higher is the perceived risk (t=-6.621, p<0.01 for buyers; t=-2.437, p<0.05). Interestingly, this tendency has been shown to be much stronger for buyers than for suppliers. One possible explanation for this higher level of perceived risk is that buyers normally perceive higher risks than do suppliers in transactions involving business services. For this reason, it is necessary for suppliers to implement risk reduction strategies for buyers. Hypothesis 4 tested the effects of trust on information searching. It has been found that for both suppliers and buyers, contrary to expectation, trust depends on their partner's reputation (t=2.929, p<0.01 for buyers; t=2.711, p<0.05 for suppliers). This finding shows that suppliers with good reputations tend to be trusted. Prior experience did not show any significant relationship with trust for either buyers or suppliers. Hypothesis 5 tested the effects of trust on supplier/buyer selection. Unlike buyers, suppliers tend to trust buyers when they think that previous transactions with buyers were important (t=2.913 p<0.01). However, this study did not show any significant relationship between source loyalty and the trust of buyers in suppliers. Hypothesis 6 tested the effects of trust on relational performances. For buyers and suppliers, financial performance reportedly improved when they trusted their partners (t=2.301, p<0.05 for buyers; t=3.692, p<0.01 for suppliers). It is interesting that this tendency was much stronger for suppliers than it was for buyers. Similarly, competitiveness was reported to improve when buyers and suppliers trusted their partners (t=3.563, p<0.01 for buyers; t=3.042, p<0.01 for suppliers). For suppliers, efficiency and productivity were reportedly improved when they trusted buyers (t=2.673, p<0.01). Other performance indices showed insignificant relationships with trust. The findings of this study have some strategic implications. First and most importantly, trust-based transactions are beneficial for both suppliers and buyers. As verified in the study, financial performance can be improved through efforts to build and maintain mutual trust. Similarly, competitiveness can be increased through the same kinds of effort. Second, trust-based transactions can facilitate the reduction of perceived risks inherent in the purchasing situation. This finding has implications for both suppliers and buyers. It is generally believed that buyers perceive higher risks in a highly involved purchasing situation. To reduce risks, previous studies have recommended that suppliers devise risk-reducing tactics. Moving beyond these recommendations, the present study uniquely focused on the bilateral perspective of perceived risk. In other words, suppliers are also susceptible to perceived risks, especially when they supply services that require very technical and sophisticated manipulations and maintenance. Consequently, buyers and suppliers must solve problems together in close collaboration. Hence, mutual trust plays a crucial role in the problem-solving process. Third, as found in this study, the more authority a salesperson has, the more he or she can be trusted. This finding is very important with regard to tactics. Building trust is a long-term assignment; however, when mutual trust has not been developed, suppliers can overcome the problems they encounter by empowering a salesperson with the authority to make certain decisions. This finding applies to suppliers as well.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.4
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• pp.193-216
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• 2020

Due to the recent mid- to long-term slump and falling growth rates in the global economy, interest in organizational structures that create new products or services as a new alternative to survive and develop in an opaque environment both internally and externally, and enhance organizational sustainability through changes in production methods and business innovation is increasing day by day. In this atmosphere, we agree that the growth of small and medium-sized venture companies has a significant impact on the national economy, and various efforts are being made to enhance the technological innovation capabilities of the members so that these small and medium-sized venture companies can enhance and sustain their performance. The purpose of this study is also to investigate how the technological innovation capabilities of small and medium-sized venture companies correlate with the performance of knowledge management and to analyze the role of network capabilities to organize the strategic activities of enterprise to obtain the resources and organizational capabilities to be used for value creation from external networks. In other words, research was conducted on the impact of technological innovation capabilities of small and medium venture companies on knowledge management performance by using network capabilities as parameters. Therefore, in this study, we would like to verify the hypothesis that innovation capabilities will have a positive impact on knowledge management performance by using network capabilities of small and medium venture companies. Economic activities based on technological innovation capabilities should respond quickly to new changes in an environment where uncertainty has increased, and lead to macro-economic growth and development as well as overcoming long-term economic downturns so that they can become the nation's new growth engine as well as sustainable growth and survival of the organization. In addition, this study was conducted by setting the most important knowledge management performance within the organization as a dependent variable. As a result, R&D and learning capabilities among technological innovation capabilities have no impact on financial performance. In contrast, it was shown that corporate innovation activities have a positive impact on both financial and non-financial performance. The fact that non-financial factors such as quality and productivity improvement are identified in the management of small and medium-sized venture companies utilizing their technological innovation capabilities is contrary to a number of studies by those corporate innovation activities affect financial performance during prior research. The reason for this result is that research companies have been out of start-up companies for more than seven years, but sales are less than 10 billion won, and unlike start-up companies, R&D and learning capabilities have more positive effects on intangible non-financial performance than financial performance. Corporate innovation activities have been shown to have a positive (+) impact on both financial and non-financial performance, while R&D and learning capabilities have a positive (+) impact on financial performance by parameters of network capability. Corporate innovation activities have been shown to have no impact on both financial and non-financial performance, and R&D and learning capabilities have no impact on non-financial performance. It could be seen that the parameter effects of network competency are limited to when R&D and learning competencies are derived from quantitative financial performance. It could be seen that the parameter effects of network competency are limited to when R&D and learning competencies are derived from quantitative financial performance.

• Journal of Global Scholars of Marketing Science
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• v.18 no.4
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• pp.61-118
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• 2008

The purpose of this research is to construct research framework for international franchising based on existing literature and to identify research components in the framework. Franchise can be defined as management styles that allow franchisee use various management assets of franchisor in order to make or sell product or service. It can be divided into product distribution franchise that is designed to sell products and business format franchise that is designed for running it as business whatever its form is. International franchising can be defined as a way of internationalization of franchisor to foreign country by providing its business format or package to franchisee of host country. International franchising is growing fast for last four decades but academic research on this is quite limited. Especially in Korea, research about international franchising is carried out on by case study format with single case or empirical study format with survey based on domestic franchise theory. Therefore, this paper tries to review existing literature on international franchising research, providing research framework, and then stimulating new research on this field. International franchising research components include motives and environmental factors for decision of expanding to international franchising, entrance modes and development plan for international franchising, contracts and management strategy of international franchising, and various performance measures from different perspectives. First, motives of international franchising are fee collection from franchisee. Also it provides easier way to expanding to foreign country. The other motives including increase total sales volume, occupying better strategic position, getting quality resources, and improving efficiency. Environmental factors that facilitating international franchising encompasses economic condition, trend, and legal or political factors in host and/or home countries. In addition, control power and risk management capability of franchisor plays critical role in successful franchising contract. Final decision to enter foreign country via franchising is determined by numerous factors like history, size, growth, competitiveness, management system, bonding capability, industry characteristics of franchisor. After deciding to enter into foreign country, franchisor needs to set entrance modes of international franchising. Within contractual mode, there are master franchising and area developing franchising, licensing, direct franchising, and joint venture. Theories about entrance mode selection contain concepts of efficiency, knowledge-based approach, competence-based approach, agent theory, and governance cost. The next step after entrance decision is operation strategy. Operation strategy starts with selecting a target city and a target country for franchising. In order to finding, screening targets, franchisor needs to collect information about candidates. Critical information includes brand patent, commercial laws, regulations, market conditions, country risk, and industry analysis. After selecting a target city in target country, franchisor needs to select franchisee, in other word, partner. The first important criteria for selecting partners are financial credibility and capability, possession of real estate. And cultural similarity and knowledge about franchisor and/or home country are also recognized as critical criteria. The most important element in operating strategy is legal document between franchisor and franchisee with home and host countries. Terms and conditions in legal documents give objective information about characteristics of franchising agreement for academic research. Legal documents have definitions of terminology, territory and exclusivity, agreement of term, initial fee, continuing fees, clearing currency, and rights about sub-franchising. Also, legal documents could have terms about softer elements like training program and operation manual. And harder elements like law competent court and terms of expiration. Next element in operating strategy is about product and service. Especially for business format franchising, product/service deliverable, benefit communicators, system identifiers (architectural features), and format facilitators are listed for product/service strategic elements. Another important decision on product/service is standardization vs. customization. The rationale behind standardization is cost reduction, efficiency, consistency, image congruence, brand awareness, and competitiveness on price. Also standardization enables large scale R&D and innovative change in management style. Another element in operating strategy is control management. The simple way to control franchise contract is relying on legal terms, contractual control system. There are other control systems, administrative control system and ethical control system. Contractual control system is a coercive source of power, but franchisor usually doesn't want to use legal power since it doesn't help to build up positive relationship. Instead, self-regulation is widely used. Administrative control system uses control mechanism from ordinary work relationship. Its main component is supporting activities to franchisee and communication method. For example, franchisor provides advertising, training, manual, and delivery, then franchisee follows franchisor's direction. Another component is building franchisor's brand power. The last research element is performance factor of international franchising. Performance elements can be divided into franchisor's performance and franchisee's performance. The conceptual performance measures of franchisor are simple but not easy to obtain objectively. They are profit, sale, cost, experience, and brand power. The performance measures of franchisee are mostly about benefits of host country. They contain small business development, promotion of employment, introduction of new business model, and level up technology status. There are indirect benefits, like increase of tax, refinement of corporate citizenship, regional economic clustering, and improvement of international balance. In addition to those, host country gets socio-cultural change other than economic effects. It includes demographic change, social trend, customer value change, social communication, and social globalization. Sometimes it is called as westernization or McDonaldization of society. In addition, the paper reviews on theories that have been frequently applied to international franchising research, such as agent theory, resource-based view, transaction cost theory, organizational learning theory, and international expansion theories. Resource based theory is used in strategic decision based on resources, like decision about entrance and cooperation depending on resources of franchisee and franchisor. Transaction cost theory can be applied in determination of mutual trust or satisfaction of franchising players. Agent theory tries to explain strategic decision for reducing problem caused by utilizing agent, for example research on control system in franchising agreements. Organizational Learning theory is relatively new in franchising research. It assumes organization tries to maximize performance and learning of organization. In addition, Internalization theory advocates strategic decision of direct investment for removing inefficiency of market transaction and is applied in research on terms of contract. And oligopolistic competition theory is used to explain various entry modes for international expansion. Competency theory support strategic decision of utilizing key competitive advantage. Furthermore, research methodologies including qualitative and quantitative methodologies are suggested for more rigorous international franchising research. Quantitative research needs more real data other than survey data which is usually respondent's judgment. In order to verify theory more rigorously, research based on real data is essential. However, real quantitative data is quite hard to get. The qualitative research other than single case study is also highly recommended. Since international franchising has limited number of applications, scientific research based on grounded theory and ethnography study can be used. Scientific case study is differentiated with single case study on its data collection method and analysis method. The key concept is triangulation in measurement, logical coding and comparison. Finally, it provides overall research direction for international franchising after summarizing research trend in Korea. International franchising research in Korea has two different types, one is for studying Korean franchisor going overseas and the other is for Korean franchisee of foreign franchisor. Among research on Korean franchisor, two common patterns are observed. First of all, they usually deal with success story of one franchisor. The other common pattern is that they focus on same industry and country. Therefore, international franchise research needs to extend their focus to broader subjects with scientific research methodology as well as development of new theory.