• Title/Summary/Keyword: Consumer Incentive

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A Study on Government Innovation for Realizing Social Value: Focused on A Local Government (사회적 가치실현을 위한 정부혁신에 대한 연구: A 지방자치단체를 중심으로)

  • Lee, Hyangsoo;Lee, Seong-Hoon
    • Journal of Digital Convergence
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    • v.17 no.6
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    • pp.11-17
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    • 2019
  • In this study, we examine the concept of social value which is the main philosophical foundation in government innovation pursued by Moon Jae-In government and analyze the case of government innovation which was promoted by specific local governments. The purpose of this study is to discuss the implications for the government innovation through the case study of local autonomous organizations. The studied local government is an institution that has received excellent evaluation of government innovation for the realization of social value by Ministry of Public Administration and Security. In this study, we conducted in-depth interviews with local governments and youths and examined the success factors of government innovation through active participation in community issues. First of all, institutional support such as ordinances is important for encouraging the participation of community members. It is also important for local governments to lead their own change and listen to their voices from a consumer perspective, not from a supplier perspective. In addition, significant importance of the incentive system that could induce continuous participation in community problems was found. In this way, it is possible to establish a continuous system to approach the problem of local community as consumer perspective, not supplier perspective, and solve the problem together.

The Effects of Highlighted Review Type on Consumer's Perception and Behavior: Focusing on Review Usefulness and Skepticism (강조된 리뷰 노출 방식에 따른 소비자 행동 연구: 리뷰의 유용성과 회의감을 중심으로)

  • Junho Kim;Il Im;Taeyoung Kim
    • Information Systems Review
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    • v.23 no.3
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    • pp.25-50
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    • 2021
  • Though there have been a lot of studies about online product review, the effects of highlighted reviewhave not been examined enough. Highlighted review is a type of review that the platform designer changes its size or position in order to highlight without any sponsorship or incentive. The main subject of this study is about how highlighted review type affects consumer's perception and behavior in online information acquisition. We collected data from 171 subjects to test hypotheses. Using three different types of screen captures, we compared three groups - general review group, positive highlighted review only group, and both positive and negative highlighted review group. As a result, disclosing both of positiveand negative highlighted review was perceived more useful than disclosing only positive highlighted review. However, correlation between highlighted review type and review skepticism was not statistically significant. The impacts of review usefulness and skepticism on platform credibility were statistically significant, and the correlation between platform credibility and usage intention was also significant. All of results is almost similar across two product types, search goods and experiential goods. This research provides practical implications to online shopping platform designers when they design review systems to make people use their platforms.

Digital Transformation of Customer Knowledge in Open Innovation Project: Focusing on Knowledge Depth and Type Sought (개방형 혁신(Open Innovation) 프로젝트에서 소비자 지식의 디지털 트랜스포메이션 과정: 지식의 깊이와 참여 동기 변화의 관계를 중심으로)

  • Gyu-won Kim;Jung Lee
    • Information Systems Review
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    • v.21 no.4
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    • pp.197-220
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    • 2019
  • This study aims to identify consumer motivations of open innovation project participation from digital transformation perspective. By extending a traditional intrinsic/extrinsic motivation framework, we propose a three-dimensional perspective of the self-driven, firm-driven, and sociality-driven motivations. This reveals the significance of the social effects of open innovation projects as an example of digital transformation by categorizing the motivations based on the 'influencer' of the motivation building and by highlighting the importance of sociality as an influencer. As a result, self-efficacy is identified as a key motivation when the influencer exists internally. Economic incentive and firm reputation are identified when the influencer exists externally. Finally, competition, peer evaluation and social contributions are identified when the influencer exists socially. The role of knowledge type sought through innovation projects is further introduced to explain its moderating effects on motivations. The study is validated in two steps. First, we investigate four cases of open innovation projects and examine what motivations are highlighted in each context. Second, we collect survey data from 203 online game users and ask them on their motivations. The results confirm most of our hypotheses and highlight the significance of sociality in the knowledge-seeking process in open innovation projects. This study largely contributes to digital transformation literature by extending the view of motivation and examining the moderating role of knowledge involved in the projects.

A Study on the Possibility of Self-Correction in the Market for Protecting Internet Privacy (인터넷 개인정보보호의 시장자체해결가능성에 대한 연구)

  • Chung, Sukkyun
    • Journal of Digital Convergence
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    • v.10 no.9
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    • pp.27-37
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    • 2012
  • Internet privacy has become a significant issue in recent years in light of the sharp increase in internet-based social and economic activities. The technology which collects, processes and disseminates personal information is improving significantly and the demand for personal information is rising given its inherent value in regard to targeted marketing and customized services. The high value placed on personal information has turned it into a commodity with economic worth which can be transacted in the marketplace. Therefore, it is strongly required to approach the issue of privacy from economic perspective in addition to the prevailing approaches. This article analyzes the behaviors of consumers and firms in gathering personal information, and shielding it from unauthorized access, using a game theory framework in which players strive to do their best under the given conditions. The analysis shows that there exist no market forces which require all firms to respect consumer privacy, and that government intervention in the form of a nudging incentive for information sharing and/or strict regulation is necessary.

The Possibility of Expanding Pay-for-Performance Program as a Provider Payment System (성과연동지불제도의 확대 가능성 고찰)

  • Tchoe, Byongho;Lee, Suehyung
    • Health Policy and Management
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    • v.23 no.1
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    • pp.3-18
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    • 2013
  • This paper investigates the possibility of expanding pay-for-performance (P4P) program as a provider payment system, in terms of financial, economical, and political sustainability. In order to expand the sustainable P4P, P4P should have usefulness in terms of economic value as well as efficiency in the financial aspects of health care. More importantly, the P4P would be politically sustainable only when both providers and consumers can accept. Korea's healthcare system seems to have logical ground for the P4P program financially and economically. However, how well the P4P can work remains to be proven in its implementation. After 43 tertiary hospitals applied the P4P program for acute myocardial infarction (AMI) and C-section in 2007, the number of hospitals adopting the P4P program for AMI and C-section has increased to 316 in 2011, and an incentive for hospitals applying the P4P has risen to 2% from 1% of health insurance benefits. This shows that the P4P program introduced by Health Insurance Review and Assessment Service is quite successful. In addition, people are aware of the need for improved P4P program and policy alternatives have been already made. Therefore, it is very important to come up with politically supportable strategies that can make providers and consumers accept the P4P program while maintaining the governance of the existing health insurance policy. To this end, there are some tasks to be considered. First, the expansion of the P4P program should be placed on the agenda of the Health Insurance Policy Review Committee, the highest decision-making body, and a separate agency for P4P planning should be established. Second, for more efficient P4P program, the processes of review and assessment, currently carried out separately, should be integrated into a single process. Third, infrastructure to measure the quality of medical services should be sharply expanded. Fourth, the current paradigm for the assessment should be changed. Lastly, a P4P program for consumers should be considered. Given that the consumers in Korea can use medical services freely, the National Health Insurance Corporation could initiate the P4P program for consumers as a means of controlling excessive use of medical services and adjusting consumer's moral hazard.

Effect of Forage Feeding on Goat Meat Production: Carcass Characteristics and Composition of Creole Kids Reared Either at Pasture or Indoors in the Humid Tropics

  • Alexandre, G.;Limea, L.;Fanchonne, A.;Coppry, O.;Mandonnet, N.;Boval, M.
    • Asian-Australasian Journal of Animal Sciences
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    • v.22 no.8
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    • pp.1140-1150
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    • 2009
  • Forage diets provide good quality carcasses in sheep but very little is known in tropical goats. An experiment was designed with Creole male goats using grass-based systems to assess carcass yield, scores, cuts and composition. After weaning (84 d, 9.2 kg LW) two modes of forage feeding were compared with two replicates of each. Feeding groups were: PF for animals reared at pasture (n = 62) and IF when reared indoors (n = 60). Given that forage finishing will result in low ADG it appeared necessary to study different fattening lengths. The kids were equally divided into 4 groups: group A (n = 32), 4mo after weaning; group B (n = 32), 4mo after A; group C (n = 30), 3mo after B and group D (n = 28), 2mo after C. The animals grazed (in two sub-flocks) on irrigated tropical pastures managed in a rotational system (28 d of re-growth) at a mean stocking rate of 1,200 kg/ha/yr LW. The IF groups were reared in collective pens on a slatted floor (2 replicates of 7 or 8 kids each). They were fed the same stand of tropical grass (25% DM, 12% CP) as that of pasture that was cut daily and provided ad libitum. The ADG (-10%), the weights of omental fat (-60%) and fat in shoulder (-18%), the ultimate pH of carcass (-12%), the meat colour score (-24%), the ""parameter accounting for redness (12%) and the DM and lipid contents (-4%) were significantly lower (p<0.05) in PF than in IF, while the liver was heavier (+23%, p<0.05). Feeding conditions seemed to be similar, thus, differences could be related to gastrointestinal parasitism in the PF system and hypotheses are discussed. Increasing the fattening duration, resulted in significant difference (p<0.01) in many traits: the weights at slaughter and of carcass increased by 40% and 60% from groups A to D and consequently the weights of body compartments and carcass cuts (1.5 to 2.0 fold more). When the results were presented as percentage of empty body weight and carcass weight, these preliminary results (carcass weight 9kg and yield 53%, muscle proportion 70%) and qualitative parameters (low fat score 2/5, fat proportion 5%), seem to be a good incentive for the sector to develop a niche market to meet consumer lean meat expectations. The indoors system could be implemented where there was low availability of grazing areas or problems of dog attacks.

The NHS Over-the-Counter Drugs Policy in UK: Its Experiences and Implications (영국의 일반의약품(Over-the-counter drugs) 관리법의 의료정책적 함의)

  • Han, Dong-Woon
    • The Korean Society of Law and Medicine
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    • v.12 no.2
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    • pp.265-291
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    • 2011
  • Changes in a drug's availability from prescription only to over-the-counter (OTC) status is of concern to physicians from both public health and individual patient perspectives. Government has generally been supportive of changes in medications from prescription(Rx) to over-the-counter (OTC) status in Korea, however, recognizing that there are both benefits and risks to any health care intervention, health care professionals are conservative in implementing changes to either the process or structure of health care. Changes in status of a drug from Rx to OTC can represent a change in both structure and process. Cost and convenience seem to be major factors in determining whether, given the choice, patients purchase a medicine over the counter or obtain it on prescription. With current arrangements, exemption from prescription charges provides an incentive to continue to obtain products on NHS prescription even when they are available over the counter. There is therefore no simple relation between the availability of over the counter medicines and the level of prescribing of deregulated products. The appropriate use of over the counter medicines-particularly those that have only recently been deregulated-places a burden of care on community pharmacists and calls for closer working relationships with general practitioners. In particular, systems for referral and for recording details of both prescribed and over the counter medicines need to be developed, and a direct route needs to be established for community pharmacists to report adverse drug reactions to over the counter products. Reclassification of prescription medicines-by making them available through pharmacies without a prescription-provides the opportunity for consumers to purchase a wider range of medicinal products without making a demand on NHS resources. There is, however, no simple relation between availability of over the counter medicines and demand for NHS prescriptions. In the late 1980s the UK government fuelled the over the counter market by making it easier to reclassify certain medicines from prescription only status to allow over the counter sale in pharmacies. To explore the influence of deregulation of medicines on NHS prescribing, this article presents analyses of consumer behaviour in using medicines and prescribers' attitudes to over the counter medication and collates findings from research. Policy makers should be aware that patients' expectations in relation to OTC medicines may be in conflict with evidence-based practice.

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Effect of Sales Promotion and the Consumer Product Evaluation: A Review and Synthesis

  • Park, Chul-Ju;Park, Jae-Sung
    • The Journal of Economics, Marketing and Management
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    • v.4 no.1
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    • pp.23-33
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    • 2016
  • Sales promotion is defined as the short-term incentive to encourage the purchase or sale of products and services. Retailers conduct a variety of sales promotion to encourage the purchase or sale of products and services. It is often used to induce the purchase of customers in short term and to improve the relationship with customers in the long term. Many previous studies about the effect of price discount SP on increase in sales and image improvement have conducted. But the study of non-price promotion, especially SP with 'Gifts', meanwhile, has been seldom researched. This study is to investigate the effect of the Gift SP conducted by retailers on the customer evaluation of the product and its Gifts. This study is to investigate the effect of 'Gifts', among the non-price promotion, on the customer evaluation. First of all, previous studies about the effect (-) of Sp with 'Gifts' on the customer evaluation of the product and its Gifts, and the factors that offset the negative effect of SP with 'Gifts' on quality perception are to examined. In this study, additionally, the summary of the study based on the previous studies and the research subject in the future are to be presented. Firstly, to examine the previous researches on the effect of SP which retailers conduct on the increased sales and or enhanced image, price discount SP has attracted a lot of attention as a research subject but researches on non-price sales promotion, particularly on SP with gift have seldom conducted as a research subject. Secondly, in the previous studies relevant to Price Discount SP, the long-term negative (-) effect of the target product or brand of SP has been studied. However, a few researches on the long-term negative (-) effect of SP with gift have been conducted. Thirdly, it might be brand affinity and purchase limit that buffered the negative (-) effect on the perceived quality of SP with gift which retailers had conducted. In spite of various studies conducted by many researchers, each study have discussed the consequences under certain circumstances and integrated results of research have not been in progress. It may be the research issues left to us to clearly identify the psychological mechanism of consumers until the effect of SP happens in order to theorize SP and to present a practical and useful suggestion.

Returns and Resale Price Maintenance in Book Distribution (도서유통(圖書流通) 효율화(效率化)를 위한 공정거래정책(公正去來政策))

  • Shin, Kwang-shik
    • KDI Journal of Economic Policy
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    • v.13 no.2
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    • pp.141-161
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    • 1991
  • Resale price maintenance has long been employed in book distribution, perhaps longer than for any other product. Another unusual practice in the book trade that has proven to be quite durable in spite of its substantial cost in real resources is the returns policy. Publishers typically grant the right to return unsold books within a stipulated time for full credit against future orders. This paper investigates the functions and effects of resale price maintenance in the book trade, and argues that resale price maintenance and returns are substitute methods of providing the same economic function. Resale price maintenance can be used to compensate booksellers for initially stocking books with uncertain prospects and for providing a conduit through which manufacturers acquire information about consumer demand (market testing services). Permitting the return of unsold books for full credit places a floor under retail prices and transfers a considerable portion of the cost of introducing a new product line back to the publisher. Both reflect publishers' needs to have their books displayed. In the U.S. returns privileges were first proposed in 1913, roughly coincident with the Macy decision outlawing RPM. Publishers slowly granted return privileges, which become nearly universal by 1970. The decline in margins in recent years has been accompanied by an increase in returns as the return policy served to substitute for lost margins on successful titles as a methods of compensating full-line booksellers. In contrast, returns privileges are unusual in countries where price maintenance in books has been practiced. These observations are consistent with our analysis. In Korea, resale price maintenance of books is practiced under an exception to Korean antitrust law. The availability of effective price maintenance is likely to reduce the use of returns programs. Since consumers prefer to obtain books at outlets where they know the books are likely to be stocked rather than taking a chance on stores that carry a more limited line, it also provides a strong incentive for booksellers to expand. But the privilege of resale price maintenance should be confined to books which publishers want to be price maintained. Resale price maintenance and returns system differ in the transactions costs associated with inventory holding, and publishers' judgement on the comparative advantage of the two schemes should be honored. Publishers should also remain free to authorize sales at discount at any time not to impair the ability of booksellers to dispose of product variants that prove unpopular.

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A Study on the Demander's Consciousness of the National Forest Management System (국유림 경영제도에 대한 수요자의 인식정도에 관한 연구)

  • Park, Kyung-Seok;Lee, Seong-Youn;Choi, Soo-Im;Kim, Hyun-Sik;Jeong, Se-Myong;An, Ki-Wan
    • Journal of Korean Society of Forest Science
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    • v.99 no.3
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    • pp.380-390
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    • 2010
  • This research was conducted to investigate the consciousness of demander on National Forest Management System and to seek for solution to activate it by measuring the variables such as the extent of goal achievement on the system, the extent of importance on function of national forest, benefit for participation of the system, and the extent of importance on the system as well as the extent of demander recognition and intention of participation on the system like, Cooperative Forest Program and People's Forest Program. The target of this investigation is to categorize consumers of National Forest Management System (NFMS) into four types such as environmental organization that do not participate in the system, environmental organization that participate in the team, company to publish a white paper on environmental and local government. As a result, the intention of participation was showed in C Type (62.7%), among fields that respondents interested in participation were tree planting and forest tending (56.2%). However, the rest of the participants were reluctant participate in the NFMS due to more benefit (72.2%) of corporate social responsibility from other fields than those from the field utilizing forestry. If only, diverse facilities related to national forest and active supporting policy are provided by Korea Forest Service, social participation using forest resources would be considered. Although 61% among A Type recognized NFMS in advance, the prime reason for not utilizing are the problems with reserving place for participates in and the inconvenience to participate in on-site. Type D shows slightly high interest in People's Forest Program (3.69). Also, it shows high interest in Forest Recreation (4.15) and Forest Reports (3.90). Particularly, it indicates that GyeongGi-Do and GangWon-Do local government prefers Forest Experience, and Cheolla, ChungCheong and GyeongSang local government prefer Forest Reports. Based on the above study, we finally suggest that legal alignment of the system, and the provision of incentive for inducement of voluntary participation by Corporate Social Responsibility (CSR), and establishment of new exclusive nongovernmental organization be able to operate the system as the solution to activate NFMS in terms of the consumer.