• Journal of Korean Society of Industrial and Systems Engineering
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• v.43 no.1
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• pp.7-15
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• 2020

It is a general phenomenon for manufacturers to provide vertically differentiated product line for more profit through improved market coverage. For such manufacturers, the compatibility between vertically differentiated products is an important decision issue. Some manufacturers provide full compatibility between high and low version products, whereas some provide only downward compatibility for the purpose of recommending high version product. In this study, the two representative compatibility strategies, full or downward, between vertically differentiated products produced by a single manufacturer are analyzed, especially under network externality and in the viewpoint of profit maximization. To do this we used a market model which captures the basic essence of vertical differentiation and network externality. Based on the proposed market model, the profit maximizing solutions are derived and numerically analyzed. The results can be summarized as follows : (1) Regardless of compatibility strategy, under network externality, vertical differentiation is always advantageous in terms of profit. (2) The full compatibility strategy is shown to be the most advantageous in terms of profit. In addition, it is necessary to make quality difference between differentiated products as wide as possible to maximize profit. (3) To gradually drive low version product out of the market and shift the weight pendulum of market to high version product, it is shown that the downward compatibility strategy is essential. Unlike intuition, however, it is also shown that in order to drive low version product out of market, it is necessary to raise the quality of the low version product rather than to lower it.

• The Journal of the Korea Contents Association
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• v.16 no.6
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• pp.576-588
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• 2016

The main objective of this study is to investigate the overseas performance of CGV in order to boost Korean wave and movie platform competitiveness. The focus of this study is to on how CGV may enhance the market share of china market, emphasizing the entrepreneurial orientation of top management team and differentiated entrant strategy based on Korean wave. This study suggests key factors in the china movie platform market expansion process of CGV. In order to analyze this mechanism, we employ a case study method design. The case study results show that there are differences of CGV strategy in movie platform characteristics and the important key factors of growth depending on market situation. The most important thing is that entrepreneurial orientation of top management including differentiated entrant strategy and Korean wave-oriented vision enhance between brand loyalty and market share in china market. In addition, growing overseas impacts of CGV support on Korean wave entertainment and globalization of movie platform industry. Contributions and implications for the academic and managerial field are discussed.

• Journal of Electrical Engineering and Technology
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• v.5 no.1
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• pp.21-27
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• 2010

This paper examines the long-run social welfare maximization problems facing public utilities, which includes consideration of the cost of capital or other fixed costs of production, from which it derives optimal investment decisions in a reliability differentiated pricing based market. Reliability differentiated pricing policies lead to straightforward mathematical results on optimal investment decisions in generation and transmission expansion planning. This paper presents the mathematical conditions for optimal investment decisions.

• Asia Marketing Journal
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• v.12 no.3
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• pp.81-97
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• 2010

CJ O shopping performs well in the mature home shopping market as they develop differentiated product assortments, valuable program and platforms, and enhance the customer service. This case examined the reason why CJOShopping needed to change their strategy and how they implement the strategy. Specifically, this case investigated how they established their new vision, why they changed their name, how they differentiated themselves in retail mix perspective, and how good their performance were. Future challenges and suggestions are discussed at the end.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.6 no.3
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• pp.43-59
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• 2011

These days there are so many music school graduates. There are also many private music education institutions. Therefor the competition in music private education market very tight. In old days people working in education music market had made big money and many parents wanted their girls and boys to learn piano and other musical instruments. However recently birth ratio in Korea has been dramatically dropped and not many parents wants their kids to learn musical instruments because of economic depression and negative music market. Eventually the size of the music education market is decreased dramatically and the competition in music education market is very hot. Therefor without the upgraded management system it is hard to expect over performance in music education market aspects. The purpose of this study was to find out what are the main factors that affect on business performance of the music education institutions. The main areas that researched in this study were success factors, reason of the start-up, and factors of management success. The research was conducted on the owners of the music education institutions. The factors that affect on the outcome of the business performance were diverse. Therefore the management of music education institutions also need the systematical analysis on the location, environmental factors, people nearby areas, differentiated market strategy and other analysis the same as corporate and business management.

• Journal of the Korea Furniture Society
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• v.27 no.3
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• pp.237-245
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• 2016

Single households currently account for 26.5% of all households and their number is expected to continue to rise, reaching 34.5% by 2035. An analysis of the consumption trends and needs of single households shows that they are rising as a new consumer group with a focus on investment on the individual and favouring: small but high-tech products: efficient use of limited resources: safety and peace of mind: self-improvement and leisure. Products which meet such demands are having an impact on the growth of home-furnishing market. An analysis of companies in Korea's home-furnishing market, with examples like the lifestyle company IKEA, shows a variety of brands such as SPA brand, furniture specialist, distributor and character products. And yet most are OEM products which lack differentiated product lines and compete with similar display and distribution structure. We needs the Single household consumption tendency of home-furnishing market and differentiation strategy through product analysis. In order to increase the value of companies in the home-furnishing market, in addition to differentiated design, product competitiveness must aspire to higher customer satisfaction with easy assembly, innovation in logistics, innovative sales methods such as virtual-reality simulation for products and space, individually-tailored furniture for the needs of single household and products which combine smart technology. For home-grown home-furnishing brands to have competitiveness, they must leverage on the strengths of the industry, offering differentiated and competitive products in a wider range of areas with convergence functions as well as differentiation in consumer interface and application of advancing technology; in-depth product research is called for.

• Journal of the Korean Institute of Rural Architecture
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• v.14 no.3
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• pp.77-84
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• 2012

The Conventional market located in Yangyang, Gangwon is currently facing the crisis, so it needs a new strategy to break a slowdown. Nevertheless, the local residents are looking forward to activating Yangyang conventional markets. To this end, the associates shall utilize their advantages of Yangyang conventional markets to supply cheap and good quality to guests with differentiated strategies. The purpose of the study is to analyze Yangyang conventional markets with architectural aspect and to provide conventional markets in each region with alternatives for revitalization.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.38 no.2
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• pp.31-39
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• 2015

In this paper, we study the bargaining strategy of a distributor who sells vertically differentiated, i.e. high and low brand products. We derive and analyze the equilibrium solutions for both simultaneous and sequential bargaining games among the distributor, the high brand product manufacturer and the low brand product manufacturer. The result shows that the optimal bargaining strategy for the distributor heavily depends on the relative quality and price level of the low brand product comparing to those of the high brand product. It is also shown that, for more bargaining profit, the distributor has strong motivation to prefer a low brand product which has lower quality level per unit price.

• Proceedings of the KIEE Conference
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• 2001.07a
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• pp.330-332
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• 2001

This paper reviews technology for power quality differentiated supply in power system. Since price and power quality has been single goods in the light of customer-side view point but hereafter it is essential for power market to introduce multiple goods which is composed of differentiated combination between them. This paper should like to work out strategy for power quality differentiated supply in domestic power system by comparison characteristics of differentiated background and its relevant various theory.

• Journal of the Korea Fashion and Costume Design Association
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• v.13 no.1
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• pp.47-57
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• 2011

As the development of denim products using new differentiated materials plays an important role regardless of their target age groups, there is an increasing need for the development of premium denim designs for senior women using various materials. As part of the strategy to develop such a design for the senior generation, a market survey was performed regarding commercially available premium denim products in the market, and the current trends in the denim market were researched and analyzed to make use of the results in design development. In addition, a differentiated material, hybrid yarn using conjugated dyeing (HYCD) was applied to use several washing techniques capable of highlighting the unique features of denim clothing. The design of four items including a jacket, vest, capri pants and long pants were suggested. These items were differentiated from other products by emphasizing their details such as stitching and pockets. In light of the current consumer trend to select denim jeans on the basis of their fashion-ability (e.g., silhouette or color) rather than practicality or price, it is considered meaningful to develop high value added, premium jean products for the senior generation using diverse materials and details. At the same time, performing further studies designed to demonstrate the stability and reliability of the developed products through consumers' comparative assessment is required.