• Asia pacific journal of information systems
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• v.7 no.3
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• pp.39-59
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• 1997

This study presents the growth strategy of outsourcing service by finding out the differences of importance between user firms and system integration(SI) firms in Korean outsourcing business, The result of data analysis reveals that there are siginificant differences between user firms and SI firms in some components of information systems(IS) outsourcing services. User firms regarded integation of distributea data centers as the prominent issue of IS environment changes. Meanwhile, SI firms chose management of IS/VAN center, office automation(OA), and management of global network, as the more important issues in the application area of outsourcing. Among the merits of outsourcing, both of them considered cost reduction and IS flexibility as the most important factors, However, they chose the difficulty of management control and the lack of operation knowledge among the demerits of outsourcing, Also, they commonly selected overall IS consulting among the components of outsourcing diffusion. In the question of future outsourcing services, user firms chose the adoption of client/server architecture, while SI firms selected the application of multimedia. These results show that there are some differences of preference between user firms and SI firms. Most of user firms consider the outsourcing to maximize information utilization, while the service suppliers focus on new IT adoption and its application to organization. For the strategic use of outsourcing services, SI firms are required to establish the diffusion strategy to meet the outsourcing needs of user firms.

• The Journal of Industrial Distribution & Business
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• v.9 no.9
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• pp.15-23
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• 2018

Purpose - The purpose of this paper is to examine the determinants of non-bank depository institutions (non-bank financial corporations) lending to firms. The paper aims to contribute to the existing literature by providing empirical evidence from firm-level data and unveiling factors related to access to non-bank financial corporations by firms. Research design, data, and methodology - We used the data on borrowing by firms from CRETOP from years 2008 to 2011. Using the manufacturing industry, we examined what firm-level characteristics explained the increase in borrowing from non-bank financial corporations rather than the banks. Results - Analyzing the firm-level data from 2008 to 2011, we found that firms were more likely to borrow from non-bank financial insti­tutions as the size of the firm increases, implying that large firms have more access to non-bank financing than small and medium-sized firms. In addition, it also showed that small and medium-sized firms moved to non-bank financial corporations for loans. Conclusion - Non-bank depository institutions are not a sub­stitute for bank lending to firms. More specifically, they replace bank lending to firms mostly for large firms rather than small and medium-sized firms. Also, collateral and other firm-level characteristics do not matter in accounting for non-bank lending to firms.

• Health Policy and Management
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• v.25 no.2
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• pp.97-106
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• 2015

Background & Methods: The purpose of this research is to estimate the efficiency of the pharmaceutical firms and the determinants of their efficiency. Stochastic frontier analysis(SFA) and panel study are applied to the data of 60 domestic pharmaceutical firms from 2006 to 2012. Results & Conclusion: First, the result of the stochastic frontier analysis shows that overall efficiency of the pharmaceutical firms is increasing as time goes by. However, if firms are classified by the scale, the larger firms show more efficiency and if classified by the degree of innovativeness, the innovative firms show more efficiency compared to the non-innovative firms. This evidences show that the scale and R&D investment have significant relationships with the efficiency of the pharmaceutical firms. Therefore, it is necessary to increase the national level of investment for the fundamental researches to vitalize R&D of the new drugs. Second, the result of estimation of the determinants of efficiency shows that the firms with larger sales promotion expenses and entertainment expenses have less efficiency compared to the other firms. This can be explained by the structural characteristics of the small generic pharmaceutical firms. Therefore, the government had better make the pharmaceutical firms to reduce sales promotion and entertainment expenses and increase R&D expenses by introducing systems such as global budgeting system on medicine or reference pricing system.

• International Commerce and Information Review
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• v.12 no.2
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• pp.183-211
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• 2010

This paper empirically investigated whether the dependence of manufacturing firms effects the influence strategies and long-term orientation based on the data from manufacturing firms in Korea. U.S., and Japan. Also, the proposed model was proven by the structural equation model with the data gathered from 105 manufacturing firms in Korea, 103 in U.S., and 83 in Japan. The findings were as follows. First, the dependence of all of manufacturing firms, regardless of country, positively affected the coercive influence strategies of distributors, whereas the dependence positively affected the noncoercive influence strategies in U.S. and Japan but in the case of Korea, it showed the reverse direction and were not statistically significant. Second, the dependence of Korean manufacturing firms positively affected the long-term orientation but American manufacturing firms showed the reverse direction and it was not statistically significant. In the case of Japanese manufacturing firms, the direction predicted in the paper was shown but was not statistically significant. Third, the coercive influence strategies positively affected the long-term orientation in Korea but it showed the negative relationship in Japan. Fourth, the noncoercive influence strategies positively affected the long-term orientation in all countries. Lastly, a few implications, limitations and future study issues were discussed.

• Journal of the Korea Society of Computer and Information
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• v.15 no.7
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• pp.109-116
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• 2010

In this paper, we analyse empirically the relation between the IT competency of the Group enterprises, and the management performance of the subsidiary IT service firms in Korea. The 24 IT service firms and relative Group enterprises are included for analysis. The various hypotheses established are validated by t-test method statistically. The results shows that IT competency level of the Group enterprises was affected by not only their sales volumes, new investment volume of IT service, but system management(SM) and inner captive market's sales volume of subsidiary IT service firms also. Additionally the sales volume of IT service firms was affected positively by their inner-captive market's sales, system management sales volume, and the sales volume of their Group enterprise. The service competency of the subsidiary IT service firms is shown as more high in the lower intensity of outer-captive and system integration(SI) business, as well as in the upper intensity of inner-captive and SI business.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 2000.10a
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• pp.251-254
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• 2000

In the knowledge-based economy, technological capability is critical for the survival and growth of firms. Technological capability differs across firms depending on the structural and environmental conditions. In nature, the evaluation of technological capability is an intractable task and thus previous studies often employ such proxy measures as patent, productivity, or profitability. In this research, we define technological capability as a combination of the above three measures and investigate, by using the multi-variate statistical analysis, the characteristics of technological capability of electronics/IT firms of Korea. We first propose a taxonomy in which firms are classified into four clusters based on the differences in the nature of technological capability. Then, across clusters, we comparatively analyze the relationship between technological capability and structural/environmental factors of firms. Finally, the implications of empirical findings will be discussed. This study is a small-scale, descriptive one but will be extended and elaborated by augmenting the database and/or incorporating more variables.

• The Journal of Korea Institute of Information, Electronics, and Communication Technology
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• v.12 no.4
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• pp.395-405
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• 2019

The government has strengthened the system of restricting participation of large corporations to limit participation in national information system construction projects and to increase participation of SME software companies. This study analyzes the financial performances of small and medium sized IT firms in Korea three years prior and 3 years after the restrictions on participation of large firm. A sample of 121 small and medium-sized IT services firms were classified into 3 groups and statistical techniques (T-test and one-way ANOVA) were used for the purpose of the analysis. In the three years after the restriction of participation of large corporations, the total assets and sales of the medium and small IT service firms were positive, but the operating profit and net profit were negative. There were many worries about the introduction of the restriction on the participation of large corporations, but many were stabilized. However, the negative impact was more pronounced for SMEs. Therefore, the reduction effect of SME IT service companies is different from the first legislative purpose of enforcing the restriction system of large enterprises, so we propose to revise the policy.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.11
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• pp.801-808
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• 2020

The purpose of the study is to find the factors that influence the financial leverage of Vietnam firms. The dependent variable is the financial leverage and the independent variables are firm size, asset structure, liquidity, growth opportunities, profitability, and firm age. The data are collected from Vietnam firms' annual financial reports in the period from 2010 to 2019. The study uses a sample of 448 Vietnam listed firms in the period. We also employ a panel regression model with pooled OLS and fixed effect to analyze the firms' financial data. The results of the model showed that financial leverage (FL) has a negative relationship with some factors such as asset structure (AS), liquidity (LQ), growth opportunities (GRW), profitability (ROA), and firm age (AGE) in the fixed effect regression. It means that when liquidity, profitability, and firm age increase, firms' financial leverage will decrease. While firms' financial leverage has still a positive relationship with the firm size (SIZE) in the model. As a result, when firm size increases, financial leverage will increase, too. The results showed that models are fit for the research and can be used to predict future findings. It is also useful for enterprises, financial advisors, investors, as well as the financial managers.

• Journal of Technology Innovation
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• v.8 no.1
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• pp.49-71
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• 2000

This paper looks at "network" aspects of research and development (R'||'&'||'D) with a special focus on small and medium (S'||'&'||'M) automotive part makers in Korea. It throws light on recent changes in the technological capability building mechanism of Korean automotive firms. The Korean automotive firms have mostly built up technological capability from scratch. It is widely acknowledged that they have benefited from two cooperative relations: namely (1) the close cooperative relationship with their own assemblers and (2) technical assistance from auto parts makers abroad. Too much emphasis on these two links can, however, keep us from understanding new developments. This paper argues that auto parts firms have diversified their networks for technological development. It is based on the analysis of the data drawn from the survey on technological development activities of small and medium sized firms, which was carried out by the Korea Federation of Small and Medium Business. Many automotive firms have recently increased joint R'||'&'||'D links with university and/or research institution while their reliance on foreign sources have decreased.

• Journal of Information Technology Services
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• v.2 no.2
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• pp.1-14
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• 2003

In this study, we report the summary characteristics of CEOs of SI firms in Korea. In the first part of our paper, age, educational background, and career of CEOs in SI firms are analyzed according to CEO types (owners versus professional managers). In the second part, CEO tenures of Si firms in Korea are compared with those in the U.S. and Japan. We found that CEO tenures of SI firms in Korea are remarkably shorter than those in the U.S. and Japan. In conclusion, we contend that CEO systems in Korean firms should be improved to guarantee the longer tenures especially for professional managers.