• Asian Journal of Innovation and Policy
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• v.5 no.1
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• pp.1-18
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• 2016

Catch-up is a well-known and familiar terminology for innovation scholars in developing countries such as Taiwan, Korea and China. The strategy, however, is too difficult to perform in each industry. This study looks into a catch-up strategy that Apple and Xiaomi used and examines the results on the creative imitation of business model in the smartphone industry. It is quite surprising that even Apple is based on catch-up strategy. They wanted to catch-up Nokia. Our case study shows that these two companies quickly caught up with the leaders, and the common feature of their strategy is characterized as creative imitation of business model. Creative imitation of business model is different from creative imitation of innovation. Furthermore, this research confirms that the creative imitation of business model leads to aggressive creative innovation.

• Journal of Distribution Science
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• v.15 no.6
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• pp.47-56
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• 2017

Purpose - The purpose of this study is to examine the viability of imitation strategy. Imitation strategy is one of the strategic options that a late mover can choose, and by selecting the strategy, the company imitates key elements of the business model of first movers, and modifies them to suit its conditions. The author attempted to explain how the elements of first mover's business models were creatively adapted to suit the conditions of late movers so that they can secure market position face-to-face market leaders. Research design, data, and methodology - For the purpose of the study, Korean coffee franchise industry was selected to compare the strategies of first and late movers and to discuss imitation strategy in detail. The author conducted in-depth case study of first mover and business model innovator Starbucks and Ediya Coffee, one of their imitators. The paper examines how Ediya has imitated and modified the business model of Starbucks to secure its unique competitive position in domestic market by using value chain and generic strategy analysis. Results - Starbucks and Ediya were compared in terms of their interior design, the price level of beverages, the variety of side dishes, and shop locations. Starbucks have invested interior design heavily to shops, offered diverse beverages and side dishes with relatively high price, the shops are located in central areas, whereas Ediya has concentrated on achieving cost leadership in all value activities as maintaining the quality of key products. Ediya succeeded in achieving best-provider strategy, in which it enjoys both cost leadership and differentiation advantages, largely by the strategic alliance with the biggest coffee manufacturer, Dongsuh Foods in Korea. Conclusions - Though Ediya is the imitator of Starbucks, it has modified Starbucks business models and succeeded in providing the 'third place' experience for budget-minded customers. Ediya has also succeeded in benefiting its franchisees by lowering costs and simplifying the various tasks of coffee shop management. Due to these factors, Ediya could become one of the largest number shops as the coffee franchise in Korea.

• Journal of Korea Trade
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• v.25 no.4
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• pp.128-145
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• 2021

Purpose - The main purpose of this study is thus to investigate the contingent effect of imitation strategies on firm performance in transition economies such as China, focusing on pure and creative imitation. Design/methodology - We conducted a survey targeting department heads of each company who have more than 10 years work experiences. We assessed that the ability to gain trust and to access information from high-ranking informants would be greater if the firms were from the same country - Korea - as the lead researcher. A total of 200 highly reliable samples were obtained, which could effectively explain the nine variables set in the study. Relevant hypotheses were tested using a hierarchical linear model (HLM). Findings - The findings suggest that SMEs' technology level also had a positive impact on performance. Firms with better technology had a positive impact on performance, irrespective of pure or creative imitation. This reflects the cases where many Korean SMEs entering China without high technology level lose their competitiveness due to Chinese firms' technology catch-up within a short period of time. Originality/value - SMEs that lack technology and know-how need to focus on pure imitation strategies. It is possible that SMEs can perform creative imitation, but it seems difficult under the current circumstances. Therefore, SMEs with limitations in technology and know-how should maintain their competitive advantage for a while, by maintaining their pure imitation strategy.

• Journal of Korea Port Economic Association
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• v.26 no.3
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• pp.56-74
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• 2010

The overseas expansion of global logistics company (GLC) is increasing rapidly under the influence of international specialization of manufacturing, and the necessity of global logistics service is increasing, and then the logistics market is growing year to year. The purposes of this study are to investigate the growing factors and strategies making global logistics company and to suggest the best strategies for overseas expansion of domestic logistics company (DLC) by using imitation strategy. The major results are as follows ; Firstly, DLC has to imitate liner shipping company or terminal operator which has competitiveness rather than other part of logistics. Secondly, DLC has to build up competition through investigation the global logistics companies which have globalization, specialization, monopolization and public elements. Thirdly, DLC has to use 'coming from behind strategy' for the exiting market, the 'pioneer importer strategy' for the new emerging market or niche. Lastly, DLC has to make a road map or process for expanding the logistics service area without collision exiting business models.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 2001.10a
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• pp.233-236
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• 2001

This study explores on the static and dynamic growth patterns of high-tech ventures in Korea. We developed an integrative framework with target market (local vs. global), product/market maturity (existing vs. emerging), and technological capability (follower vs. pioneer). We also identified seven new ventures strategies as follows: i) reactive imitation, ii) proactive localization, iii) import substitution, iv) creative imitation, v) early market-entry, vi) global niche, and vii) global innovation. With five successful Korean new ventures, we found different competitive behaviors and performance among new venture strategic types. This study also observed two different growth patterns: growth through strategic replication and growth through strategic change. It depends on whether they are pursuing similar strategy over time or different strategy within for growth. In addition, we found that creative imitation plays a stepping-stone role in two-step internationalization processes. Although this study is exploratory and needs more empirical studies, it can provide new ventures with meaningful guidelines for growth and internationalization with a dynamic perspective.