• KDI Journal of Economic Policy
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• v.39 no.1
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• pp.1-18
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• 2017

This paper empirically studies the effect of public procurement on small and medium-sized enterprises (SMEs) in the Republic of Korea using firm-level data. Public procurement, the purchase of goods and services from private firms by the public sector, is regarded as an important policy measure for providing support to firms, particularly SMEs. This study uses establishment-level panel data of the mining and manufacturing sectors from the Korean National Bureau of Statistics (Statistics Korea) and procurement history from the Korean Public Procurement Service to empirically estimate the effects of public procurement on firms' productivity (total factor productivity) and survivability. Using a propensity score matching estimation method, we find that participating firms showed higher productivity than non-participating ones in the control group only for the year of participation, that is, 2009. After two years, in 2011, they exhibited significantly lower productivity. In contrast, establishments that participated in public procurement for SMEs in 2009 were more likely to survive than those that did not do so in 2011. These results can be interpreted as the negative consequences of government intervention. The market's efficiency enhancement is hindered if underserving companies survive owing to government intervention but fail to improve efficiency.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.1217-1230
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• 2021

Using a multinomial logit model with the panel-data set of Vietnam manufacturing firms, this paper investigates the impacts of foreign direct investment (FDI) - small and medium enterprises (SMEs) linkages and other factors on SMEs' participation in the global value chain (GVC). We consider GVC firms are those engaging in any of the three modes including (i) using domestic inputs to export (D2E), (ii) using imported inputs to produce for the domestic market (I2P), (iii) using imported inputs to export (I2E). We discover that FDI-SME linkages statistically encourage Vietnamese SMEs to integrate into the GVC via I2P and I2E, while no statistical association between FDI-SME linkage and D2E participation is found. GVCs participation likelihood is also positively correlated with the introduction of new product introduction. The establishment of firms' production facilities in industrial zones and foreign ownership are both reported to be significantly decisive factors to SMEs' decisions on GVC participation. Besides, there is a strong association between firms' attributes, i.e. employment, capital intensity as well as financial access, and their participation in the GVC. Local governance quality (proxied by the Provincial Competitiveness Index) and the share of skilled labor at the province-level can facilitate firms' integration into GVCs, while greater market concentration may be a hurdle to such potential.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.42 no.4
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• pp.76-83
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• 2019

The South Korean government is actively assisting the supply of the smart factory solutions to SMEs (Small & Medium-sized Enterprises) according to its manufacturing innovation 3.0 policy for the smart manufacturing as the 4th industrial revolution era unfolds. This study analyzed the impacts of the smart factory solutions, which have been supplied by the government, on the companies performances. The effects of the level of smart factory and the operation capabilities for the smart factory solutions on company performances, and the mediating effects of manufacturing capabilities have been analyzed using SPSS and AMOS. The data for this survey-based study were collected from the SMEs which implemented the smart factory solutions since 2015. The results show that the level of smart factory solutions adopted and operation capabilities for the smart factories do not have direct effects on the company performances, but their mediating effects on the manufacturing capabilities matter and the manufacturing capabilities effect directly on the company performances. In addition significant factors boosting the operation capability for the smart factory and the levels of the smart factory solutions are identified. Finally, the policy direction for enhancing the smart factory effects is presented, and the future research directions along with the limitations are suggested.

• Journal of the Economic Geographical Society of Korea
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• v.11 no.3
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• pp.350-361
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• 2008

Place matters to knowledge creation according to the recent literature on economic geography and its related disciplines. This basic insight is not incorrect. But there is some vagueness in the discussions on this theme and there seems to appear a variety of geo-determinism on the competitiveness of SMEs in manufacturing industries. This paper reexamines that thinking on the basis of the realities of innovative manufacturing SMEs in a periphery of Japan, south of Kyushu Island. As a result, it is possible to classify face-to-face contacts into two kinds of communication. One is the communication, through which a supplier of a way of solution (knowledge) can grasp problems (information) of its customer in detail. The other is the communication, through which one can get some new idea. Information can spread world wide, but not always quickly and ubiquitously, because it often contains tacitness and secret, even if a large part of the information are coded in some form. Details of the information can be communicated only with the help of five senses. And it is necessary for the information receiver to listen to the sender carefully with the help of the other senses. In this meaning, tacitness does matter. Knowledge, namely ability to understand and power to bring some idea in practice, is always connected with some place, either at workshop of supplier or of customer in the case of manufacturing industries. However, not places but human beings possess the knowledge, and human beings can be mobile. Therefore, it is not restricted to a place.

• Journal of Information Technology Applications and Management
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• v.15 no.3
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• pp.127-152
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• 2008

This study sought to explore how SMEs are utilizing EC. Drawing on existing research on IT and EC related field, this study presented the framework of EC utilization level and analyzed its affecting factors in the point of organizational perspectives; strategy and competency. The impact of EC utilization on firm performance was also examined by employing BSC. Structural equation model was applied to test the relationships among the theoretical constructs with data from 171 SMEs. The results showed that the rate of EC utilization in SMEs is growing quite rapidly. However, manufacturing related firms still remain at a lower level compared to service related firms. As for the two affecting factors of EC utilization level, it was found that the level of EC utilization appeared to be driven not by strategy but by competency. This result implicates that EC utilization in SMEs doesn't reach to strategic purpose yet, while it is dependent on firm's competency. As far as the impact of EC utilization on firm performance, the study showed that the level of EC utilization has significant relationship with all perspectives performance indicators of BSC. This study can provide the managers with current EC utilization pattern and the guidelines as to where to put the efforts in the EC utilization and how to get an effective EC utilization strategy in the future.

• International Commerce and Information Review
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• v.11 no.4
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• pp.3-23
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• 2009

Social surveys, using various factors influencing the e-commerce's development of SMEs, are the means of explaining the rapid development of e-commerce. This makes it possible to make more efficient decisions in e-commerce. This article was written from surveys conducted in the manufacturing industry and Trade Company at Jilin Province via e-mail, fax and analyzed data by Statistical Package for the Social Sciences (SPSS). The result shows that in development of e-commerce, the business partners have significant impacts on the achievement of e-business both directly and indirectly. Second, consciousness of leaders, external support, transaction partner relationship and influence of competitors cause a direct result on the development of e-commerce On the other hand, the innovative capacity of enterprises and communication indirectly influence. Based on these, it is valid for us to for us to make correct decisions for the e-commerce development of SMEs.

• Proceedings of the KIEE Conference
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• 2001.04a
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• pp.15-18
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• 2001

SMES consists of superconducting magnet, power converter and cryostat and HTS current lead. The prototype cryostat with HTS current leads and refrigerators was designed and manufactured for micro-SMES. HTS current lead with cryocooler was measured the temperature rise under dc current. The cryostat was evaluated the helium boil-off and mechanical stress during transfer and vibration test. These results will be applied to develope the micro-SMES system.

• International journal of advanced smart convergence
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• v.13 no.2
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• pp.235-248
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• 2024

The performance of informatization differs depending on its utilization, investment and construction methods. This study analyzed the key factors affecting the performance of informatization based on a public survey on the information system operation of small and medium-sized companies in Korea. Through structural equation modeling and one-way ANOVA, the study identified the pathways leading to performance. As a result of the analysis, it was confirmed that higher levels of top management support are associated with increased information system use and performance. Similarly, higher levels of information system use are correlated with better performance of information systems. This research is significant as it investigates and reveals how top management support and information system usage work in the cases of SMEs in South Korea, which is a leading country in manufacturing. The findings of this study will provide valuable insights for SMEs, whether they have already developed an information system or plan to do so, in their efforts to enhance corporate competitiveness.

• Journal of Korea Trade
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• v.23 no.7
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• pp.156-172
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• 2019

Purpose - Without question, globalization has presented different opportunities to entrepreneurs seeking to expand their companies in foreign markets. The aim of this study is to examine the relationship between entrepreneurial orientation, entrepreneurial activity, information internalization, and product differentiation in export oriented firms. As such, entrepreneurial activities are divided into exploitative and exploratory opportunities. These opportunities are crucial in improving firms' performance. Design/methodology - A structural questionnaire was developed using 21 factors/indicators from previous researches. The subjects of this study were recruited using convenience sampling in export SMEs in the Seoul Metropolitan Area. Data were collected through visits or e-mails from the export managers, executives, and CEOs of export SMEs in advance. 321 questionnaires were collected over a period of one month. 316 questionnaires were used in the final analysis. Findings - First, International Entrepreneurial-orientation (IE) has a positive effect on the exploration and exploitation of business opportunities. Second, the exploration and exploitation of business opportunities have a positive impact on information internalization. Third, information internalization has a significant effect on product differentiation and plays a mediating role in seeking opportunities, utilizing opportunities, and differentiating products. Originality/value - This study contributes to the development of academic discussions by explaining existing research gaps. First, there is currently a lack of research focusing precisely on the product differentiation capability of SMEs in manufacturing field in terms of IE. To bridge these gaps, we examined the entrepreneurial factors impact on product differentiation and tries to expand the discussion about the internationalization of SMEs, which were mainly focused on IT companies, and manufacturing companies. Second, there is no intuitive explanation regarding international entrepreneurial activity in terms of exploration and exploitation within existing. In this study, international entrepreneurship activities were classified in terms of exploration and exploitation.

• Journal of Digital Convergence
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• v.11 no.4
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• pp.235-241
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• 2013

In the Globalization of the business environment and the rapid technological development, the technology and intelligence are important advantages for the lack of funding SMEs, For management innovation and strengthen the competitiveness of enterprises, the information is the most efficient and powerful management tool. As a result, most of the medium-sized manufacturing firms introduction of the ERP system in order to promote the informatization. However, in reality, there are not much cases which show the tangible achievements by introduction of the ERP system. Therefore, this study searches on the Construction plan of Information Management System of the domestic small and medium manufacturing enterprises. Based on established construction method strategy Information management System apply to domestic small and medium sized manufacturing companies. In particular, information management system, that strategy was applied by considering the characteristics of SMEs and manufacturing enterprises.