• Title/Summary/Keyword: Potential Cost

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The Effects of Product Line Rivalry: Focusing on the Issue of Fighting Brands (경쟁산품선적영향(竞争产品线的影响): 관주전두품패(关注战斗品牌))

  • Koh, Dong-Hee
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.4
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    • pp.24-31
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    • 2009
  • Firms produce various products that differ by function, design, color, etc. Product proliferation occurs for three different reasons. When there exist economies of scope, the unit cost for a product is lower when it is produced in conjunction with another product than when it is produced separately. Second, consumers are heterogeneous in the sense that they have different tastes, preferences, or price elasticities. A firm can earn more profit by segmenting consumers into different groups with similar characteristics. For example, product proliferation helps a firm increase profits by satisfying various consumer needs more precisely. The third reason for product proliferation is based on strategy. Producing a number of products can not only deter entry by providing few niches, but can also cause a firm to react efficiently to a low-price entry. By producing various products, a firm can reduce niches so that potential entrants have less incentive to enter. Moreover, a firm can produce new products in response to entry, which is called fighting brands. That is, when an entrant tries to attract consumers with a low price, an incumbent introduces a new lower-quality product while maintaining the price of the existing product. The drawback of product proliferation, however, is cannibalization. Some consumers who would have bought a high-price product switch to a low-price product. Moreover, it is possible that proliferation can decrease profits when a new product is less differentiated from a rival’s than is the existing product because of more severe competition. Many studies have analyzed the effect of product line rivalry in the areas of economics and marketing. They show how a monopolist can solve the problem of cannibalization by adjusting quality in a market where consumers differ in their preferences for quality. They find that a consumer who prefers high-quality products will obtain his or her most preferred quality, but a consumer who has not such preference will obtain less than his or her preferred quality to reduce cannibalization. This study analyzed the effects of product line rivalry in a duopoly market with two types of consumers differentiated by quality preference. I assume that the two firms are asymmetric in the sense that an incumbent can produce both high- and low-quality products, while an entrant can produce only a low-quality product. The effects of product proliferation can be explained by comparing the market outcomes when an incumbent produces both products to those when it produces only one product. Compared to the case in which an incumbent produces only a high-quality product, the price of a low-quality product tends to decrease in a consumer segment that prefers low-quality products because of more severe competition. Prices, however, tend to increase in a segment with high preferences because of less severe competition. It is known that when firms compete over prices, it is optimal for a firm to increase its price when its rival increases its price, which is called a strategic complement. Since prices are strategic complements, we have two opposing effects. It turns out that the price of a high-quality product increases because the positive effect of reduced competition outweighs the negative effect of strategic complements. This implies that an incumbent needs to increase the price of a high-quality product when it is also introducing a low-quality product. However, the change in price of the entrant’s low-quality product is ambiguous. Second, compared to the case in which an incumbent produces only a low-quality product, prices tend to increase in a consumer segment with low preferences but decrease in a segment with high preferences. The prices of low-quality products decrease because the negative effect outweighs the positive effect. Moreover, when an incumbent produces both kinds of product, the price of an incumbent‘s low-quality product is higher, even though the quality of both firms’ low-quality products is the same. The reason for this is that the incumbent has less incentive to reduce the price of a low-quality product because of the negative impact on the price of its high-quality product. In fact, the effects of product line rivalry on profits depend not only on changes in price, but also on sales and cannibalization. If the difference in marginal cost is moderate compared to the difference in product quality, the positive effect of product proliferation outweighs the negative effect, thereby increasing the profit. Furthermore, if the cost difference is very large (small), an incumbent is better off producing only a low (high) quality product. Moreover, this study also analyzed the effect of product line rivalry when a firm can determine product characteristics by focusing on the issue of fighting brands. Recently, Korean air and Asiana airlines have established budget airlines called Jin air and Air Busan, respectively, to confront the launching of budget airlines such as Hansung airline and Jeju air, among others. In addition, as more online bookstores have entered the market, a leading off-line bookstore Kyobo began its own online bookstore. Through fighting brands, an incumbent with a high-quality product can increase profits by producing an additional low-quality product when its low-quality product is more differentiated from that of the entrant than is its high-quality product.

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Evaluation of the Potential of Wood Preservatives Formulated with Okara (두부비지를 이용한 목재 방부제의 사용가능성 평가)

  • Kim, Ho-Yong;Choi, In-Gyu;Ahn, Sye-Hee;Oh, Sei-Chang;Hong, Chang-Young;Min, Byeong-Cheol;Yang, In
    • Journal of the Korean Wood Science and Technology
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    • v.36 no.1
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    • pp.110-123
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    • 2008
  • The use of CCA as a wood preservative was recently inhibited due to its environmental pollution and human harmfulness. Instead of CCA, copper azole (CuAz) and alkaline copper quaternary (ACQ) have been used as alternative wood preservatives, but the price of the preservatives is much more expensive than that of CCA. As a substitute for high-priced CuAz and ACQ, environmentally friendly wood preservatives were formulated with okara, which is an organic waste from the production of tofu. Prior to formulating the preservatives, okara was hydrolyzed by three levels of sulfuric acid concentration (1, 2.5 and 5%) to easily penetrate the effective components of the preservatives into wood blocks. Final preservative solutions were formulated with the hydrolyzed okara and metal salts, such as copper sulfate, copper chloride and borax. The preservatives were treated into wood blocks by vacuum-pressure method to measure the treatability of the preservatives, and the treated wood blocks were placed in hot water for three days to measure the leachability of the preservatives. The effective components of the preservatives might be successfully penetrated into wood blocks through the uses of hydrolyzed okara and ammonia water. However, the leached amount of effective components was increased as the concentration of acid used for the hydrolysis of okara increased. The treatability and leachability of the preservatives were not affected by hydrolysis temperature but negatively affected by the addition of borax. Based on the results above, the optimal conditions for formulating okara-based wood preservatives cost-effectively and environmentally might be 1% acid hydrolysis of okara and the use of $CuCl_2$ as a metal salt. In addition, the treatability and leachability of okara-based wood preservatives were superior or no differences comparing with those of CuAz. Therefore, it is concluded that okara-based wood preservatives might have a potential to be used as an environmentally friendly wood preservative.

Investigating the Partial Substitution of Chicken Feather for Wood Fiber in the Production of Wood-based Fiberboard (목질 섬유판 제조에 있어 도계부산물인 닭털의 목섬유 부분적 대체화 탐색)

  • Yang, In;Park, Dae-Hak;Choi, Won-Sil;Oh, Sei Chang;Ahn, Dong-uk;Han, Gyu-Seong;Oh, Seung Won
    • Korean Chemical Engineering Research
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    • v.56 no.4
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    • pp.577-584
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    • 2018
  • This study was conducted to investigate the potential of chicken feather (CF), which is a by-product in poultry industry, as a partial substitute of wood fiber in the production of wood-based fiberboard. Keratin-type protein constituted the majority of CF, and its appearance did not differ from that of wood fiber. When the formaldehyde (HCHO) adsorptivities of CF compared by its pretreatment type, feather meal (FM), which was pretreated CF with high temperature and pressure and then grounded, showed the highest HCHO adsorptivity. In addition, there was no difference between the adsorbed HCHO amounts, which was measured by dinitrophenylhydrazine method, of scissors-chopped CF and CF beated with an electrical blender. Mechanical properties and HCHO emission of medium-density fiberboards (MDF), which were fabricated with wood fiber and 5 wt% CF, beated CF or FM based on the oven-dried weight of wood fiber, were not influenced by the pretreatment type of CF. However, when the values compared with those of MDF made with just wood fiber, thickness swelling and HCHO emission of the MDF were improved greatly with the addition of CF, beated CF or FM. Based on the results, it might be possible to produce MDF with improved dimensional stability and low HCHO emission if CF, beated CF or FM is added partially as a substitute of wood fiber in the manufacturing process of MDF produced with the conventional urea-formaldehyde resin of $E_1$ grade. However, the use of CF or FM in the production of MDF has a low economic feasibility at the current situation due to the securing difficulty and high cost of CF. In order to enhance the economic feasibility, it requires to use CF produced at small to medium-sized chicken meat plants. More importantly, it is considered that the technology developed from this research has a great potential to make provision for the prohibition of animal-based feed and to dispose environmentally avian influenza-infected poultry.

A Survey of Perceptions of Elementary School Teachers on the Small-Scale Chemistry (미량화학(Small-Scale Chemistry)에 대한 초등학교 교사들의 인식)

  • Kim, Sung-Kyu;Kong, Young-Tae
    • Journal of Science Education
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    • v.34 no.2
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    • pp.291-305
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    • 2010
  • The aim of this study was to survey the perceptions of the elementary school teachers on the smallscale chemistry(SSC) following its training session. The teachers participating in the survey were 266 teachers in the Gyeongnam province. They were given a questionnaire that focused on the nine areas of the SSC: Needs for the teacher training and its application, its benefits, issues of safety and danger as well as treatment of environmental pollution, its economic efficiency and the development of investigative skills. The designed questionnaire was checked by an authority, and the responses to each question were tallied and analyzed. The results are as follows. The biggest problems of the traditional experimental methods as rated by the teachers were, in the order of importance, the preparation time, the legal liability of teachers for the safety and accidents, financial issues, disposal of the experimental wastes and the lack of relevant data. Since most of the teachers had not experienced the SSC lab programs in the field, they responded positively to the questions of need for its introduction and training. The implementation of the experimental SSC lab programs should proceed in the following order: introduction into the textbook, teacher training program, after-school education and the invitation of instructors. The most useful materials for the SSC program were CDs, videos, books and various printed materials, in that order. The responses regarding benefits of the SSC program included its simplicity, convenience, time savings, diversity, qualitative and quantitative aspects, integration into the regular class and use of toys. In particular, the teachers mentioned the increased safety due to the small amount of experimental reagents needed and the durability of plastic instruments. The familarity from the use of everyday tools as well as easy access to and the low-cost of the instruments were other important benefits. The teachers in general rated the educational content of the program highly, but many also found it to be average. Some pointed out the lack of sufficient discussion due to the individual or pair groupings as a potential shortcoming. The potential for development of problem solving ability and improvement of skills was rated positively. The number of teacher who rated the development of creativity positively was just over the half. As for the area of improving investigative skills, many found its assessment difficult and confusing because of the lack of its systemic definition and categorization. Based on the findings of this study, I would like to recommend the application and a wider dissemination of the small-scale chemistry lab program into the elementary school science curriculum.

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Attitudes of Safety for the Food Developed by Gene-Recombination in Korea -Focus on the Specialist Group Related to Food- (유전자재조합 식품의 안전성에 대한 기본인식 조사 - 식품관련 전문가 그룹을 중심으로 -)

  • 김영찬;박경진;이홍석;김동연
    • Journal of Food Hygiene and Safety
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    • v.14 no.4
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    • pp.397-407
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    • 1999
  • A survey was conducted to investigate the attitudes of the food specialist to the food developed by gene recombination. The mail survey was distributed to 1,400 food specialists and received 464, a response rate of 33.1%. Respondents were asked about knowledge, concerns of potential hazards, purchasing and labeling of the gene recombination foods. Most respondents (98.7%) have some knowledge on the gene recombination foods. 91.3% of respondents recognized necessity of gene recombination technology. However, they also point out its potential hazards (80.9%). The groups with less knowledge showed their increased worry on the hazard in comparison with ones of having more knowledge(p<0.01). The result indicated that there was negative relationship between knowledge and worry on the gene recombination foods. The groups with more knowledge showed their increased purchasing on gene recombination foods in comparison with ones of having less knowledge(p<0.01). The result indicated that there was positive relation-ship between their purchase intent for gene recombination foods and knowledge. 68.4% of respondents showed their interest on purchasing the gene recombination foods. In this group, most of them (44.9%) has on condition that low cost (27.0%). In addition, they also have not use the foods for their children (17.9%) if they buy it. Most respondents (85.3%) want labeling on the gene recombination foods.

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Ecological Risk of Alien Apple Snails Used in Environmentally-friendly Agriculture and the Urgent Need for Its Risk Management in Korea (친환경농법용 외래 왕우렁이의 생태위해성 및 위해성 관리의 필요성)

  • Bang, Sang-Weon;Cho, Mi-Kyeoung
    • Korean Journal of Environmental Biology
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    • v.26 no.3
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    • pp.129-137
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    • 2008
  • Alien apple snails (Pomacea canaliculata, Pomacea insularus) used in environmentally-friendly agriculture are different from indigenous snails found in Korea. Due to high herbicidal effects and cost-effectiveness, the number of farmers using the snails has been growing every year since 2000. Moreover, in 2008, because of the outbreaks of avian influenza throughout the country from March to May, 2008, central and local governments recommended the use of alien apple snails in agriculture as an alternative to the ducks-oriented environmentally-friendly agriculture. Therefore, it is expected that the use of alien apple snails in agriculture should be expanded in a near future. Since alien apple snails lay eggs with 95.8% of eclosion rate, they are considered to be potential pests unlike indigenous snails. In addition, Japan, Taiwan and most of the southeast Asian countries had already experienced severe ecological and agricultural damage by the alien apple snails. Subsequently, International Union for Conservation of Nature and Natural Resources (IUCN) designated P. canaliculata as one of "the 100 of the world's worst invasive alien species". It seems highly likely that the alien apple snails in Korea pose a potential threat to conservation of ecosystem and biodiversity since the snails were either found or invaded into the natural environments in some regions of Gangwon-Do and southern parts of Korean Peninsula. However, just recently, agricultural authorities and farmers using alien apple snails in agriculture opposed a proposition of designating the alien apple snails as an ecosystem-disturbing animal described by the Wildlife Protection Act. This is because there has been no concrete evidence of the ecological risk imposed by the alien snails up to now in Korea. Subsequently, in this paper, we analysed the ecological and agricultural risks imposed by the alien snails from the studies done in domestic and abroad. In addition, we proposed an urgent need and reasoning for ecological risk management of the alien snails at the national level as well as using the snails in agriculture.

The Influence of Admixture of Lignosulfonic Acid Type on the Strength of Mortar (Lignosulfonic Acid계(系) 감수제(減水劑)가 모르터의 강도(强度)에 미치는 영향(影響))

  • Kim, Han Young;Kim, Seong Wan
    • Korean Journal of Agricultural Science
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    • v.12 no.1
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    • pp.75-85
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    • 1985
  • This study is intended to find out the influence of Lignosulfonic Acid Type Admixture on compressive, tensile, flexural strength and dispersing action of mortar, and fixation of by-product of pulp industry. 1. The more Pozzolith-84 is added, the larger flow value is. The admixture of lignosulfonic acid type adhere to cement particles and the surface potential of particles is generated. On account of the repulsion among the cement particles, they are dispersed and the mortar get workable, so the production cost of precast product is curtailed and the amount of cement is reduced in a certain workability of mortar. 2. The strength of mortar is greater than plain mortar when P/C added is 0.2 and 0.4%. As time passed the potential energy is reduced and the distance of particles which lignosulfonic acid adhered to get near according as the amount of adhesion is increased. The setting and hardening reaction of morter is occurred in close state, so the strength of mortar is increased a little. The strength of mortar is less than plain mortar when amount P/C added is 0.8%. Pozzolith-84 is mainly composed of lignosulfonic acid and lignin does not influence the hardening of mortar, therefore the remained $SO_3$, $SO_3H$ are the reason of decrease of strength. 3. There is high significance between specific gravity and compressive strength. The larger specific gravity is, the more compressive strength is increased. There is high significance between 7 day's strength and 28 day's strength. The larger compressive strength is, the more tensile and flexural strength are increased. 4. Since Pozzolith-84 is a by-product of pulp industry, by using the Pozzolith-84 admixture the concreate quality is improved. The water pollusion is reduced according to fix by-products in concrete structure.

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Toward a Social Sciences Methodology for Electronic Survey Research on the Internet or Personal Computer check (사회과학 연구에 있어 인터넷 및 상업용 통신망을 이용한 전자설문 조사방법의 활용)

  • Hong Yong-Gee;Lee Hong-Gee;Chae Su-Kyung
    • Management & Information Systems Review
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    • v.3
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    • pp.287-316
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    • 1999
  • Cyberspace permits us to more beyond traditional face-to-face, mail and telephone surveys, yet still to examine basic issues regarding the quality of data collection: sampling, questionnaire design, survey distribution, means of response, and database creation. This article address each of these issues by contrasting and comparing traditional survey methods(Paper-and-Pencil) with Internet or Personal Computer networks-mediated (Screen-and-Keyboard) survey methods also introduces researchers to this revolutionary and innovative tool and outlines a variety of practical methods for using the Internet or Personal Computer Networks. The revolution in telecommunications technology has fostered the rapid growth of the Internet all over the world. The Internet is a massive global network and comprising many national and international networks of interconnected computers. The Internet or Personal Computer Networks could be the comprehensive interactive tool that will facilitate the development of the skills. The Internet or Personal Computer Networks provides a virtual frontier to expand our access to information and to increase our knowledge and understanding of public opinion, political behavior, social trends and lifestyles through survey research. Comparable to other technological advancements, the Internet or Personal Computer Networks presents opportunities that will impact significantly on the process and quality of survey research now and in the twenty-first century. There are trade-offs between traditional and the Internet or Personal Computer Networks survey. The Internet or Personal Computer Networks is an important channel for obtaining information for target participants. The cost savings in time, efforts, and material were substantial. The use of the Internet or Personal Computer Networks survey tool will increase the quality of research environment. There are several limitations to the Internet or Personal Computer Network survey approach. It requires the researcher to be familiar with Internet navigation and E-mail, it is essential for this process. The use of Listserv and Newsgroup result in a biased sample of the population of corporate trainers. However, it is this group that participates in technology and is in the fore front of shaping the new organizations of interest, and therefore it consists of appropriate participants. If this survey method becomes popular and is too frequently used, potential respondents may become as annoyed with E-mail as the sometimes are with mail survey and junk mail. Being a member of the Listserv of Newsgroup may moderate that reaction. There is a need to determine efficient, effective ways for the researcher to strip identifiers from E-mail, so that respondents remain anonymous, while simultaneously blocking a respondent from responding to a particular survey instrument more than once. The optimum process would be on that is initiated by the researcher : simple, fast and inexpensive to administer and has credibility with respondents. This would protect the legitimacy of the sample and anonymity. Creating attractive Internet or Personal Computer Networks survey formats that build on the strengths of standardized structures but also capitalize on the dynamic and interactive capability of the medium. Without such innovations in survey design, it is difficult to imagine why potential survey respondents would use their time to answer questions. More must be done to create diverse and exciting ways of building an credibility between respondents and researchers on the Internet or Personal Computer Networks. We believe that the future of much exciting research is based in the Electronic survey research. The ability to communicate across distance, time, and national boundaries offers great possibilities for studying the ways in which technology and technological discourse are shaped. used, and disseminated ; the many recent doctoral dissertations that treat some aspect of electronic survey research testify to the increase focus on the Internet or Personal Computer Networks. Thus, scholars should begin a serious conversation about the methodological issues of conducting research In cyberspace. Of all the disciplines, Internet or Personal Computer Networks, emphasis on the relationship between technology and human communication, should take the lead in considering research in the cyberspace.

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Study on Operating Strategy for Recreation Forests through Comparing the Level of User Satisfaction according to Clusters (군집별 만족도 비교를 통한 자연휴양림의 효율적 운영 방안 연구)

  • Gang, Kee-Rae;Lee, Kee-Cheol
    • Journal of the Korean Institute of Landscape Architecture
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    • v.38 no.1
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    • pp.39-48
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    • 2010
  • Recreation forests are in the spotlight as the place for personality development, mind and body comfort, companionship, and environment education in forests and valleys. Visitors to recreation forests have been on the increase along with booming in recreation forest building since 1988. Recreation forests are being categorized according to some features such as regional and environmental condition. Recreation forests, however, have not met the expectations of some visitors who want to take a rest with calmness due to the influence of the 5-day-work-week system, increasing interest in rest, leisure, and well-being, and users converge during weekends, summer, and the tourist season. In order to improve visitors' satisfaction efficiently, this study surveyed the level of satisfaction in each cluster based on the precedent study which had classified 85 national or public recreation forests in Korea into clusters. Questionnaires were distributed properly to each cluster and, of the 1,132 questionnaires collected, 1,015 were valid and used for analysis. Reliability of questionnaires and statistical validity of the model were verified. As a result, there are meaningful differences in the ranking of independent variables which affect the level of satisfaction according to clusters. Variables in rest and fatigue recovery have the strongest influence on the level of satisfaction in the clusters of potential factor, internal activation factor, and mixed potential capacity factor. In the use performance and visiting condition factor cluster, appropriateness of visit cost is most influential and, in the education cluster, connectivity with tourist attractions around it is most affective. These results can provide priority in services and maintenance of recreation forests for improving the level of satisfaction and differentiate the distribution of resources according to clusters.

Development and Application of Okara-based Adhesives for Plywood Panels (두부비지를 이용한 합판용 접착제의 개발 및 적용)

  • Oh, Sei-Chang;Ahn, Sye-Hee;Choi, In-Gyu;Jeong, Han-Seob;Yoon, Young-Ho;Yang, In
    • Journal of the Korean Wood Science and Technology
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    • v.36 no.3
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    • pp.30-38
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    • 2008
  • Petroleum-based resin adhesives have extensively been used for the production of wood panels. However, with the increase of manufacturing cost and the environmental issue, such as the emission of volatile organic compounds, of the adhesive resins, it is necessary to be developed new adhesive systems. In this study, the potential of okara, which is a residue wasted from the production of tofu, for the development of bio-based adhesives was investigated. At first, the physical and chemical properties of okara were examined. After okara was hydrolyzed in acidic and/or alkaline solutions, okara-based adhesive resins were formulated with the mixtures of the okara hydrolyzates and phenol formaldehyde (PF) prepolymer. The adhesive resins were used for the fabrication of plywood panels, and then the adhesive strength and formaldehyde emission of the plywood panels were measured to examine the applicability of the resin adhesives for the production of plywood panels. The solids content and pH of the okara used in this study were around 20% and weak acidic state, respectively. In the analysis of its chemical composition, the content of carbohydrate was the highest, and followed by protein. The shear strengths of plywood fabricated with okara-based resin adhesives exceeded a minimum requirement of KS standard for ordinary plywood, but its wood failure did not reach the minimum requirement. In addition, the formaldehyde emissions of all plywood panels were higher than that of E1 specified in the KS standard. Based on these results, okara has the potential to be used as a raw material of environmentally friendly adhesive resin systems for the production of wood panels, but further researches - biological hydrolysis of okara and various formulations of PF prepolymer - are required to improve the adhesive strength and formaldehyde emission of okara-based resin adhesives.