• Title/Summary/Keyword: Price Discrimination

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A Conjoint Analysis of Online Information Privacy Concerns: A case in Korea (온라인 프라이버시 침해 우려에 관한 컨조인트 분석 : 한국에서의 사례)

  • Choi, Mi-Young;Lee, Sang-Yong Tom
    • Asia pacific journal of information systems
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    • v.18 no.3
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    • pp.45-65
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    • 2008
  • The rapid growth of the Internet has increased the amount of transmission of personally identifiable information. At the same time, with new Internet related technologies, organizations are trying to collect and access more personal information than before, which in turn makes individuals concern more about their information privacy. For their successful businesses, organizations have tried to alleviate these concerns in two ways: (1) by offering privacy policies that promise certain level of privacy protection; (2) by offering benefits such as financial gains or convenience. In this paper, we interpret these actions in the context of the information processing theory of motivation. This paper follows Hann et al.(2007)'s methods to analyze Internet users privacy concerns in Korea and tries to compare the findings. Our research objectives are as follows: First, we analyze privacy concern mitigation strategies in the framework of the expectancy theory of motivation. Subsequently, we show how the expectancy theory based framework is linked o the conjoint analysis. We empirically validate the predictions that the means to mitigate privacy concerns are associated with positive valences resulting in an increase in motivational score. In order to accommodate real-life contexts, we investigate these means in trade-off situation, where an organization may only be able to offer partially complete privacy protection and/or promotions and/or convenience, While privacy protection (secondary use, improper access) are associated with positive valences, we also find that financial gains can significantly increase the individuals' motivational score of a website in Korea. One important implication of this empirical analysis is that organizations may possess means to actively manage the privacy concerns of Internet users. Our findings show that privacy policies are valued by users in Korea just as in the US or Singapore. Hence, organizations can capitalize on this, by stating their privacy policy more prominently. Also organizations would better think of strategies or means that may increase online users' willingness to provide personal information. Since financial incentives also significantly increase the individuals' motivational score of website participation, we can quantify the value of website privacy protection in terms of monetary gains. We find that Korean Internet users value the total privacy protection (protection against errors, improper access, and secondary use of personal information) as worthy as KW 25,550, which is about US 28. Having done this conjoint analysis, we next adopt cluster analysis methodology. We identify two distinct segments of Korea's internet users-privacy guardians and information sellers, and convenience seekers. The immediate implication of our study is that firms with online presence must differentiate their services to serve these distinct segments to best meet the needs of segments with differing trade-offs between money and privacy concerns. Information sellers are distinguished from privacy guardians by prior experience of information provision, To the extent that businesses cannot observe an individual's prior experience, they must use indirect methods to induce segmentation by self-selection as suggested in classic economics literature of price discrimination, Businesses could use monetary rewards to attract information sellers to provide personal information. One step forward from the societal trends that emphasize the need of legal protection of information privacy, our study wants to encourage organizations and related authorities to have the viewpoints to consider both importance of privacy protection and the necessity of information trade for the growth of e-commerce.

Enactment of the Fundamental Act on Cooperatives and Its Implications for Rural Development Policy (협동조합기본법 제정 및 시행의 시사점과 농촌 정책의 과제)

  • Kim, Jeong Seop;Ma, Sang Jin;Kim, Mee Bok
    • Journal of Agricultural Extension & Community Development
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    • v.20 no.1
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    • pp.1-39
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    • 2013
  • The Cooperatives Act was enacted. This enabled people to establish easily cooperatives at various fields. A cooperative is an important vehicle for rural community development. Therefore, the enactment of the Cooperatives Act can be a significant chance for rural policy. The Cooperatives Act have made three significant changes. First, cooperatives can start businesses at all the fields except for financial and insurance business. Second, requisites for people to establish cooperatives have been alleviated exceptionaly. Third, the Cooperatives Act introduced a new cooperative organization, social cooperative which aims to serve the socially excluded class. The self-help approach places rural community members at the core of a development process with two goals: to improve the quality of life within the community and to facilitate the community's capacity building. Community cooperatives contribute to accomplish those goals. One of the roles for cooperatives is to provide products and services at competitive prices. Providing a good or service at a competitive price bcomes increasingly important in some rural communities declines. Cooperative development processes have bic impacts on the ablility of community members to increase human asset and social capital. We conducted a survey targeting rural community businesses to grasp inclinations toward establishing cooperatives. The Cooperatives Act has gained low level of recognition. But so many community businesses wanted to establish cooperatives. This means there is a possibility for many community businesses to establish cooperatives without sufficient understanding. We suggested some policy issues for coping with this situation, as followings. First, the governments should provides rural community residents with opportunities to learn about cooperatives. Second, the current legal systems and regulations about business and social service should be reviewed to do away with the possible discrimination between the new cooperatives and the other forms of incoporation. Third, the cooperation of cooperatives should be encouraged and facilitated in rural communities.

The effect on purchasing intention of Hotel Brand-image and Choice-attribution (호텔 브랜드이미지와 선택속성이 구매의도에 미치는 영향에 관한 연구)

  • Lee, Ji-Yeong;Kim, Tae-Jin
    • Journal of Applied Tourism Food and Beverage Management and Research
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    • v.16 no.1
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    • pp.43-69
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    • 2005
  • Generally, brand is the title for discriminating their own goods and service from other competitive company, brand-image means customer's good and bad affection or loyalty the brand of specific company. Customers often choose the goods according to the value of goods brand. In terms of this viewpoint, the value of company's brand is very important factor to the company's success. Brand-image also effects customers on selling company's goods. Specially, to the hotel business that should ensure lots of customer for a long period with the interest and credit of customers, its brand-image is more significant. What the image is looked upon as a important factor in marketing is due to the difficulty of discrimination against goods standardized in price and quality. Therefore, the company's image acts as a more important marketing factor in the high industrial society. Also it means a lot to the customer's purchasing behavior. When the company's brand-image is recognized or discriminated, customer's memory is longer and customer's reliability is raised than other company's advertisement and public information. Nowadays, most of hotels are perceiving the importance on their own brand-image but in the lack of deep study and systematic strategy in reality. The purpose of this study is to research the effect on customer's purchasing intention of hotel brand-image and choice-attribution. The empirical research has been done from 23April, 2004 to 20May, 2004. Data were collected from general customers who are using hotel located in Taegu. In conclusion, hotel brand-image depends highly on, the service quality of hotel staff and reputation of hotel. Besides, this acts on customer's hotel choice decisively.

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A Strategy to Activate Design Industry for Provincial Development - Centering on the region of Daegu and Gyeongbuk - (지역발전을 위한 디자인산업 활성화 전략 -대구 경북지역을 중심으로-)

  • Yun, Young-Tae;Kim, Yun-Hee
    • Archives of design research
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    • v.18 no.3 s.61
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    • pp.55-62
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    • 2005
  • Recently, the opening of the world economy and regional ization of national demand endless endeavors and investments to upbring design-industry for regional economic development. Our domestic commodities, declined in price competitiveness against China and Southeast Asian nations, need construction of brand image of commodities and consumers' response through expanded concernments in marketing spheres. The design-industry is a important means to strengthen competitiveness of the domestic industry through discrimination of commodities and creativity of high added value. Design-industry has some problems in circumstances; commodity development and marketing are below the level in the sphere of manufacture industry yet and businessmen are unwilling to invest demanded for development of new design. Establishment of the personal foundation, useful for accumulating competent designers' experiences and technologies, can not pass limit. In addition, a system and a policy to protect design-industry have a problem in effectiveness. Concrete strategies to activate design industry which meets social and cultural circumstances of Daegu and Gyeongbuk region are to establish policy for construction of specialists' infra, systematization of study & development of design, common ownership of information on design, and expansion of design company. The business to upbring design in the region should be operated to develop competitive commodities which is helpful to the regional economy and to increase value of the regional enterprises' brand. In addition, foundation of design should be expanded personal, material, and informational infra through design-centered so that they are helpful to activate economy of Daegu and Gyeongbuk through making design reformational cluster.

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An Inventory Model for Deteriorating Products with Ordering Cost inclusive of a Freight Cost under Trade Credit (신용거래 하에 운송비용이 포함된 주문 비용을 고려한 퇴화성 제품의 재고 모형)

  • Shinn, Seong-Whan
    • The Journal of the Convergence on Culture Technology
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    • v.5 no.1
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    • pp.353-360
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    • 2019
  • Trade credit is being used as a price discrimination strategy by the suppliers in order to increase the customer's demand. From the viewpoint of the customer, if delayed payment is allowed for a certain period of time from the supplier, the effect of reducing the inventory carrying cost will positively affect the customer's order quantity. Also, in deriving the economic order quantity(EOQ) formula, it is tacitly assumed that the customer's ordering cost is a fixed cost. However in many business transactions, the customer pays the freight cost for the transportation of his order and so, the customer's ordering cost contains not only a fixed cost but also a freight cost which is a function of the order size. Therefore, in this study, we analyzed the inventory model which considers that the customer's ordering cost contains not only a fixed cost but also a freight cost which is a function of the customer's order size when the supplier permits a delay in payments. For the analysis, it is also assumed that inventory is exhausted not only by customer's demand but also by deterioration. Investigation of the properties of an optimal solution allows us to develop an algorithm whose validity is illustrated using an example problem.

The Relationship Between DEA Model-based Eco-Efficiency and Economic Performance (DEA 모형 기반의 에코효율성과 경제적 성과의 연관성)

  • Kim, Myoung-Jong
    • Journal of Environmental Policy
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    • v.13 no.4
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    • pp.3-49
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    • 2014
  • Growing interest of stakeholders on corporate responsibilities for environment and tightening environmental regulations are highlighting the importance of environmental management more than ever. However, companies' awareness of the importance of environment is still falling behind, and related academic works have not shown consistent conclusions on the relationship between environmental performance and economic performance. One of the reasons is different ways of measuring these two performances. The evaluation scope of economic performance is relatively narrow and the performance can be measured by a unified unit such as price, while the scope of environmental performance is diverse and a wide range of units are used for measuring environmental performances instead of using a single unified unit. Therefore, the results of works can be different depending on the performance indicators selected. In order to resolve this problem, generalized and standardized performance indicators should be developed. In particular, the performance indicators should be able to cover the concepts of both environmental and economic performances because the recent idea of environmental management has expanded to encompass the concept of sustainability. Another reason is that most of the current researches tend to focus on the motive of environmental investments and environmental performance, and do not offer a guideline for an effective implementation strategy for environmental management. For example, a process improvement strategy or a market discrimination strategy can be deployed through comparing the environment competitiveness among the companies in the same or similar industries, so that a virtuous cyclical relationship between environmental and economic performances can be secured. A novel method for measuring eco-efficiency by utilizing Data Envelopment Analysis (DEA), which is able to combine multiple environmental and economic performances, is proposed in this report. Based on the eco-efficiencies, the environmental competitiveness is analyzed and the optimal combination of inputs and outputs are recommended for improving the eco-efficiencies of inefficient firms. Furthermore, the panel analysis is applied to the causal relationship between eco-efficiency and economic performance, and the pooled regression model is used to investigate the relationship between eco-efficiency and economic performance. The four-year eco-efficiencies between 2010 and 2013 of 23 companies are obtained from the DEA analysis; a comparison of efficiencies among 23 companies is carried out in terms of technical efficiency(TE), pure technical efficiency(PTE) and scale efficiency(SE), and then a set of recommendations for optimal combination of inputs and outputs are suggested for the inefficient companies. Furthermore, the experimental results with the panel analysis have demonstrated the causality from eco-efficiency to economic performance. The results of the pooled regression have shown that eco-efficiency positively affect financial perform ances(ROA and ROS) of the companies, as well as firm values(Tobin Q, stock price, and stock returns). This report proposes a novel approach for generating standardized performance indicators obtained from multiple environmental and economic performances, so that it is able to enhance the generality of relevant researches and provide a deep insight into the sustainability of environmental management. Furthermore, using efficiency indicators obtained from the DEA model, the cause of change in eco-efficiency can be investigated and an effective strategy for environmental management can be suggested. Finally, this report can be a motive for environmental management by providing empirical evidence that environmental investments can improve economic performance.

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Trend and Further Research of Rice Quality Evaluation (쌀의 품질평가 현황과 금후 연구방향)

  • Son, Jong-Rok;Kim, Jae-Hyun;Lee, Jung-Il;Youn, Young-Hwan;Kim, Jae-Kyu;Hwang, Hung-Goo;Moon, Hun-Pal
    • KOREAN JOURNAL OF CROP SCIENCE
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    • v.47
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    • pp.33-54
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    • 2002
  • Rice quality is much dependent on the pre-and post harvest management. There are many parameters which influence rice or cooked rice qualitys such as cultivars, climate, soil, harvest time, drying, milling, storage, safety, nutritive value, taste, marketing, eating, cooking conditions, and each nations' food culture. Thus, vice evaluation might not be carried out by only some parameters. Physicochemical evaluation of rice deals with amy-lose content, gelatinizing property, and its relation with taste. The amylose content of good vice in Korea is defined at 17 to 20%. Other parameters considered are as follows; ratio of protein body-1 per total protein amount in relation to taste, and oleic/linoleic acid ratio in relation to storage safety. The rice higher Mg/K ratio is considered as high quality. The optimum value is over 1.5 to 1.6. It was reported that the contents of oligosaccharide, glutamic acid or its derivatives and its proportionalities have high corelation with the taste of rice. Major aromatic compounds in rice have been known as hexanal, acetone, pentanal, butanal, octanal, and heptanal. Recently, it was found that muco-polysaccharides are solubilized during cooking. Cooked rice surface is coated by the muco-polysaccharide. The muco-polysaccharide aye contributing to the consistency and collecting free amino acids and vitamins. Thus, these parameters might be regarded as important items for quality and taste evaluation of rice. Ingredients of rice related with the taste are not confined to the total rice grain. In the internal kernel, starch is main component but nitrogen and mineral compounds are localized at the external kernel. The ingredients related with taste are contained in 91 to 86% part of the outside kernel. For safety that is considered an important evaluation item of rice quality, each residual tolerance limit for agricultural chemicals must be adopted in our country. During drying, rice quality can decline by the reasons of high drying temperature, overdrying, and rapid drying. These result in cracked grain or decolored kernel. Intrinsic enzymes react partially during the rice storage. Because of these enzymes, starch, lipid, or protein can be slowly degraded, resulting in the decline of appearance quality, occurrence of aging aroma, and increased hardness of cooked rice. Milling conditions concerned with quality are paddy quality, milling method, and milling machines. To produce high quality rice, head rice must contain over three fourths of the normal rice kernels, and broken, damaged, colored, and immature kernels must be eliminated. In addition to milling equipment, color sorter and length grader must be installed for the production of such rice. Head rice was examined using the 45 brand rices circulating in Korea, Japan, America, Australia, and China. It was found that the head rice rate of brand rice in our country was approximately 57.4% and 80-86% in foreign countries. In order to develop a rice quality evaluation system, evaluation of technics must be further developed : more detailed measure of qualities, search for taste-related components, creation and grade classification of quality evaluation factors at each management stage of treatment after harvest, evaluation of rice as food material as well as for rice cooking, and method development for simple evaluation and establishment of equation for palatability. On policy concerns, the following must be conducted : development of price discrimination in conformity to rice cultivar and grade under the basis of quality evaluation method, fixation of head rice branding, and introduction of low temperature circulation.

Analysis of the Characteristics of Container Ports in Busan Port Using Industrial Organization Approach (산업조직론을 활용한 부산항 컨테이너 하역산업의 특성 분석)

  • Ko, Byoung-Wook;Kil, Kwang-Soo;Lee, Da-Ye
    • Journal of Korea Port Economic Association
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    • v.37 no.3
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    • pp.117-128
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    • 2021
  • In order for the users (shipping firms and shippers) and suppliers (stevedoring firms) in the container terminal industry to win-win, it is necessary to have some appropriate diverse market conditions for the industry. This study analyses the basic conditions and demand and supply characteristics of the industry and investigates the market performance of Busan container ports. First, this article analyses the basic characteristics of demand and supply. As the demand characteristics, there are five ones such as 1) exogeneity of demand, 2) function as export/import transportation and hub for transshipment, 3) increase of users' bargaining power, 4) high substituting elasticity, 5) reduction of volume growth. As the supply characteristics, there are seven ones such as 1) inelasticity of supply, 2) homogeneity of stevedoring services, 3) over-supply, 4) adoption of cutting-edge stevedoring technology, 5) scale economy and impossibility of storage, 6) labor market rigidity, 7) enhancing port's role in SCM. In addition, this study conducts the so-called structure-conduct-performance analysis. For the structure analysis, 1) lacks of scale economy in stevedoring companies, 2) high entry barrier, 3) strengthening of shipping firms' bargaining power, 4) transitory permission scheme for tariff are analyzed. For the conduct analysis, 1) price discrimination between export/import and transshipment, 2) mid-term length of terminal use contract, 3) continuous investment in equipment, 4) low level of cooperation among terminal operating firms are derived. For the performance analysis, 1) inequality in profitability, 2) reduction of export/import cost, 3) delay in adopting cutting-edge technology, 4) idle equipment are analyzed. Following this logical flow, the hypothesis that the market structure influences the market conduct is tested based on the actual dataset. As a future agenda in the conclusion, this article recommends the so-called port industrial policy.