• Title/Summary/Keyword: Product Distribution Information

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Strategic Analysis of the Multilateral Bargaining for the Distribution Channels with Different Transaction Costs (거래비용이 상이한 복수의 유통채널에 대한 다자간 협상전략에 관한 연구)

  • Cho, Hyung-Rae;Rhee, Minho
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.38 no.4
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    • pp.80-87
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    • 2015
  • The proliferation of the Internet and communication technologies and applications, besides the conventional retailers, has led to a new form of distribution channel, namely home sopping through the telephone, TV, catalog or the Internet. The conventional and new distribution channels have different transaction costs perceived by the consumers in the following perspectives: the accessibility to the product information, the traffic cost and the opportunity cost for the time to visit the store, the possibility of 'touch and feel' to test the quality of the product, the delivery time and the concern for the security for the personal information. Difference in the transaction costs between the distribution channels results in the different selling prices even for the same product. Moreover, distribution channels with different selling prices necessarily result in different business surpluses. In this paper, we study the multilateral bargaining strategy of a manufacturer who sells a product through multiple distribution channels with different transaction costs. We first derive the Nash equilibrium solutions for both simultaneous and sequential bargaining games. The numerical analyses for the Nash equilibrium solutions show that the optimal bargaining strategy of the manufacturer heavily depends not only on the degree of competition between the distribution channels but on the difference of the business surpluses of the distribution channels. First, it is shown that there can be four types of locally optimal bargaining strategies if we assume the market powers of the manufacturer over the distribution channels can be different. It is also shown that, among the four local optimal bargaining strategies, simultaneous bargaining with the distribution channels is the most preferred bargaining strategy for the manufacturer.

A comparison study on price discount of bi-national product (복합원산지제품의 가격할인에 대한 비교연구)

  • Lee, Jiwon;Jin, Sungmin;Kang, Inwon
    • International Commerce and Information Review
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    • v.18 no.2
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    • pp.169-194
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    • 2016
  • This study aims to explain the cause of price differences of bi-national products based on consumer response of product type, distribution channel, and consumer nationality, respectively. Specifically this study investigated whether price discount and distribution channel affect consumer evaluation by luxury and non-luxury product type. In the case of bi-national product toward the non-luxury, price discount had positive influence on preference, regardless of distribution channel. By revealing the influence of price discount on bi-national products on consumer response of product type and distribution channel respectively, the study suggests meaningful implications for the strategic management of bi-national products.

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Uncertainty of Agricultural product Prices by Information Entropy Model using Probability Distribution for Monthly Prices (월별 가격의 확률분포를 이용한 정보엔트로피 모델에 의한 농산물가격의 불확정성)

  • Eun, Sang-Kyu;Jung, Nam-Su;Lee, Jeong-Jae;Bae, Yeong-Joung
    • Journal of The Korean Society of Agricultural Engineers
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    • v.54 no.2
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    • pp.7-14
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    • 2012
  • To analyze any given situation, it is necessary to have information on elements which affect the situation. Particularly, there is greater variability in both frequency and magnitude of agricultural product prices as they are affected by various unpredictable factors such as weather conditions etc. This is the reason why it is difficult for the farmers to maintain their stable income through agricultural production and marketing. In this research, attempts are made to quantify the entropy of various situations inherent in the price changes so that the stability of farmers' income can be increased. Through this research, we developed an entropy model which can quantify the uncertainties of price changes using the probability distribution of price changes. The model was tested for its significance by comparing its simulation outcomes with actual ranges and standard deviations of price variations of the past using monthly agricultural product prices data. We confirmed that the simulation results reflected the features of the ranges and standard deviations of actual price variations. Also, it is possible for us to predict standard deviations for changed prices which will occur after a certain time using the information entropy obtained from relevant agricultural product price data before the time.

Different Perception on Product Attributes of HMR: Focusing on College Students and Consumers (가정간편식의 제품속성에 대한 인식차이: 대학생들과 소비자를 중심으로)

  • Yang, Hoe-Chang;Kim, Jong-Baek;Kim, An-Sik
    • Journal of Distribution Science
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    • v.14 no.2
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    • pp.47-56
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    • 2016
  • Purpose - The purpose of this study is to investigate the difference in the degree of significance and satisfaction perceived by college students and ordinary consumers on the HMR product attributes. Comparison of the difference on HMR product attributes between ordinary consumers and college students who belong to the current and future consumption groups of HMR will provide information for clear marketing strategies and PR on target consumers from the aspects of companies. Also, overall difference on HMR was investigated through IPA(importance-performance analysis) on significance and satisfaction with each product attribute. This result will provide information to food companies that produce or supply HMR products to be supplemented and improved. Finally, IPA was conducted between groups on product attribute to find which difference exists between groups. This result is also expected to provide crucial information to companies as suggested in the first purpose. Research design, data, and methodology - The procedure of analysis is as follows. First, independent sample t-test was conducted on the significance and satisfaction on HMR product attributes. Second, with using IPA, the significance and satisfaction on HMR product attributes of the respondents were checked to investigate marketing strategy direction on overall HRM products. Third, the difference between generations was verified using IPA on the college student and consumer groups. According to this result, the direction of marketing strategy on HRM products was to be proposed to food companies. Results - It was known that consumers consider HMR product attributes statistically and significantly such as nutrient content(nutrition), country of origin, brand, main raw material, packaging, and awareness of manufacturer. They keep after purchase more importantly than college students who considered only volume and price than consumers. In comparison with the difference in satisfaction on HMR product attributes, the college student group was more satisfied than ordinary consumers only in flavor, condition of food additives, and volume. Also, HMR related food companies must maintain taste, cooking method, manufacturing date, expiration date, and safety on current products continuously. Finally, as a result of analysis from the groups, the attributes such as cooking method, manufacturing date, expiration date, and safety were considered significantly with high achievement by the two groups. It was known that college students considered food texture to be important, but consumers considered storage method to be important after purchasing it. Conclusions - There is necessity to differentiate effectiveness of products when releasing HMR products subject to consumers and college students. The result will give great assistance to the improvement of companies, produce or supply HMR products. It will also provide entry strategies on target groups of companies that are planning for entry. The factors that consumers commonly considered not to be significant were brand, package form(appearance), cooking time, and sale(purchase) location, which were found in the comparison with the groups that awareness about manufacturers and storage method after purchase corresponded to college students and that distribution route corresponded to ordinary consumers.

A Study on marketing strategy for the Brand-name of Korea's Meat in the globalization Era (세계화에 따른 한우브랜드의 마케팅전략에 관한 연구)

  • Yim, Ki-Heung
    • International Commerce and Information Review
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    • v.10 no.3
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    • pp.391-406
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    • 2008
  • Recently, U.S. beef completely is opened and a point of present time, beef import market is increased, the high branding and high quality of Korea's beef cattle is urgent for a brand-name of Korea's Meat got competitive superiority in world market. Also, for that situation, Producers and Distributors request successful marketing strategy establishment and in the concrete, I present a counterplan strategy based on 4P(price, product differentiation, sales promotion, distribution) strategy.

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The Effect of Online WOM of Menu Product Consumers on Product Perception Risk and WOM Effect

  • HEO, Yeong-Wook
    • Journal of Distribution Science
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    • v.18 no.3
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    • pp.77-85
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    • 2020
  • Purpose: This study examined marketing value as online word-of-mouth media in the foodservice industry, and it did research on online word-of-mouth (e-WOM) communication marketing schemes using mass communication in the industry. The study is also intended to investigate the impact of electronic word-of-mouth (e-WOM) information and communication on product awareness risks, benefits, and word-of-mouth (WOM) impacts on restaurant consumers. Research design, data, and methodology: The analysis was conducted on a valid questionnaire of 425 menu product consumers. The survey was conducted for two months in March 2019. The collected data was analyzed using SPSS and hierarchical regression analysis was applied. Results: It did empirical research on the reciprocal casual relations to online and the existing word-of-mouth communication that have to be preceded to understand characteristics of online word-of-mouth communication for the purpose of this study. The result is summarized as follows. First, the online word-of-mouth (e-WOM) effect on product recognition risk shows the statistically significant effect of information sender characteristics, information recipient characteristics, and online word-of-mouth (e-WOM) communication on product recognition risk. Second, the influence of online word-of-mouth (e-WOM) on product risk benefits shows that the information sender characteristics, the information receiver characteristics, and online communications have a statistically significant effect on product risk benefits. Third, online word of mouth risk recognition had a statistically significant effect on word of mouth acceptance. Fourth, online risk benefit had a statistically significant positive effect on word of mouth (WOM) effect. Conclusions: The communication between online word of mouth (e-WOM) sender and recipient had a positive influence on the product evaluation and attitude change in the foodservice industry, and the word-of-mouth (WOM) effect affected financial and non-financial performance. The results mentioned above indicated that the communication between the sender of the information and the receiver of the information had a positive effect on the product evaluation and attitude change of the menu consumer, and the word-of-mouth (WOM) result affected the financial. Therefore, the online word-of-mouth (e-WOM) effect has a positive effect on the word-of-mouth (WOM) effect of menu products when performed simultaneously and positively between the information sender and the information receiver.

Accelerated Life Test and Reliability Growth Management Technique Within a Car Program (자동차 가속수명 시험과 신뢰성 성장관리 기술 개발)

  • Jung, Won
    • Journal of Korea Society of Industrial Information Systems
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    • v.7 no.2
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    • pp.33-39
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    • 2002
  • Accelerated life testing of a car is used to get information quickly on its life distribution. Test cars are no under severe conditions and fail sooner than under usual conditions. A model is fitted to the accelerated failure times and then extrapolated to estimate the life distribution under usual conditions. This paper presents an accelerated test md the reliability growth theory, and applies it to some subsystems of cars during their prototype and pilot testing. The data presented illustrates explicitly the prediction of the reliability growth in the product development cycle. The application of these techniques is a part of the product assurance function that plays an important role in product reliability improvement.

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A Study on Selection Attributes of Luxury Goods in Online Stores of MZ Generation: Focusing on the Moderating Effects of Consumer Value

  • Seong-Soo CHA;Kyung-Seop KIM
    • Journal of Distribution Science
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    • v.21 no.11
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    • pp.103-111
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    • 2023
  • Purpose: This research aims to study the selection attributes influencing the purchasing decisions of the MZ generation in online luxury stores and explores the moderating effects of consumer value. The research aims to validate the impact of reasonable pricing, brand reliability, product variety, comprehensive product information, and user-friendly interfaces on customers' decision to purchase products from online luxury stores. Research design, data and methodology: A survey was conducted with 101 participants, and data analysis included exploratory and confirmatory factor analysis, as well as covariance structure model analysis. Results: The findings reveal that brand trust, product variety, and information sufficiency significantly influence brand affect, which in turn influences purchase intention. Additionally, the study identifies that consumers prioritizing hedonic value are more influenced by brand trust and information, while those prioritizing utilitarian value are more responsive to factors like reasonable price, product variety, and ease of use. Conclusions: The study provides insights into the preferences and behaviors of the MZ generation, highlighting their digital proficiency, mobile-centric lifestyle, desire for product variety, price-consciousness, social media influence, and the availability of personalized shopping experiences as factors contributing to their preference for online luxury stores. These findings contribute to understanding consumer behavior and decision-making processes in the context of online luxury shopping.

On The Product of Laplace and Bessel Random Variables

  • Nadarajah, Saralees;Ali, M. Masoom
    • Journal of the Korean Data and Information Science Society
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    • v.15 no.4
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    • pp.1011-1017
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    • 2004
  • The distribution of the product |XY| is derived when X and Y are Laplace and Bessel random variables distributed independently of each other.

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A Strategic Effect of Bundling on Product Distribution

  • Gwon, Jae-Hyun
    • Journal of Distribution Science
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    • v.13 no.10
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    • pp.15-21
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    • 2015
  • Purpose - This study examines a bundling effect on production and distribution in a patent-protected industry. Despite the heavy use of bundling strategies in the information and technology industry, literature has paid scant attention to bundling of intellectual property rights. This study examines a theoretical exploration of the bundling effect on licensing behavior. Research design, data, and methodology - To address this behavior, we build a simplified model consisting of three stages: 1) bundling decision, 2) licensing agreement, and 3) competition. The subgame perfect Nash equilibrium is applied to the model. Results - A single-patent holder with superior technology grants its own license to the multiple-patent firm, thereby leaving the market. Anticipating the single right holder's licensing strategy, the multiple-patent firm offers a bundle, making the single-right holder's bargaining position weaker. Conclusions - Bundling is an effective business strategy, resulting in multiple products for a firm as it faces other firms with single-product lines in each market. Taking advantage of the multi-patent or multi-product lines, the firm utilizes the bundling strategy obtaining better technology from the standalone single-patent firms.