• Journal of Distribution Research
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• v.16 no.1
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• pp.117-140
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• 2011

The sales promotion strategy can be classified into two categories: cost-down and value-added promotions. Although many studies have been performed on sales promotion in the past, little attention has been given on cost-down promotion, and in particular on its strategy. Also there has been a renewed interest on value-added promotion strategy as means of attracting more customers and delivering value by providing a greater benefit. This study examines the effect of value-added promotion on the evaluation of promotional products. The topic is important because the value-added promotions are not always perceived as a benefit by consumers and they depend on the situational factors. We postulate three hypotheses on the basis of related literature. We conduct two studies: one employing experiment (study 1) and the other, quasi-experiment (study 2) to investigate the effect of two situational factors, namely the promotional package type and retailer uncertainty on the valuation of promotional products. Study 1 employs 2 promotional package types (bundled with freebie type vs. one-plus-one type) by 3 evaluation targets (overall package, a focal product and freebie) in experimental design. Also it is found that consumers devaluate the promotional product when the level of retailer uncertainty is high (t=-4.70, p=.000) as shown in Table 2. As depicted in Figure 2, the interaction effect of retailer uncertainty and package types on the evaluation of promotional product as a whole does not appear to be significant. However, when the level of retailer uncertainty is high, the focal product suffers from lower valuation if it is included in a bundle with freebie type package. The purpose of Study 2 is to cross-check the results of Study 1. The results of Study 2 also show that the consumers devaluate the promotional products as a whole when the level of retailer uncertainty is high. Furthermore, Study2 examines the consumers' willingness to purchase. The willingness to purchase of 2 different consumer groups divided by their reservation prices before and after exposure to a promotional stimuli shows no significant differences(t=1.911, p=.057). The results suggest that the consumers' reservation prices before the exposure to the promotion can be a reference prices of their's. But after the promotional events, the promotional price would become their reference prices. Furthermore, when the level of retailer uncertainty is high, consumers devaluate the promotional product as a whole. Because the promotional offerings activate the persuasion knowledge of consumers and make them incorporate negative inference about the firm's motives into their valuation and consequently, consumers tend to hesitate to purchase.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.17 no.6
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• pp.527-536
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• 2016

This study aims to generate baseline data for vitalizing the sales of functional cosmetics through an Importance-Performance Analysis (IPA) of the selection attributes of functional cosmetics. From the analysis of consumers' selection criteria, the study will assist functional cosmetics companies in reflecting consumer demands and therefore securing competitiveness. For this, general consumers aged over 20 years were surveyed for 5 weeks from Feb 23 through Mar 30, 2015, and 447 empirical data (response rate 88.9%) were processed through SPSS WIN 21.0 program for analysis. To conduct gender difference analysis on the IPA of the selection attributes of functional cosmetics, 17 selection attributes were categorized into 4 factors: functionality, labeling, popularity, and product. Cronbach's alpha for all factors was 0.5, proving the internal consistency and reliability of the survey. The survey results showed that while the entire average came out significantly higher for females (5.89/7points) than for males (5.66/7points) (p<0.001), the selection attributes 'anti-wrinkling', 'whitening function', 'functionality', 'expiration date', 'full ingredient labeling system' and 'various promotional events' showed significant gender differences. IPA results pertaining to gender showed 'price', 'functionality', 'spreadability' and 'full ingredient labeling system' as 2nd quadrant attributes, whereas female consumers selected 'price', 'whitening function', 'anti-wrinkling', 'functionality' and 'full ingredient labeling system' as attributes. Results show that businesses in the field of cosmetics and related areas need to prioritize improving the following factors that received low satisfaction from all consumers: 'price', 'functionality', and 'total labeling.' In particular, the 'price' aspects are considered to require reasonable and affordable pricing.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.21 no.6
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• pp.574-583
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• 2020

The aim of this study is to investigate the expenditure items and expenses for companion dogs and the appropriate considerations when choosing companion dog food for consumers who purchase dog food through the internet. The survey subjects consisted of 39 males (6.8%) and 532 females (93.2%), and it was found that most women purchase dog food through the internet. According to the age of dog owner, 184 (32.2%) were in their 20s and 241 (42.2%) in their 30s and 146 (25.6%) in their 40s or older. According to the age of the dogs, 200 (35%) were under 3 years old, 202 (35.4%) over 8 years old, and 169 (29.6%) were between 4 and 7 years old. The most preferred ingredient was chicken, regardless of dogs' owner or the dogs' age. Spending less than 100,000 won was most frequency reported, regardless of dog owner and the age of the dog, and major dog food was reported to be purchased in the order of online shopping malls and animal hospitals. In order to improve health function, it was determined that improvement of skin and hair is the most important, and next, was improvement of tooth bone formation and digestibility. When choosing food for companion dogs, nutritional composition of all the products was the most important consideration, followed by brand products with recognition, color, smell, shape, functional improvement products, and price of the products. Therefore, when developing a new product for companion dog food, consideration must be given not only to the nutritional components of all products, but also the brands, color, odor, shape, nutritional balance, functional improvement and price.

• Journal of the Korean Society of Food Culture
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• v.35 no.4
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• pp.333-341
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• 2020

This study evaluated the perception, consumption behavior, and optional attributes of Korean, Chinese, and U.S. consumers of energy bar products. Data were compared and analyzed by surveying 300 consumers in each country. Significant differences were observed in preference for energy bars according to their nationality, in the order China, the U.S., and Korea. Perception of taste, types and dietary suitability of the products ranked lower for Korean consumers, as compared to consumers of the United States and China. The order dietary fiber, protein, and calcium were the sought-after nutritional requirements of the products. The demand for protein was significantly higher in the U.S. Calcium demand was low in the United States and China, but was very high in Korea, which could be attributed to the low calcium intake of Koreans. Other optional attributes which were closely associated with the purchase and re-purchase decision, included price, taste and delivery period. All three factors were recognized as important options in Korea, whereas awareness of packaging/appearance and brand was not. The taste, nutrients and price in the U.S. ranked high as important optional attributes, while the packaging, external and expiration dates were recognized as low. Unlike Korea and the U.S., important optional attributes for Chinese consumers were determined in the order expiration date, taste, and nutrients, and showed low perception for packaging, appearance, weight, counts, and prices. Evaluating the preference for the main and secondary ingredients, Koreans preferred nuts over grains, Americans preferred dried fruits over nuts, and Chinese preferred nuts and grains; both Korean and American consumers had low preference for dried vegetables. The preference for chocolate was low in Korea and China, whereas preference for jelly was high in China as compared to Korea and the U.S. The intention of purchasing energy bars was significantly lower in Korea than in the U.S. and China. A variety of nutritious functional bars have recently been distributed and sold in Korea, but they are mostly produced in the U.S., which is the largest producer and consumer worldwide. Taken together, results of this study indicate that the demand for nutritional enhancement and preferred materials vary according to the nationality. Hence, it is necessary to develop products that reflect these criteria. Further research is required to analyze the relationship between preference and consumption behavior for each material product developed in the future.

• KDI Journal of Economic Policy
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• v.36 no.4
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• pp.1-32
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• 2014

Auction is widely used in allocation and procurement of resources due to its desirable properties: efficiency and revenue maximization. It is well-known, however, that auction may fail to achieve efficiency when allocative externalities exist. Such a result may happen in the auction of the resources that are very scarce, for example, radio spectrum. This is because allocation of the resources has effects on competition of the firms in the aftermarket, and thus a firm that utilizes the resources less efficiently may make a higher bid to lessen competition. This paper shows first that efficient allocation may not be achieved by auction even when the number of bidders is 2, while it is shown in the literature that auction may result in inefficient allocation when the number of bidders is greater than or equal to 3. There exist 2 firms, who make a bid to win the scarce resources that increase the value or decrease the production cost of their own product. After the auction ends, the firms engage in Bertrand competition on the Hotelling line. Inefficient allocation may happen even under the second-price auction rule, and it happens only when the firms are different in the initial value or the initial cost of their products as well as in the value of the auctioned resources. The firm who has been the leader loses a large portion of the market if it fails to win the auction, and thus makes a high bid even when the other firm can use the resources more efficiently. Allocative efficiency Pareto improves when the smaller firm's bid counts more than the leader's bid. This paper suggests a modified rule that the smaller firm wins the auction when its bid multiplied by some constant is greater than the leader's bid. The multiplier can be calculated from the market shares. It is equal to 1 when the two firms are the same, and is increasing in the leader's market share. Allocation is efficient in a strictly larger set of parameters under the modified rule than under the standard second-price auction rule.

• Journal of Sericultural and Entomological Science
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• v.51 no.1
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• pp.48-55
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• 2013

Though mulberry fruit is known to a by-product that was produced from mulberry tree after harvesting leaves for silkworm rearing, as a yield and consumption of mulberry fruit was increased, it has been fixing to a new income crop. But, a stable production of mulberry was issued on damage by the weather disaster, so it is requires that agricultural disaster insurance import. So, in this study as a basic research for a importation of agricultural disaster insurance, the cultivation of mulberry for produce mulberry fruit, the shape of tree, the number of a bearing fruit from each cultivar, the occurrence of mulberry fruit sclerotic disease, and a yield and the market price of mulberry fruits were investigated and that results obtained were as follows; The number of mulberry tree each 10a was abundant in Buan and Yangpyung region that cultivated a suitable cultivar on low cut shape, however, a large cultivated Gochang region was little. The number of a bearing fruit each the longest branch was abundant in the order of Gwasang No. 2, Suwonppong, Iksuppong, and Cheongilppong. Yield of mulberry fruit each 10a was abundant in the order of Cheongilppong, the second number of Gwasang No. 2, Suwonppong, Iksuppong, and yield of mulberry fruit each the age of three mulberry tree was abundant in older tree, however, the second number of Gwasang No. 2 was the opposite. Sale price of the mulberry fruit was highest in Gyeonggi Yangpyeong, and Jeonbuk Gochang was the opposite.

• Journal of the Korean Wood Science and Technology
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• v.15 no.4
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• pp.32-44
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• 1987

This study was carried out to analyze and furecast the domestic demand for plywood in Korea by regression models with time-series data for 16 years(1970-85). The results obtained were summarized as follows. 1. To analyze domestic demand for plywood, GNP, PWI and CWI were used as independant variables. The domestic demand equation was computed as follows: $^{in}DDP$=0.65186+1.29412 $^{in}GNP$-0.28385 $^{in}PWI$-1.05011 $^{in}CWI$ Where DDP : Domestic demand for plywood(1000 S/F) GNP: Gross national product (Billion won) PWI : Real wholesale price index of plywood CWI: Real wholesale price index of construction materials. 2. Among independant variables reflecting on the production activity of plywood industry, GNP was the most decisive in forecasting the domestic demand for plywood. 3. The significance can be recognized highly because the decision coefficient of the forecasting model which is obtained by using time series data is 0.9. 4. According to the estimated regression coefficients for GNP, PWI and CWI, GNP shows positive relation while PWI and CWI show negative relation. 5. An annual average increase rate of demand for plywood was 9.4 percent during expect period. Therefore, it was decreased slightly than that of 10.2 percent during sample period.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.17 no.3
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• pp.629-637
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• 2016

This study examined the purchasing behavior and satisfaction of people with convenience store PB foods. The factors affecting the purchasing behavior and the overall satisfaction with the convenience store PB foods were examined. This study first found that the purchasing motivation of PB foods is the cheaper price than NB foods. Second, age is a statistically effective variable for the visit frequency at the convenience store and gender and age are effective variables for the purchase frequency of PB foods. Third, there is a statistically positive correlation of convenience store brand preference with the PB food brand preference for 6 food categories. Next, in terms of the attribute-level satisfaction, the most satisfied areas are diverse food groups and diverse food taste and the least satisfied areas is price. This is followed by taste and design/packaging influence overall satisfaction. From this analysis, the following suggestions were drawn. First, because consumers are likely to be matched convenience store brand preference and PB food brand preference, advertising is necessary to ensure that the consumers continue to visit the convenience store. Second, product improvement by increasing the quality should be designed to motivate the major consumer group of people in their 20s and 30s. Finally, to boost PB food satisfaction, the industry should improve the taste and design/packaging.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.21 no.2
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• pp.353-358
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• 2020

The new sales method of social commerce in food service market is growing steadily. Over 50 percent of the social commerce market is food service product. Food service companies are using social commerce, which is discount sales, as a marketing tool. There are many food service companies using social commerce as a sales and marketing tool. However, little research has investigated food service customers. Thus, this study suggests how food service customer's purchasing factor affects customer's satisfaction and loyalty of the supplier and business operator. Social commerce's purchasing characteristic factors are selected based on a previous study. Purchasing factor is divided into supplier and business operator side and the impact of the relationships between its subordinate factors (price discount, offering diversity, mutual action, brand intimacy) and customer's satisfaction is analyzed. As a result, price discount and brand intimacy show higher results. Offering diversity and brand intimacy of purchasing factor on business operator side shows a higher impact on the relationship between loyalty and ?? (Ed- 'the relationship between A and B'; what is B?). The study implications are as follows. The food service industry should establish different marketing strategies to apply social commerce and compare with social commerce business operators, because the actual place where customers use food service is food service restaurants and not just social commerce websites.

• The Journal of the Korea Contents Association
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• v.12 no.3
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• pp.335-351
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• 2012

This study is an empirical analysis completed based on a survey of the members of major construction companies and is analyzed to verify the relationship between the ethical characteristics of major construction companies and firm's competitiveness and its effects. In this study, based on previous researches in domestic and foreign, the factors that are affected by the business ethics were analyzed, and the competitiveness of firms, which is a dependant variable, was divided into four different types: quality, price, sales, and promotion. The proposal and final conclusion regarding the relationship between job satisfaction and concentration was made after the investigation of research hypothesis. The conclusions described below:(By the Linear regression analysis) 1. The product competitiveness is affected by moral competence, will to act ethical management, transparency of fairness, customers, and social responsibility. 2. The price competitiveness is affected by will to act ethical management, transparency of fairness, customers, and social responsibility.