Products liability refers to the liability of any or all parties along the chain of manufacture of any product for damage caused by that product. This includes the manufacturer of component parts (at the top of the chain), an assembling manufacturer, the wholesaler, and the retail store owner (at the bottom of the chain). Products containing inherent defects that cause harm to a consumer of the product, or someone to whom the product was loaned, given, etc., are the subjects of products liability suits. The goal of products liability system should be to maximize consumer welfare by efficiently providing just compensation for injuries incurred and deterring future injuries without unreasonably impeding the supply of the goods and services to consumers. Some advanced countries, apart from relying on products liability systems, also apply other policies and legislation directly aimed at the safety of the consumer. The application of general safety policies as well as products liability rules is not costless. An efficient system will not eliminate risk from society. An efficient system ... that maximises consumer welfare ... maximises the benefits while minimising the costs. Products liability claims can be based on negligence, strict liability, or breach of warranty of fitness depending on the jurisdiction where the claim is based. In view of international business and law circumstances, it should be stressed that international enterprises in Korea should consider how to cope with the situation of international transaction. International enterprises should have a correct perception about products liability which is to contribute the stabilization and improvement of the people's life and the sound develpement of the national economy. Products liability system creates incentives that influence behaviour and performance in ways that are desirable, such as more diligent monitoring to prevent defective products from reaching the market-place. At the same time, any liability system will impose burdens that are undesirable, such as greater costs imposed on business and consumers and reduced avaiability of consumer goods. The concern for society is to balance. The ideal situation is where the cost imposed on producers of goods and services pushes them to a desirable level of care but not so far that producers reach undesirable level of caution that may deprive consumers unnecessarily of the benefits from new and innovative products.
The distribution sector is affected by a wide range of regulations. Many of these are related to health and safety, others are related to urban planning and environmental issues, whereas some mainly have an economic basis. But, regulations many be unduly restrictive, in which case they can drive up costs and ultimately prices, or they may, in some cases, reduce consumer choice. Unduly restrictive regulations could also increase costs indirectly, by reducing competition and thus lead to lower productivity growth. In the past few years, distribution sector has gone through drastic changes due to deregulation and market opening. Implementation of regulatory reforms served as an opportunity to change laws and systems which had been an obstacle to development of distribution sector. Market opening of distribution sector became a turning point to promote competition among domestic and foreign firms. However, for small and medium scale of the typical retail enterprises which were in no position to compete in terms of prices, additional facilities, and services, faced a threat of diminished trading area, and even of their existence. Because, large firms may have greater market power than small firms, as they can more easily extract favorable terms when procuring goods, and may also be able to deter entry by advertising outlays or access to the best sites. In addition, larger chain stores armied with sufficient capital dominated trading area and reduced customer's welfare by abusing their monopoly power when competing with other shops, and are often cited as an example of adverse effects of local monopoly. In order to minimize such adverse effects and to foster competition, regulatory reforms in distribution sector should set its goal to promote sound and stable distribution activities through market principle and restoring competition principle, and ultimately to boost customers welfare. Therefore, deregulation in distribution sector should be implemented in a way to promote customers welfare, eliminate entry barriers, and expand competition principle such as productivity and efficiency competition. However, it should be also recognized that deregulation of system alone is not enough to develop the distribution sector. To compete in a increasingly concentrated industry, small enterprises increasingly engage in co-operative arrangements, such as buying groups, strategic alliances or franchise agreements.
Proceedings of the Korean DIstribution Association Conference
/
2007.08a
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pp.159-186
/
2007
In today's world, the ability to adapt to the rapidly changing environment is fundamental to the survival and success of any organizations. This is particularly true for the Korean retailing industry which is in the throe of sweeping developments. Against the backdrop of an increasing importance of the environmental factors, it is imperative to look into what efforts are required of corporate enterprises in order to achieve successful long-term partnerships between and among the parties involved in the retail value chain. In spite of the critical importance of the need to understand the environmental factors and their influences on the retail value chain, a serious theoretical and empirical study into this subject has never been conducted. Moreover, previous research has overlooked the various mechanisms influencing the value chain in terms of ,control strategy' and 'control structure'. The purpose of this study is to investigate the direct and indirect modes of influences environmental dynamism exerts on opportunism, one of important relationship factors. This study particularly delves into the indirect modes of influence in terms of control strategy (control mechanism) and control structure (bureaucratic structuring). To this end, a survey research has been conducted of 200 suppliers in business relationships with Korean hypermarket retailers. The survey results show that environmental dynamism has a positive correlation with the opportunism of suppliers. In addition, the control mechanisms such as monitoring and incentives employed by retailers, in turn, have an indirect influence on the opportunism of suppliers. In other words, the monitoring of retailers has a positive correlation with the opportunism of suppliers, while the use of bureaucratic structuring has a negative correlation with opportunism. This study discusses how both retailers and their suppliers should respond to the domestic retail business environment with highly dynamic characteristics, in order to achieve a long-term win-win partnership with one another. It also presents ideas to retailers with regard to what kinds of management strategies and management efforts required to effectively control the opportunism of suppliers.
The transformation of the Italian retailing has permitted, in the last ten years, a quick modification of the strategic groups' weight at a distributive level. Such change regards the redesign of the competitive assets that sees as protagonist both the main foreign big multiple chains and the Italian retailing, characterized by small dependent enterprises. The analysis is focused on the solutions that independent retailers are adopting in order to strengthen their competitive ability in relation to the aforementioned prospective entrance of foreign distributors in the domestic market. In particular, the most commonly adopted strategic alternative are analysed, in an attempt to characterize the development models that can emerge. The paper presents a case of possible successful solution adopted by some independent retailers for a competitiveness recovery without sacrificing the enterprise's property and autonomy.
Su, Shuai;Jeong, Young-Jun;Choi, Jin-Young;Kim, Sun-Woong
Asian Journal of Business Environment
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v.5
no.1
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pp.27-35
/
2015
Purpose - The study aims to investigate the effects of ethical management on corporate image and purchase intention. Research design, data, and methodology - The study employs monthly time series data from October 2013 to November 2013, analyzing variables to verify hypotheses. These concern three questions on marketing communication, five on public interest business activities, four on donation & sponsorship, two on donation & sponsorship activities, six on corporate image, four on volunteer service, and five on demographic characteristics. Results - Hypothesis 1, "Ethical management in marketing communication, public interest business, donation & sponsorship, and volunteer service positively affects corporate image," was partially adopted with significant regression of marketing communication, public interest business activity, and donation & sponsorship. Hypothesis 2, "Ethical management such as marketing communication, public interest business, donation & sponsorship, and volunteer service positively affects purchase intention," was partially adopted with significant regression of marketing communication and public interest business. Hypothesis 3, "Corporate image positively affects purchase intention," was adopted at significant regression. Conclusions - Ethical management influenced purchase intention and corporate image.
Purpose - New technologies allow service providers to integrate all the customer information within and between contact channels so that they can offer individualized services. The availability of new mobile devices enables retailers to interact with customers through countless channels (Rigby, 2011). The objective of this research is to examine customers' attitudes toward O2O (on-line to off-line) services and their intention to use based on the Technology Acceptance Model (TAM). Research design, data, and methodology - Utilizing the TAM model, the mediating effect of the users' attitudes toward O2O services on the relationship among perceived ease of use, perceived usefulness, perceived risks and intention to use are to be investigated. Results - The result shows that the perceived ease of use, perceived usefulness, perceived risks have a significant effect on customers' attitudes toward O2O services. It is also revealed that the attitude toward O2O services has a mediating effect among perceived ease of use, perceived usefulness, perceived risks and intention to use. Conclusions - The boundary between on-line and off-line is eroding and various services based on the O2O platform are growing. The results of this study and managerial implications can be applied to O2O platform operators or enterprises planning to sharp on their competitiveness edge through offering variations of service channels.
According to enhancement of roles and functions of enterprises' distribution centers, recent trend of distribution centers are specialization and diversification which have generated lots of new distribution center building or expansion of the existing ones and led attention on stock transfer importance in case of distribution center relocation. This thesis is a study for how to reduce stock transfer leadtime in order to minimize business risk and how to increase inventory accuracy when stock ownership is transferred in case of distribution center relocation, and to provide inventory accuracy management methods and inventory in/out management types, detailed definition to evaluate level for inventory accuracy management and pros/cons by inventory in/out management type assuming 'the higher inventory accuracy before stock transfer, the shorter stock transfer leadtime when distribution center is relocated'. This thesis provides detailed procedure to secure an absolute stock transfer leadtime and process to confirm hugh inventory accuracy by stakeholders which should be sloved by Task Force Team for stock transfer in case of distribution center relocation.
Purpose - The purpose of this study is to establish the government's logistics policy by calculating the logistics cost of the company and grasping the management status, to reduce the logistics cost of the related companies and to provide basic statistical data necessary for the management strategy. This work examines some associations between reasons for reducing corporate logistics costs (RCLC) and corporate classification such as industry and sales size. Research design, data, and methodology - The survey was conducted in 2018 for 2,000 companies based on the business of mining, manufacturing and wholesale and retail industries since 2010. The survey population is 94,976, of which 92,708 are small and medium enterprises and 2,268 are large corporations. The association among factors may be statistically and visually explored by using chi-squared test and correspondence analysis. Result - This study reveals the association between reasons for RCLC and corporate classification and properties and closeness that exist between the categories of each factor can be mined. Conclusion - As a task to reduce logistics costs of industrial products, expansion and operation of joint logistics business, establishment of cooperative logistics network, and establishment of ordinance on support for smart distribution logistics can be proposed.
The Journal of Asian Finance, Economics and Business
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v.9
no.3
/
pp.171-180
/
2022
Employee retention is becoming a crucial idea for businesses that aim to improve their performance, resulting in an increasing emphasis on the topic in today's society. Employee retention refers to an organization's ability to retain its employees. The retention of workers may be viewed as a technique used by companies to retain their personnel since it is linked to employer efforts to maintain their staff. Online surveys were initially done between April and July 2021. Furthermore, the study's primary focus was employees of small and medium enterprises. To collect data, the questionnaires were distributed through Google forms. The survey used a snowballing technique because the questionnaires were circulated among the participants. Based on the results, the research found that Perceived Organizational Support (POS) and Perceived Organizational Justice (POJ) mediate the relationship of Value Congruence (VC) and Job Characteristics (JS) and employee retention in the Lebanese Retail Sector. Employees appreciate POS because it satisfies their desires for acceptance, esteem, and connection and offers comfort during times of stress. Employers must give priority to equal effort to ensure equitable treatment for workers at work. By integrating justice and equality in all departments, the performance of workers may be enhanced.
Purpose - The purpose of this study is to systematically review the background of the Korean distribution promotion policy and distribution adjustment policies along with related regulations and policies. Research design, data, and methodology - Domestic distribution policy and relevant laws were examined through a review of existing research literature. The results of the development process of the domestic distribution policy, promotion policies, and adjustment policies are summarized below. Results - The results are summarized as follows. First, the purpose of the development of the domestic distribution promotion policy was to strengthen the competitiveness of the small and medium business industry through structural advancement of the small and medium industry. By expanding the managerial base for the small and medium industry, a new balance could be created in the national economy. There was a requirement for an early assistance policy for small and medium businesses as a base of these businesses in the distribution industry developed from their original model of catering to a traditional market of retail shops. Since 1996, there was a need for this early assistance policy due to the expansion and rapid growth of large scale stores causing a change in the consumption pattern for distribution markets and the decline of large enterprises. Second, the government supports small and medium business distribution through distribution promotion policies by supporting an organization promoting small business and supporting innovation in the distribution system. Third, in 1961 a business mediation system was established to protect small and medium industries. The Small and Medium Business Administration advises conglomerates to postpone acquisitions, restrain expansion of the business, or to reduce business scale if small businesses undergo an adverse effect such as decreasing demand because large companies are expanding into their areas. Fourth, the Distribution Adjustment Policy managed large-scale store regulation as follows: ① limitation on construction by urban planning ordinance, ② limitation on location based on traffic impact assessments, ③ regulation based on business guidelines by chiefs of autonomous bodies, ④ regulation on mandatory holidays and limitation of business hours. This large-scale store regulation is a policy introduced by authority to increase competitiveness of small and medium business distribution by the government. Conclusions - As discussed in this study, the distribution promotion policy and distribution adjustment policy are government distribution policies focused on the protection of the small and medium distribution businesses. This study is timely, since it was planned when the strengthening of the revisions of the Distribution Industry Development Act, aimed to protect small and medium retailers and merchants, was under discussion. The significance of this study is that it offers insights for the development of new policies in the future and an opportunity to consider the background of the distribution policy by the government.
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