• Korea Trade Review
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• v.42 no.2
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• pp.369-390
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• 2017

The view of social responsibility activities from the pioneer studies found that most research is mainly limited to the corporate social responsibility activities. The related studies on the individual level are very few. Therefore, it is very necessary to make a clearer and more systematic empirical research for the global companies whose employees are directly involved in the companies' social responsibility activities. In order to find the relationship between variables, we collected data from chinese employee of Korean firms which located in China. The result of empirical test is as follows; First, the social responsibility activities of the individual level have a significant positive effect on the employees' job satisfaction and organization inputs. In other words, social responsibility activities could improve the employee's job satisfaction and organization inputs. Second, innovative organizational culture of South Korean companies has a significant positive effect on the individual level social responsibility activities. Third, transformational leadership of the CEO in South Korean have no effect on personal level social responsibility activities. Fourth, the CEO'S ethical values have great positive effect on personal level of social responsibility activities. Through the analysis we can see, in the process of global corporate implicating social responsibility activities, the CEO'S ethical values are more important than the transformational leadership of the CEO. Finally, in the relationship between the employees' personal ethical values and personal social responsibility activities, the employees' personal ethical values in South Korean companies have great positive effect on the personal level social responsibility activities.

• Korea Trade Review
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• v.43 no.1
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• pp.47-67
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• 2018

This study analyzed whether the poverty level among Asian countries has converged, by using data for the 'globalization period'. In particular, we analyzed the impact of trade on convergence by quantitative analysis using two indices; the head count ratio (H) and the human development index (HDI). The σ-convergence measurement and β-convergence measurement method, commonly used in the field of economic growth, are used for the analysis method. Results show that poverty rates have declined on average during the analysis period and there has been an increase in HDI. It seems that there has been improvement regarding poverty. However, this trend is only an indication of the average trend of Asian countries as a whole. As for the convergence between countries, which is the focus of this study, the HDI index shows the converges among countries while the H index does not show significant convergence among countries. It is also difficult to determine that trade has a statistically significant impact on the poverty rate convergence. However, in the case of HDI convergence, trade has contributed to increasing the convergence rates. This results might show that globalization does not guarantee the convergence among countries, and thus, we need to have additional policy in order to reduce the poverty.

• Korea Trade Review
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• v.43 no.5
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• pp.25-45
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• 2018

This paper estimates the export losses of the Korean domestic automobile industry due to US trade pressure and its economic ripple effects. Using the HS 6 digit tariff and export data from 2010 to 2017, this paper estimates the tariff elasticity of Korea's US automobile exports against a US tariff increase by applying the Poisson Pseudo maximum likelihood estimation method. After estimating Korea's export losses to the US in three trade pressure scenarios, we estimate its impact on Korean domestic production, value-added and job creation by applying the tariff impact accumulation model based on the industry input-output analysis. Empirical results show that the impact of 25% global tariff by the US on the Korean domestic economy is estimated to result in $30.8 billion in export losses for the five years from 2019 to 2023, about 300 thousand job losses, 88.0 trillion in production inducement losses, and 24.0 trillion in value-added inducement losses. The impacts of withdrawal of the automobile tariff concession are estimated at $4.27 billion export losses and 41.7 thousand job losses. A 15% tariff rate on automobile parts for 3 years is estimated to result in $1.93 billion export losses and 18.7 thousand job losses.

• Korea Trade Review
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• v.42 no.5
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• pp.43-69
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• 2017

The study examined moderating role of thinking style about causality in the relationship between the perceived brand globalness(PBG) and the brand evaluation. Thinking style about causality is divided into interactionism and dispositionism. Individualism culture shows a tendency of thinking style about causality to dispositionism, and collectivist cultures shows a tendency for interactionism. We conducted a survey on Korean college students who represent collectivist cultures and foreign students from countries of individualistic culture and analyzed data through structural equation modeling. Analysis result showed that the higher the respondents perceived PBG, the higher they perceived brand quality, brand quality, and brand price. However, it showed that PBG has greater positive effects on perceived brand quality and perceived brand reputation among Korean students than students from individualistic cultures. On the other hand, the effects of PBG on perceived brand price did not show any significant difference between Korean students and students from individualist cultures. Thus, we can conclude that thinking style about causality plays a moderating role in the relationship between PBG and perceived brand quality and brand reputation, while it does not do so between PBG and perceived brand price.

• Korea Trade Review
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• v.41 no.4
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• pp.131-155
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• 2016

Recently, the global trade environment has been composed of transactions in trade through integration of the global supply chain network. As FTAs are being signed between countries, the country of origin (COO) system on products has become an important issue. Companies are procuring raw materials through global sourcing and supplying to the retail markets. This research deducted major factors regarding the verification and utilization of the COO system through research on domestic and international literatures, and verified the mediating effects on the verification and utilization elements of the country image and the brand image of COO on the performance of the COO system through empirical study. For the purpose of this research, we conducted a survey implementing the COO system and analyzed the 152 data collected. The results of this research is as follows: First, the external verification level of the COO system has an impact on the performance of the COO system, and a mediating effect on the country image and the brand image of the COO. Second, the management capability of the COO has an impact on the performance of the COO system, and a mediating effect on the brand image of the COO. A research comparing and analyzing the difference in establishment of the verification system of the COO depending on the size of a corporation is necessary.

• Korea Trade Review
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• v.42 no.1
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• pp.283-301
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• 2017

As a consequence of the changed role and functions in port operations, the role of port hinterland has transformed to multi-functional logistic centre linking more efficiently elements of the supply chain. This paper analysed distribution centre selection factors in Busan new port hinterland, aiming to diagnose and evaluate the operational situations of port hinterland as multi-functional logistics centre. Based on a data collected from all 122 samples located in Busan new port hinterland, determinants for location competitiveness identified were: political support, market potentiality, infrastructure utilization, market niche, and connectivity. Comparing the difference between an importance and performance, it is revealed that the target port hinterland requires urgent improvement in political supports such as incentive programmes offered by host country, free trade system and related law, financial assistance in constructing distribution centers, and simplicity, ease and efficiency of administrative procedures. The results provide useful insights for establishing future improvement strategies and a strategic agenda to successfully respond to the demands of the companies located in port hinterlands and/or new customers those who want to move in.

• Korea Trade Review
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• v.43 no.6
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• pp.51-70
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• 2018

This study is to define the relationship between capital structure and the market share in the global shipping market, estimating the debt-equity ratio. To analyze the impact of the debt-equity ratio on market share, this study collected data from the 100 largest shipping companies from 2010 to 2017. Results identified that global shipping lines moderate their debt-equity rates to 62%, and all of them strategically utilize debt in order to increase market share in global shipping market. In comparison between the group focused on cargo volume and another group focused on freight rates, it is found that the group focused on cargo volume increase their handling cargo volume through increasing the debt rates. Another group used debt rate for reducing the freight rate and enhancing market power. Furthermore, after classifying the samples into high-growth and low-growth companies, this study compared the group focused on cargo volume and another group focused on freight rates. As a result, the low-growth group showed more significant impacts of the debt rate on market share than the high-growth group. The results of this study provide useful insight for future strategic decision making of shipping lines in the global shipping market.

• Korea Trade Review
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• v.41 no.3
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• pp.27-42
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• 2016

This study is to investigate seaport clustering by using meta-frontier and cross-efficiency models. Data covers the 13 Asian ports during 2009, 2010 and 2013 with 3 inputs(depth, total area, and number of cranes) and 1 output(TEU). Correlations coefficient from cross-efficiency matrix are used for measuring clustering dendrogram. After that, meta-frontier analysis for investigating whether the clustering using cross-efficiency method increases the meta-efficiency. Empirical main results are as follows: First, group efficiencies of Busan, Incheon, and Gwangyang ports are increased. Second, meta and group efficiencies of China ports are greater than those of Korean ports. Third, distortion of technology gap of Gwangyang is lower than that of Busan and Incheon. Fourth, Gwangyang, clustering with Ningbo, Chingtao, Tokyo and Caosung ports in 2009 and with Dubai port in 2013 can increase the efficiency. Fifth, to enhance the efficiency, Busan port should be clustered to group 2 in 2010 and group 1 in 2013, and Incheon port clustered to group 2 in 2010 and 2013. Fifth, it is empirically investigated that Busan, Incheon and Gwangyang ports can increase the efficiency by using Cross-efficiency and Meta-frontier models. Port policy planner should promote the clustering policy for Busan with Hong Kong, Shanghai, and Singapore, Incheon and Gwangyang with Chingtao, Nagoya, Ningbo, Tokyo, and Kaoshung ports.

• Korea Trade Review
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• v.41 no.4
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• pp.157-183
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• 2016

This study examines the effects of the acquirer's experience on cross-border mergers and acquisitions(CB M&A) performance. We posit that various types of experience on M&A, including heterogeneity of experience, strategic alliance experience, first CB M&A, domestic and CB M&A experience may have an influence on the performance of CB M&A. The hypotheses are tested with multiple regression on global M&As made by Korean firms over the period of more than fifteen years. The empirical results indicate that firms with domestic M&A experience and the ones with CB M&A experience improve firm performance. Specifically, CB M&A experience more strongly and positively affects CB M&A performance. It also reveals that M&A experience and first CB M&A positively affect CB M&A performance. However, heterogeneity of experience negatively affects CB M&A performance and it has found no significant relationship between strategic alliance and firm performance. In addition, data show that the better explanation is an overall U-shaped relationship than a linear one between CB M&A experience and Performance. Overall, this study contributes to the literature on CB M&A by examining the effect of various types of experience such as heterogeneity of experience and alliance experience and offering a different explanation based on experience, more specifically, addressing the negative relationship between heterogeneity of experience and M&A performance.

• Korea Trade Review
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• v.41 no.5
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• pp.235-254
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• 2016

Recently, enterprise information management activities have been applied to promote electronic trade, while changing the paradigm of cross-border trade and overall trade business processes. L/C, which facilitates payment from the trade transaction in a company, has been able to eliminate the high cost and inefficient element of the trade process by utilizing the electronic letter of credit (e-L/C). This study examines the influential relationship among the e-trade utilizing factor (such as the perceived ease of use and the volition of CEO), the e-L/C and corporate performance, and the study aimed to verify the moderating effect of customer service level by organizations utilizing e-trade. For the purpose of the research, we conducted a survey implementing the e-L/C and analyzed the 338 data collected. The results of this research are as follows. First, the perceived ease of use and volition of CEO have positive impact on the e-L/C. Second, the e-L/C has positive impact on the business performance. Third, a moderating effect shows on the customer expectation level. The main implication of this study is that the perceived ease of use is to be considered preferentially than the volition of CEO in order to utilize electronic trading, and the volition of CEO shows synergy effect with customer service level by organization utilizing e-trade.