• Journal of Distribution Science
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• v.13 no.6
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• pp.87-96
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• 2015

Purpose - Several domestic telecommunication companies have made a considerable effort to continuously grow and survive, and they have strived to thrive in the midst of mature market competition. To overcome this challenging situation and to grow continuously, while still meeting customer needs that are becoming more diverse and complicated with the passage of time, extensive support for internal marketing is essential. Without such internal support, companies face serious limitations and market roadblocks. The communication industry is a high-level service industry and a basic communications industry characteristic is its significant dependence on the employees delivering the services. Therefore, entrepreneurs in the information/communications industry, as well as existing competitors, should look to satisfy external customers through critical investment in internal customers (employees). Therefore, it is important for research to examine how internal factors influence technology innovation and service quality, which are the key drivers for companies that are seeking leading market positions. Research design, data, and methodology - The purpose of this study is to analyze the relationship of technology innovation and perceived service quality with the internal marketing factors in the communication industry and to offer suitable and effective internal marketing suggestions. The independent variables of this study are internal communication, education and training, the support of the executives, reward systems, and empowerment. The dependent variables are technology innovation and perceived service quality. Utilizing these, this paper studies the influence of internal marketing factors on technology innovation and perceived service quality. Results - The study results revealed the following. First, the identified internal marketing factors have a positive effect on technology innovation. Among the five internal marketing factors, three had a significant effect on product innovation, empowerment, the support of executives, and education and training, in this order. Second, the internal marketing factors also had a positive effect on the process innovation of technology innovation. The marketing factors, the support of executives, empowerment, internal communication, and education and training, in this order, significantly affect process innovation. Third, technology innovation had a positive effect on perceived service quality. All of the five service quality factors, namely, tangibles, reliability, assurance, responsibility, and empathy, in this order, significantly affect product innovation. Additionally, tangibles, reliability, responsibility, empathy, and assurance, in this order, significantly affect process innovation. Fourth, product and process innovation significantly affect tangibles and reliability in technology innovation. To enhance tangibles and reliability, process innovation should first be enhanced. Fifth, product and process innovation significantly affect responsibility and empathy in technology innovation. To enhance the responsibility and empathy, process innovation should first be enhanced. Sixth, product and process innovation significantly affect assurance in technology innovation. To enhance the assurance, product innovation should first be enhanced. Conclusions - According to the results, a company's internal marketing factors have a positive and significant effect on technology innovation and, further, product and process innovation have a positive and significant effect on the perceived serviced quality.

• Journal of the Korea Safety Management & Science
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• v.12 no.3
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• pp.249-255
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• 2010

This paper studies the relationship between learning orientation and incremental innovation(process innovation, operational innovation, and service innovation), and the moderating effect of tenure in tele-communication service sector. Based on the responses from 241 employees, the results of multiple regression analysis show that learning orientation have positive relationships with process innovation, operational innovation, and service innovation. The results of moderating analysis showed that longer tenure employees have more positive relationships with all incremental innovation factors(process innovation, operational innovation, and service innovation) than short tenure employees.

• Knowledge Management Research
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• v.13 no.1
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• pp.41-52
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• 2012

Service innovation has been considered to improve the value of enterprises, so that various research issues have been studied on innovating the services. Thus, in order to increase understandability of new service innovation mechanism, this study surveys the existing research results on service innovation factors, e.g., success factors, process, and performance. Consequently, we have found that service innovation can be reflected to service quality and value by interactive process between customers and enterprises. Also, such interactions are based on internal success factors (e.g., innovation strategy of organizations, domain knowledge, collaboration) and external success factors (e.g., customer participation, partnership).

• Journal of Service Research and Studies
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• v.3 no.2
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• pp.75-89
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• 2013

In the services industry and firms, the successful new service development is very important issue today, But the innovation process for service firms is comprehensively little treated until now. This study was performed to suggest the new service development process model for the firms level in the perspective of the radical service innovation. So, in this paper the new process development model can be made by reviewing the concepts about the radical service innovation and by analyzing the some existing new service development process models. In the suggested service development process model, the three key process such as technology forecast, market analysis, and strategy development were included for front phase activity as the new service development process. Also the four key process for searching phase, and the other three key process for implementation phase were included. And for the application for the service firms' service innovation, the innovation's outcome estimation reference model is included. I hope to be executed the various case research and the improvement and optimization for this suggested process model in the future.

• Information Systems Review
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• v.12 no.2
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• pp.145-166
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• 2010

As the service industry is advancing, the meaning of service innovation has been evolved. Recently, service innovation embraces all creative activities about service offering or relevant to service offerings and emphasizes the importance of customers in innovation process as a key driver. The innovation in services is often the result from a collaborative process between KIBS firms and client firms. Many researchers have pointed out about how the KIBS firms drive the innovation through service. In spite of the importance of service innovation, previous studies did not address the questions about what kinds of factors affect service innovation in KIBS firms still remain, or what are the effects of different knowledge on the innovation process. Therefore, the purpose of this study is to investigate the effect of the interactivity that KIBS firms have with their customers on various types of innovations in KIBS firms. Interactivity has been touted to be the most important starting point for and the basis of service innovations. This study also examines the effect of knowledge types (tacit or explicit) on the relationship between interactivity and service innovation. To test the proposed hypotheses, we developed measurement items and distributed survey questionnaires to domestic companies. 230 survey questionnaires were distributed and 81 were returned among which 76 were usable. The results of this study show that interactivity may be a significant indicator of innovation within KIBS firms. It also represents that the effect of knowledge types on the relationship between interactivity and innovation. These results indicate that KIBS firms need to improve the various activities of interaction with customers for innovation. This study provides a blueprint to further investigation of the critical role of service in service science perspectives.

• East Asian Economic Review
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• v.18 no.4
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• pp.339-366
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• 2014

This paper examines the impact of internationalization on the product, process and organizational innovations of Korean service firms. Despite the increasing importance of the service sector and the discrepancies in the natures of the manufacturing and service industries, the internationalization-innovation link in the context of service firms has rarely been examined empirically on a large sample. Based on the results of the logistic regressions using the 2006 Korean Innovation Survey data, we found that Korean service firms' international expansion is significantly and positively associated with their product and organizational innovations. In addition, the magnitude of the estimates in our models revealed that internationalization has a greater impact on product innovation than on process or organizational innovation.

• Journal of Information Technology Applications and Management
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• v.22 no.3
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• pp.115-128
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• 2015

Although the telecommunications service industry has become a basic infrastructure component of the information and communication technology (ICT) industry, it is now losing its reputation as a cash cow due to achieving a saturation of service subscribers, especially in South Korea. With the exception of improving network speeds, network operators are experiencing difficulties in creating new innovations. Therefore, new innovations for the telecommunications service industry should be identified in conjunction with government policies for industry promotion. To examine the innovative capabilities of a specific industry, innovation system theories were used as a framework for research. However, existing innovation systems are limited with regard to explaining the openness of relationships and user participation which are general properties of the ICT industry. Moreover, as sources of innovative activity, additional values such as financial support and collaboration are more appropriate. This study presents a new innovation system based on innovation values. We analyze the telecommunications service industry and prioritize the importance of telecommunication policies within South Korea. An in-depth interview with experts based on the innovation system framework is conducted first. Next, innovation factors derived from the interview are applied within an analytic hierarchy process (AHP), leading to a prioritization of innovation factors for the telecommunications service industry.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.20 no.2
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• pp.469-482
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• 2019

This paper analyzes the effects of government support systems, regulation, and innovation promotion policy on technological innovation performance of companies in the service industry using 4,000 Korean service industry companies. Multiple and hierarchical multiple regression analysis were used to analyze the correlation between the individual factors and process innovation and product innovation. Government support, regulation and technology innovation in the service industry were tested. In addition, government innovation promotion policy includes government support and regulation and the technological innovation performance of service firms. As a result, the government support system affects both the process innovation and the product innovation performance in the service industry, but affects only the process innovation performance in the case of regulation. Innovation promotion policy was found to regulate the relationship between government support systems and regulation and innovation performance of the service industry. Therefore, these findings provide strategic implications for the management of enterprises in relation to government support systems and innovation policy. It is necessary to reorganize regulations that are outdated to improve the effect of innovation policies on innovation performance.

• Journal of Korea Technology Innovation Society
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• v.16 no.3
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• pp.559-581
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• 2013

Over the last several decades, the service sector has experienced the rapid growth and will continue to grow in importance, stature and job creation potential. Productivity and innovation activities in the service sector have come under the spotlight as an important element of national economic development. Despite the spotlight, however, not many studies have conducted to investigate the characteristics of innovation activities in the service sector, compared to the rich literature on the innovation in the manufacturing sector. One of the distinguishing features of service innovation is that innovation activities differ markedly across services. Therefore, this research purposes to investigate the characteristics of service innovation focusing on the differences across service types. Here, we restrict our focus to technical innovation such as product and process innovation. For the purpose of investigation, firstly, the KIS (Korea Innovation Survey) dataset in the service sector was adopted, which includes information about patterns of innovation in the Korean firms that provide service offerings. Then, service typology was developed by two criteria - customize-based and facility-based - on the assumption that the characteristics of service innovation activities will vary according the these two criteria; the classifies services into four groups the patterns of innovation activities were analyzed with respect to innovation inputs, process, and outputs. The research findings indicate that each service group has its own patterns of innovation activities, providing valuable information about the state of affairs in service innovation, thereby are expected to help further study technology innovation activity in the service sector.

• Journal of Korean Society for Quality Management
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• v.38 no.3
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• pp.363-377
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• 2010

Although the importance of the service sector has been highlighted recently, service innovation remain under-researched by scholars. Innovation research based on manufacturing sector suggests that innovation strategy varies according to the objectives of innovation and has a positive influence on firm performance. To investigate the path that links the objectives of innovation, innovation strategy used and firm performance, this study develops a conceptual model of service innovation from the literature and tests the Structural Equation Model(SEM) using STEPI (Korea's Science and Technology Policy Institute) data. We could identify the causal relationships both between the objectives of innovation and innovation strategy and between innovation strategy and firm performance in service as in manufacturing, but we also found that the results of the empirical study for the service industry, in particular, the empirical results on the relationship between the aims of innovation and innovation strategy used, are quite different from those for manufacturing.