• Asia pacific journal of information systems
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• v.19 no.4
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• pp.177-200
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• 2009

AIn the advanced - economy, the services industry hasbecome a dominant sector. Evidently, the services sector has grown at a much faster rate than any other. For instance, in such developed countries as the U.S., the proportion of the services sector in its GDP is greater than 75%. Even in the developing countries including India and China, the magnitude of the services sector in their GDPs is rapidly growing. The increasing dependence on service gives rise to new initiatives including service science and service-dominant logic. These new initiatives propose a new theoretical prism to promote the better understanding of the changing economic structure. From the new perspectives, service is no longer regarded as a transaction or exchange, but rather co-creation of value through the interaction among service users, providers, and other stakeholders including partners, external environments, and customer communities. The purpose of this study is the following. First, we review previous literature on service, service innovation, and service systems and integrate the studies based on service dominant logic. Second, we categorize the ten propositions of service dominant logic into conceptual propositions and the ones that are directly related to service provision. Conceptual propositions are left out to form the research model. With the selected propositions, we define the research constructs for this study. Third, we develop measurement items for the new service concepts including service provider network, customer network, value co-creation, and convergence of service with product. We then propose a research model to explain the relationship among the factors that affect the value creation mechanism. Finally, we empirically investigate the effects of the factors on firm performance. Through the process of this research study, we want to show the value creation mechanism of service systems in which various participants in service provision interact with related parties in a joint effort to create values. To test the proposed hypotheses, we developed measurement items and distributed survey questionnaires to domestic companies. 500 survey questionnaires were distributed and 180 were returned among which 171 were usable. The results of the empirical test can be summarized as the following. First, service providers' network which is to help offer required services to customers is found to affect customer network, while it does not have a significant effect on value co-creation and product-service convergence. Second, customer network, on the other hand, appears to influence both value co-creation and product-service convergence. Third, value co-creation accomplished through the collaboration of service providers and customers is found to have a significant effect on both product-service convergence and firm performance. Finally, product-service convergence appears to affect firm performance. To interpret the results from the value creation mechanism perspective, service provider network well established to support customer network is found to have significant effect on customer network which in turn facilitates value co-creation in service provision and product-service convergence to lead to greater firm performance. The results have some enlightening implications for practitioners. If companies want to transform themselves into service-centered business enterprises, they have to consider the four factors suggested in this study: service provider network, customer network, value co-creation, and product-service convergence. That is, companies becoming a service-oriented organization need to understand what the four factors are and how the factors interact with one another in their business context. They then may want to devise a better tool to analyze the value creation mechanism and apply the four factors to their own environment. This research study contributes to the literature in following ways. First, this study is one of the very first empirical studies on the service dominant logic as it has categorized the fundamental propositions into conceptual and empirically testable ones and tested the proposed hypotheses against the data collected through the survey method. Most of the propositions are found to work as Vargo and Lusch have suggested. Second, by providing a testable set of relationships among the research variables, this study may provide policy makers and decision makers with some theoretical grounds for their decision making on what to do with service innovation and management. Finally, this study incorporates the concepts of value co-creation through the interaction between customers and service providers into the proposed research model and empirically tests the validity of the concepts. The results of this study will help establish a value creation mechanism in the service-based economy, which can be used to develop and implement new service provision.

• Information Systems Review
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• v.10 no.1
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• pp.213-235
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• 2008

Recent reports about economic structure and changes show that global economy changes to rely on service rather than manufacturing. This phenomenon can be explained in two ways: the growth of service industry itself and the increasing reliance on service by other industry areas. The importance of service is indicated by the fact that the contribution of research and development, marketing, and finance to the revenue generation of companies is getting greater than that of manufacturing. This change in the economic structure calls for researchers' attention on the importance of service and the service-based economy. In the service-based economy, firms are considered value proposition providers and consumers actual value creators so that the concept of co-value creation becomes a key thesis to study. However, there are a variety of definitions of service and diversified measurements of service anchored in the supplier-oriented understanding of service yet. This lack of understanding of the service and the economic paradigm change causes a lot of problems in the areas of service productivity, service quality, and service innovation. Even though a new movement called service science started and rigorously pursues the way of enhancing the understanding of the economic change and service productivity, there is no framework that provides a unified view about the new role of service, service productivity, service quality, and thus service innovation. This study proposes a unified framework to provide a structured view about service provision and to facilitate the research on service. The framework is built on the concepts from previous studies about service marketing and service science: service life cycle and service networks including value activity network, resource integrator network, and capability network. We hope this study can be used as the basis for future studies on service science.

• The Journal of Information Systems
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• v.26 no.3
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• pp.187-209
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• 2017

Purpose The sharing economy is the most important keyword that is changing the paradigm of the world economy and management, and it was selected as one of 10 ideas to change the world in 2011 in Time magazine. The purpose of this study is to verify the structural relationship between perceived value and risk, network effect, usefulness, trust, and intention to use of accommodation service. In addition, the effects of utility and trust, and the experience of using accommodation service are controlled by the effect of empirical value and reciprocal value among the perceived value of sharing economic service, The purpose of this study is to propose a plan to activate the accommodation sharing service. Design/methodology/approach This study was designed to investigate the structural relationship between perceived value, perceived risk, network effect, usefulness, trust, and intention to use. Empirical analysis was done using SPSS 21.0 and AMOS 21.0 Findings Based on the results of this study, the following conclusions can be drawn. First, it was concluded that the higher the economic value of the accommodation sharing service is, the more useful and reliable the service is. Second, the higher the experiential value of the accommodation sharing service is, the higher the usefulness and reliability of the service are. Third, it was concluded that the higher the value of the mutual benefit of the accommodation sharing service is, the higher the trust level of the service is, but not the usefulness of the service. Fourth, it was concluded that the higher the perceived risk of accommodation sharing service is, the lower the service trust level is, but the service usability is not affected. Fifth, it was concluded that the larger the network effect of the accommodation sharing service is, the more useful the service is, but it does not affect the reliability of the service. Sixth, it was concluded that the higher the overall reliability of the accommodation sharing service is, the higher the usefulness of the service is. Seventh, it was concluded that the higher the overall usefulness and reliability of the accommodation sharing service are, the higher the intention to use the sharing service is. Finally, in order to test the effect of the experience on the use of trust and usefulness of the accommodation sharing service, multiple group analysis was conducted to examine the relationship between trust and usefulness, It is shown that there is a moderating effect in the path.

• Journal of Korea Society of Digital Industry and Information Management
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• v.6 no.2
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• pp.81-89
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• 2010

The major worldwide communication network operators have designed and are building up the NGN with various network capabilities, which conventional Internet do not have. The open network service model makes these network capabilities available to the third party of the value added service providers through the standardized API providing users with more intelligent and enhanced services. This paper proposes the open network service model as NaaS (Network as a Service) and examines service models of several levels. It is believed that these efforts presented in this paper will make the network operators expand their service ranges through the opening of invested network resources producing more various communication services for users.

• Journal of Information Technology Services
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• v.20 no.2
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• pp.13-31
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• 2021

Recently, delivery app services based on the O2O platform are increasing rapidly. Accordingly, various studies on O2O service have been conducted. Most of the studies are on consumer behavior in O2O services, and few studies on platform vendors have been conducted. Therefore, this study empirically analyzed the factors affecting the vender's intention to continuous use in the O2O delivery app platform service. Based on prior researches, we set the quality characteristics and network characteristics of the O2O platform as independent variables. The quality characteristics of the O2O platform consisted of system quality, information quality, and service quality, and the O2O platform network characteristics consisted of network externality and platform reputation. Perceived value and switching cost were set as mediated variables, and vender's intention to continuous use was set as dependent variables. For empirical analysis, we conducted a survey targeting vendors of O2O delivery app platform service, and conducted frequency analysis, factor analysis, reliability analysis, and regression analysis. As a result of the analysis, the quality characteristics of the O2O platform, such as system quality, information quality, service quality, and O2O platform network characteristics, showed that network externality and platform reputation had a positive effect on perceived value. The perceived value was found to have a positive effect on the switching cost and the intention to continuous use, and the switching cost was found to mediate the perceived value and the intention to continuous use. This study can contribute to the establishment of platform operation strategy as an empirical analysis on the factors that influence the intention of O2O platform vendors to use the platform continuously.

• Journal of Digital Convergence
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• v.11 no.12
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• pp.1-10
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• 2013

The value added network service industry has played and important role in the telecommunication service industry and in the economic development of Korea. This study uses input-output analysis to investigate the role of value added network service sector in the Korean national economy for the period 2000, 2005, 2009, focusing on four topics in its application: production inducing effects, value-added inducing effect, employment-inducing effects by demand-driven model and supply shortage effect by supply-driven model, inflation impacts by the Leontief price model, finally analysing inter-industry linkage effects. The results of this study are as follows: production inducing effects analysis 2000 0.5253won to 2009 1.31314won, value-added inducing effects 0.25112won to 0.5337won employment inducing effects from 0.09749 to 0.21025 people grew, the supply shortage effect from 1.29003 to 2.12048won, price impact of Leontief price model was increased from 0.0022% to 0.00258%. Finally, inter-industry linkage effects, appeared to have the characteristics of final demand raw industrial.

• Journal of Korean Society for Quality Management
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• v.43 no.2
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• pp.185-200
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• 2015

Purpose: Present study was designed to examine the casual relationships among tourism information service quality, value, user satisfaction, and reuse intention in social network service(SNS). Also, we intended to testify the mediating role of value in causal model. We applied path analysis model in order to test the hypotheses and research model. Methods: Survey tool, that is, questionnaire has obtained validity through literature survey, exploratory survey and pretest and sample 272 was selected. For statistical treatment of pretest and main analysis, SPSS18.0 and AMOS18.0 were employed and structural equation model was employed as analysis method. Results: Result of this study shows as follows. Two factors(ease of understanding and structure) have an effect on user satisfaction and reuse intention, and we found that value played a significant and important role in causal relationship. Therefore, value was empirically confirmed as t he import ant fact or preceding user satisfaction and reuse intention. Conclusion: Present study shows that two factors(ease of understanding and structure) in via of value, were important factors that related business companies have to emphasize to raise performance. However, present study has some limitations to additionally research in the future.

• Korean Management Science Review
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• v.26 no.1
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• pp.113-126
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• 2009

By the newly emerging network access technology, we face the new heterogeneous network environment. Focusing on the co-existence of multiple access network technology and the complex service needs of users, the wireless service operators should present the stable service quality for every user. For this, the service operators should build the new operation framework which combine the pre-established network and newly adopted one. Our problem is finding the optimal heterogeneous network operation framework. We suggest market-based marginal cost function for evaluating the relative value of resource of each network and develop the whole new heterogeneous network operation framework. To test the applicability of developed operation framework, we build large-scale JAVA simulator. By this development, we can easily test the new network environment in practical engineering field.

• The Journal of Information Systems
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• v.31 no.2
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• pp.289-320
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• 2022

Purpose The purpose of this study is to empirically investigate impacts of e-Commerce traits on intention to use platform extended services based on Value-Attitude-Behavior(VAB) framework as well as the moderating effect of network impact as the current e-Commerce platforms provide more extended services to their customers. Design/methodology/approach The research model was developed based on the literature review and VAB framework in order to empirically investigate impacts of e-Commerce platform characteristics. The survey was conducted in order to test proposed hypotheses. 298 collected responses were analyzed for the structural equational modeling(SEM) with SmartPLS 3.0. Findings Findings show that all proposed hypotheses were supported with exception of responsiveness. Among five constructs represented as e-Commerce platform characteristics, product variety had a highest impact on platform value. In addition, this study confirmed that the variable - network effect - strength the relationship between platform attitude and intention to use extended service.

• The Journal of Korean Institute of Communications and Information Sciences
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• v.32 no.10A
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• pp.941-949
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• 2007

By the newly emerging Network access technology, we face the new heterogeneous network environment. The required level of service quality and diversity are now multiplied by the increment of wireless service subscribers. Focusing on the co-existence of multiple access network technology and the complex service needs of users, the wireless service operators should present the stable service quality for every user. The service operators should build the new operation framework which combines the pre-established networks and newly adopted ones. Our problem is finding the optimal heterogeneous network operation framework. We suggest a market-based marginal cost function for evaluating the relative value of resource of each network and develop the whole new heterogeneous network operation framework.