• Title/Summary/Keyword: Strategic response

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The Construction Direction of the ROK NAVY for the Protection of Marine Sovereignty (국가의 해양주권 수호를 위한 한국해군의 전력건설 방향)

  • Shin, In-Kyun
    • Strategy21
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    • s.30
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    • pp.99-142
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    • 2012
  • Withe increased North Korea's security threats, the South Korean navy has been faced with deteriorating security environment. While North Korea has increased asymmetric forces in the maritime and underwater with the development of nuclear weapons, and China and Japan have made a large investment in the buildup of naval forces, the power of the Pacific fleet of the US, a key ally is expected to be weakened. The biggest threat comes from China's intervention in case of full-scale war with North Korea, but low-density conflict issues are also serious problems. North Korea has violated the Armistice Agreement 2,660 times since the end of Korean War, among which the number of marine provocations reaches 1,430 times, and the tension over the NLL issue has been intensifying. With tension mounting between Korea and Japan over the Dokdo issue and conflict escalating with China over Ieo do Islet, the US Navy has confronted situation where it cannot fully concentrate on the security of the Korean peninsula, which leads to need for strengthening of South Korea's naval forces. Let's look at naval forces of neighboring countries. North Korea is threatening South Korean navy with its increased asymmetric forces, including submarines. China has achieved the remarkable development of naval forces since the promotion of 3-step plan to strengthen naval power from 1989, and it now retains highly modernized naval forces. Japan makes an investment in the construction of stat of the art warship every year. Since Japan's warship boasts of its advanced performance, Japan's Maritime Self Defense Force is evaluated the second most powerful behind the US Navy on the assumption that submarine power is not included in the naval forces. In this situation, naval power construction of South Korean navy should be done in phases, focusing on the followings; First, military strength to repel the energy warship quickly without any damage in case of battle with North Korea needs to be secured. Second, it is necessary to develop abilities to discourage the use of nuclear weapons of North Korea and attack its nuclear facilities in case of emergency. Third, construction of military power to suppress armed provocations from China and Japan is required. Based on the above naval power construction methods, the direction of power construction is suggested as follows. The sea fleet needs to build up its war potential to defeat the naval forces of North Korea quickly and participate in anti-submarine operations in response to North Korea's provocations. The task fleet should be composed of 3 task flotilla and retain the power to support the sea fleet and suppress the occurrence of maritime disputes with neighboring countries. In addition, it is necessary to expand submarine power, a high value power asset in preparation for establishment of submarine headquarters in 2015, develop anti-submarine helicopter and load SLAM-ER missile onto P-3C patrol aircraft. In case of maine corps, division class military force should be able to conduct landing operations. It takes more than 10 years to construct a new warship. Accordingly, it is necessary to establish plans for naval power construction carefully in consideration of reality and future. For the naval forces to safeguard maritime sovereignty and contribute to national security, the acquisition of a huge budget and buildup of military power is required. In this regard, enhancement of naval power can be achieved only through national, political and military understanding and agreement. It is necessary to let the nation know that modern naval forces with improved weapon system can serve as comprehensive armed forces to secure the command of the sea, perform defense of territory and territorial sky and attack the enemy's strategic facilities and budget inputted in the naval forces is the essential source for early end of the war and minimization of damage to the people. If the naval power construction is not realized, we can be faced with a national disgrace of usurpation of national sovereignty of 100 years ago. Accordingly, the strengthening of naval forces must be realized.

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Islamist Strategic Changes against U.S. International Security Initiative (미국(美國)의 대외안보전략(對外安保戰略)에 대응한 이슬람Terrorism의 전술적(戰術的) 진화(進化))

  • Choi, Kee-Nam
    • Korean Security Journal
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    • no.14
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    • pp.517-534
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    • 2007
  • Since the beginning of human society, there have always been struggles and competitions for survival and prosperity, terrorism is not a recent phenomenon, however in modern times it has progressed to reflect the advances in civilization and power structures. At the time of the 9.11 terrorist attacks in the U.S. A., a new world order was in the process of being established after the breakdown of the Cold War era. The attacks drove both the Western and the Islamic worlds into heightened fear of terrorism and war, which threatened the quality of life of the whole mankind. Through two war campaigns against the Islamic world, it seems the U.S. has been pushing its own militaristic security road map of the Greater Middle East democratic initiative, justifying it as a means to retaliate and eradicate the terrorist threats towards themselves. However, with its five-year lopsided victories that cost the nation almost four thousand military casualties, and the war expenses that could match the Vietnam war, the U.S. does not yet seem to be totally emancipated from the fears of terrorism. Terrorism, in itself, is a means of resisting forced rules a form of alternative competition by the weak against the strong, and a way of expressing a dismissive response against dictatorial ideas or orders which allow for no normal changes. Intrinsically, the nature of terrorism is a reaction opposing power logics. Confronted with the absolute military power of the U.S., the Islamic strategies of terrorism have begun to rapidly evolve into a new stage. The new strategies take advantage of their civilization and circumstances, they train and inspire their front-line fighters on the Internet, and issue their orders through the clandestine network of the Al Qaeda operatives. These spontaneously generated strategies have been gained speed among the second, and third Islamic generations, many of whom are now spread throughout western societies. This represents a failure of the power-driven, one-sided overseas security initiatives by the U.S., and is creating a culture of fear and distrust in western societies. It is feared that the U.S. war campaigns have made the clash of religions far worse than before, and may ever lead to global ethnic separations and large-scale population movements. Eventually, it may result in the terrorist groups, enlarged and secretly supported by the huge sums of oil money, driving all mankind into a series of irreparable catastrophes.

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Prediction of a hit drama with a pattern analysis on early viewing ratings (초기 시청시간 패턴 분석을 통한 대흥행 드라마 예측)

  • Nam, Kihwan;Seong, Nohyoon
    • Journal of Intelligence and Information Systems
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    • v.24 no.4
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    • pp.33-49
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    • 2018
  • The impact of TV Drama success on TV Rating and the channel promotion effectiveness is very high. The cultural and business impact has been also demonstrated through the Korean Wave. Therefore, the early prediction of the blockbuster success of TV Drama is very important from the strategic perspective of the media industry. Previous studies have tried to predict the audience ratings and success of drama based on various methods. However, most of the studies have made simple predictions using intuitive methods such as the main actor and time zone. These studies have limitations in predicting. In this study, we propose a model for predicting the popularity of drama by analyzing the customer's viewing pattern based on various theories. This is not only a theoretical contribution but also has a contribution from the practical point of view that can be used in actual broadcasting companies. In this study, we collected data of 280 TV mini-series dramas, broadcasted over the terrestrial channels for 10 years from 2003 to 2012. From the data, we selected the most highly ranked and the least highly ranked 45 TV drama and analyzed the viewing patterns of them by 11-step. The various assumptions and conditions for modeling are based on existing studies, or by the opinions of actual broadcasters and by data mining techniques. Then, we developed a prediction model by measuring the viewing-time distance (difference) using Euclidean and Correlation method, which is termed in our study similarity (the sum of distance). Through the similarity measure, we predicted the success of dramas from the viewer's initial viewing-time pattern distribution using 1~5 episodes. In order to confirm that the model is shaken according to the measurement method, various distance measurement methods were applied and the model was checked for its dryness. And when the model was established, we could make a more predictive model using a grid search. Furthermore, we classified the viewers who had watched TV drama more than 70% of the total airtime as the "passionate viewer" when a new drama is broadcasted. Then we compared the drama's passionate viewer percentage the most highly ranked and the least highly ranked dramas. So that we can determine the possibility of blockbuster TV mini-series. We find that the initial viewing-time pattern is the key factor for the prediction of blockbuster dramas. From our model, block-buster dramas were correctly classified with the 75.47% accuracy with the initial viewing-time pattern analysis. This paper shows high prediction rate while suggesting audience rating method different from existing ones. Currently, broadcasters rely heavily on some famous actors called so-called star systems, so they are in more severe competition than ever due to rising production costs of broadcasting programs, long-term recession, aggressive investment in comprehensive programming channels and large corporations. Everyone is in a financially difficult situation. The basic revenue model of these broadcasters is advertising, and the execution of advertising is based on audience rating as a basic index. In the drama, there is uncertainty in the drama market that it is difficult to forecast the demand due to the nature of the commodity, while the drama market has a high financial contribution in the success of various contents of the broadcasting company. Therefore, to minimize the risk of failure. Thus, by analyzing the distribution of the first-time viewing time, it can be a practical help to establish a response strategy (organization/ marketing/story change, etc.) of the related company. Also, in this paper, we found that the behavior of the audience is crucial to the success of the program. In this paper, we define TV viewing as a measure of how enthusiastically watching TV is watched. We can predict the success of the program successfully by calculating the loyalty of the customer with the hot blood. This way of calculating loyalty can also be used to calculate loyalty to various platforms. It can also be used for marketing programs such as highlights, script previews, making movies, characters, games, and other marketing projects.

Introduction of the International Standardization of ISO in the Production and Quality of Herbal Medicines and a Review of Countermeasures (한약재 생산 및 품질부문의 ISO국제표준화 등재현황 소개 및 대응방안 고찰)

  • Kim, Yong Il;Kang, Young Min;Han, Sin-Hee;Hur, Mok;Kim, Young Guk;Chang, Jae Ki
    • Journal of the Korean Society of International Agriculture
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    • v.30 no.4
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    • pp.257-268
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    • 2018
  • Recently, the international standardization of ISO in the field of Oriental Herbal Medicine has been progressing rapidly under the direction of China's promotion. China's intention to promote international standardization is to extend its influence to the world and beyond the domestic market. The Oriental medicine system in East Asia has similar roots in academic terms, but the medicines that can be supplied and received in each country are different and have developed independently. The international standardization of medicinal herbs is expected to function in a direction that weakens such differentiation and independence. From a commercial point of view, international standardization is no different from creating evaluation criteria for oriental medicinal products, and it is expected that its potential impact on domestic and overseas markets and producers will be large. In particular, the international standardization centered on China can lead to favorable evaluation criteria for China, which may further negatively affect the market competitiveness of domestic raw materials, which have been pushed back by Chinese manufacturers. If the domestic production base is weakened, not only will the farmers suffer but the supply and demand of raw materials will also be manipulated, safety management control will be reduced, and the development of oriental herbal products using domestic raw materials will be hurt. Therefore, in the promotion of international standardization, it is necessary not only to reflect the value of Korean herbal medicine but also to provide strategic responses to protect the domestic production base. However, in the case of recent initiatives, there is no precedent in analyzing influence on the production partners and the related industries. In addition, there are few related papers and reports on the subject, so the publicity process has not been done sufficiently. In response to this, this study will examine the countermeasures against the international standardization of herbal medicines through reviewing its present status and evaluating the agenda of the Korean initiative.

Vietnam in 2017: The Situations and Prospects of Economics, Politics, and International Relations (베트남 2017: 경제, 정치, 대외관계의 현황과 전망)

  • CHAE, Su Hong;LEE, Han Woo
    • The Southeast Asian review
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    • v.28 no.1
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    • pp.21-51
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    • 2018
  • This article takes several approaches in explaining recent developments in Vietnam. First, it draws upon an array of sources that idealize Vietnam's embrace of capitalism and integration into the global market in order to sketch out its economy's progress in 2017. Second, it observes, evaluates, and diagnoses recent changes in the Vietnamese economy in the medium to long term by incorporating conflicting perspectives on Vietnam's performance as a capitalist country. Third, this article traces the power shifts that have risen from internal struggles in the Communist Party over political and social issues. Fourth, it elaborates on the aforementioned impact that foreign relations have had on socio-political developments in Vietnam, as well as the government's response. In so doing, it also attempts to evaluate, however briefly, the significance of the 25th anniversary of South Korea-Vietnam relations. Finally, it examines the public's reaction to the post-reform transitions in light of recent sociocultural changes. 2017 was a memorable year for Vietnam: a continuous march toward capitalism; the resulting expansion of the Vietnamese people's demands; political controversies and government control; the looming instability of United States-China relations and various attempts to address the situation. These events will inevitably replicate themselves in the future as the ostensibly socialist Vietnam adopts a capitalist model. The problem is that it is unclear whether these experiences will continue with the consent of the people of socialist Vietnam or engender resistance. It is difficult to achieve meaningful consent in the status quo of worsening inequalities, widespread corruption, monopoly on power, and sustained use of unskilled low-wage workers. In other words, when concerns such as welfare, public health, and the environment are set aside in favor of economic development and commercialization as they have been, discontent, rather than consent, will prevail. It is thus important to keep a watchful eye on the viability of the nominal economic growth, surface-level political stability, and strategic responses to foreign relations that took place in 2017.

The success and failure of non-regular workers' struggles and their effects on organizational strength (비정규직 노동자 투쟁의 승패와 조직력 변화)

  • Ch, Donmoon
    • Korean Journal of Labor Studies
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    • v.17 no.1
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    • pp.139-176
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    • 2011
  • Non-regular workers came to the fore while working class formation was in retreat along with the democratic labor movement of regular workers. The formation of principal agents, however, is yet to occur. Then, why non-regular workers' struggles could not yield a consequence in that regard? What kind of factors are to determine the outcome of the struggles and how do they do it? It is the aim of this study to answer those questions. In contrast with regular workers' struggles, non-regular workers' struggles tend to break out in response to capitalist offensives, rely on atypical and, often, extreme measures of struggle rather than strike in the form of work stoppage, drag out for too long, and appeal for social solidarity outside when the solidarity of regular workers is not available. Non-regular workers' struggles tend to end up with failure rather than success, and with weakening rather than strengthening of their organizational strength. So as to overcome the tendency to fail, non-regular workers' struggles need regular workers' solidarity in addition to their own strong mobilization power, while social solidarity or positional power could substitute for regular workers' solidarity in some cases. So as to build up their organizational strength, non-regular workers' struggles should win victories in the struggles, while a victory could turn into a trap in the case of conversion. Both regular workers' solidarity and the internal integration of the struggles are two foremost important factors in achieving the victory of struggles and the building-up of organizational strength. Those who have got involved in struggles are from the best organized sector among all the non-regular workers. As they have gone through weakening of organizational strength, it becomes more difficult for non-regular workers to form principal agents. Without non-regular workers' struggles, however, the capitalist offensives must have carried the day. In that sense, non-regular workers' struggles did a role in at least detaining capitalist offensives, if not stopping them. The practical implication of non-regular workers' struggles is that, if non-regular workers redefine the ultimate goal of their struggles as the formation of their principal agents for working class formation, it would be a strategically rational choice to identify the strategic objective of struggles with the maintaining and strengthening of their organizational strength rather than the achievement of their immediate demands.

Nuclear Weapons and Extended Deterrence in the U.S.-ROK Alliance (핵무기와 한·미 핵 확장억제 능력)

  • Huntley, Wade L.
    • Strategy21
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    • s.34
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    • pp.236-261
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    • 2014
  • The future role of nuclear extended deterrence in the security alliance between the United States and the Republic of Korea is currently a central concern. The gradually lessening role of reliance on nuclear weapons in US security policies broadly, combined with increasing North Korean nuclear capabilities and belligerence, raise fresh questions about the sufficiency of the "nuclear umbrella" as a pillar of the US-ROK defense posture. This article addresses the current and future role of nuclear extended deterrence in Korea in this dynamic context. The article reviews the longstanding trend toward reducing the overall size of the US nuclear arsenal, and assesses developments in US-ROK outlooks toward extended deterrence in response to the Obama administration's nuclear policies and North Korea's recent smaller-scale aggressions. The analysis finds that the challenges of deterrence credibility and allied reassurance are difficult and long-term. The analysis explains how these challenges emerge less from a shrinking US numerical arsenal size than from the sufficiency of specific nuclear and non-nuclear capabilities to meet emerging smaller-scale threats. The analysis also highlights the importance of broader strategic and political interaction in sustaining allied confidence in any joint security posture. The evaluation concludes that a strong US-ROK alliance relationship can be maintained while the size of the US nuclear arsenal continues to decline, in part because nuclear weapons in any deployment configuration are relatively ineffective means for deterring smaller-scale aggression. Nevertheless, continuing adjustment of the US-ROK extended deterrence posture to the evolving, complex and uncertain Korean peninsula security environment will remain an ongoing challenge. Finally, the article encourages further examination of the potential specific role ROK maritime forces might serve in enhancing deterrence of smaller-scale threats while minimizing risks of conflict escalation.

Understanding Management of Technology(MOT) in South Korea through an Analysis of Graduate MOT Programs' Curricula (한국의 기술경영전문대학원의 교과과정을 통해 본 한국적 기술경영학의 정체성)

  • Taehyun Jung;Gyu Hyun Kwon;Kwon Yeong-il;Hyunkyu Park;Kyootai Lee;Jeonghwan Jeon
    • Journal of Technology Innovation
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    • v.31 no.3
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    • pp.39-73
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    • 2023
  • The field of Management of Technology(MOT) emerged in response to the need for research management within U.S. public research institutions during the 1960s. Since its inception, it has proliferated significantly, being practiced in more than 809 institutions globally and over 19 institutions in Korea, encompassing both research and educational endeavors. Particularly noteworthy is the substantial investment of government resources, primarily channeled through the Ministry of Industry since 2007, which has expeditiously established a comprehensive framework for cultivating graduate-level MOT expertise, marked by both quantitative and qualitative advancements. The educational curriculum in the realm of Korean MOT deviates from foreign counterparts through distinctive pathways, exemplified by its emphasis on industry practice-oriented educational programs, standardization and isomorphism across different schools, as well as its interconnectedness with proximate academic disciplines. This research systematically undertakes an analysis of the curriculum in Korean MOT graduate schools, thereby ascertaining its intrinsic identity and distinct attributes. In this endeavor, a comprehensive examination of eleven principal MOT textbooks(three in Korean and eight in English) is conducted to delineate the primary content of the curriculum across seven thematic domains. Moreover, the study deliberates on its differentiation from neighboring academic disciplines and the definitional attributes of MOT. Subsequently, this analysis also encompasses nine Korean MOT graduate programs, projecting the seven thematic domains onto their respective curricula. The findings illuminate that within the context of Korean graduate programs, a substantial proportion of the curriculum, amounting to 62.5%, is dedicated to facets encompassing the operational aspects of technology management within corporate contexts, technology management specific to varying industries and technologies, and collaborative endeavors between academia and industry in the form of projects and seminars. Evidently, the Korean approach to technology management education is notably geared towards the cultivation of adept practitioners capable of executing technology management functions at a mid-tier managerial level, aligned with the exigencies of regional industries. Grounded in the analysis of technology management curricula, this study extrapolates implications for the future trajectory of MOT education in Korea, encompassing a consideration of the stages of industrial development. It underscores the necessity to augment the educational curricula pertaining conceptual foundation of technology and innovation, strategic perspectives of technology and innovation, and the socio-economic context of technology management.

Interpreting Bounded Rationality in Business and Industrial Marketing Contexts: Executive Training Case Studies (집행관배훈안례연구(阐述工商业背景下的有限合理性):집행관배훈안례연구(执行官培训案例研究))

  • Woodside, Arch G.;Lai, Wen-Hsiang;Kim, Kyung-Hoon;Jung, Deuk-Keyo
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.3
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    • pp.49-61
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    • 2009
  • This article provides training exercises for executives into interpreting subroutine maps of executives' thinking in processing business and industrial marketing problems and opportunities. This study builds on premises that Schank proposes about learning and teaching including (1) learning occurs by experiencing and the best instruction offers learners opportunities to distill their knowledge and skills from interactive stories in the form of goal.based scenarios, team projects, and understanding stories from experts. Also, (2) telling does not lead to learning because learning requires action-training environments should emphasize active engagement with stories, cases, and projects. Each training case study includes executive exposure to decision system analysis (DSA). The training case requires the executive to write a "Briefing Report" of a DSA map. Instructions to the executive trainee in writing the briefing report include coverage in the briefing report of (1) details of the essence of the DSA map and (2) a statement of warnings and opportunities that the executive map reader interprets within the DSA map. The length maximum for a briefing report is 500 words-an arbitrary rule that works well in executive training programs. Following this introduction, section two of the article briefly summarizes relevant literature on how humans think within contexts in response to problems and opportunities. Section three illustrates the creation and interpreting of DSA maps using a training exercise in pricing a chemical product to different OEM (original equipment manufacturer) customers. Section four presents a training exercise in pricing decisions by a petroleum manufacturing firm. Section five presents a training exercise in marketing strategies by an office furniture distributer along with buying strategies by business customers. Each of the three training exercises is based on research into information processing and decision making of executives operating in marketing contexts. Section six concludes the article with suggestions for use of this training case and for developing additional training cases for honing executives' decision-making skills. Todd and Gigerenzer propose that humans use simple heuristics because they enable adaptive behavior by exploiting the structure of information in natural decision environments. "Simplicity is a virtue, rather than a curse". Bounded rationality theorists emphasize the centrality of Simon's proposition, "Human rational behavior is shaped by a scissors whose blades are the structure of the task environments and the computational capabilities of the actor". Gigerenzer's view is relevant to Simon's environmental blade and to the environmental structures in the three cases in this article, "The term environment, here, does not refer to a description of the total physical and biological environment, but only to that part important to an organism, given its needs and goals." The present article directs attention to research that combines reports on the structure of task environments with the use of adaptive toolbox heuristics of actors. The DSA mapping approach here concerns the match between strategy and an environment-the development and understanding of ecological rationality theory. Aspiration adaptation theory is central to this approach. Aspiration adaptation theory models decision making as a multi-goal problem without aggregation of the goals into a complete preference order over all decision alternatives. The three case studies in this article permit the learner to apply propositions in aspiration level rules in reaching a decision. Aspiration adaptation takes the form of a sequence of adjustment steps. An adjustment step shifts the current aspiration level to a neighboring point on an aspiration grid by a change in only one goal variable. An upward adjustment step is an increase and a downward adjustment step is a decrease of a goal variable. Creating and using aspiration adaptation levels is integral to bounded rationality theory. The present article increases understanding and expertise of both aspiration adaptation and bounded rationality theories by providing learner experiences and practice in using propositions in both theories. Practice in ranking CTSs and writing TOP gists from DSA maps serves to clarify and deepen Selten's view, "Clearly, aspiration adaptation must enter the picture as an integrated part of the search for a solution." The body of "direct research" by Mintzberg, Gladwin's ethnographic decision tree modeling, and Huff's work on mapping strategic thought are suggestions on where to look for research that considers both the structure of the environment and the computational capabilities of the actors making decisions in these environments. Such research on bounded rationality permits both further development of theory in how and why decisions are made in real life and the development of learning exercises in the use of heuristics occurring in natural environments. The exercises in the present article encourage learning skills and principles of using fast and frugal heuristics in contexts of their intended use. The exercises respond to Schank's wisdom, "In a deep sense, education isn't about knowledge or getting students to know what has happened. It is about getting them to feel what has happened. This is not easy to do. Education, as it is in schools today, is emotionless. This is a huge problem." The three cases and accompanying set of exercise questions adhere to Schank's view, "Processes are best taught by actually engaging in them, which can often mean, for mental processing, active discussion."

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The Effect of Brand Extension of Private Label on Consumer Attitude - a focus on the moderating effect of the perceived fit difference between parent brands and an extended brand - (PL의 브랜드확장이 소비자태도에 미치는 영향에 관한 연구 : 모브랜드 적합도 인식 차이의 조절효과를 중심으로)

  • Kim, Jong-Keun;Kim, Hyang-Mi;Lee, Jong-Ho
    • Journal of Distribution Research
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    • v.16 no.4
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    • pp.1-27
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    • 2011
  • Introduction: Sales of private labels(PU have been growing m recent years. Globally, PLs have already achieved 20% share, although between 25 and 50% share in most of the European markets(AC. Nielson, 2005). These products are aimed to have comparable quality and prices as national brand(NB) products and have been continuously eroding manufacturer's national brand market share. Stores have also started introducing premium PLs that are of higher-quality and more reasonably priced compared to NBs. Worldwide, many retailers already have a multiple-tier private label architecture. Consumers as a consequence are now able to have a more diverse brand choice in store than ever before. Since premium PLs are priced higher than regular PLs and even, in some cases, above NBs, stores can expect to generate higher profits. Brand extensions and private label have been extensively studied in the marketing field. However, less attention has been paid to the private label extension. Therefore, this research focuses on private label extension using the Multi-Attribute Attitude Model(Fishbein and Ajzen, 1975). Especially there are few studies that consider the hierarchical effect of the PL's two parent brands: store brand and the original PL. We assume that the attitude toward each of the two parent brands affects the attitude towards the extended PL. The influence from each parent brand toward extended PL will vary according to the perceived fit between each parent brand and the extended PL. This research focuses on how these two parent brands act as reference points to one another in the consumers' choice consideration. Specifically we seek to understand how store image and attitude towards original PL affect consumer perceptions of extended premium PL. How consumers perceive extended premium PLs could provide strategic suggestions for retailer managers with specific suggestions on whether it is more effective: to position extended premium PL similarly or dissimilarly to original PL especially on the quality dimension and congruency with store image. There is an extensive body of research on branding and brand extensions (e.g. Aaker and Keller, 1990) and more recently on PLs(e.g. Kumar and Steenkamp, 2007). However there are no studies to date that look at the upgrading and influence of original PLs and attitude towards store on the premium PL extension. This research wishes to make a contribution to this gap using the perceived fit difference between parent brands and extended premium PL as the context. In order to meet the above objectives, we investigate which factors heighten consumers' positive attitude toward premium PL extension. Research Model and Hypotheses: When considering the attitude towards the premium PL extension, we expect four factors to have an influence: attitude towards store; attitude towards original PL; perceived congruity between the store image and the premium PL; perceived similarity between the original PL and the premium PL. We expect that all these factors have an influence on consumer attitude towards premium PL extension. Figure 1 gives the research model and hypotheses. Method: Data were collected by an intercept survey conducted on consumers at discount stores. 403 survey responses were attained (total 59.8% female, across all age ranges). Respondents were asked to respond to a series of Questions measured on 7 point likert-type scales. The survey consisted of Questions that measured: the trust towards store and the original PL; the satisfaction towards store and the original PL; the attitudes towards store, the original PL, and the extended premium PL; the perceived similarity of the original PL and the extended premium PL; the perceived congruity between the store image and the extended premium PL. Product images with specific explanations of the features of premium PL, regular PL and NB we reused as the stimuli for the Question response. We developed scales to measure the research constructs. Cronbach's alphaw as measured each construct with the reliability for all constructs exceeding the .70 standard(Nunnally, 1978). Results: To test the hypotheses, path analysis was conducted using LISREL 8.30. The path analysis for verification of the model produced satisfactory results. The validity index shows acceptable results(${\chi}^2=427.00$(P=0.00), GFI= .90, AGFI= .87, NFI= .91, RMSEA= .062, RMR= .047). With the increasing retailer use of premium PLBs, the intention of this research was to examine how consumers use original PL and store image as reference points as to the attitude towards premium PL extension. Results(see table 1 & 2) show that the attitude of each parent brand (attitudes toward store and original pL) influences the attitude towards extended PL and their perceived fit moderates these influences. Attitude toward the extended PL was influenced by the relative level of perceived fit. Discussion of results and future direction: These results suggest that the future strategy for the PL extension needs to consider that positive parent brand attitude is more strongly associated with the attitude toward PL extensions. Specifically, to improve attitude towards PL extension, building and maintaining positive attitude towards original PL is necessary. Positioning premium PL congruently to store image is also important for positive attitude. In order to improve this research, the following alternatives should also be considered. To improve the research model's predictive power, more diverse products should be included in study. Other attributes of product should also be included such as design, brand name since we only considered trust and satisfaction as factors to build consumer attitudes.

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