• Journal of Korean Society of Industrial and Systems Engineering
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• v.44 no.1
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• pp.37-44
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• 2021

The information products dramatically reduce the production costs of vertically differentiated products. Information products are also more likely to be affected by network externalities. Thus the proliferation of digital products is increasing the interests in network externality and vertical product differentiation. In step with this trend, the impact of network externalities on price competition in vertically differentiated markets has been continuously studied. Existing studies related to this topic have assumed that network externalities increase consumers' willingness to pay per unit quality. The results show that higher quality products are affected more by network externality. However, network externality is essentially a concept affected by the size of the consumer, not a concept associated with quality. In this work, unlike previous studies, we present a new market model that reflects the essential definition of network externality. Based on the proposed market model, we derive both simultaneous and sequential Nash equilibria and analyze them numerically. The main results obtained from the analysis can be summarized as follows. First, network externalities primarily increase the demand for low-quality products and have a secondary impact on the demand for high-quality products. Second, the larger the quality difference between products, the more profitable they are. It also has been shown that sequential pricing methods are more advantageous in terms of revenue than simultaneous pricing method.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2007.11a
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• pp.499-502
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• 2007

The government abolished the existing method to calculate the construction price by the quantity take-off and pricing. It has introduced a new estimating system which uses the actual cost data on the basis of actual contract unit price. However, in the case of the current method to calculate the estimate price of BTL educational facilities, it is difficult to prepare an accurate ground for calculating unit prices due to a lack of standardized work breakdown structure (WBS) and guidelines for the detailed bidding documents. Thus, this research aims to establish WBS using the actual construction price on the basis of the actual bidding documents for the previous construction of BTL educational facilities. This specific WBS can be differentiated from the general WBS which is not suited for construction of the educational facility. It makes possible to build the construction information classification system and it helps to systemize the maintenance and repair cost items.

• Journal of Environmental Policy
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• v.14 no.3
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• pp.41-73
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• 2015

The Korea Emissions Trading System that was launched in Jan. 2015 is expected to be a crucial policy measure to abate domestic $CO_2$ emission. For accomplishing its purpose, prior information on the price discovery process needs to be presented in order to facilitate the trading of spot allowances with different vintages. We develope a customized pricing method for Korean ETS using the concept of term structure and the cost of carry model.

• Environmental and Resource Economics Review
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• v.27 no.4
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• pp.667-694
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• 2018

We analyze the learning-by-doing effects of the allowance pricing system on the Korea's emission trading scheme. The price of allowance (Korean Allowance Unit) is influenced differently by internal market factors and economic conditions variables in the first (January 2015 to June 2016 ) and the second commitment year(January 2016 to June 2017). The prices and transaction volumes of complementary credits (KCU and KOC) as well as economic conditions variables (such as call rate, exchange rate, stock price) are statistically significant only for the second commitment year. Thus, the learning-by-doing effect makes the market participation decision on K-ETS market more efficient in the second commitment year, adopting the previous experience and knowledge in the K-ETS market. The factors estimated significantly in both commitment periods include the institutional binary variable for requiring the submission of the emissions verification reports issued both on February and March.

• The Journal of Fisheries Business Administration
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• v.29 no.2
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• pp.111-141
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• 1998

Why are auctions so prevalent in fisheries fields\ulcorner One answer is, perhaps, that fisheries products have no standard value. The price of any catch of fish (at least of fish destined for the fresh fish market) depends on the demand and supply conditions at a specific moment of time, influenced by prospective market developments and prices must be remade for each transaction. There are various auction schemes including written-bid method in Korea. It is difficult to make decision the application of auction selling in market distribution. One reason is the absence of adequate data on which to base firm statements. There is very little precise information about the relative volume handled by auction scheme as compared with other sales schemes Because of the paucity reliable data, one must depend largely on qualitative in attempting to above this problem. This paper is designed to examine which auction scheme is more efficient as a economic tool by introducing the three auctions, as samples, utilized in Koheung peninsula. Koheung coast with abundant fisheries resource, locates on the Middle-South part in Korea and has three auction firm operating by fisheries cooperatives. fur selling of dry fish included sea weed, live fish and fresh fish respectively, As a result, 1 found that there are three interesting auction schemes as follow : 1. More than one winners are selected as buyers. The highest bidder can at first get fishes he wants to buy, second winner can get surplus fishes after the highest bidder employes one's privilege with the highest pay, and next winner would be a buyer if fishes would be left in sequence after being sold with higher price. Every fisherman can sell one' s fishes with equal unit price if he delivery it to the winner within one day. Therefore, all the vendors feel they are equal members of fisheries cooperation. 2. Written-bid pricing on the cover of handy book. It is easy to write and to erase the figure more than on the small black board, and is convenient also to keep in the pocket. 3. Auctioning on the fixed platform with fixed fish tank is a very fast auction scheme in spite of short displaying time. Auctioneer presides bidding at one place on the fixed platform, instead of moving, vendors should carry a container of live fishes in the fish tank into showing table in front of would-be buyers and auctioneer. Although the applicability of the auction system to a marketing problem depends in part on subjective considerations by those making decision, basically it is a matter of comparative economic efficiency. In general, if the scheme maximizes returns in relation to the effort expanded by both buyers and sellers, it will be utilized. If it does not, a more efficiency may take place over a period of time, but, even more important, those making decisions may become aware of the potentialities of new schemes. Therefore, in order to applicate the three interesting auction schemes introduced in this paper to other fisheries market, it is necessary not only to analyze many other auction schemes but also to compare the economic efficiency those schemes utilizing in other fisheries market.