• Environmental and Resource Economics Review
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• v.13 no.2
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• pp.219-243
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• 2004

Generally, electricity market has monopoly market structure because of need of enormous investment for infrastructure. However, the introduction of competition in network industry as electricity is a tendency of the world with decreasing the effects of economy of scale due to the advancement of technology. Now, electricity industry restructuring is in progress but the competition in electricity retail market is not in force yet in Korea. Whether a effective competition exist or not is very important to policy decision maker who drive restructuring, but there are small numbers of quantitative researches on that. In this study, we estimated the effectiveness of competition in the electricity retail market through switching costs. If switching costs are high, consumers actually can be locked in incumbent firm in spite of introduction of competition. Therefore switching is a critical factor to determine effectiveness of competition and to estimate the size of switching costs quantitatively can proffer the information about whether the competition in the electricity retail market is effective or not in the future. We estimated switching costs using consumer' stated-preference data by conjoint analysis. In according to estimation results, the cost of switching process is not so high, but the relative brand loyalty of an incumbent company is significantly high. And the price is considered as the most important factor choosing an electric service commodity. Based on the empirical results, it is possible to analyze the relationship between suppliers' competitiveness resulted from management efficiency and customers' switching possibilities. The paper therefore provides guidance for suppliers in deciding to enter into retail competition and for policy makers in introducing retail competition. And it has a significance of estimating the switching costs directly.

• Cartoon and Animation Studies
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• s.50
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• pp.23-42
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• 2018

Currently, two-dimensional culture is the main keyword in Chinese contents market. In China, many capital and economic giants have entered into two-dimensional cultural market because the number of users and the interest of the public for two-dimensional culture are increasing day by day. The reason for the rise of the two-dimensional culture into the mainstream culture is not only the switching of the mainstream consumer class but also Two-Dimensional Culture forms a huge industrial chain covering many areas including movies, performances and theme parks in addition to ACGN (Animation, Comic, Game and light Novel), the second is that more people are participating in Two-Dimensional Culture due to the specific audience with high social environment and loyalty and the third is looking for the role of the users in Two-Dimensional cultural content from three characteristics, such as strong cultural prevalence. This study analyzed the Chinese two-dimensional cultural environment through PEST(Political, Economic, Social and Technological analysis) In addition, as the ecological environment and communication method of Two-Dimensional Culture users changed, the users became active participants and the second producers of contents. I examined the way of using the users' contents through the phenomenon of 'Barrage'. Therefore, this study discussed the appropriate development path for the user-oriented contents industry in the Chinese Two-Dimensional cultural environment.

• The Journal of the Korean life insurance medical association
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• v.24
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• pp.97-117
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• 2005

Internally Korean insurance market is that whole life products' growth are becoming slowdown that's why new insurance products have appeared on the market in consideration of consumer's needs recently. Externally domestic insurance market competitions has drifted from insurance industry to whole financial industry since bankasurance started. Life insurance companies should open up a new market to survive from severe competitions. Worksite marketing can be an alternative. An insurer make arrangements with an employer about an insurance terms which an insurer offers in Worksite marketing. Then eligible individuals enroll in the plans at their own discretion and pay 100 percent of the premium for coverage through payroll deductions. An employer doesn't need to pay extra money for additional benefit but can raise employee's loyalty and satisfaction of company through worksite marketing. An employee can be covered at discounted premium rate and less strict underwriting guidelines to an insurer compared to individual insurance. In developed countries specially U.S insurance market, Worksite marketing is getting very popular and growing rapidly due to the advantages. Worksite marketing has both individual insurance characters and group insurance characters. Individual insurance characters are that employees enroll in the plans at their own discretion and pay 100 percent of the premium for coverage. Group insurance characters are that actively at work and participation etc. An insurer have to reflect these two characters on Worksite marketing when an insurance company work out a plan for developing products and underwriting guidelines. When an insurer devise worksite products, one should consider participation level which means percentage of eligible employees participating. Participation is related to anti-selection. As we know underwriting is essential for every kind of insurance, especially underwriting plays major role in worksite marketing. We can see that in the below. Firstly, it has a function in calculation of premium rate. When calculate premium rate for worksite products underwriters have to estimate expected participation level and risk factors. So underwriters and acturies keep in close contact with each other. Secondly, underwriting methods are important. When an insurer underwrite worksite products, there are three kinds of underwriting methods. These are Simplified issue underwriting, Full underwriting and Guaranteed issue underwriting. Simplified issue underwriting typically requires no medical examination, but usually requires supplying satisfactory answers to one or several health and/or lifestyle questions. Full underwriting requires a complete medical history questionnaire that may further require an exam. Guaranteed issue underwriting means that coverage is issued without the employee having to provide evidence of insurability. When insurer set the GI limit are usually based on the type of industry, number of eligible employees, the average amount of coverage and participation level. In addition to insurer should have a clear definition of eligible employee on the insurance provision and application form. It will minimize possibility of trouble claims and anti-selection. An insurer also establish preexisting condition exclusion and special guidelines for late entrants. When an insurer introduce Worksite marketing to Korean insurance market, an insurer has to examine market research to analyze potential market and strategy of sales most of all. Also an insurer should review real situation of the U.S, England and Japanese market etc. There are a lot of new technologies about worksite marketing process that an insurer should learn. When an insurer consider many things which we explained it can be a real alternative.

• The Journal of the Korea Contents Association
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• v.10 no.12
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• pp.352-365
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• 2010

Most of studies concerned with on-line Brand community show that it makes users to increase their brand loyalty and brand attachment. But it wouldn't be explained that on-line brand community could be the field of consumer's public complaining in service failure. So, this study tried to focus the dimensions of negative emotions and customer characteristics that may cause relationship dissolutions in on-line brand community. The findings of the present study following as, high relationship quality of on-line brand community user directly effects negative emotions, especially, disappointment and betrayal. second, disappointment and betrayal influences the desire of revenge. Third, customer's negative reactions (for example, negative replies about the brand or public complaining in community) are mediated by customer's desire of revenge. The analysis was held with brand community customers who has been experienced service recently by using SPSS14K and Smart PLS 2.0. The study verified the structural equation model hypothesizing the between emotional factors and negative reactions. In conclusion, this article provides implications into understanding of customer's negative emotions and user's characteristics that cause negative reactions in on-line brand community. thus, this may allow marketers to have managerial insights on handling of on-line brand community independently operated by consumers.

• Journal of Digital Convergence
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• v.18 no.10
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• pp.459-467
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• 2020

The number of SNS false and exaggerative advertising has been consistently increasing nowadays. Among others, millennials who use SNS most frequently and enjoy e-commerce have become victims of false and exaggerative advertising. Thus, this study is designed to examine millennial consumers' attitude toward SNS false and exaggerative advertising through in-depth interview. Study findings suggest that millennials have very negative attitude toward SNS false and exaggerative advertising regardless of if they are victims or not. In particular, millennials who are victims of SNS false and exaggerative advertising have negative attitude toward SNS companies as well as advertised brands on SNS. Millennial consumers think that SNS companies need to come up with guidelines to regulate SNS false and exaggerative advertising, and government also needs to apply proper measures. Since SNS false and exaggerative advertising may have negative impacts on millennials' purchase intentions as well as brand loyalty, companies need to consider millennial consumers' characteristics when it comes to launching SNS advertising targeting millennials. This finding provides practical implications for marketers.

• The Korean Journal of Franchise Management
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• v.13 no.2
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• pp.53-66
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• 2022

Purpose: How to build the attitude on brand is very important, because it affects the positive word of mouth and revisit intention. Brand attachment, brand name, and image congruence play important role on consumer behavior in terms of reinforcing consumers' perception of food service companies and differentiating them from competing brands. Following the planned behavior theory, this paper examines the effect of linking brand attitude to word-of-mouth and revisit intentions in the restaurant sector. Research design, data, and methodology: This paper examines the structural relationship among brand attachment, brand name, image congruence, brand attitude, WOM, and revisit intention. In order to test the purposes of this study, research model and hypotheses were developed. The questionnaire items were modified and used according to the content of this study based on previous studies. All constructs were measured by multiple items tested and developed in the previous research. The study is based on the quantitative method and considered 519 questionnaires fulfilled by customers of restaurants. The data were explored employing the partial least square-structural equation modelling (PLS-SEM). Frequency analysis was conducted to identify the general characteristics of the survey subjects. To measure the reliability and validity of the measurement tools, confirmatory factor analysis was conducted. Structural model analysis was conducted to verify the research model. Result: The findings demonstrate that brand attachment and brand name had positive effects on attitude while image congruence did not have. Also, attitude had positive effect on WOM and revisit intention. Conclusions: This study expands the literature about WOM and revisit intentions. This study expands prior research in a similar field to which the theory of planned behavior (TPB) is applied, and reveals that brand attachment, brand name, and brand image congruence play an important role in developing brand attitude that affect revisit intention and WOM. And provide guidelines on how to enhance competitiveness in the restaurant sector based on understanding of linking brand attitude to customer loyalty and repeat business. By putting into practice these suggestions in the restaurant industry, brands can easily build up their attitude and boost a positive WOM and the intention to revisit.

• Asia-pacific Journal of Multimedia Services Convergent with Art, Humanities, and Sociology
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• v.7 no.9
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• pp.141-149
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• 2017

Numerous products are on the market every day and consumption is becoming increasingly polarized. Some products have been introduced to the market for the first time and others are the existing products that have upgraded performance. For companies, new products must be released constantly to prevent losing existing customers and to increase loyalty. However, when companies released new product, they communicate consumer brand name and core benefits of the new product. Moreover, if a new product fails, the amount that the company has to pay is bound to grow. So companies often use brand extension strategies that use the names of famous brands that are already loved by their customers for new products. In this study, the effect of extension similarity, time of release, and message type on brand extension was investigated. Result shows that using abstract messages rather than specific messages is more effective when similarities with existing brands are poor. In particular, the closer the release period is, the more effective these effects are. However, in case of extending the brand with high similarity products, it is effective to focus on concrete messages when the release time is near, and to communicate abstract messages when the release time is long. This result suggests that companies should take into consideration not only the similarity of extension but also the timing and characteristics of messages when extending the brand.

• The Journal of the Convergence on Culture Technology
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• v.9 no.2
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• pp.389-397
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• 2023

This study examines how macro-economic conditions, fashion momentum, and inter-genre competition affect movie genre's popularity, thus shaping fashion trends in the feature film market in Korea. Using panel data analysis of genre-specific audience sizes with 6 genre cateories and 132 monthly time points, we found that favorable economic conditions generate the fashion trend in the action/crime genre, while the deterioration of the economic conditions leads to the decline of action/crime genre. The finding implies that economic situations influence cultural consumers' psychological states, which in turn shape the fashion trend in certain direction. Furthermore, we found that the action/crime genre has a greater fashion momentum and its competitive power is stronger than other genres, suggesting that this genre has longer fashion cycle even if other genres rise to the top in their popularity. We argue that such enlengthened fahion cycle and competitive stength of the action/crime genre are associated with its breadth of niche width and audience loyalty. Scholarly and practical implications are discussed.

• Journal of Venture Innovation
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• v.6 no.1
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• pp.1-16
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• 2023

Due to the progress of the 4th industrial revolution and the COVID-19 pandemic, the subscription economy was rapidly expanding. In particular, the subscription economy was expected to expand further as the servicing of products(servitization) rapidly progresses. In this study, we tried to empirically analyze the factors that promote and hinder the spread of the subscription economy from the consumer's point of view. To this end, based on the Service Profit Chain (SPC) model, which identified mechanisms leading from quality to satisfaction, loyalty, and performance, a research model was established by combining the framework of the Value-based Adoption Model (VAM), which covers both benefit and sacrifice factors. Usefulness and convenience were derived as benefit factors, and perceived risks and perceived costs were derived as sacrifice factors. The effects of these factors on satisfaction and continuous use intention were analyzed. For empirical analysis, a survey was conducted targeting people who have experience in subscription economy, and 300 effective samples were analyzed. The analysis was performed as a structural equation model using AMOS 24. As a result of the empirical study, it was found that convenience had a significant positive (+) effect on satisfaction. Perceived risk and perceived cost were analyzed to have a negative (-) effect on satisfaction. On the other hand, usefulness was found to have no significant effect on satisfaction. The influences affecting satisfaction were in the order of perceived cost, convenience, and perceived risk. Satisfaction was found to have a significant positive (+) effect on continuous use intention. The results of this study were considered meaningful in that they broadened the horizons of research by combining existing validated models at the academic level and testing their validity, and found that perceived cost was still an important factor at the practical level.

• Journal of Distribution Science
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• v.9 no.4
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• pp.5-13
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• 2011

This study provides analysis of the effectiveness of domestic marketing strategies of the Korean coffee shop "Caffe Bene". It bases its evaluation on statistical outputs of 'choice attributes,' "market segmentation," demographic characteristics," and "satisfaction differences." The results are summarized in four points. First, five choice attributes were extracted from factor analysis: price, atmosphere, comfort, taste, and location; these are related to coffee shop selection behavior. Based on these five factors, cluster analysis was conducted, with statistical results classifying customers into three major groups: atmosphere oriented; comfort oriented; and taste oriented. Second, discriminant analysis tested cluster analysis and showed two discriminant functions: location and atmosphere. Third, cross-tabulation analysis based on demographic characteristics showed distinctive demographic characteristics within the three groups. Atmosphere oriented group, early-20s, as women of all ages was found to be 'walking down the street 'and 'through acquaintances' in many cases, as the cognitive path, and mostly found the store through 'outdoor advertising', and 'introduction'. Comfort oriented group was mainly women who are students in their early twenties or professionals, and appeared as a group to be very loyal because of high recommendation to other customers compared to other groups. Taste oriented group, unlike the other group, was mainly late-20s' college graduates, and was confirmed, as low loyalty, with lower recommendation activity. Fourth, to analyze satisfaction differences, one-way ANOVA was conducted. It shows that groups which show high satisfaction in the five main factors also show high menu satisfaction and high overall satisfaction. This results show that segmented marketing strategies are necessary because customers are considering price, atmosphere, comfort, taste, location when they choose coffee shop and demographics show different attributes based on segmented groups. For example, atmosphere oriented group is satisfied with shop interior and comfort while dissatisfied with price because most of the customers in this group are early 20s and do not have great financial capability. Thus, price discounting marketing strategies based on individual situations through CRM system is critical. Comfort oriented group shows high satisfaction level about location and shop comfort. Also, in this group, there are many early 20s female customers, students, and self-employed people. This group customers show high word of mouth tendency, hence providing positive brand image to the customers would be important. In case of taste oriented group, while the scores of taste and location are high, word of mouth score is low. This group is mainly composed of educated and professional many late 20s customers, therefore, menu differentiation, increasing quality of coffee taste and price discrimination is critical to increase customers' satisfaction. However, it is hard to generalize the results of study to other coffee shop brand, because this study have researched only one domestic coffee shop, Caffe Bene. Thus if future study expand the scope of locations, brands, and occupations, the results of the study would provide more generalizable results. Finally, research of customer satisfactions of menu, trust, loyalty, and switching cost would be critical in the future study.