• Asia Marketing Journal
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• v.12 no.4
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• pp.137-164
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• 2011

In the past, retailers secured customer loyalty by offering convenient locations, unique assortments of goods, better services than competitors, and good credit policy. All this has changed. Goods assortments among stores have become more alike as national-brand manufacturers place their goods in more and more retail stores. Service differentiation also has eroded. Many department stores have trimmed services, and many discount stores have increased theirs. Customers have become smarter shoppers. They don't pay more for identical brands, especially when service differences have diminished. In the face of increased competition from discount storess and specialty stores, department stores are waging a comeback war. Growth of intertype competition, competition between store-based and non-store-based retailing and growing investment in technology are changing the way consumers shop and retailers sell. Different types of stores-discount stores, catalog showrooms, department stores-all compete for the same consumers by carrying the same type of merchandise. The biggest winners are retailers that have helped shoppers to be economically cautious, simplified their increasingly busy and complicated lives, and provided an emotional connection. The growth of e-retailers has forced traditional brick-and-mortar retailers to respond. Basically brick-and-mortar retailers utilize their natural advantages, such as products that shoppers can actually see, touch, and test, real-life customer service, and no delivery lag time for small-sized purchases. They also provide a shopping experience as a strong differentiator. They are adopting practices as calling each shopper a "guest". The store atmosphere should match the basic motivations of the shopper. If target consumers are more likely to be in a task-oriented and functional mindset, then a simpler, more restrained in-store environment may be better. Consistent with this reasoning, some retailers of experiential products are creating in-store entertainment to attract customers who want fun and excitement. The retail experience must deliver value to turn a one-time visitor into a loyal customer. Retailers need a tool that measures the full range of components that define experience-based value. This study uses an experiential value scale(EVS) developed by Mathwick, Malhotra and Rigdon(2001) which reflects the benefits derived from perceptions of playfulness, aesthetics, customer "return on investment" and service excellence. EVS is useful to predict differences in shopping preferences and patronage behavior of customers. EVS consists of items measuring efficiency, economic value, visual appeal, entertainment value, service excellence, escapism, and intrinsic enjoyment, which are subscales of experiencial value. Efficiency, economic value, service excellence are linked to the utilitarian shopping value. And visual appeal, entertainment value, escapism and intrinsic enjoyment are linked to hedonic shopping value. It has been found that consumers value hedonic experiences activated from escapism and attractiveness of shopping environment as much as the product quality, price, and the convenient location. As a result, many department stores, discount stores, and other retailers are introducing differential marketing strategy based on emotional/hedonic values. Many researches suggest that consumers go shopping not only for buying products but also for various shopping experiences. In other words, they seek the practical, rational value as well as social, recreational values in the shopping process(Babin et al, 1994; Bloch et al, 1994). Retailers may enhance buyer's loyalty to store by providing excellent emotional/hedonic value such as the excitement from shopping, not just the practical value of buying good products efficiently. We investigate the effect of perceived shopping values on the emotional experience and store loyalty based on the EVS(Experiential Value Scales) developed by Holbrook(1994), Mathwick, Malhotra and Rigdon(2001). This study assumes that the relative effect of shopping value dimensions on the responses of shoppers will differ according to types of stores and analyzes the moderating effect of store type(department store VS. discount store) on the causal relationship between shopping value dimensions and store loyalty. Emprical results show that utilitarian values of shopping experience and hedonic value of shipping experience give the positive effect on the emotional response of consumers and store loyalty. We also found the moderating effect of store types. The effect of utilitarian shopping values on the attitude toward discount store is higher than the effect of utilitarian shopping values on the attitude toword department store. And the effect of hedonic shopping value on the emotional response to discount store is higher than on the emotional response to department store. The empirical results reflect on the recent trend that discount stores try to fulfill the hedonic needs of consumers as well as utilitarian needs(i.e, low price) that discount stores traditionally have focused on

• Journal of Distribution Science
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• v.13 no.10
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• pp.83-91
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• 2015

Purpose - The purpose of this study is to identify whether the operation of cultural centers in discount stores contributes to their profitability. Thus, this study is aimed at exploring how the lifestyles of customers who use the cultural centers influence their intention to use the discount stores. Specifically, the effect of shopping value on the correlation between the lifestyle types and usage intention of the customers were examined through a structured research model. To verify the effect, a survey on 139 customers of the Cultural Center of Nonghyup Hanaro Club's S branch was conducted and the valid questionnaires were used for analysis. Research design, data, and methodology - The findings are as follows. First, the lifestyles seeking self-realization had a positive effect on utilitarian value, and lifestyles seeking pop cultures had a positive effect on hedonic value. Second, the mediating effect of shopping value on the correlation between the lifestyle types and usage intention of the customers is as follows. Utilitarian value had a mediating effect only on the lifestyles seeking self-realization. In case of lifestyles seeking pop cultures, the use of Cultural Center had no effect on the intention to use the discount store. Third, an analysis of a revised research model revealed that the store usage intention of lifestyles seeking pop cultures can be enhanced by boosting the utilitarian value through hedonic value. Results - The findings suggest the following. Customers with lifestyles seeking self-realization, who value what is beneficial to them with little attention to the perceptions of others, are highly interested in the benefits they can gain from shopping. As for customers with lifestyles seeking pop cultures, they are highly likely to consume products popular in a particular culture such as new products and sports, based on financial stability they pursue. Thus, they prefer more subjective, personal experience, unlike consumers pursuing utilitarian value. Conclusions - As a result, the former pursues hedonic value gained in the process of shopping with fun and joy, rather than doing shopping with a particular purpose in mind. Therefore, Cultural Centers need to offer information that fits the lifestyles of the users so that they are more likely to use the discount stores. However, if the Cultural Centers offer unified, profit-driven products and information, just to increase their store sales, it can backfire, which occurred in the past. On the other hand, if they provide information that fits the lifestyles of the users, it can actually increase the sales. Also, the findings suggest that sophisticated marketing strategies that can boost the hedonic value of customers by linking the educational contents of Cultural Centers to actual shopping, which is beneficial to consumers, should be set and operated by discount stores. In particular, customers with lifestyles seeking self-realization can be encouraged to use the stores by making them recognize the utilitarian value. However, the use of Cultural Centers doesn't necessarily lead to higher sales among customers with lifestyles seeking pop cultures. As mentioned previously, unified marketing strategy is not as effective for Cultural Centers of large discount stores.

• International Commerce and Information Review
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• v.14 no.4
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• pp.109-130
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• 2012

In recent years, the volume of global fair trade has been increased rapidly. As the quality of life improves, consumers are increasingly concerned about fairness and environment and show positive attitudes toward ethical products. Fair trade is a social movement that aims to set fair prices for products, alleviate poverty, and assist producers marginalized by the traditional economic model. The study attempt to investigate empirically fair trade products purchase intention, so consumers attitude toward fair trade product purchase, normative belief, fairness restoration expectation, ethical responsibility are defined and their impacts on the purchase intention were analyzed. The statistical method used to test the hypotheses was multi-regression using SPSS 18 for window. The results of this study are follows. Purchase attitudes toward fair trade products and ethical responsibility had a significant effect on the purchase intention. The Effectiveness of the ethical responsibility had greater than that of the purchase attitudes. The result of the empirical study provides important implications for the fair trade related organizations and businesses.

• Journal of Intelligence and Information Systems
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• v.16 no.2
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• pp.109-128
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• 2010

The purpose of our research is to figure out the 'non-financial value' of consumers applying networks amongst consumer groups, the data-based marketing strategy to the analysis and delve into the ways for enhancing effectives in marketing activities by adapting the value to the marketing. To verify the authenticity of the points, we did the empirical test on the consumer group using 'the Essence Cosmetics Products' of high involvement that is deeply affected by consumer perceptions and the word-of-mouth activities. 1) The empirical analysis reveals the following features. First, the segmented market for 'Essence Consumer' is composed of several independent networks, each network shows to have the consumers that is high degree centrality and closeness centrality. Second, the result proves the authenticity of the non-financial value for boosting corporate profits by the high degree centrality and closeness centrality consumer's word-of-mouth activities. Lastly, we verify that there lies a difference in the network structure of 'Essence Cosmetics Market'per each product origin(domestic, foreign) and demographic characteristics. It does, therefore, indicate the need to consider the features applying mutually complementary for the network targeting.

• Journal of Service Research and Studies
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• v.13 no.2
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• pp.161-180
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• 2023

This study empirically analyzed the effect of perceived injustice on service recovery measures proposed by online food delivery service (OFDS) companies on consumer disappointment. This study adopted interaction justice, information justice, procedural justice, and distributive justice as sub-variables of justice perception based on the justice theory. In addition, the differences by generation (MZ generation and other generations) were examined in the relationship between negative word-of-mouth behavior and switching intentions due to service recovery failure. An online survey was conducted targeting 250 adult consumers in the U.S for the empirical analysis of this research model. The results of the data analysis demonstrated that negative perceptions about the procedural justice and distributive justice among the service recovery strategies had a positive effect upon the consumer's disappointment. Furthermore, it was confirmed that the consumer's disappointment due to the perceived injustice of the service recovery strategy had a positive effect on the consumer's negative word-of-mouth behavior and switching intentions. The verification results of the moderation effect in the relationship between negative word-of-mouth behavior and switching intention, it was found that the younger the age(MZ generation), the higher the possibility of causing dysfunctional behavior. This study expands the scope of related research by presenting a new perspective on the justice perception in the service recovery process by verifying dysfunctional behavior of consumers caused due to the failure of the service recovery strategy. It is believed that the results of this study will be used as basic data for the establishment of practical strategies for OFDS companies to prevent double defection of their customers.

• Journal of Global Scholars of Marketing Science
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• v.15 no.2
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• pp.1-25
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• 2005

Unlike the traditional bricks-and-mortar marketplace, the online environment includes several distinct factors that influence Web site trust. As consumers become more savvy about the Internet, the author contends they will insist on doing business with web companies they trust. This study examines 1) how Web site trust is affected by the following web purchase-related factors: security, privacy, brand name, word-of-mouth, good online experience, and quality of information, and 2) how it influences outcomes. Unlike Urban and colleagues' study (2000), the author argues that not all e-trust bUilding programs guarantee success in building Web site trust. In addition to the mechanism depending on a program, building e-brand trust requires a systematic relationship between a consumer and a particular web site. The findings show that Web site trust does not build one or two components but are established by the interrelationships of complex components. By carefully investigating these variables in formulating marketing strategies, marketers can cultivate brand loyalty and gain a formidable competitive edge.

• Journal of the Korean Society of Clothing and Textiles
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• v.37 no.2
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• pp.159-173
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• 2013

This research investigates the mechanism of ethical fashion consumption by examining the effects of benefit and risk perception on ethical fashion consumption attitudes and behavioral intention. To test the hypotheses, 300 female consumers between the ages of 20 and 49 were invited as study participants. The reliability and the validity of multi-item constructs were tested by Confirmatory Factor Analysis. The hypotheses were tested by utilizing Structural Equation Analysis and hierarchical multiple regression analysis. The benefit perception of ethical consumption was composed of three benefit types, which were altruistic benefit, social image benefit, and self-oriented benefit. Benefit perception, except social image benefit, had significant effects on consumer attitudes towards ethical fashion consumption; similarly, benefit perception had significant effects on behavioral intention (except self-oriented benefit) which had an effect on behavioral intention only when it was mediated by attitudes. Further analysis was conducted to understand the reason for the weak relationship between attitudes and behavioral intention. Financial and performance risk perceptions were tested for the moderating roles of attitudes and behavioral intention; subsequently, only financial risk interacted with attitudes and showed that the positive effects of attitudes on behavioral intention were weakened by a high financial risk perception. Performance risk had a main effect on behavioral intention independent of attitudes. Managerial implication and future study directions are also discussed.

• Journal of the Korean Home Economics Association
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• v.47 no.6
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• pp.11-20
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• 2009

The purpose of this study was to investigate the perception and utilization of salted seafood in Korean women. We also asked them about their opinions on how to increase the production range of popular salted seafood. Data were collected from 1,137 women and were analyzed with SAS 9.1 program. Women aged between 40 and 59 had higher positive perception of salted seafood than women aged between 20 and 39. The older age group (i.e. 40 to 59) believed that the production of salted seafood, such as like as Kimchi and soy sauce, should be globalized because of their taste and nutritional value. However, the younger age group (i.e. 20 to 39) had negative perceptions of salted seafood because of their unhygienic production and excess amount of salt. Women aged 50 and over used salted seafood frequently as a side dish or seasoning to make Kimchi, stew, or soup. The younger age group preferred to purchase a small package (200g or less) of salted seafoods from the grocery store instead of preparing it themselves. When purchasing salted seafood, they considered the taste, manufacturer, and expiration date. Finally, all interviewees agreed on the importance of salted seafood as part of traditional Korean cuisine, and wanted to see further local development. However, manufacturing and packaging processes need to be standardized, and hygiene and nutritional contents should be improved in order to achieve good quality local production. To succeed and develop high quality salted seafood, younger consumers need to be enticed with better nutritional value, taste, and hygienic production. Furthermore, the production range of popular salted seafood needs to be expanded beyond Kimchi and Soy Sauce. Hence new recipes are needed.

• Journal of Korean Society for Quality Management
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• v.41 no.4
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• pp.683-692
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• 2013

Purpose: Car seats affect customer satisfaction greatly when the seats' design is changed because car holders are in close contact with the seats. However, the improvement of the current seats' design involves risks such as investment cost, and therefore it needs strategic operating measures from the perspective of customers. Until now, operations of seats' specification have been decided by technical-push rather than market-pull, and carried out based on professionals' experience without measuring customer satisfaction correctly. The purpose of this study is to present a systematic approach to measure customers' perception on the car seats using the Kano model and pairwise comparison technique. Methods: The authors derive 17 major functions of a car seat by analyzing major components of car seats, and conduct a survey of 141 adults who hold a car(s). Results: The results show that consumers perceive the adjustable functions of front seats as must-be while the same functions for rear seats are perceived as attractive. In particular, motor operated functions for both front and rear seats increase customer satisfaction greatly if they are presented. Conclusion: This study shows that how much customer (dis)satisfaction will increase if a function of car seats (non)fulfilled, and therefore, the results of this study will provide practitioners and R&D personnel in new automobile seats development projects with useful information.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.8 no.4
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• pp.25-35
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• 2013

The main objective of this study is to investigate the structural relation between antecedents and consequences of web sites' trust of venture company. It examines consumer perceptions trust in a web site and address following research questions; what factors influence consumer trust in a web site and what specific web site cues are associated with trust, satisfaction, and intention? We test our hypothesis in a empirical data from 123 consumers across 3 web sites of venture companies. By factor analysis, the results show that web site characteristics are such as design, business function, interface, technology, community, and contents of each web site. We also find that web site characteristics such as design, interface, technology, and community can influence significantly satisfaction of web site, and design and contents of web site can influence consumer's trust. And the results show that trust influence behavioral intention through the satisfaction. The results offer important implication for web site strategies of venture company that include the manipulation of factors influencing web site trust. And the future directions of the present research are discussed.