• Journal of Korea Trade
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• v.26 no.4
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• pp.63-82
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• 2022

Purpose - Drawing on relational institutional theory, we explored how demographic similarity between board members of a firm and newly emerged political elites led to firms' increased financial resource acquisition such as leverage ratio and decreased export intensity amidst the Asian financial crisis. We also studied how a firm's leverage ratio and export intensity can further affect firm profitability and financial credit rating. Design/methodology - We revisited and explored a unique, unprecedented crisis that affected most Korean firms: the Asian financial crisis that coincided with a governmental shift from a conservative to a liberal party. We collected demographic information from 432 listed Korean firms' board members and 43 political elites of the Blue House from 1998-2000 to create a demographic similarity measurement. We collected firms' financial information, built panel data, and used ordinary least squares regression to test our theory. Findings - Our results showed that demographic similarity between a firm's directors and newly emerged politicians had a positive association with a firm's leverage ratio but a negative association with a firm's export intensity. A firm's leverage ratio had a negative relationship with firm performance measured by firm profitability and financial credit rating. A firm's export intensity showed a positive effect on firm performance. Originality/value - We highlighted that during an economic crisis that coincided with a governmental shift and change of leading political actors, firms exerted efforts to survey the environment and build new external stakeholder relationships to cope with the changing landscape. We proposed that in an emerging market like Korea where low levels of trust and favoritism are prevalent across society, one of the relational institutional strategies that firms can employ is the selection of directors with similar demographic characteristics to political elites based on factors including birthplace and school affiliations. We examined the efforts of firms to build political networks with newly empowered political elites during a financial crisis, and the consequences of establishing such networks. We highlighted that during a financial crisis, the demographic similarity between a firm's board members and newly emerged politicians can provide firms with access to financial resources but can also result in poor management and reduced effort to enhance its international competitiveness.

• Journal of Institute of Control, Robotics and Systems
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• v.20 no.10
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• pp.995-1001
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• 2014

In the aftermath of the financial crisis of 2008, while numerous members of the general public lost their homes and jobs, many of the largest banks held responsible for the crisis have been successfully rescued by bailouts. In this paper, through the analysis of income inequality, unemployment, tax cuts, and bailouts, we show that the interests of the general public are different from the interests of politicians and bankers. While the small elite group of politicians and bankers could set the deregulation policies with inordinate power based on full information, most people were ignorant and unconcerned about the policies, and hence did not oppose them. Specifically, we model the credit change in the financial markets of the United States by a finite state machine, and design three local supervisors representing three groups with different interests. It is then shown that the deregulation policies were adopted according to the difference of the supervisors' powers.

• International Journal of Advanced Culture Technology
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• v.10 no.3
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• pp.33-38
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• 2022

Gyeongsangnam-do needed an employment stability response policy to induce re-employment of job seekers who retired due to large-scale unemployment and job instability following the employment crisis, and stable settlement and long-term employment after new employment.This study is to confirm the effective corporate support policy as an employment promotion strategy through new recruitment of the employment crisis in Gyeongsangnam-do. A total of 380 companies in Gyeongsangnam-do were targeted for the survey through online surveys and in-person surveys. As a result of the study, as a measure to improve working conditions through financial support for long-term employment stability, first, support for youth-middle-age asset formation of SME workers is required, and second, support for old-age income guarantee for SME workers was proposed. Third, direct corporate subsidies are continuously needed for job promotion and job stability of Gyeongsangnam-do companies.

• The Journal of the Korea Contents Association
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• v.20 no.3
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• pp.59-72
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• 2020

Previous crisis management research has mainly focused on business organizations' responsibility for crises, and yet research on CEOs in crisis still lacks. This research examined the influences of crisis responsibility and response strategies on attitudes toward a CEO, attitudes toward a corporate, and purchase intentions in the case of CEOs in crisis. In addition, this study explored how a CEO's SNS interactivity during normal times moderates the influences of crisis responsibility and response strategies. A 2(responsibility: high vs. low)X2(strategy: defensive vs. apology)X2(interactivity: high vs. low) experimental design was conducted with 200 Chinese students in Seoul. According to the analysis results from effects of response strategies by CEO's crisis responsibility levels, regardless of the crisis responsibility levels, the apology strategy was more effective than the defensive strategy in terms of CEO attitudes, corporate attitudes, and purchasing intentions. The analysis results about the moderating role of SNS interactivity during normal times show that under the CEO's high responsibility condition, keeping high SNS interactivity during normal times and using the apology after crisis brought out most favorable responses. Under the CEO's low responsibility condition, regardless of the SNS interactivity levels, the apology strategy brought out more favorable responses than the defensive strategy.

• Journal of the Korean Society of Costume
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• v.60 no.8
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• pp.151-167
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• 2010

This research is to analyze ethics in fashion design for more valuable and sustainable human life against the increasing alienation of the human being, the global ecological crisis resulted from contemporary consumption society. I expect that it can be helpful to plan ethical fashion design practice more effectively. For this, the documentary study and practical case study have been executed. The results are as follows. The ethics in design can be defined as the responsibility to reform the social, environmental problem of consumptive design, to sustain together without human alienation, environment disruption and to do social good for total human being ultimately. The ethical design practice means to suggest solutions to problems of human rights and environment and to act willingly. Based on this, ethical fashion design appeared as responsible design solution which has two directions. One is the fashion design for coexistence and sharing, including the design for all which considers even underprivileged minority, the design to promote public issues as well as to donate some profits. The other is the eco fashion design for sustainable environment, including eco-friendly design which is reductive and slow in whole design process, the design to inform the seriousness of environmental crisis as well as to donate some profits. The last one of the most important ethical responsibility as fashion designer is to abide by vocational ethics, that is, the prohibition of design piracy.

• The Journal of Industrial Distribution & Business
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• v.9 no.1
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• pp.25-38
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• 2018

Purpose - The purpose of this study is to empirically investigate the impact of donor's fiscal status on aid decisions before and after the 2008 global financial crisis. The effects on aid can change depending on the donor country's fiscal status and the period of financial crisis. Research design, data, and methodology - A fixed effect regression and dynamic panel GMM is conducted using a comprehensive dataset combining 31 donor and 167 recipient countries during 1996-2015. The key explanatory variable is central government debt-to-GDP ratio of donor country. Recipient countries' GNI per capita, population, governance indicators, and bilateral trade-to-GDP ratio between donor and recipient countries are included as control variables. Results - We can confirm the relationship between donor country's fiscal status and aid flow. The cyclical component of government debt is found to have a negative impact on grant decisions particularly after the 2008 global financial crisis. This effect becomes larger in the countries with high government debt-to-GDP ratio. ODA decisions from the countries with low financial constraint do not significantly affected by the recipient countries' factors such as GNI, population, and governance indicator. Conclusions - Based on the empirical results of this study, the source of aid should be diversified by incorporating private sector and innovative financing sources.

• The Journal of Industrial Distribution & Business
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• v.12 no.12
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• pp.25-33
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• 2021

Purpose: This paper estimates the impact of the epidemic crisis on election outcomes through investigating the effect of Covid19 crisis on election results of 21st General Election held in April 15th 2020 in Korea. Research design, data and methodology: This study employs Ordinary Least Square (OLS) method using district-level data from Seoul and Gyeonggi province available at National election data in Korea. Results: Despite the current crisis in Korea, Covid-19 has had positive effects on voter turnout on average, after controlling for other factors. On the other hand, the effect of Covid-19 on the voter turnout was negative in districts with a larger aging population and higher health insurance premiums. In addition, Covid-19 negatively impacted vote shares for the incumbent party, while its rival party saw gains in their votes. Conclusion: The effect of Covid-19 election outcomes in Korea is distinct from other countries due to the nationwide acknowledgment of the Korean government's achievement in managing the epidemic. This implies that the crisis management ability of a government is crucial in gaining support for an incumbent party in future elections. Countries facing upcoming elections need to implement acceptable Covid-19 restriction policies as well as economic support for compensation to reap similar benefits.

• Journal of Korea Trade
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• v.25 no.6
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• pp.34-56
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• 2021

Purpose - This study presents strategies to overcome the COVID-19-induced crisis in Korea's meetings, incentives, conferences, and exhibitions (MICE) industry. It aims to quantitatively identify the environmental factors affecting the industry and their degree of influence, and derive optimal countermeasures. Design/methodology - The study applied the SWOT-AHP-TOWS framework. An AHP analysis was first performed within the SWOT frame, and then a TOWS analysis was conducted using the results of the SWOT-AHP analysis. In the AHP analysis, the number of pairwise comparison questions was limited to four for each SWOT factor to increase the consistency of responses by reducing the burden on respondents. Findings - The plunge in demand (threats factor) has had an overwhelming impact on the MICE industry, more than any other environmental factor. To overcome the crisis, the ST alternative that takes advantage of dynamic pop culture to minimize the business damage caused by the plunge in demand was the top priority measure. Based on the results, this study presents suggestions for overcoming the crisis in the MICE industry. First, the industry should develop profitable business models to supplement scarce financial resources by exploiting Korea's success with quarantine management. Second, the government must provide emergency relief funds or bailout support to protect MICE facilities and employees. Originality/value - Unlike previous work on the MICE industry, this study utilized the SWOT-AHPTOWS framework to derive quick research results in an abnormal situation. This approach can be expanded to other countries with different industrial environments and situations. Additionally, when applying this method to MICE sub-sectors, countermeasures should be tailored to each field.

• Journal of Korea Society of Industrial Information Systems
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• v.23 no.2
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• pp.93-107
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• 2018

The Purpose of This Study is to Investigate Consumers' Negative WOMs due to the Crisis Response Strategy that Companies Perform in Crisis Situations due to the Failure of New Products. To do This, the Crisis Scenarios and Response Strategies were Manipulated Using a Virtual Laptop Company, and then an Experiment was Performed. The Results of This Experimental Design are as Follows. First, According to The Response Type Strategies, It is Found that Apologizing rather than Denying for the Crisis Response Mitigates the Negative WOMs more. Second, It is Found that the Companies that have Engaged in Cause-Related Marketing Activities before the Crisis Caused by New Product Failure Mitigate Consumers' Negative WOMs more than those which have not. Third, It is Shown that the Message Strategy of the Firm does not Affect Consumers' Negative WOMs. Fourth, the Interaction between the Response Type Strategy and the Cause-Related Marketing Activities are Found to Exist, but the Interaction Between The Response Type Strategy and the Message Strategy does not Appear.

• The Journal of Industrial Distribution & Business
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• v.12 no.7
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• pp.27-39
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• 2021

Purpose: The researchers reviewed the previous studies on the psychological anxiety and economic damage during the recent COVID-19 pandemic to understand the satisfaction, awareness and attitude of the residents in Jeju, Korea. Research design, data and methodology: 215 samples based on self-reported survey were collected for path analysis focused on controlling variables in demographic characteristics in PLS-SEM using Smart PLS 3.0. Results: The researchers found the Satisfaction with COVID-19 Prevention Measures and the Awareness of Tourism Crisis affect Attitude toward Tourism of the residents with the explanatory power (R² = 0.209). Age was found to be the only significant controlling variable in this model for the Awareness of Tourism Crisis to Attitude toward Tourism. Conclusions: The attitude toward tourism is influenced by the level of satisfaction of the prevention service for COVID-19 as well as the awareness of the crisis. Residents have different level of the tourism crisis awareness by the status of their economic activities while there is no differences in all age groups for satisfaction in the quarantine service. The study suggests that the importance of the public health service should be preferentially concerned for residents to have stable economic activities where the tourism is the major industry.