• 한국유기농업학회지
• /
• 제32권1호
• /
• pp.25-37
• /
• 2024

This study is to apply behavioral economics-an economics that studies actual human behavior based on cognitive psychology-to the farming decision-making process of onion and garlic farmers. Of behavioral economic theories, dual system theory and prospect theory (value function), heuristic and bias were surveyed and examined in the field. The reference point of farmers was farming experience of the previous year, and so they showed reference dependence and anchoring heuristic, not rational thinking on production cost plan. And they showed status quo bias that cultivated continuously the previous year or the present crop. This status quo bias is related to loss aversion propensity. Farmers did not usually change cultivating crops, in other words, they showed diminishing sensitivity-insensitive to those that the more revenue or loss was increased. This diminishing sensitivity is related to loss aversion propensity and status quo bias. Also, farmers had representativeness heuristic because they regarded auction price of Garakdong wholesale market as the standard price level despite various prices by production region. And farmers had the affect heuristic that they depended on producers' organization data more than the state-run research institute ones about cultivation intentions and actual situations.

• 한국정보시스템학회지:정보시스템연구
• /
• 제27권2호
• /
• pp.221-245
• /
• 2018

Purpose This study aims to investigate the factors that influence switching intention of Smart Appliances. We focuses on Push-Pull-Mooring theory and status quo bias as factors related to switching behavior. Design/methodology/approach This study developed an model to explain the switching intention of Smart Appliances and conducted structural equation modeling with AMOS22.0. To test the proposed hypotheses, we collected 319 survey responses from smart appliances's users. Findings The results indicated that low usefulness and low ease of use had an effect on the switching intention of smart appliances. The results also indicated that attractiveness of the alternative and social norms had an effect on the switching intention of smart appliances. Lastly, The difference between the relation of push effect and switching intention and the relation of pull effect and switching intention was found to be due to the level of status quo bias. The academic and managerial implications were discussed based on the results of empirical analysis.

• 한국정보시스템학회지:정보시스템연구
• /
• 제24권3호
• /
• pp.75-94
• /
• 2015

Purpose While new versions of mobile applications could offer users better computing environment, users are not always comfortable with them for various reasons. Considering making update decisions is important task for users, it is crucial for us to understand users' behavior and attitude on app updates. The purpose of this study is to explain why mobile users succumb to both reactance toward the update and satisfaction to the current version, ultimately leading them to feel the regret by employing three theoretical perspectives including regret theory, status quo bias theory and the dual model. Design/methodology/approach Survey data collected from 204 mobile users was used to test the research model using partial least squares analysis. The results have shown that both reactance toward the update and satisfaction to the current version have negative impacts on individuals' decisions to update, which leading to their regret after updating the applications Findings By integrating both status quo bias and regret theory in the model, this study tried to explain why mobile users feel regret in application update settings. More specifically, this study has proposed a novel framework that introduces an individual's update decision on mobile applications.

• 한국정보시스템학회지:정보시스템연구
• /
• 제27권1호
• /
• pp.133-151
• /
• 2018

Purpose Global fintech industry is proliferating. Although domestic investment in fintech service is also increasing fast, user acceptance of fintech payment service seems slower than expected. Previous fintech literature mainly focuses on overall characteristics and technical aspects of fintech including security issues and explores factors affecting the service adoption. This study aims to examine crucial factors affecting user's resistance intention to fintech payment service adoption. The research model was formulated based on innovation diffusion theory and status quo bias theory and validated empirically. Design/methodology/approach The proposed research model was empirically validated with 149 responses from college students who have used fintech payment service. The component-based SEM was employed for data analysis. Findings The significant findings are as follow. First, compatibility has significant negative effect and complexity, and perceived risk has a positive effect on user resistance. Second, institutional trust does not show a significant effect on user resistance but has an indirect effect through the mediation of trust in service provider. Finally, trust in service provider shows the significant negative effect on user resistance.

• 한국경영정보학회:학술대회논문집
• /
• 한국경영정보학회 2007년도 International Conference
• /
• pp.539-544
• /
• 2007

People tend to resist changing their software even alternatives are better then the current one. This study examines the resistance to change in the use of software from the switching costs perspective based on status quo bias theory. For this study, we select Web Browsers as software. Based on the classification of switching costs into three groups (psychological, procedural, and loss), this study identifies six types of switching costs (uncertainty, commitment, learning, setup, lost performance, and sunk costs). This study tests the effects of six switching costs on user resistance to change based on the survey of 204 web browser users. The results indicate that lost performance costs and emotional costs have significant effects on user resistance to change. This research contributes towards understanding of switching costs and the effects on user resistance to change. This study also offers suggestions to software vendors for retaining their users and to organizations for managing user resistance in switching and adopting software.

• 한국정보시스템학회지:정보시스템연구
• /
• 제24권2호
• /
• pp.189-208
• /
• 2015

Purpose While individuals have unique abilities for planned behavior, they also often act irrationally. In this study, we draw on myopic loss aversion perspective as a meta-theoretical lens to explain why mobile applications users have inertia from updating their applications, ultimately leading them to use current version of applications. Design/methodology/approach Based on a survey of 219 users, this study conducts its research model using partial least square analysis and also demonstrates that both subconscious triggers (habit and anxiety) of system 1 thinking and conscious triggers (sunk cost and transition cost) of system 2 thinking promotes user's inertia, thus leading to the willness to continue use current versions. Findings By grounding the research model in the combination of both status quo bias and dual information processing theory from the behavioral economics, this study provide an alternative theoretical lens to describe why mobile users hesitate to update their applications. The results of this research show that all triggers have significant impacts on inertia. This study also found that the relationship between inertia and willingness to continue to use current version was positively significant.

• 아태비즈니스연구
• /
• 제12권4호
• /
• pp.313-329
• /
• 2021

Purpose - Digital trade, which started in the early 2000s, is showing a sharp increase due to the recent pandemic. However, despite this proliferation, users' acceptance of innovation is very slow. Cloud services are at the center of digital trade activation. This study aims to contribute to the spread of digital trade through empirical analysis of the resistance factors that hinder the use of cloud service-based digital trade using the innovation resistance theory and the status quo bias theory. Design/Methodology/Approach - In order to achieve the research purpose, this study was conducted with 171 entrepreneurs using cloud service-based digital trade. Structural equation model(SEM) was used through empirical analysis. Findings - As a result of the study, it was found that the complexity of technology, perceived risk, compatibility, and trust in service providers had a significant effect on innovation resistance, and policy trust did not affect innovation resistance. Also, security concerns and institutional trust were analyzed to have a significant effect on the trust of service providers. Research Implications - This study is meaningful to help the rapid diffusion of innovative technologies through empirical analysis of factors that lower the intention to accept cloud service-based digital trade.

• Journal of Korea Trade
• /
• 제25권5호
• /
• pp.39-57
• /
• 2021

Purpose - This research uses ocean marine insurance (OMI) statistics, international emails, focus-group interviews, and surveys to fill the gap between the theory of behavioral insurance, particularly status quo bias (SQB), and the practice of OMI in Korea. The contractual forms of OMI, the oldest and most globalized form of commercial insurance, were developed in the UK as the Institute Cargo Clauses in 1906 and revised in 1963, 1982, and 2009. SQB has been academically explored, mostly in health insurance and the financial services sector, but never in OMI. Thanks to the availability of OMI statistics in Korea, we can conduct SQB research here for the first time in this field. Design/methodology - We show the existence of SQB in the OMI of Korea through Korean statistics between 2009 and 2018, email correspondence with experts in the UK, Germany, and Japan, focus-group interviews with Korean OMI underwriters, an in-depth interview with one underwriter, and a survey of 15 OMI insureds (company representatives). Findings - We find that Korean foreign traders rely on the old-type OMI contracts developed in 1963, whereas other industrialized countries use the newest type of OMI contract developed in 2009. With a simple loss ratio analysis during 2009-2018, we show that the behavior of insurers has little to do with rational profit maximization and is instead driven by irrational bias, as they forgo the more profitable contracts provided by the new clauses by keeping the old clauses. The consistent addiction to old types of contracts in the OMI market suggests strong SQB among Korean exporters, importers, bankers, or insurers, which we confirmed in our interviews and survey. Originality/value - This research has significant originality and academic value because it reports new findings with crucial implications for the development of efficient trade practices and policy. First, this research is based on actual statistics that have not been used in previous Korean research on OMI. Second, this research shows that all-risk OMI policies provide more value to insureds, in terms of coverage given premium, than partial coverage policies, which differs from arguments previously made in Korea. Third, this research reveals strong SQB in Korea, where foreign trade plays a pivotal role in economic growth. That bias could be attributable to uninformed traders, informed but idle insurers, or conservative bankers. Fourth, to further develop foreign trade, policy initiatives are needed to review the current practices of OMI contracts and move forward with the new contract forms. All of these findings and arguments are both new and important.