• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.13 no.6
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• pp.1-14
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• 2018

As interest and consumption of luxury goods have become more popular, luxury goods market is growing rapidly. Consumers can acquire psychological satisfaction with material abundance by purchasing and using luxury goods. Also, from the view of corporations, luxury goods have price inelastic characteristics, so they can enjoy price premium and it is good to produce good performance. That is the reason why they should pay much attention to securing luxuriousness. This study examined the establishment of brands luxuriousness in Korean SMEs. First, it examined the world market of luxury goods industry and the present condition of Korean market. Then it identified the constituents of luxuriousness by examining the prior studies and related literatures, and designed a research model based on the theoretical grounds to suggest the methods of brand luxuriousness building of Korean SMEs. Luxuriousness can be defined as the attribute of product that distinguishes luxury goods from other products by consumers' perceptions, and the factor that provides situational benefits that motivate consumers' purchasing behavior. In this study, I identified the sub-dimensions of luxuriousness according to whether there are product related attributes and consumers' benefit in consideration of the problems of existing studies. Product related luxuriousness are classified into superiority(functional benefit) and scarcity(experiential benefit), while non-product related luxuriousness are classified into differentiation(symbolic benefit) and traditionality(exclusive benefit). The following are the ways to build brand luxuriousness. First, company can use product factors. High quality, excellent design, high recognized brand with strong, favorable and unique images can enhance the luxuriousness of brand. Second, company can use price factors. Consumers tend to perceive luxury goods as high-priced items, so lowering the price of product can undermine the luxuriousness of product. Third, company can use distribution factors. It is effective for making consumers to perceive the differentiation and scarcity of luxuriousness through limited distribution channel. In addition, store atmosphere suitable for luxury brands should be created. Fourth, company can use promotion factors. The more consumers are exposed to advertisements, the more positive attitudes toward luxury brands are made, and consumers recognize luxuriousness higher. Price promotion negatively affects consumers' perception of luxuriousness. Fifth, company can use corporate factors. Consumer evaluations of products are influenced not only by the product attributes but also by the corporate association and corporate image surrounding the product. Considering the existing researches, it is possible to enhance the brand luxuriousness through high corporate competence and good corporate reputation. In order to increase the competence of the enterprise, it is useful to approach multidimensionally in relation with the knowledge creation capability. In corporate reputation, the external stakeholders' reputation is important, but the internal members' reputation is also important. Korean SMEs will be able to build brand luxuriousness by establishing marketing strategies as above and/or mix(integrate) them according to the situation.

• The Journal of the Korea Contents Association
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• v.14 no.10
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• pp.741-753
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• 2014

The objective of the study is to explore how to influence SNS's characteristics on attitude formation toward jewelry product and online shopping mall. SNS's characteristics are contextuality, responsiveness, social presence, and interaction as independent variables. Consumer satisfaction, worth of mouth and purchase intention are considered as dependent variables. Data were collected from a survey of 317 consumers who have experience to purchase jewelry product to examine their attitude toward SNSs, jewelry product, and online shopping mall from November 1 to November 15 2013. In order to test hypotheses, CFA analysis with covariance structure analysis was conducted using EQS6b. SNS's users have a tendency to perceive SNSs as bridge to connect other people and to get new information as well as they are willing to feel familiarity on SNSs. Users, who have a higher contextuality, responsiveness, social presence, and interaction of SNS's characteristics, are willing to have word of mouth intention of jewelry product as well as have high satisfaction. The study found that interaction is not effect on consumer satisfaction because interaction factor is to evaluate SNSs as one of the media.

• Information Systems Review
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• v.11 no.1
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• pp.19-47
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• 2009

Many products today tend to adopt a convergence approach by adding new features or functionalities to the existing products. The convergence, however, results in both positive and negative effects on usage of products, and thus demonstrates the characteristics called "paradox of technology." On the one hand, the added functionalities or features will increase the usefulness of the products. On the other hand, the convergence increases complexity of learning and usage of products and may decrease satisfaction or user evaluations. This study provides an empirical evidence of this paradox through investigation of telematics, one of the exemplary products of convergence services. Our research model is designed to test the existence of the "paradox of technology" and includes variables such as variety of functions, complexity of usage, perceived usefulness, service evaluation, and service fit. The proposed research model and subsequent hypotheses are empirically tested using 149 survey responses from telematics users. We have found that the variety of functions is positively associated with perceived usefulness, but is negatively associated with the complexity of usage. The data analysis reveals that the perceived usefulness has more significant impacts on service evaluation than the complexity of usage does. Furthermore, the strength of causal relationships among these variables is partially moderated by the degree of service fit. This study thus highlights the paradox of technology in explaining user attitudes and beliefs associated with convergence services.

• Journal of Service Research and Studies
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• v.13 no.3
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• pp.127-146
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• 2023

Recently, digital advertising has shifted towards delivering messages through short ads of less than 15 seconds, and on social media, ads need to convey the message within 5 seconds before consumers skip them. Although the length of advertisements has decreased, advancements in artificial intelligence algorithms and big data analysis have made it possible to deliver personalized messages that cater to consumers' interests. In this changing landscape, the importance of delivering tailored messages through short and efficient ads is increasing. In this study, we examined the effects of message framing as part of effective message delivery. Specifically, we examined the differences in the effects of two framings, "health" and "environment," for vegan products. The growing consumer interest in health and the environment has elevated the interest in vegan products, and the vegan market is expanding rapidly. Consumers purchase vegan products not only for personal health benefits but also due to their ethical responsibility towards the environment, which can be considered ethical consumption. Previous research has not shown the differences in the effects between health and environment message framings, and the research has been limited to vegan food products. This study investigates the differences in the effects of health and environment message framings using a dish soap product category. By identifying which advertising messages, either health or environment, are more effective in promoting vegan products, this study provides insights for companies to enhance their message framing strategies effectively.

• Science of Emotion and Sensibility
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• v.18 no.4
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• pp.87-98
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• 2015

As SPA brands are growing in Korean apparel markets, they are extending their well-established brands into new markets (i.e., SPA brand extensions). To investigate psychological mechanism underlying SPA brand extensions, this study conceptually proposed such consumer information processing of SPA brand extensions as (1) perception of similarity between SPA brand extensions and their original brands and (2) evaluations on the SPA brand extensions (i.e., attitude and purchase intent). For hypothetical SPA brand extensions (high, moderate and low similarity conditions), perceived similarity was measured by using a eye-tracker and evaluations were assessed by using a self-reported questionnaire. The results reveal that the amount of external information searching for SPA brand extensions was larger in the following order: moderate, low and high similarity conditions. The depth of SPA brand information processing was also deeper in the same order. Evaluations on SPA brand extensions were higher in high and moderate similarity conditions than in low similarity condition. The findings suggest that the evaluations are affected by perceived similarity and the amount of cognitive efforts in processing SPA brand extensions.

• Journal of Global Scholars of Marketing Science
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• v.17 no.3
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• pp.61-81
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• 2007

Recently, use of foreign models and foreign language in advertising is a general trend in Korea even though the effect has not been well-known..Most of the previous research shows rather an opposite effect claiming marketing communication is more effective when higher congruity between marketing communication and consumer's cultural values are achieved. However, the introduction of global culture due to the expansion of new media such as Internet or cable television makes the congruity not the best choice of marketing strategy. In addition, use of highly attractive models in advertising to increase the effect of advertising is general. However, recent studies show that targeted women audience tend to compare themselves to the highly attractive models and do experience negative sentiment. Bower (2001) proved the difference between 'comparer' and 'noncomparer' when women face highly attractive models. The results show that a comparer who has an intention to compare highly attractive model (HAM) with herself has a significantly negative effect on model expertise, product argument, product evaluation and buying intention. Therefore, HAM is not always a good choice and model attractiveness plays a role in the processing other cues or changing the advertising effect from result of processing other cues. The purpose of this study is to investigate the effect of the use of foreign language on the advertising response of the audience with regard of the model attractiveness. For the empirical study, the virtual advertising using foreign models (HAM, NAM), brand names and slogans(Korean, English) were used as stimuli. The respondents of each stimulus were 75('HAM-Korean'), 75('NAM-Korean'), 66('HAM-English') and 66 ('NAM-English') respectively. To establish the effect of marketing communication, the attitude for media(AM), the attitude for product(AP), targetedness(TD), overall quality(OQ), and purchase intention(PI) with 7 point likert scale were measured. The manipulation was verified to check the difference between HAM attractiveness assessment (m=3.27) and NAM attractiveness assessment (m=5.12). The mean difference was statiscally significant (p<.05). As a result, all consequences were significantly changed with model attractiveness, and overall quality evaluation(OQ) were significantly changed with language. The interaction effect from model attractiveness and language was significant on attitude toward the product(AP) and purchase intention(PI). To analyze the difference, the mean values and standard deviation of consequences were compared. The result was more positive when model attractiveness was high for all consequences. For language effect, the assessment was more positive when English was used for OQ. Considering model attractiveness and language simultaneously, HAM-Korean was more positive for AP and PI, and NAM-English was more positive for AP and PI. In other words, the interaction effect was confirmed by model attractiveness and language. As mentioned above, use of foreign models and foreign language in advertising was explained by cultural match up hypothesis (Leclerc et al. 1994) which claimed that culture of origin effect. In other words, in advertising, use of same cultural language with the foreign model could make positive assessment for OQ. But this effect was moderated by model attractiveness. When the model attractiveness was low, the use of English makes PI high because of the effect of foreign language which supported the cultural match up hypothesis. When the model attractiveness was low, the use of Korean made AP and PI high because the effect of foreign language was diluted. It was a general notion that the visual cues got processed before (Holbrook and Moore, 1981; Sholl et al, 1995) compared to linguistic cues. Therefore, when consumers were faced HAM, so much perception was already consumed at processing visual cues making their native language of Korean to strongly and positively connected with the advertising concept. On the contrary, when consumers were faced with NAM, less perception was consumed compared to HAM, making English to accompany cultural halo effect which affected more positively. Therefore, when foreign models were employed in advertising, the language must be carefully selected according to the level of model attractiveness.

• Information Systems Review
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• v.22 no.4
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• pp.75-92
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• 2020

As population and generation structures change, more and more customers tend to avoid facing relation due to the development of information technology and spread of smart phones. This phenomenon consists with efficiency and immediacy, which are the consumption patterns of modern customers who are used to information technology, so offline network-oriented distribution companies actively try to switch their sales and services to untact patterns. Recently, untact services are boosted in various fields, but beauty products are not easy to be recommended through untact services due to many options depending on skin types and conditions. There have been many studies on recommendations and development of recommendation systems in the online beauty field, but most of them are the ones that develop recommendation algorithm using survey or social data. In other words, there were not enough studies that classify segments based on user information such as skin types and product preference. Therefore, this study classifies customer segments using machine learning technique K-prototypesalgorithm based on customer information and search log data of mobile application, which is one of untact services in the beauty field, based on which, untact marketing strategy is suggested. This study expands the scope of the previous literature by classifying customer segments using the machine learning technique. This study is practically meaningful in that it classifies customer segments by reflecting new consumption trend of untact service, and based on this, it suggests a specific plan that can be used in untact services of the beauty field.

• The Journal of Society for e-Business Studies
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• v.15 no.2
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• pp.205-217
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• 2010

IPTV Service was launched with great expectation, but it is having difficulty due to the low number of subscribers and contents. In addition, the study of IPTV is still in its infancy and most of previous studies are only focused how IPTV is adopted and spread. In this study, we defined that resistance is the users not tend to accept IPTV service, and analyzed factors affecting resistance which are Innovative characteristics, User characteristics, Service characteristics and proposed implications for IPTV service vitalization. The results that relative advantage, complexity, attitude of an existing product, contents, cost, innovativeness have significant effects on resistance to IPTV.

• The Journal of the Korea Contents Association
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• v.11 no.12
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• pp.220-229
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• 2011

The present research integrates the core aspects of anger with the theory of planned behavior to investigate factors influencing online activism in a Web site. This study conducted online survey, and the sample was members who joined the V4400 Sobi-ja-heem Web site. The Web site Sobi-ja-heem was initiated by a consumer who was irritated at the cell phone manufacturer Samsung Inc. because its model, "Anycall" had major product defects such as the malfunction of the camcorder, poor tone quality, fuzziness of the screen, and broken text messages. The findings suggests that adding anger in Theory of Planned Behavior (TPB) enhances the explanatory power of the theory in predicting an intention to participate in activities to correct the issue, which indicates the possibility of combining emotion and the TPB in the prediction of online activism.

• Asia Marketing Journal
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• v.11 no.3
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• pp.185-203
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• 2009

Yuhan Kimberly, a joint-venture company of Korean Yuhan Company and American Kimberly-Clark, opened a premium diaper market in Korea by launching Pull-Ups which was pants-typed diapers in 1993. Pull-Ups was imported as finished goods from Kimberly-Clark. However, in spite of its huge market share in United States, it failed to land down in Korean market because of wrong positioning strategy which did not consider domestic customers' tastes. In 1996, Yuhan-Kimberly brought out a pants-typed diaper, Huggies-Toddler, to Korean market again. This paved the way for the combination of Kimberly-Clark's production power and Yuhan-Kimberly's marketing power and led to launch new product superior to Pull-Ups. However, this product was unsuccessful in the market because of wrong positioning which did not catch domestic customer's life styles such as cultural, environmental and habitual differences in toilet training, the cost increase coming from IMF crisis in Korea, weak trust within the company, weak trust within the company, and too much higher price than regular diapers. In 2005, Yuhan-Kimberly redeveloped new pants market business strategy. It was organically combined with winning product development plan, winning communication strategy and the market structure change through the pants market creation. Customer's habit, usage and attitude were studied with total 55 times market investigations. Also, all processes from planning to designing were executed in the customer's view by investigating product research, positioning research and advertisement research. Yuhan-Kimberly repositioned new product as a wearing diaper not as a toilet training diaper and launched Huggies Magic Panty as a premium product which had 25% higher price than previous Huggies. Huggies Magic Panty was recognized as a great hit product in domestic diaper market and the sales recorded 37.6 bill won in 2006, 57.2 bill won in 2007, and 90 bill won in 2008 since launching in 2005. The reason of Huggies Magic Panty's success was the repositioning strategy deduced from the precise check of customer's usage habit. It was the winning strategy of Huggies that were market investigation in order to survive in domestic baby goods market where a lot of companies struggled intensively, the exact positioning based on its market investigation and aggressive 360 degree communication strategy to give customers impressions efficiently.