• Korean System Dynamics Review
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• v.15 no.4
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• pp.85-100
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• 2014

We propose a composite make or buy decision model considering both the transaction cost theory and the resource based view in the Korean defense industry using System Dynamics. We analyze relationship between core variables(transaction frequency, technological uncertainty, the level of technological dependency, technological level and acquisition ability for market information) and 'Make or Buy decision' focused on technological innovation capability. Based on the result, we propose the implications as follows : First, the defence industry needs more R&D investment. Second, it needs a balance between domestic(Make) and overseas(Buy) to increase the technological capability rapidly.

• Korean System Dynamics Review
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• v.13 no.1
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• pp.159-182
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• 2012

Strategic decision on the execution of national security improvement project is greatly important for the present and future national security. Though, the importance of strategic decision, decision making process has been executed under one-way thinking framework. This research provides a decision-making tool with make-or-buy approach for the national security improvement policy execution methods: foreign purchase and military R&D project, and, via simulation, confirms dynamic change of military capability index respect to change in ratio of foreign purchase and military R&D. A result shows that current ratio of foreign purchases and military R&D is insufficient for national security improvement policy goal. Applying the model from this research provides an appropriate ratio for short term and long term defense strategy and policy goal, and consequent result of increase in national security capability. Thus, this research model can be effectively utilized for national security improvement project.

• Journal of the Korean Society of Clothing and Textiles
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• v.31 no.12
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• pp.1721-1732
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• 2007

This study identified types of information source, and explored a path model for consumer information search by shopping attributes in the context of online decision making. Participants completed self-administered questionnaires during regularly scheduled classes. A total of 219 usable questionnaires were obtained from respondents who enroll at universities in the southwestern region of the United States. For data analysis, factor analysis and path model estimation were used. Consumer information source was classified into three types for online clothing purchases: Online source, Offline retail source, and Mass media. Consumers were more likely to rely on offline retail source for online clothing purchases, than other sources. In consumer information search by shopping attributes, online sources were more likely to be related to transaction-related attributes(e.g., incentive service), whereas offline retail source(e.g., displays in stores, manufacturer's catalogs and pamphlets) were more likely to be related to product and market related attributes(e.g., aesthetics, price) when purchasing clothing online. Also, the path model emphasizes the effect of shopping attributes on traditional retailer search behavior, leading to online purchase intention for clothing. This study supports consumer information search by attributes, and discusses a managerial implication of multi-channel retailing for apparel.

• International Commerce and Information Review
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• v.13 no.1
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• pp.55-76
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• 2011

America is traditionally friendly to South Korea. Last year in 2008, U.S. exports to South Korea totaled $32.4 billion. The U.S. and Korean must reciprocate economic exchange. The purpose of this study to measure the re-purchase intentions and product satisfaction in America image. The major result of article can be summarized as follows. The factors of this article have been divided into 'society safety', 'industrialization level', 'economic image', 'political image', 'cultural image', and 'the character of a nation'. In the empirical result of the article, the goods satisfaction for America country image would be shown in the results. The first, 'society safety', 'industrialization level', 'the character of a nation' are significantly positive statistically to goods satisfaction. The second, 'economic image', 'political image', 'cultural image' are not as significantly positive statistically speaking.

• Journal of Distribution Science
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• v.10 no.2
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• pp.29-41
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• 2012

This paper undertakes a conceptual review of transaction cost to broaden the understanding of the transaction cost analysis (TCA) approach. More than 40 years have passed since Coase's fundamental insight that transaction, coordination, and contracting costs must be considered explicitly in explaining the extent of vertical integration. Coase (1937) forced economists to identify previously neglected constraints on the trading process to foster efficient intrafirm, rather than interfirm, transactions. The transaction cost approach to economic organization study regards transactions as the basic units of analysis and holds that understanding transaction cost economy is central to organizational study. The approach applies to determining efficient boundaries, as between firms and markets, and to internal transaction organization, including employment relations design. TCA, developed principally by Oliver Williamson (1975,1979,1981a) blends institutional economics, organizational theory, and contract law. Further progress in transaction costs research awaits the identification of critical dimensions in which transaction costs differ and an examination of the economizing properties of alternative institutional modes for organizing transactions. The crucial investment distinction is: To what degree are transaction-specific (non-marketable) expenses incurred? Unspecialized items pose few hazards, since buyers can turn toalternative sources, and suppliers can sell output intended for one order to other buyers. Non-marketability problems arise when specific parties' identities have important cost-bearing consequences. Transactions of this kind are labeled idiosyncratic. The summarized results of the review are as follows. First, firms' distribution decisions often prompt examination of the make-or-buy question: Should a marketing activity be performed within the organization by company employees or contracted to an external agent? Second, manufacturers introducing an industrial product to a foreign market face a difficult decision. Should the product be marketed primarily by captive agents (the company sales force and distribution division) or independent intermediaries (outside sales agents and distribution)? Third, the authors develop a theoretical extension to the basic transaction cost model by combining insights from various theories with the TCA approach. Fourth, other such extensions are likely required for the general model to be applied to different channel situations. It is naive to assume the basic model appliesacross markedly different channel contexts without modifications and extensions. Although this study contributes to scholastic research, it is limited by several factors. First, the theoretical perspective of TCA has attracted considerable recent interest in the area of marketing channels. The analysis aims to match the properties of efficient governance structures with the attributes of the transaction. Second, empirical evidence about TCA's basic propositions is sketchy. Apart from Anderson's (1985) study of the vertical integration of the selling function and John's (1984) study of opportunism by franchised dealers, virtually no marketing studies involving the constructs implicated in the analysis have been reported. We hope, therefore, that further research will clarify distinctions between the different aspects of specific assets. Another important line of future research is the integration of efficiency-oriented TCA with organizational approaches that emphasize specific assets' conceptual definition and industry structure. Finally, research of transaction costs, uncertainty, opportunism, and switching costs is critical to future study.