• Journal of Korea Trade
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• v.27 no.2
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• pp.77-95
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• 2023

Purpose - This study aims to identify the importance of subsidiary entrepreneurship as a key factor when MNE attempts to invest in challenging overseas markets. Through the simultaneous consideration of institutional theory and entrepreneurship theory, this study would like to examine how Korean subsidiaries in the Middle East improve their performance locally. Design/methodology - To reflect the characteristics of emerging markets, this study conducted a survey of Korean subsidiaries in the Middle East in cooperation with KOTRA and analyzed the hypotheses using a structural equation model based on 249 valid responses. Findings - The findings of this study are as follows. First, we found that institutional and business distance would positively affect subsidiaries' entrepreneurship. The result that subsidiaries' entrepreneurship is positively affected by institutional and business distance implies that attempts to close the difference between heterogeneous markets would increase subsidiaries' innovative proactiveness, such as R&D and creative marketing strategies. Second, we confirmed that the institutional and business distance positively mediate the subsidiaries' entrepreneurship growth, leading to high performance. Therefore, Korean subsidiaries are required and prepared to establish strategies to better understand institutional and business distances in advance and reduce the liability of foreignness by conducting customized research and training programs before sending Korean expatriates to local subsidiaries in the Middle East. Originality/value - This study contributed to institutional and entrepreneurship theory by proving the traditional relationship between institutional and business distance to subsidiaries' performance and the mediation of subsidiary entrepreneurship.

• Korean Institute of Interior Design Journal
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• v.22 no.1
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• pp.247-255
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• 2013

In this study, the colors and characteristics of Gwangbok-ro of Busan were analyzed in the standpoint of local images based on the examination of the facade designs of stores along the road of Gwangbok-ro, Busan a main street with massive population flow. To that end, the facades of stores, correlation with the city, color and locality were examined, and after the status of facade designs in Gwangbok-ro were identified through case survey by it, color images were analyzed. For color analysis, Munsell color system was used as basic tool. As a result of examining the colors in Gwangbok-ro area, the following status could be analyzed on 3 attributes of hue, brightness and chroma: First, analysis results of hue indicated that dominant color that covers 70% or more of the area represented mid brightness and low chroma in GY(36.1%) series, subsidiary color which covers 25% or more of the area mid brightness and low chroma in YR(26.5%) series, and accent color that covers less than 5% of the area high brightness and low chroma of GY(40%) series. Second, in brightness analysis, dominant color mostly represented mid brightness, subsidiary color mid brightness and accent color high brightness respectively. In particular accent color showed more intensive crowding phenomenon in high brightness. Third, as for chroma, dominant color, subsidiary color and accent color all are gathered in low chroma, however in small number of accent colors, peculiar high chroma appeared notable. In conclusion, the colors of Gwangbok-ro area analyzed based on the facade design of the stores along the road in this study were superficial colors that reflect the life of people in the area, artificial colors by improvement of the local environment. This study is meaningful in that the image of Gwangbok-ro was found through building colors in one part of the city Busan. It is judged that the study results would become useful as reference document in planning out environment colors later on.

• Communications for Statistical Applications and Methods
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• v.16 no.3
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• pp.519-528
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• 2009

This paper deals with nonparametric estimation of discontinuous regression curve. Quite number of researches about this topic have been done. These researches are classified into two categories, the indirect approach and direct approach. The major goal of the indirect approach is to obtain good estimates of jump locations, whereas the major goal of the direct approach is to obtain overall good estimate of the regression curve. Thus it seems that two approaches are quite different in nature, so people say that the comparison of two approaches does not make much sense. Therefore, a thorough comparison of them is lacking. However, even though the main issue of the indirect approach is the estimation of jump locations, it is too obvious that we have an estimate of regression curve as the subsidiary result. The point is whether the subsidiary result of the indirect approach is as good as the main result of the direct approach. The performance of two approaches is compared through a simulation study and it turns out that the indirect approach is a very competitive tool for estimating discontinuous regression curve itself.

• The Journal of Fisheries Business Administration
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• v.39 no.1
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• pp.133-162
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• 2008

In 1970, direct overseas investment in Korean fisheries started to sell the frozen marine products to Singapore with establishing local subsidiary. Direct overseas investment in China has carried out since Korea and China established diplomat relationship in 1992. the former day, The Korea invested indirectly in China via Hong Kong. It has reported that 253 local subsidiaries applied to China government permit at the end of 2004. The results will make a decision on whether to invest continuously. The results of actual proof analysis has announced that a successful investment of fishery company is mainly influenced in its own government policy. Many advantages of tax and administration for foreign company in China have been changed and vanished comparing to the beginning time of entering china. So. it is imperative for Korean government to take measures to changing policy of Chinese government. The early days, investment of fishery company is type of resources and abundant resources will affect succeeding investment. Nowadays, the type of the investment is the production oriented investment. And then many direct investment linked the production oriented investment have been conducted in many area in China. So. the production oriented investment will affect logistics and successful investment in China. And, The factor of Market potential in Market Factors in the middle of changing market oriented investment will conclude whether to invest. As the china exchange system changed from the fixed exchange system to the fluctuating exchange system. Risk of exchange rate will affect corporate's parent business. The local risk (regulation of import and export, remittance) will affect succeeding investment of corporate's parent.

• Proceedings of the Korean Society of Surveying, Geodesy, Photogrammetry, and Cartography Conference
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• 2007.04a
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• pp.329-332
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• 2007

Since enforcement of double entry book-keeping accounting system on 1 January 2007, local government should draw out financial statement for assets and liabilities possessed after due diligence. But, some social infrastructure including underground facilities are difficult to implement entire inspection actually. In this study, we proposed effective approach for assessing assets of local government's social infrastructure such as road, water and sewage, subsidiary facilities etc. using GIS built on local government by NGIS project. Through this, local government ensures correctness and effectiveness of asset inspection as a result of successive establishment of double entry book-keeping accounting system.

• Journal of Korea Trade
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• v.24 no.1
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• pp.82-98
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• 2020

Purpose - This study aims to overcome the limitations of existing studies, which linearly determine the precedence factors of competency in overseas subsidiaries. The research objectives are as follows. First, what kind of nonlinear effects does the level of control held by Korean headquarters over foreign subsidiaries have in terms of competency in the subsidiaries? Second, what kind of nonlinear effects do the local experiences of overseas subsidiaries have on their competency? Design/methodology - With data on Korean multinational corporations (MNCs), this paper analyzes the effects of control levels of headquarters (HQs) and host-country experiences of foreign subsidiaries regarding competency in overseas subsidiaries. In particular, this study focuses on nonlinear models, differentiating it from previous studies. In order to examine research hypotheses, this study conducted a survey of overseas subsidiaries of Korean corporations. Surveys were conducted through various methods including e-mail, online questionnaires, fax, and telephone calls. Copies of the questionnaire were distributed to a total of 2,246 overseas subsidiaries, and 409 completed responses were collected. Excluding 15 copies that were insufficiently answered, responses from a total of 394 copies were used for analysis. Findings - This study presents the following results. First, there is a U-shaped relationship between levels of HQ control and competency in foreign subsidiaries. This means that higher levels of HQ control negatively impact the competency levels of subsidiaries because strict control undermines autonomy in subsidiaries. However, if the level of HQ control exceeds a certain point, then the transfer of knowledge between HQs and subsidiaries is facilitated. Knowledge transferred from HQs can be used as prior knowledge by foreign subsidiaries to the benefit of all parties. Accordingly, knowledge transfer negates the negative effects of excessive HQ control and positively affects competency in subsidiaries. Second, there is an inverted U-shaped relationship between the local (host-country) experiences of subsidiaries and competency in foreign subsidiaries. This means that foreign subsidiaries can overcome the liabilities of foreignness and contribute to capability building by accumulating unique knowledge about their host countries. However, if local experiences accumulate excessively beyond a certain point, then the host country-specific experiences of foreign subsidiaries will offset the benefits discussed above. Excessive local experiences not only increase organizational inertia, but also create a problem of goal incongruence due to information asymmetry between HQs and subsidiaries. Therefore, excessive local experiences have negative effects on competency in foreign subsidiaries. Originality/value - This study suggests the following implications. First, unlike existing studies based mainly on linear models, this study presents important theoretical implications in its focus on nonlinear models and its analysis of the effects of HQ control and local experiences on competency in foreign subsidiaries from perspectives of organizational learning theory and agency theory. Second, in terms of practical implications, the results of this study suggest that optimally raising levels of HQ control and managing the local experiences of subsidiaries without increasing organizational inertia is important for enhancing competency in foreign subsidiaries.

• International Commerce and Information Review
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• v.15 no.1
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• pp.135-159
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• 2013

The globalization of business is making it more important than ever to understand how international human resource can be utilized more competitively. This study explores how the international human resource strategies between global integration and local responsiveness affects the company's competitive advantage. The findings for global integration strategy suggest that when a subsidiary is highly dependent on the parent company's resources and the findings for local responsiveness suggest that when a subsidiary is highly dependant on the host country's resources and institution. This study proposes competitive advantage by the global integration strategy and local responsiveness strategy. The effects of IHRM to create value for company's core competence was analyzed. Two IHRM strategic choices will affect the different competences such as integration and localization abilities. This paper also suggests the two kinds of core competences of IHRM strategies how impact on company's performance.

• International Area Studies Review
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• v.16 no.3
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• pp.209-237
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• 2012

Multinational enterprises(MNEs) try to strengthen their global innovative capabilities by incorporating the foreign subsidiaries' knowledge bases. Foreign subsidiaries play an important role in MNEs' knowledge creation activities. This study develops a strategy model that strengthening the knowledge creation capabilities of Korean firms' foreign subsidiaries. Four strengthening strategy types are derived from three research areas related with center of excellence, subsidiary strategic roles, and knowledge creation capabilities. The strategies that strengthen knowledge creation capabilities are including organizational culture and autonomy reinforcing strategy, subsidiary's absorptive capacity reinforcing strategy, local environment management strategy, and network building strategy. Strategic fit conditions which support the success of each strategy type are also discussed.

• The Research Journal of the Costume Culture
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• v.9 no.6
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• pp.855-871
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• 2001

The purposes of this study were to compare the marketing compose elements of Apgujung and Shinchon branch of Hyundai Department Store and to suggest desirable fashion marketing strategies for other Department Stores and retailing stores. The results were as follows: Two kinds of factor were classified form this study; one was Hardware elements such as Trading Area Site, Store Composition, Scale, and Subsidiary facilities etc., another was Software elements like Store Concept, Image, and Merchandising and so on. The followings were suggested from Hardware elements; 1) Trading Area could be classified'local type'and 'spread type'. 2) Each branch was differentiated from store formation of conventional department store which had food department in basement. There were the most powerful women's fashion brand to lead costumers in second basement. 3) In accordance with the position of subsidiary facilities of Hyundai Department Store,'Water Jet Effect'strategy and'Show Effect'strategy could be usefully applied for other Department Stores and retailing stores. 4) The strategy of approaching easily to the target floor which was located in lower floor, could be applied to various retailing stores. The followings were suggested from Software elements; 1) Stores management coping with poles-apart in costumer could be needed to other Department Store and retailing stores. 2) It also could be needed to find and maintain effective ratio between common brand and differentiated brands in the other Department Stores.

• International Commerce and Information Review
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• v.19 no.1
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• pp.279-304
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• 2017

The objective of this study has two filds. The first is to examine the effect of native employee's psychological capital on their pro-social organizational behavior in the context of a local subsidiary in abroad. The second is to investigate the moderation effect of non-native managers' leadership type in the relationships between psychological capital and pro-social organizational behavior. The researcher provides the theoretical research model based on the pro-social capital theory and then empirically tests the model by using a valid 334-case collected from three overseas-affiliated-companies in Philippines. The results show that native employees' psychological capital positively and significantly influences to pro-social organizational behavior. Moreover, non-native managers' type of leaderships has the significant moderation effects in relationships between native workers' psychological capital and pro-social organizational behavior. Specifically, stronger relationships are identified in all of relationships when the managers show transactional, transformational and authentic leaderships. Theoretical contributions and practical recommendations are also discussed based on the results of the study.