• Journal of Distribution Science
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• v.13 no.9
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• pp.37-45
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• 2015

Purpose - This paper's aim is to investigate whether or not gross profitability explains the cross-sectional variation of the stock returns in the Korean stock market. Gross profitability is an alternative profitability measure proposed by Novy-Marx in 2013 to predict cross-sectional variation of stock returns in the US. He shows that the gross profitability adds explanatory power to the Fama-French 3 factor model. Interestingly, gross profitability is negatively correlated with the book-to-market ratio. By confirming the gross profitability premium in the Korean stock market, we may provide some implications regarding the well-known value premium. In addition, our empirical results may provide opportunities for the fund distribution industry to promote brand new styles of funds. Research design, data, and methodology - For our empirical analysis, we collect monthly market prices of all the companies listed on the Korea Composite Stock Price Index (KOSPI) of the Korea Exchanges (KRX). Our sample period covers July1994 to December2014. The data from the company financial statementsare provided by the financial information company WISEfn. First, using Fama-Macbeth cross-sectional regression, we investigate the relation between gross profitability and stock return performance. For robustness in analyzing the performance of the gross profitability strategy, we consider value weighted portfolio returns as well as equally weighted portfolio returns. Next, using Fama-French 3 factor models, we examine whether or not the gross profitability strategy generates excess returns when firmsize and the book-to-market ratio are controlled. Finally, we analyze the effect of firm size and the book-to-market ratio on the gross profitability strategy. Results - First, through the Fama-MacBeth cross-sectional regression, we show that gross profitability has almost the same explanatory power as the book-to-market ratio in explaining the cross-sectional variation of the Korean stock market. Second, we find evidence that gross profitability is a statistically significant variable for explaining cross-sectional stock returns when the size and the value effect are controlled. Third, we show that gross profitability, which is positively correlated with stock returns and firm size, is negatively correlated with the book-to-market ratio. From the perspective of portfolio management, our results imply that since the gross profitability strategy is a distinctive growth strategy, value strategies can be improved by hedging with the gross profitability strategy. Conclusions - Our empirical results confirm the existence of a gross profitability premium in the Korean stock market. From the perspective of the fund distribution industry, the gross profitability portfolio is worthy of attention. Since the value strategy portfolio returns are negatively correlated with the gross profitability strategy portfolio returns, by mixing both portfolios, investors could be better off without additional risk. However, the profitable firms are dissimilar from the value firms (high book-to-market ratio firms); therefore, an alternative factor model including gross profitability may help us understand the economic implications of the well-known anomalies such as value premium, momentum, and low volatility. We reserve these topics for future research.

• Journal of Fashion Business
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• v.7 no.1
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• pp.38-54
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• 2003

This study looked into the present status of e-mail marketing, which is conducted in local Internet fashion shopping malls and is being used as a one-to-one marketing method in the e-CRM concept so as to establish an effective e-mail marketing policy by grasping problems based on the current status and by presenting solutions to the problems. This study analyzed the e-mail letters received during a certain period of time by 30 professional Internet fashion shopping malls of with famous goods, brands and non-brands. Four individuals subscribed to shopping mall through the procedure for membership applying for e-mail services. The analysis showed that there were no shopping malls that were doing a differentiated e-mail marketing among Internet shopping malls. As for time factor, they were sending e-mail letters irregularly regardless of a certain cycle. And as for visual factor, they didnt have any standard for the content of the mail. As for content factor, the contents of their mail were not differentiated and all the same. The comparison of fashion malls showed that the brand shopping malls were the most active in e-mail marketing. On the basis of the problems, the direction for the effective e-mail marketing of Internet shopping malls are presented as follows: First, individualized contents fitting for customers should be developed, and differentiated mailing services should be provided thereby. Second, each shopping mall should make periodic tests of mailing to find out the optimal time and day to provide e-mail services to the customers at the designated time. Third, e-mail should be differentiated fitting for the website according to a certain on a certain standard for visual effects and the identity of shopping mall should be established. Firth, in the contents of e-mail, the image and message elements should be properly harmonized and creative policies should be made with interactive or recreational elements. Fifth, a homepage policy which can satisfy customers demand for information when the e-mail is clicked on..

• Journal of the Korea Furniture Society
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• v.21 no.6
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• pp.515-524
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• 2010

In line with the government's policies for localization, furniture industry in the northern area in Gyeoggi-province at presence has been operated by several furniture industrial complexes in the region in small scale, but now it should be considered from overall view of furniture industry in order to develop more competitive industry. As a matter of this fact, Gyeonggi-province should be engaged in planning to make various industrial clusters of the furniture-related industry based on the northern area of province at structural as well as politic aspects, with the help of the analyzed status of the current furniture industry in region, in supporting them by the systemized policies and developing the overall program to foster furniture as an international-competitive industry. Therefore this study suggested 'furniture industry center' which will exclusively handle and maintain the network of each furniture company in the northern area of Gyeonggi-province and 'high-tech furniture industry complex' to keep pace with the globalization and to be competitive internationally and also 'common brand business' for the cooperation at technical phase. In order to realize and vitalize such suggestions, it is urgently necessary that the network consists of the furniture companies and the expert of the related department in local universities as the main body for furniture industry, of course Gyeonggi-province as well.

• Journal of the Korea Convergence Society
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• v.11 no.6
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• pp.145-151
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• 2020

'Hansik', or Korean cuisine is one of Korea national brands. To understand the domestic consumer awareness of Korean cuisine, data was gathered under the keyword search, 'Hansik.' Textom 3.5 was used to gather data from blogs, news media found on Naver from November 1, 2018, to October 31, 2019. The results from frequency and TF-IDF analysis indicate that the 'buffet' had the largest proportion in terms of consumer awareness to Hansik. Also, broadcasting contents starring star chefs had a great influence. The Hansik awareness did not remain in the domains of its traditionality, but also branched into extents into areas such as fusional and gourmet cuisine. UCINET6 and NetDraw were used to conduct CONCOR analysis. Four cluster formations have been found; various food cultural cluster, high-end restaurant cluster referring to aired restaurants on media, Hansik brand cluster, and Hansik buffet cluster. This study proposes presenting a various menu of Hansik which use a multiple number of ingredients. Also, a promotion that introduces fine Hansik and a development of marketing views and media contents about the convenient HMRs make the associated imagery of Hansik to be strengthen.

• Journal of Distribution Science
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• v.11 no.6
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• pp.41-50
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• 2013

Purpose - Inducing consumers' behavioral intent to use an outlet shopping center is a critical issue for managers since it can be used as a guide for developing marketing strategies. Low prices could lead to a growth in retail purchases, but there might also be a positive relationship between prices and customer perceptions of product quality. The extent to which consumers use price as a predictor of quality may differ according to the availability of important alternative cues such as brand, store name, and identity salience triggered by the store. Consumers can obtain non-economic benefits from marketing exchanges that go beyond basic economic achievement. We argue that identity salience can play a crucial mediating role when consumers, acting as exchange partners, seek to obtain social benefits. This study shows that identity salience could mediate the relationship between identity salience-inducing factors such as multi-finality, prestige and role performance, and consumers' behavioral intent to use an outlet shopping center. Research design, data and methodology - The survey was conducted on college students enrolled in marketing classes. A total of 200 questionnaires were distributed, of which only 194 were returned. After five incomplete questionnaires were excluded, a final sample of 189 was used for empirical analysis. Using a covariance structural analysis in Amos17, we confirmed the fit of the research model and estimated its parameters by using the maximum likelihood method. Results - The results of the hypotheses testing are as follows. First, both identity salience and economic benefits have positive effects on the behavioral intent to use an outlet shopping center. Second, role performance, prestige, and multi-finality have positive effects on identity salience. Finally, the additive analysis of the direct effects of identity salience-inducing factors shows that the role performance, prestige, and multi-finality factors have no direct effects on the behavioral intent to use an outlet shopping center, suggesting that identity salience plays a positive mediating role. Conclusions - This study informs marketers that not only price but shoppers' identity salience directly affects their intent to visit an outlet shopping center. To strengthen shoppers' identity salience, marketers should find ways to help shoppers fulfill their multiple social roles, realize their multiple goals, and achieve prestige. In other words, outlet shopping centers must improve their personal service environment in order to enhance their employees' service quality and assist the execution of multi-finality by minimizing the perceived costs (e.g., travel time, effort) associated with shopping trips, thus making it easier for consumers to combine visits to multiple stores in outlet shopping centers and buy the items required for their consumption goals. Outlet shopping centers must also offer assortments with both breadth and depth in order to help consumers play the social roles their social networks have given them.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.19 no.5
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• pp.640-649
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• 2018

This study analyzed the consumer awareness of cycling wear using web mining, one of the big data analysis methods. For this, the texts of postings and comments related to cycling wear from 2006 to 2017 at Naver cafe, 'people who commute by bicycle' were collected and analyzed using R packages. A total of 15,321 documents were used for data analysis. The keywords of cycling wear were extracted using a Korean morphological analyzer (KoNLP) and converted to TDM (Term Document Matrix) and co-occurrence matrix to calculate the frequency of the keywords. The most frequent keyword in cycling wear was 'tights', including the opinion that they feel embarrassed because they are too tight. When they purchase cycling wear, they appeared to consider 'price', 'size', and 'brand'. Recently 'low price' and 'cost effectiveness' have become more frequent since 2016 than before, which indicates that consumers tend to prefer practical products. Moreover, the findings showed that it is necessary to improve not only the design and wearability, but also the material functionality, such as sweat-absorbance and quick drying, and the function of pad. These showed similar results to previous studies using a questionnaire. Therefore, it is expected to be used as an objective indicator that can be reflected in product development by real-time analysis of the opinions and requirements of consumers using web mining.

• The Journal of the Korea Contents Association
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• v.14 no.7
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• pp.518-528
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• 2014

The purpose of this study is to observe the effects of road facilities that have adopted digital media such as total road facility called L.E.D media pole installed on U-street, Gangnam-gu on the pedestrians' satisfaction. Through the study, we would like to improve the brand competitiveness, increase the revisiting decision factors and suggest the fundamental development direction for the digital media road facilities on the typical pedestrian road, Gangnam street. The three factors from the studies came out to be spatial component, design component, and functional component. In order to analyze the factors, the pedestrians' behaviors were observed through a direct survey which provided 35 reserved factors. Also, the preliminary factors derived through survey questionnaires were revised by experts which compressed the result into 20 factors. The result of the regression analisis states that the 'Factor of the spatial component' is the statistically significant factor among the five elicited factors of the effect of the media pole on the pedestrian satisfaction. U-street's media pole provides the comfortable and various contents and application methods and will provide the new perspective on the purpose of pedestrians by new experience that is based on digital technology.

• Journal of Distribution Science
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• v.12 no.2
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• pp.49-57
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• 2014

Purpose - Theorists and researchers in the area of customer satisfaction generally agree that product satisfaction intervenes between expectancy disconfirmation and various post-purchase cognitive states including attitude and behavioral intention. Studies in a variety of settings have supported the effect of expectation and its disconfirmation on satisfaction, but only a small number of studies address the cognitive consequences of satisfaction decisions and none report data on choice processes such as brand selection. This study examines the influence of satisfaction and its determinants on behavioral intention and product preference in eight coffee shops across the country. Generally it was found in both overall and summed attribute analyses that satisfaction was a function of expectation and disconfirmation, that intention was a function of satisfaction, and that preference was influenced by satisfaction and disconfirmation, the latter having the greater effect. Research design, data, and methodology - The main objective of this study was to assess the dimensions of consumer selection and satisfaction in choosing a coffee shop. In order to achieve this objective, a study of coffee shops across the country was conducted. This study comprised in-depth questionnaires distributed to coffee shop customers. A survey was conducted from September 1, 2011 to September 30, 2011, involving franchise coffee shop, independently owned coffee shop, and roastery coffee shop customers. Results - Hypothesis 1-1, which states that coffee shop choice attributes differ based on the type of coffee shop, is accepted. It has a significance level of 0.05, according to choosing properties of coffee shop by convenience of transportation, varieties of beans, residence of the owner (manager), information, and relationships. Hypothesis 1-2, which states that satisfaction with the choice factor differs depending on the type of coffee shops, is accepted. The P-values for cleanliness and varieties of beans were 0.04 and 0.00, respectively, and have a significance level of 0.05, according to the satisfaction with the chosen coffee shop. Hypothesis 2-1, which states that the importance of the choice attributes in coffee shop selections differs based on the demographic characteristics of the customers, is accepted. According to the t-test result, convenience of parking and residence of the owner (manager) are significant. Hypothesis 2-2, which states that satisfaction with the choice factor will differ depending of the type of coffee shop, is accepted. According to the t-test result, convenience of parking and residence of the owner (manager) are significant. Conclusions - This study has shown that intention to revisit a certain shop is most likely correlated to satisfaction in all cases. In order to offer subsequent developments for coffee shops, this study also identifies relations between customer satisfaction and selection by finding significant factors. In order to maximize customers' satisfaction, coffee shops should analyze and satisfy customers' needs and wants in terms of coffee service. While the findings do not generalize beyond the mall sampling procedure used here, we have hopefully identified a close approximation of the process of satisfaction decisions used by consumers generally.

• Journal of Distribution Science
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• v.12 no.10
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• pp.67-74
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• 2014

Purpose - This study analyzed how image affects customer trust and satisfaction in the online shopping mall market, which is becoming more competitive; future implications for customer management in online shopping malls were presented. Consumers visit and prefer a few shopping mall sites instead of many sites. Consumers do not visit sites that cannot provide trust and satisfaction. Therefore, establishing trust and satisfaction with differentiated image is essential for survival and growth. Specifically analyzing company image, shop image, and brand image, I studied how symbolic image, functional image, and empirical image affect satisfaction mediated by trust in the online shopping malls of hypermarket retailers. Research design, data, and methodology - To investigate the relationship between image and satisfaction of big box retailers' shopping malls in the online market, the study is based on analyzed data from questionnaires involving advanced research. From May 1st to 20th in the year 2014, a questionnaire survey targeting university students using big box retailers' shopping malls in Seoul was conducted. A total of 282 questionnaires were conducted, and 276 questionnaires were used for empirical analysis, excluding invalid data. Using the SPSS 21.0 statistics package, factor analysis and regression analysis were implemented, and effects of image on trust and satisfaction were presented. Results - First, symbolic image can affect satisfaction with only trust. Among 3 image factors, symbolic image exerts the most influence on trust; trust is important in coupling the medium to satisfaction. Second, functional image and empirical image affect satisfaction directly and indirectly with trust. Conclusions - As I classified the image of hyper market retailers' online shopping malls into symbolic, functional, and empirical image, I analyzed the effects of image on trust and satisfaction empirically. The results of the study and strategic implications are as follows. First, symbolic image can affect satisfaction with only trust. Among 3 image factors, symbolic image exerts the most influence on trust; trust is important in coupling the medium to satisfaction. The establishment of a distinctive symbolic image, such as the online shopping mall's loyalty, level of awareness, and special service, is needed. With the establishment of symbolic image, trust and satisfaction could be improved. Second, functional image and empirical image affect satisfaction directly and indirectly with trust. Especially, as functional image affects trust more than empirical image, setting and implementing a strategy for empirical image based on the right price, service, and convenience could raise trust and satisfaction. Empirical image affects trust and satisfaction substantially. Even though empirical image's influence on trust is lower than that of other three image factors, empirical image's influence on satisfaction is higher than symbolic image. Therefore, it requires a strategy for providing joyful use, and information research functions and distinctive use experience are important to improve satisfaction. This study analyzed image characteristics of hyper-market retailers' online shopping malls in the fast-growing online market; future strategic implications were presented.

• Journal of Distribution Science
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• v.14 no.8
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• pp.123-128
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• 2016

Purpose - Korean Wave that overspreads around Asia and America, especially the Korean beauty wave, has reached Mongolia and Mongolian consumers. Mongolia consumers usually prefer foreign cosmetic brands to local brands, because the local brands cannot satisfy fast changing needs and wants of local consumers. Research design, data, and methodology - Based on previous studies about life style of Mongolian consumers, advertisement properties and consumer behaviors, we propose a research model and related hypothesis. In order to test hypotheses, we analyzed 366 survey data out of 376 by eliminating improper 10 responses. Factor analysis and reliability analysis was conducted by SPSS 22.0. We used multiple regression analysis and parameter analysis to test the relation between variables. Results - As exploring the Mongolian consumers' current usage of cosmetic products, we found that the customers' focus is how the products fit with their skin. Mongolian consumers often get the information about cosmetic products through TV and internet. Mongolian consumers show positive attitudes on the appearance of Korean celebrities in responsibility, while there is no significant effect on attractiveness. Mongolian consumer's behaviors toward brand have positive effect on both responsibility and attractiveness of Korean commercial celebrities. Responsibility and attractiveness of Korean commercial celebrities have positive effect on the behaviors toward advertisements of cosmetic products. Conclusions - Behaviors toward advertisements of cosmetic products have positive effect on both purchase intention and loyalty of customer. Responsibility and attractiveness of Korean commercial celebrities have positive effect on mediating variable of behavior toward advertisement and independent variable of purchase intention. Responsibility and attractiveness of Korean commercial celebrities have positive effect on mediating variable of behavior toward advertisement and independent variable of loyalty of customer. In order to improve the effect of advertisements, firms need to consider not only the technique of the model but also the image of model in regard to trust and professionalism appealing to consumers. In addition, firms need to choose the model who fits in with the image of the firms and the products and service of the firms. Finally, Mongolian consumers tend to acquire the shopping information through TV advertisements, especially featuring Korean popular stars, thus, TV advertisements can be a wise option in Mongolian cosmetic market.