• Korean Management Science Review
• /
• v.32 no.2
• /
• pp.37-50
• /
• 2015

The number of contracts for bundling services in a domestic telecommunication market records 1.3 miilion as of the first half year in 2007, and steadily increased to 8.97 million in 2010, to 12.76 million in 2013. In 2014, 70.4% of telecommunication service consumers are found to subscribe to bundling service. Bundling services provide consumers with benefits such as price discount, convenience, increase ARPU. However, a market dominant player in a specific market may transfer its market power to another market by selling bundling services. SSNIP has been adopted to provide a market definition. However, SSNIP is not suitable to measure the effect of market power transition through bundling services because SSNIP cannot measure the effect of changeover sales of bundling services. Thus, in this study, we have investigated the effect of market power transition through bundling services reflecting market power effect and quality upgrade using Gross Upward Market Power Pressure Index metho and reviewed UPP and derivative UPP models.

• Korean Management Science Review
• /
• v.31 no.4
• /
• pp.75-92
• /
• 2014

Broadcast-telecommunication bundling services provide customized services and reduce household telecommunication costs, contributing to the improvement of users' welfare. However, following the recent fierce competition of broadcast-telecommunication providers, the Korea Communications Commission, an organization that regulates promotional gifts and fee-reduction benefits to attract subscribers, has imposed a series of regulations. The excessive offering of promotional gifts can distort fair market competition and damage users. Yet if all bundling services are regulated uniformly, some benefits for users may be reduced, and the autonomous marketing competition of service providers may be restricted, thereby shrinking the entire communications market. Therefore, this study attempts to investigate domestic and foreign regulations on promotional gifts and other offerings related to broadcast-telecommunication bundling services, to analyze problems with respect to the current regulations and to propose an improvement plan. The study asserts that it is necessary to improve the violation decision criteria of the Korea Communications Commission and its regulations on broadcast-telecommunication service providers' promotional gifts in order to regulate the bundling services reasonably. In addition, it proposes a proper regulation of the OTS(Olleh TV Skylife) product, a new service emerging in the evolution of the bundling service type.

• Journal of Digital Convergence
• /
• v.12 no.7
• /
• pp.11-20
• /
• 2014

This paper finds that the ultimate source of problems facing Korean mobile telecommunications such as excessive subsidies of handsets, waste of resources, and a vicious circle of expensive handsets and high prices for services, is bundling of handset and subscription. The analysis suggests that bundling causes consumers to confuse about prices of handsets and services, and firms focus on handset subsidy competition rather than on upgrading service qualities and lowering prices due to anti-competitive effects of bundling. Because most of the cost of bundling is passed on to consumers, the welfare of consumers decline. In particular, equality among consumers worsens due to price discriminations. To resolve these problems, unbundling of handset and subscription is a necessity. Mixed bundling allowing separate selling of handsets under bundling does not seem to work as a cure because bundling tends to be a dominant strategy. The best regulatory policy is a complete separation of handset and subscription.

• The Journal of the Korea Contents Association
• /
• v.14 no.5
• /
• pp.356-363
• /
• 2014

With Sales of bundling service in telecommunications service are on the increase due to continuous technology progress and the raised demand into convergence and integration service. In this paper, we analyzed the tendencies differences between subscriber and non-subscriber of the bundling service in telecommunications service to establish marketing strategies of the bundling service. we derived the subjective norm and personal innovation as tendency variables of users in using LTE(Long Term Evolution) services, which are based on bundling sales motivation theory, theory of reasoned action, and diffusion of innovation theory. The tendency variables were compared between subscriber and non-subscriber of the bundling service through statistical T-test in empirical study. As a result, we discovered that there are differences in both subjective norm and personal innovation between subscriber and non-subscriber of the bundling service. We also discovered that the subjective norm and the personal innovation of subscriber are stronger than non-subscriber. At last, we derived two implications to increase the sales of the bundling services. First, the bundling service should designed more innovative. Second, it would be effective to apply buzz marketing strategies based on the surrounding people.

• Journal of Information Technology Services
• /
• v.13 no.4
• /
• pp.19-43
• /
• 2014

Categorization means the process labeling or identifying an object based on what people already know or its similarity for people to be easily perceptible in external environment. If it is categorized, it is schematically conjectured from typical characteristic of the category. In this sense, the categorization of new products has an important effect upon the market performance. Nevertheless, the categorization of innovative new products is not easy and occasionally very ambiguous. In this study, we discuss how to strengthen the categorization strategy of new hybrid IT products through complementary bundling. The model of this study is based on Technology Acceptance Model (TAM) with resistance variable and verifies the statistical significance by undertaking a survey on consumers' awareness. In addition, we review the moderating effects of prior knowledge in the adoption process of complementary bundling. Through this analysis, we find out the structural relationship among the factors affecting adoption of complementary bundling. Also, it show that the influence of prior knowledge in respect of the adoption process is greater than others in case that there exists significant heterogeneity among strategic categories and complements. In conclusion, these findings suggest the following managerial implication. The categorization strategy of new hybrid IT product can be enhanced by complementary bundling, but the suitability among strategic category and complements should be evaluated exhaustively.

• Asia-Pacific Journal of Business
• /
• v.5 no.2
• /
• pp.51-64
• /
• 2014

Strategic bundling of Human Resource Management (HRM) practices among themselves works together as an entire HRM system rather than individual HRM practices to achieve organizational objectives. The bundles of HR practices support the effectiveness of one another assuming the effectiveness of any practice depends on other practices in place. It is said that the greater the total degree of bundling among the various components of HRM policies and practices, the more will be the organizational outcomes. Realizing these facts, this study aimed to explore the level of strategic bundling and examined the impact of such bundling on organizational performance to the publicly listed companies of Nepal. This empirical study is based on description and exploratory design for which data collected through the questionnaire based on 5-point liker scale. Total population of the study at the time of data collection are 234 organizations publicly listed in Stock Exchange of Nepal. Questionnaire is distributed to all organizations listed, response received from 105 organizations, as a unit of analysis, which is fairly good response. The study of strategic bundling of HRM practices perhaps the first study in Nepal, found that only 32 percent organizations have followed high bundling HR practices and these high bundling organizations are significantly different with low bundling organizations. Business organizations are trying to practice being close association of HRM policies and practices within them except labor relation with employee participation and business strategies. Supporting to the international literature, strategic bundling of HRM practices among themselves shows statistically significant effects on quality of product or services, labor productivity, financial performance, employee satisfaction, rate of innovation, employee commitment and market share.

• Management & Information Systems Review
• /
• v.38 no.4
• /
• pp.1-24
• /
• 2019

This study confirms the responses of consumers when the composition of emoticon bundles can be selected by individuals in MIM service. This aims to verify that customized bundling is a valid marketing strategy in the MIM emoticon market. Currently, the emoticon bundling used in Korean MIM services is in the form of pure bundling. As a result, Consumers must purchase an entire bundle even though he/she doesn't need to use all the emoticons contained in it. Some researches(e.g. Hitt & Chen, 2005; Wu & Anandalingam, 2002) show that when consumers value only part of the products or services included in pure bundling, customized bundling is much more profitable. In their works, customized bundling is appropriate when marginal costs are near zero. Information goods, such as emoticons, meet the condition. On the other hand, customized bundling increase the choosable options, so it can pose a problem of complexity (Blecker et al., 2004). And consumers may experience information overload(Huffman & Kahn, 1998). Thus, judgement on the necessity to introduce customized bundling needs to be made through empirical analyses in the light of characteristics of the product and the reaction of consumers. Results show that when customized bundling was introduced, consumers' purchase intention and willingness to pay significantly increased. Purchase intention for customized bundles has increased by 0.44 based on the five point Likert scale than the purchase intention for existing pure bundles. The increase in purchase intention for customized bundles was statistically independent of the existing purchasing experience. In addition, the willingness to pay was increased by about 2.8% compared to the price of the existing emoticon bundles in the whole group. The group with experience in purchasing pure bundles were willing to pay 5.9% more than pure bundles. The other group without experience in purchasing pure bundles were willing to buy if they were about 5% cheaper than the existing price. Overall, introducing customized bundling into emoticon bundles can lead to positive consumers responses and be a viable marketing strategy.

• Electronics and Telecommunications Trends
• /
• v.19 no.1 s.85
• /
• pp.109-115
• /
• 2004

최근 들어 통신시장이 성숙단계에 도달하여 성장이 한계를 보임에 따라 선진 각국의 통신사업자들은 유무선 결합서비스 제공을 통해 새로운 돌파구를 찾고자 노력하고 있다. 본 고에서는 이러한 유무선 결합서비스와 관련된 최근동향을 위주로 하여 미국내 3개 장거리통신사업자 및 4개 지역통신사업자(RBOC)의 유무선 결합서비스 제공현황을 분석하고, 미국 정부의 결합서비스에 대한 규제정책을 살펴본 다음 결론으로서 시사점을 제시하였다.

• International Area Studies Review
• /
• v.16 no.1
• /
• pp.53-74
• /
• 2012

The bundling of multiple products/services at a set price has become a popular marketing strategy. However, little is known on how effects of bundling strategy influence tourists' evaluation of tour packages. Tourists evaluate a tour package based on the trade-off between the perceived benefits and costs involved in purchasing the tour package. In other words, the perceived value of the tour package influenced whether tourists to purchase a tour package or not. This study tested a tour package based on the theory of bundling, taking a moderating approach with perceived value. The data for this study wascollected by subjects who live Seoul Metropolitan Area and Gyeonggi Province and 4234 respondents, potential tourists to northeastern U.S.A/Canada. Results show that bundling taken by travel agencies include how many product items to put in a tour package and what degree of discount for the tour package. Also explaining functional relationship among product items in the tour package. Result show that tourists expect a discount, large or small, from purchasing a tour package. And the larger the number of products in a tour packages, the larger the discount size, and low functional relationship among items tourists expect to get.

• Journal of Distribution Science
• /
• v.18 no.5
• /
• pp.15-23
• /
• 2020

Purpose: This research focused on the fact that the Internet platform is integral to IoT products such as Smart home and studied consumer buying decisions when products are sold bundled with internet service. Contrary to the sales strategies of telecommunication companies, some companies sell IoT products alone, for example Google, Kakao, and Naver. In this market situation, the sales strategies of Korean telecommunication companies were analyzed with bundling theory and technology acceptance model, then it was conducted to figure out which sales and distribution strategies could affect consumers' purchase behavior. Research design, data, methodology: Data was collected by149 questionnaires from groups who are familiar with IoT smart home systems, then exploratory factor analysis and regression were used to analyze the research model. Results: The results revealed that the perceived ease of use and the perceived usefulness affect the purchase intention of IoT-based products; however, this effect was not found in the case of bundled products. In other words, it is found that selling and distributing Internet services and IoT products together does not affect consumers' purchases. Conclusion: It is suggested that Korean telecommunications companies' existing sales and distribution strategies for IoT products need to be changed according to its characteristics.