• Journal of Digital Convergence
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• v.18 no.9
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• pp.103-112
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• 2020

The purpose of this study is to examine the current status and components of Korean National Debt and to analyze the effects of each component on National Debt. In the Korean Statistical Information Service (KOSIS), we searched for data such as General Accounting Deficit Conservation, For Foreign Exchange Market Stabilization, For Common Housing Stability, Local Government Net Debt Public Funds, etc that constitute National Debt. The analysis period used a total of 23 annual data from 1997 to 2019. The data collected in this study use the rate of change compared to the previous year for each component. Using this, this study attempted index analysis, numerical analysis, and model analysis. Correlation analysis result, the National Debt has a high relationship with the For Common Housing Stability. For Foreign Exchange Market Stabilization, Public Funds, etc., but has a low relationship with the Local Government Net Debt. Since 1997, National Debt has been increasing similarly to the For Foreign Exchange Market Stabilization, For Common Housing Stability and Public Funds etc. Since 2020, Korea is expected to increase significantly in terms of For Common Housing Stability and Public Funds, etc due to Corona19. At a time when the global economic situation is difficult, Korea's National Debt is expected to increase significantly due to the use of national disaster subsidies. However, if possible, the government expects to operate efficiently for economic growth and financial market stability.

• The KIPS Transactions:PartD
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• v.8D no.6
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• pp.665-672
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• 2001

ITA (Information Technology Architecture) satisfies the requirements of information system, supports the information used in the institution's business to guarantee the interoperability and security, and analyzes the components of information system. ITA consists of EA (Enterprise Architecture), TRM (Technical Reference Manual) and SP (Standard Profile). The SP, one of the major components of ITA, is a set of information technology standards. In this paper, to construct and utilize the ITA, we mention the applications of information technology about the SP system implementation based on the TRM. The SP management system implemented in this paper is the first trial in Korea, and designs the software with object oriented programming languages such as JSP and Java. Moreover the basic and detailed specification based on the UML notation, system design using the component and system design pattern consisting of software architectures enhance the software reusability. And the constructed system in this paper shows less maintenance cost by using the public softwares such as Linux system, Korean DBMS, Apache and Tomcat, etc. Finally, the system includes the SP reference system which is used in the other institutions and cannot be found in other institutions. Also it includes the additional diverse service modules which support the subsequent processing for the establishment and revision of standards via internet.

• Journal of Distribution Science
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• v.13 no.9
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• pp.95-101
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• 2015

Purpose - This study provides evidence of the impact of the mandatory adoption of Korean equivalents to International Financial Reporting Standards (K-IFRS) on accounting quality. K-IFRS uses fair value as a basis of measurement and is characterized by principle-based standards. These characteristics can lead to a decrease in conservatism. Therefore, this study aims to examine whether or not there is a change in the level of conservatism before and after the enforcement of K-IFRS (2007~2014). By comparing 2007 through 2008 and 2013 through 2014 (excluding 2009 to 2012), we test "the temporary adjustment phenomenon" and document an overall decline in the degree of conservatism after the adoption of K-IFRS. Research design, data, and methodology - Our sample is comprised of data of all listed Korea Composite Stock Price Index (KOSPI) manufacturing distribution companies in Korea from 2007 to 2014, which yields the pooled sample of 4,412 (panel A) and 1,915 (panel B) firm-year observations for hypotheses 1 and 2. In line with recent literature, we adopt the Givoly and Hayn (2000) model, which recomputes the non-operating accruals, excluding two components that are most likely to capture the effect of restructuring activities: special items and gains or losses from discontinued operations. In addition, we also use these variables: SIZE, LEV, INV_CYCLE, ROA, OWN, and FOR. Results - Our sample period spans 2007 to 2014. This offers evidence on the effect of the mandatory adoption of IFRS on conservatism. Our findings can be summarized as follows. First, in panel A, for mandatory K-IFRS adoption (2011), we do not find any significant evidence of conservatism. We can guess that the "temporary adjustment phenomenon" is the reason that we do not find significant evidence of conservatism. Second, we investigate panel B from 2009 to 2012. We document an overall decline in the degree of conservatism after the adoption of K-IFRS. We can assume that these results are due to "the temporary adjustment phenomenon." Conclusions - This study finds that conservatism significantly decreased after IFRS adoption. In particular, this study makes the initial effort to elucidate "the temporary adjustment phenomenon" to analyze the effect of K-IFRS on conservative accounting. We argue that K-IFRS are conceptually conservative but that inappropriate application of the conservatism principles is likely to prevent financial reporting from reaching the level of conservatism targeted by the IASB. Overall, this paper contributes to the literature on IFRS and can be useful to capital market supervisors who are monitoring the trends of the firms implementing K-IFRS. Additionally, our results inform stakeholders of the potentially negative effect of the greater flexibility permitted by IFRS and/or lack of appropriate enforcement on key dimensions of accounting quality. This has important implications for Korean regulators and standard setters as they review the cost and benefits of IFRS. Our study also sheds light on the importance of the institutional environment in achieving the targeted objectives for improving financial reporting quality.

• Journal of Fashion Business
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• v.15 no.1
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• pp.103-114
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• 2011

This study is to provide basic information on clothing fitness necessary to develop apparel products for Korean companies that want to enter or have already made inroads into the Chinese market. In an effort to serve this purpose, a standard upper torso body model for Chinese women was established by applying the Rohrer Index and Size Designation of Clothes - Women of GB/T 1335.2-1997 to Chinese women in their 20s to determine body types and its characteristics. First, according to the result of applying the Rohrer Index to categorize body types, Type 1 showed the longest vertical body length and a short horizontal length with the lowest degree of flatness. Type 2 was a standard body type with a height of 158.73cm, weight of 53.02kg and the Rohrer Index of 1.32. Type 3 had a thick and flat body shape that had the highest degree of flatness and the shortest vertical length in its upper torso among all three types of body. Second, F-test was conducted on 4 distinctive body types obtained from comparing obesity scores to verify differences in body shapes for different degree of obesity. The test result indicated significant differences in 3 of the 4 body types and showed different structural components for different degree of obesity. Third, the result of comparing correlational distributions of body types and height range, and body types and degree of obesity for all and specified age groups revealed that about 33.30% of the body types appeared in Type2-A followed by 20.18% in Type1-A, 18.40% in Type2-Y and 7.91% in Type1-Y respectively. Body types and degree of obesity for two different age groups were most frequent in Type2-A. For the group of young women in their early 20s appeared the most in Type2-A, Type1-A, Type2-Y and Type 1-Y respectively and young women in late 20s were frequent in the order of Type2-A, Type2-Y, Type1-A and Type1-Y.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.11 no.8
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• pp.2780-2792
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• 2010

In this study, we examine what components of e-learning environment affect e-learners' satisfaction. We focus on the task based approach to perceived website complexity(PWC). We study about the role of e-tutor using the internet, telephone, text message and e-mail etc. To test our model, we collected 235 data from online learners of Korea Culture & Content Agency using survey method. The research was conducted by SPSS15.0. Our results show that the relationship between PWC and e-learner satisfaction was negative. The rules of e-tutor are supporting e-learning service and facilitating recommendation intention. This study provides implications to design future e-learning service, understand user's herd behavior and evaluate learning process developed.

• Journal of Distribution Science
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• v.12 no.8
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• pp.103-112
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• 2014

Purpose - There have been local government systems since June 1955. Many local governments have made use of festivals for regional public relations and the achievement of competitiveness. This study analyzes effective components of local festivals. There has been extensive research in relation to variables such as participation motivation, satisfaction level, recall intention, royalty, and recommend purpose. However, as a variable factor, attachment to the participation motivation of a festival has been overlooked along with support level to a festival. This study has added new variables named "attachment to local society" and "support level," which are dependent variables. We will study the relationship of these two variables. Research design, data, and methodology - This study has devised a cause-and-effect relationship model, which deduces that local residents' participation motivation for the festival will have positive influence on the festival support level and satisfaction level. We circulated questionnaires to local residents to get the data required to prove the hypothesis. To analysis the data, we used SPSS 21.0, and accomplished basic analysis through the analysis of frequency as well as descriptive statistical analysis. Further, we verified our measurement tools through reliability analysis, and examined the research hypothesis through multiple regression analysis. Results - With regard to the festival satisfaction level, the variables of local society attachment, festival attraction, escaping from the daily life, and family harmony have influence upon a positive effect (+) in this order. Among them, the variable of local society attachment has the greatest influence. However, in respect of support level for the festival, only the variables of local society attachment and escaping from the daily life have a valid influence on the positive effect (+), and local society attachment has relatively greater influence. In addition, not only does the festival satisfaction level affect the support level for the festival in terms of positive effect, the influence is also far-reaching, which verifies the mediating effect. Conclusions - The result shows that the local residents' satisfaction level with the Yudalsan Mountain Spring Flower Festival is comparatively high, which is due to the local society attachment. It also shows that it is difficult to create support without local residents' attachment with their area. Consequently, this study insists that the Yudalsan Mountain Spring Flower Festival should exceed its limitation as just a village-level party, in order to become a remarkable and outstanding festival, and suggests three operational implications: macro-environmental development, task environment development, and internal operational environmental development. From the macro-environmental perspective, the constant development of local culture and local business is proposed. In the task environment perspective, a new functional development for the festival is proposed. From the internal operational environmental perspective, improvements in festival operation methods are proposed. If these weak points are addressed and resolved through a more detailed approach, it will be very helpful for local government systems to operate the festival.

• Journal of Global Scholars of Marketing Science
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• v.19 no.4
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• pp.32-43
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• 2009

Trust has been studied extensively in psychology, economics, and sociology, and its importance has been emphasized not only in marketing, but also in business disciplines in general. Unlike past relationships between suppliers and buyers, which take considerable advantage of private networks and may involve unethical business practices, partnerships between suppliers and buyers are at the core of success for industrial marketing amid intense global competition in the 21st century. A high level of mutual cooperation occurs through an exchange relationship based on trust, which brings long-term benefits, competitive enhancements, and transaction cost reductions, among other benefits, for both buyers and suppliers. In spite of the important role of trust, existing studies in buy-supply situations overlook the role of trust and do not systematically analyze the effect of trust on relational performance. Consequently, an in-depth study that determines the relation of trust to the relational performance between buyers and suppliers of business services is absolutely needed. Business services in this study, which include those supporting the manufacturing industry, are drawing attention as the economic growth engine for the next generation. The Korean government has selected business services as a strategic area for the development of manufacturing sectors. Since the demands for opening business services markets are becoming fiercer, the competitiveness of the business service industry must be promoted now more than ever. The purpose of this study is to investigate the effect of the mutual trust between buyers and suppliers on relational performance. Specifically, this study proposed a theoretical model of trust-relational performance in the transactions of business services and empirically tested the hypotheses delineated from the framework. The study suggests strategic implications based on research findings. Empirical data were collected via multiple methods, including via telephone, mail, and in-person interviews. Sample companies were knowledge-based companies supplying and purchasing business services in Korea. The present study collected data on a dyadic basis. Each pair of sample companies includes a buying company and its corresponding supplying company. Mutual trust was traced for each pair of companies. This study proposes a model of trust-relational performance of buying-supplying for business services. The model consists of trust and its antecedents and consequences. The trust of buyers is classified into trust toward the supplying company and trust toward salespersons. Viewing trust both at the individual level and the organizational level is based on the research of Doney and Cannon (1997). Normally, buyers are the subject of trust, but this study supposes that suppliers are the subjects. Hence, it uniquely focused on the bilateral perspective of perceived risk. In other words, suppliers, like buyers, are the subject of trust since transactions are normally bilateral. From this point of view, suppliers' trust in buyers is as important as buyers' trust in suppliers. The suppliers' trust is influenced by the extent to which it trusts the buying companies and the buyers. This classification of trust using an individual level and an organization level is based on the suggestion of Doney and Cannon (1997). Trust affects the process of supplier selection, which works in a bilateral manner. Suppliers are actively involved in the supplier selection process, working very closely with buyers. In addition, the process is affected by the extent to which each party trusts its partners. The selection process consists of certain steps: recognition, information search, supplier selection, and performance evaluation. As a result of the process, both buyers and suppliers evaluate the performance and take corrective actions on the basis of such outcomes as tangible, intangible, and/or side effects. The measurement of trust used for the present study was developed on the basis of the studies of Mayer, Davis and Schoorman (1995) and Mayer and Davis (1999). Based on their recommendations, the three dimensions of trust used for the study include ability, benevolence, and integrity. The original questions were adjusted to the context of the transactions of business services. For example, a question such as "He/she has professional capabilities" has been changed to "The salesperson showed professional capabilities while we talked about our products." The measurement used for this study differs from those used in previous studies (Rotter 1967; Sullivan and Peterson 1982; Dwyer and Oh 1987). The measurements of the antecedents and consequences of trust used for this study were developed on the basis of Doney and Cannon (1997). The original questions were adjusted to the context of transactions in business services. In particular, questions were developed for both buyers and suppliers to address the following factors: reputation (integrity, customer care, good-will), market standing (company size, market share, positioning in the industry), willingness to customize (product, process, delivery), information sharing (proprietary information, private information), willingness to maintain relationships, perceived professionalism, authority empowerment, buyer-seller similarity, and contact frequency. As a consequential variable of trust, relational performance was measured. Relational performance is classified into tangible effects, intangible effects, and side effects. Tangible effects include financial performance; intangible effects include improvements in relations, network developing, and internal employee satisfaction; side effects include those not included either in the tangible or intangible effects. Three hundred fifty pairs of companies were contacted, and one hundred five pairs of companies responded. After deleting five company pairs because of incomplete responses, one hundred five pairs of companies were used for data analysis. The response ratio of the companies used for data analysis is 30% (105/350), which is above the average response ratio in industrial marketing research. As for the characteristics of the respondent companies, the majority of the companies operate service businesses for both buyers (85.4%) and suppliers (81.8%). The majority of buyers (76%) deal with consumer goods, while the majority of suppliers (70%) deal with industrial goods. This may imply that buyers process the incoming material, parts, and components to produce the finished consumer goods. As indicated by their report of the length of acquaintance with their partners, suppliers appear to have longer business relationships than do buyers. Hypothesis 1 tested the effects of buyer-supplier characteristics on trust. The salesperson's professionalism (t=2.070, p<0.05) and authority empowerment (t=2.328, p<0.05) positively affected buyers' trust toward suppliers. On the other hand, authority empowerment (t=2.192, p<0.05) positively affected supplier trust toward buyers. For both buyers and suppliers, the degree of authority empowerment plays a crucial role in the maintenance of their trust in each other. Hypothesis 2 tested the effects of buyerseller relational characteristics on trust. Buyers tend to trust suppliers, as suppliers make every effort to contact buyers (t=2.212, p<0.05). This tendency has also been shown to be much stronger for suppliers (t=2.591, p<0.01). On the other hand suppliers trust buyers because suppliers perceive buyers as being similar to themselves (t=2.702, p<0.01). This finding confirmed the results of Crosby, Evans, and Cowles (1990), which reported that suppliers and buyers build relationships through regular meetings, either for business or personal matters. Hypothesis 3 tested the effects of trust on perceived risk. It has been found that for both suppliers and buyers the lower is the trust, the higher is the perceived risk (t=-6.621, p<0.01 for buyers; t=-2.437, p<0.05). Interestingly, this tendency has been shown to be much stronger for buyers than for suppliers. One possible explanation for this higher level of perceived risk is that buyers normally perceive higher risks than do suppliers in transactions involving business services. For this reason, it is necessary for suppliers to implement risk reduction strategies for buyers. Hypothesis 4 tested the effects of trust on information searching. It has been found that for both suppliers and buyers, contrary to expectation, trust depends on their partner's reputation (t=2.929, p<0.01 for buyers; t=2.711, p<0.05 for suppliers). This finding shows that suppliers with good reputations tend to be trusted. Prior experience did not show any significant relationship with trust for either buyers or suppliers. Hypothesis 5 tested the effects of trust on supplier/buyer selection. Unlike buyers, suppliers tend to trust buyers when they think that previous transactions with buyers were important (t=2.913 p<0.01). However, this study did not show any significant relationship between source loyalty and the trust of buyers in suppliers. Hypothesis 6 tested the effects of trust on relational performances. For buyers and suppliers, financial performance reportedly improved when they trusted their partners (t=2.301, p<0.05 for buyers; t=3.692, p<0.01 for suppliers). It is interesting that this tendency was much stronger for suppliers than it was for buyers. Similarly, competitiveness was reported to improve when buyers and suppliers trusted their partners (t=3.563, p<0.01 for buyers; t=3.042, p<0.01 for suppliers). For suppliers, efficiency and productivity were reportedly improved when they trusted buyers (t=2.673, p<0.01). Other performance indices showed insignificant relationships with trust. The findings of this study have some strategic implications. First and most importantly, trust-based transactions are beneficial for both suppliers and buyers. As verified in the study, financial performance can be improved through efforts to build and maintain mutual trust. Similarly, competitiveness can be increased through the same kinds of effort. Second, trust-based transactions can facilitate the reduction of perceived risks inherent in the purchasing situation. This finding has implications for both suppliers and buyers. It is generally believed that buyers perceive higher risks in a highly involved purchasing situation. To reduce risks, previous studies have recommended that suppliers devise risk-reducing tactics. Moving beyond these recommendations, the present study uniquely focused on the bilateral perspective of perceived risk. In other words, suppliers are also susceptible to perceived risks, especially when they supply services that require very technical and sophisticated manipulations and maintenance. Consequently, buyers and suppliers must solve problems together in close collaboration. Hence, mutual trust plays a crucial role in the problem-solving process. Third, as found in this study, the more authority a salesperson has, the more he or she can be trusted. This finding is very important with regard to tactics. Building trust is a long-term assignment; however, when mutual trust has not been developed, suppliers can overcome the problems they encounter by empowering a salesperson with the authority to make certain decisions. This finding applies to suppliers as well.

• Journal of Distribution Science
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• v.9 no.3
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• pp.5-14
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• 2011

One of the new roles of modern retail stores is to supply consumers with a memorable experience. In Korea, enhancing a store's environment so that customers remember a unique shopping experience is recognized as a sound strategy for strengthening the store's competitiveness. Motivated by this incentive, awareness of the experience-store concept is starting to increase in various categories of the retail industry. However, many experience stores, except in a few cases, have yet to derive a significant profit, explaining why Korean consumers are somewhat unfamiliar with, yet fascinated by, the experience stores that now exist in the country. Consumer satisfaction directly, and indirectly, affects a company's future profit and potential financial gain; customer satisfaction also affects loyalty. Therefore, knowing the significant factors that increase satisfaction and loyalty is essential for any company, in any field, to be able to effectively differentiate itself from the competition. Intrigued by increased competition opportunities, most Korean companies have adopted experience-store marketing strategies. When establishing the most effective processes for increasing sales and achieving a sustainable competitive advantage of a new concept, companies should consider certain factors that influence consumers' ability to accept new concepts and ideas. The Technology Acceptance Model (TAM) is a theory that models how people accept new concepts. TAM proposes the following two factors that influence a person's decisions about how, and when, he or she will use a new product: "perceived usefulness" and "perceived ease of use." Much of the existing research has suggested that a person's character also affects the process for accepting new ideas. Such personal character attributes as individual preferences, self-confidence, and a person's values, traits, and/or skills affect the process for willingly consenting to try something new. It will be meaningful to establish how the TAM theory's components, as well as personal character, affect individuals accepting the experience-store concept. To that end, as it pertains to an experience store, the first goal of the study is to examine the influence of innovative factors (perceived usefulness and perceived ease of use) on satisfaction and loyalty. The second objective is to define the moderate effect of consumers' personal characteristics on the model. The proposed model was tested on 149 respondents who were engaged in leisure sports activities and bought sports outdoor garments and equipment. According to the study's findings, the satisfaction and loyalty of an experience store can be explained by perceived usefulness and perceived ease of use, with the study's results demonstrating the stronger of the two factors being "perceived ease of use." The study failed to explain the effects of a person's character on the model. In conclusion, when the companies that operate the experience stores execute their marketing and promotion strategies, they should stress the stores' "ease of use" product components. Additionally, it can be extrapolated from the study data that since the experience-store idea is still relatively unfamiliar to Korean consumers, most customers are not yet able to evaluate, nor take a position regarding, their respective attitudes toward experience stores.

• Journal of Global Scholars of Marketing Science
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• v.18 no.4
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• pp.61-118
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• 2008

The purpose of this research is to construct research framework for international franchising based on existing literature and to identify research components in the framework. Franchise can be defined as management styles that allow franchisee use various management assets of franchisor in order to make or sell product or service. It can be divided into product distribution franchise that is designed to sell products and business format franchise that is designed for running it as business whatever its form is. International franchising can be defined as a way of internationalization of franchisor to foreign country by providing its business format or package to franchisee of host country. International franchising is growing fast for last four decades but academic research on this is quite limited. Especially in Korea, research about international franchising is carried out on by case study format with single case or empirical study format with survey based on domestic franchise theory. Therefore, this paper tries to review existing literature on international franchising research, providing research framework, and then stimulating new research on this field. International franchising research components include motives and environmental factors for decision of expanding to international franchising, entrance modes and development plan for international franchising, contracts and management strategy of international franchising, and various performance measures from different perspectives. First, motives of international franchising are fee collection from franchisee. Also it provides easier way to expanding to foreign country. The other motives including increase total sales volume, occupying better strategic position, getting quality resources, and improving efficiency. Environmental factors that facilitating international franchising encompasses economic condition, trend, and legal or political factors in host and/or home countries. In addition, control power and risk management capability of franchisor plays critical role in successful franchising contract. Final decision to enter foreign country via franchising is determined by numerous factors like history, size, growth, competitiveness, management system, bonding capability, industry characteristics of franchisor. After deciding to enter into foreign country, franchisor needs to set entrance modes of international franchising. Within contractual mode, there are master franchising and area developing franchising, licensing, direct franchising, and joint venture. Theories about entrance mode selection contain concepts of efficiency, knowledge-based approach, competence-based approach, agent theory, and governance cost. The next step after entrance decision is operation strategy. Operation strategy starts with selecting a target city and a target country for franchising. In order to finding, screening targets, franchisor needs to collect information about candidates. Critical information includes brand patent, commercial laws, regulations, market conditions, country risk, and industry analysis. After selecting a target city in target country, franchisor needs to select franchisee, in other word, partner. The first important criteria for selecting partners are financial credibility and capability, possession of real estate. And cultural similarity and knowledge about franchisor and/or home country are also recognized as critical criteria. The most important element in operating strategy is legal document between franchisor and franchisee with home and host countries. Terms and conditions in legal documents give objective information about characteristics of franchising agreement for academic research. Legal documents have definitions of terminology, territory and exclusivity, agreement of term, initial fee, continuing fees, clearing currency, and rights about sub-franchising. Also, legal documents could have terms about softer elements like training program and operation manual. And harder elements like law competent court and terms of expiration. Next element in operating strategy is about product and service. Especially for business format franchising, product/service deliverable, benefit communicators, system identifiers (architectural features), and format facilitators are listed for product/service strategic elements. Another important decision on product/service is standardization vs. customization. The rationale behind standardization is cost reduction, efficiency, consistency, image congruence, brand awareness, and competitiveness on price. Also standardization enables large scale R&D and innovative change in management style. Another element in operating strategy is control management. The simple way to control franchise contract is relying on legal terms, contractual control system. There are other control systems, administrative control system and ethical control system. Contractual control system is a coercive source of power, but franchisor usually doesn't want to use legal power since it doesn't help to build up positive relationship. Instead, self-regulation is widely used. Administrative control system uses control mechanism from ordinary work relationship. Its main component is supporting activities to franchisee and communication method. For example, franchisor provides advertising, training, manual, and delivery, then franchisee follows franchisor's direction. Another component is building franchisor's brand power. The last research element is performance factor of international franchising. Performance elements can be divided into franchisor's performance and franchisee's performance. The conceptual performance measures of franchisor are simple but not easy to obtain objectively. They are profit, sale, cost, experience, and brand power. The performance measures of franchisee are mostly about benefits of host country. They contain small business development, promotion of employment, introduction of new business model, and level up technology status. There are indirect benefits, like increase of tax, refinement of corporate citizenship, regional economic clustering, and improvement of international balance. In addition to those, host country gets socio-cultural change other than economic effects. It includes demographic change, social trend, customer value change, social communication, and social globalization. Sometimes it is called as westernization or McDonaldization of society. In addition, the paper reviews on theories that have been frequently applied to international franchising research, such as agent theory, resource-based view, transaction cost theory, organizational learning theory, and international expansion theories. Resource based theory is used in strategic decision based on resources, like decision about entrance and cooperation depending on resources of franchisee and franchisor. Transaction cost theory can be applied in determination of mutual trust or satisfaction of franchising players. Agent theory tries to explain strategic decision for reducing problem caused by utilizing agent, for example research on control system in franchising agreements. Organizational Learning theory is relatively new in franchising research. It assumes organization tries to maximize performance and learning of organization. In addition, Internalization theory advocates strategic decision of direct investment for removing inefficiency of market transaction and is applied in research on terms of contract. And oligopolistic competition theory is used to explain various entry modes for international expansion. Competency theory support strategic decision of utilizing key competitive advantage. Furthermore, research methodologies including qualitative and quantitative methodologies are suggested for more rigorous international franchising research. Quantitative research needs more real data other than survey data which is usually respondent's judgment. In order to verify theory more rigorously, research based on real data is essential. However, real quantitative data is quite hard to get. The qualitative research other than single case study is also highly recommended. Since international franchising has limited number of applications, scientific research based on grounded theory and ethnography study can be used. Scientific case study is differentiated with single case study on its data collection method and analysis method. The key concept is triangulation in measurement, logical coding and comparison. Finally, it provides overall research direction for international franchising after summarizing research trend in Korea. International franchising research in Korea has two different types, one is for studying Korean franchisor going overseas and the other is for Korean franchisee of foreign franchisor. Among research on Korean franchisor, two common patterns are observed. First of all, they usually deal with success story of one franchisor. The other common pattern is that they focus on same industry and country. Therefore, international franchise research needs to extend their focus to broader subjects with scientific research methodology as well as development of new theory.

• Journal of Intelligence and Information Systems
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• v.18 no.4
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• pp.97-116
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• 2012

Conceptual modeling is an important step for successful system development. It helps system designers and business practitioners share the same view on domain knowledge. If the work is successful, a result of conceptual modeling can be beneficial in increasing productivity and reducing failures. However, the value of conceptual modeling is unlikely to be evaluated uniformly because we are lack of agreement on how to elicit concepts and how to represent those with conceptual modeling constructs. Especially, designing relationships between components, also known as part-whole relationships, have been regarded as complicated work. The recent study, "Representing Part-Whole Relations in Conceptual Modeling : An Empirical Evaluation" (Shanks et al., 2008), published in MIS Quarterly, can be regarded as one of positive efforts. Not only the study is one of few attempts of trying to clarify how to select modeling alternatives in part-whole design, but also it shows results based on an empirical experiment. Shanks et al. argue that there are two modeling alternatives to represent part-whole relationships : an implicit representation and an explicit one. By conducting an experiment, they insist that the explicit representation increases the value of a conceptual model. Moreover, Shanks et al. justify their findings by citing the BWW ontology. Recently, the study from Shanks et al. faces criticism. Allen and March (2012) argue that Shanks et al.'s experiment is lack of validity and reliability since the experimental setting suffers from error-prone and self-defensive design. They point out that the experiment is intentionally fabricated to support the idea, as such that using concrete UML concepts results in positive results in understanding models. Additionally, Allen and March add that the experiment failed to consider boundary conditions; thus reducing credibility. Shanks and Weber (2012) contradict flatly the argument suggested by Allen and March (2012). To defend, they posit the BWW ontology is righteously applied in supporting the research. Moreover, the experiment, they insist, can be fairly acceptable. Therefore, Shanks and Weber argue that Allen and March distort the true value of Shanks et al. by pointing out minor limitations. In this study, we try to investigate the dispute around Shanks et al. in order to answer to the following question : "What is the proper value of the study conducted by Shanks et al.?" More profoundly, we question whether or not using the BWW ontology can be the only viable option of exploring better conceptual modeling methods and procedures. To understand key issues around the dispute, first we reviewed previous studies relating to the BWW ontology. We critically reviewed both of Shanks and Weber and Allen and March. With those findings, we further discuss theories on part-whole (or part-of) relationships that are rarely treated in the dispute. As a result, we found three additional evidences that are not sufficiently covered by the dispute. The main focus of the dispute is on the errors of experimental methods: Shanks et al. did not use Bunge's Ontology properly; the refutation of a paradigm shift is lack of concrete, logical rationale; the conceptualization on part-whole relations should be reformed. Conclusively, Allen and March indicate properly issues that weaken the value of Shanks et al. In general, their criticism is reasonable; however, they do not provide sufficient answers how to anchor future studies on part-whole relationships. We argue that the use of the BWW ontology should be rigorously evaluated by its original philosophical rationales surrounding part-whole existence. Moreover, conceptual modeling on the part-whole phenomena should be investigated with more plentiful lens of alternative theories. The criticism on Shanks et al. should not be regarded as a contradiction on evaluating modeling methods of alternative part-whole representations. To the contrary, it should be viewed as a call for research on usable and useful approaches to increase value of conceptual modeling.