• Title/Summary/Keyword: Buying Decisions

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Consumer Roles and Practical Methods for Environmental Preservation (환경보전을 위한 소비자 역할과 실천적 접근방법에 관한 고찰)

  • Shon, Sang-Hee
    • Korean Journal of Human Ecology
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    • v.6 no.1
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    • pp.41-53
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    • 1997
  • Environmental issues are increasingly important in consumer decision-making. This paper focuses on the consumer's role in consumption process-purchase, use, and disposal, which has significant environmental consequences. And this paper discusses several approaches to motivate consumer's awareness and responsibility for the environment and further his/her lifestyle change. The Green Consumer should be able to consider the implications of his/her lifestyle choices as well as his/her purchase, use, and disposal decisions. Consumer education and various consumer movements for environment preservation should keep the goal in perspective, which is not only to motivate consumer's long-term behavior change but also to consign his/her buying power and political power to help make changes where he/she really counts.

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Yield Management Models for Two Substitutable Products (두 대체품에 대한 수익관리 모형 연구)

  • Kim, Sang-Won
    • Journal of the Korean Operations Research and Management Science Society
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    • v.41 no.2
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    • pp.1-16
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    • 2016
  • Yield management, which originated from the U.S. service industry, uses pricing techniques and information systems to make demand management decisions. Demand uncertainty is an important factor in the area of demand management. A key strategy to reduce the effects of demand uncertainty is substitution. The most generally known type of substitution is inventory-driven substitution, in which consumers substitute an out-of-stock product by buying a similar or other type of product. Another type of substitution is the price-driven substitution, which occurs as a result of price changes. In this research, we consider two market segments that have unique perishable products. We develop yield management optimization models with stochastic demand based on the newsvendor model where inventory-driven and price-driven substitutions are allowed between products in the two market segments. The most significant contribution of this research is that it develops analytical procedures to determine optimal solutions and considers both types of substitution. We also provide detailed theoretical analysis and numerical examples.

A Seat Inventory Management Model in the Presence of Dependent Demands (종속적 수요를 반영하는 좌석재고 할당 모형)

  • Kim, Sang-Won
    • Korean Management Science Review
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    • v.27 no.2
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    • pp.67-79
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    • 2010
  • When airlines sell the same seats on an air flight at different fares, demand for a fare class depends on demand for other fare classes due to demand dependency. Demand dependencies occur when customers will buy other fare class tickets if the originally requested fare were unavailable, or when customers postpone their purchase decisions in anticipation of reopening of the lower fare in the next period. Demand dependency as a result customer buying behavior has a considerable profit implication, which was ignored in many earlier studies. We investigate the impact of demand dependency on the optimal booking limits and the expected revenues under a single-period and a two-period setting. We show how to find optimal booking limits of the problem and provide numerical examples to illustrate the impact.

Small Buyers Adoption of Reverse Aggregation Electronic Markets: A Case Study on the Korean Auto Repair Industry

  • Lim, Seong-Bae;Kim, Sung-Kwan;Mitchel, Robert B.;Hong, Soon-Goo
    • The Journal of Information Systems
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    • v.13 no.2
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    • pp.155-172
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    • 2004
  • The purpose of this study is to investigate factors which can lead small buyers to participate in a Reverse Aggregation Electronic Market (RAEM). Five factors including search, selection, price, delivery, and Internet literacy were selected as possible factors which are expected to influence small buyers' participation in a RAEM. This paper focused on a RAEM of the Korean automotive industry in which the third party aggregator formed a group of small automobile repair shops (ARS) and amassed buying power for them by building a buyer' oriented electronic market (EM). Survey data were collected from small ARS in South Korea. The results of the empirical analysis indicated that fast delivery and support for Internet illiteracy are potential incentives that could influence buyers' decisions to join a RAEM.

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An Empirical Study On Differences of Influencing Consumers' Buying Decisions with Products' Competitiveness by Domestic Distribution Channels of Foreign Clothing Brands (해외의류브랜드의 국내 유통경로별 상품경쟁력 요소의 소비자 구매결정 영향 차이에 관한 실증 연구)

  • Park, Soo-Hong
    • International Commerce and Information Review
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    • v.10 no.2
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    • pp.235-261
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    • 2008
  • The purpose of the study is to test differences in consumers' satisfactions on products' competitiveness by domestic distribution channels of foreign clothing brands. Domestic distribution channels of foreign clothing brand consist of 5 channels as multi channel strategy. And product's competitiveness consists of prices, qualities, brand image and services. The results from the research show that there are differences in satisfaction by distribution channels. And they imply that distribution channel strategy is used with 5 channels in Korea, which are emphasized with different products' competitiveness. The contribution of the study is to analyze differences in consumer's satisfaction by 5 channels with data from consumer's perspectives, not firms' viewpoints.

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Information Sources of Reference Used by Male College Students for Casual Wear Purchase Decisions

  • Shin, Su-Yun
    • The International Journal of Costume Culture
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    • v.2 no.1
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    • pp.77-86
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    • 1999
  • This study was designed to identify the information sources of reference used by male college students. Theoretical framework is based upon social comparison theory, reference group theory, and Kotler's model of personal and non-personal sources of reference. The subjects were 287 male college students. The questionnaire were distributed to the school area and the commercial area such as Shinchon, Myung-Dong, and Apkujung-Dong in Seoul. Means, standard deviation, frequency, T-test, one-way ANOVA, and Duncan's multiple range test were applied for the analyses of data. The result of hyporthesis 1 showed that male college student utilize personal and non-personal sources of reference indiscriminately. The result of hypothesis 2 showed that male college students consult the socially high-proximal group such as a girl friend(a lover) and mother most actively. The result of hypothesis 3 found that male college students use position media most actively, especially in-store displays, followed by print media and broadcast media.

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Development of a New Direct Marketing Channel in the Chinese Rural Market: The Case of Hongfu Fertilizer Company

  • Li, Dao-sheng;Hong, Jinhwan
    • Asia Marketing Journal
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    • v.15 no.2
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    • pp.29-47
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    • 2013
  • Distribution channel decisions involve long-term commitments with other firms that are very difficult to change or replace. In particular, marketing channel decisions in emerging markets are much more complicated due to unfamiliar conditions and problems such as lack of market data and distribution systems. Therefore, when a company considers changing or introducing a marketing channel in an area, it is much more difficult to judge its effectiveness in an emerging market than in a developed market. In this study, we investigate the development process of a new direct marketing channel of Hongfu Fertilizer Company (hereafter Hongfu), a medium-sized Chinese fertilizer manufacturer, and propose an approach to test the feasibility of this new marketing channel in the Chinese rural market. We measure the effectiveness of Hongfu's new marketing channel from two perspectives: i) from customers' perspective through direct responses of farmers, which showed that a new channel can increase the convenience and lower the purchasing costs for the farmers, and ii) from the company's perspective, by calculating the incremental profit of the company using the expansion factor (T/Q) method, which suggested that the execution of Hongfu's strategy to expand a new marketing channel will result in an increase in profits. The results of this study contribute to the development of a methodology to test the feasibility of a new direct marketing channel in the emerging markets such as the Chinese rural market. Traditional and indirect distribution channels in emerging markets are generally not very efficient and difficult to change. Especially, in emerging markets, like the Chinese rural market, the methods of testing channel feasibility must be different from that of developed markets. Considering market situations, market experiments can be more effective then systematic market surveys in testing channel feasibility in emerging markets. This study implies that managers must learn to cope with a transition from the traditional marketing channels in emerging markets. With the development in farmers' understanding of marketing concept, the transition from traditional marketing channel is unavoidable for all firms. Farmers in China are generally very conservative, however, their buying behaviors are changing. Therefore, fertilizer companies should try to adjust in accordance with farmers' demand characteristics that the efforts to meet the economic needs of farmers with new marketing channels as well as trust building are critical in the near future.

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Predicting Intention to Use the Internet Information Search and Shopping Apparel Among Korean Female Computer Users

  • Nam, Mi-Woo
    • International Journal of Human Ecology
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    • v.4 no.2
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    • pp.39-53
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    • 2003
  • This study was designed to provide a better understanding of Korean female Internet users' intention to search for information regarding apparel goods and to shop for these goods. Shopping orientation, familiarity, and prior purchase experience were seen as influencing the intention to use the Internet for information search. An important aspect in the search habits that a consumer adopts in gathering information for their buying decisions was Internet shopping attitude. The objective was to predict apparel shopping in terms of prior Internet shopping experience, familiarity, intention to search information via the Internet, and shopping orientation. Internet shopping attitude, familiarity, prior purchase experience, and intention to use to search information were significant in predicting Internet apparel shopping. The most important determinants which influenced Internet shopping were attitude toward Internet shopping and intention to search. In considering the results of the present study, one should recognize the inherent limitations associated with generalizing these findings beyond the sample and the consumer products examined which in this study were apparel goods. Also this study focused on female computer users only. Therefore, future research should utilize more broadly based samples and refine the instrument to distinguish among different apparel products. This study does provide some information that should be helpful to retailers targeting the women's online apparel market.

Research on the relationship between recognition level and confidence, purchase attitude about nutrition labeling information of bakery products (베이커리 제품의 영양표시정보에 대한 인지정도 및 신뢰, 구매태도 간 관계에 관한 연구)

  • Jung, Soon Hwa
    • Korean Journal of Human Ecology
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    • v.23 no.1
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    • pp.123-136
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    • 2014
  • Bakery nutrition labeling has been implemented in the company, but most consumers have no idea about it due to lack of promotion of the product nutrition labeling information or do not have a big interest in it. As a result, various studies based on the forecast about changes in consumption patterns of the bakery market due to nutrition labeling information are needed. Especially nowadays, when buying bakery products the involvement of consumers in health and nutrition is growing. So, we need to understand that nutrition labeling information makes any causal relationship between consumer attitude and confidence, purchasing behavior in bakery products. It can be said to be a very important research. For that reason, I think this research will help to settle and activate the nutrition labeling information system for the rational purchasing decisions of consumers in the bakery market. In addition, this research could be a base material for various marketing strategies.

An Empirical Study of the Korean Telecommunication Market and IoT Smart Home: Effects of Bundling Strategy on Consumers' Responses

  • KIM, Hoik;KIM, Han-Min;LEE, Minhwan
    • Journal of Distribution Science
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    • v.18 no.5
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    • pp.15-23
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    • 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.