• Title/Summary/Keyword: Consumer Choice Model

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The Interaction Effect of Foreign Model Attractiveness and Foreign Language Usage (외국인 모델의 매력도와 외국어 사용의 상호작용 효과)

  • Lee, Ji-Hyun;Lee, Dong-Il
    • Journal of Global Scholars of Marketing Science
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    • v.17 no.3
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    • pp.61-81
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    • 2007
  • Recently, use of foreign models and foreign language in advertising is a general trend in Korea even though the effect has not been well-known..Most of the previous research shows rather an opposite effect claiming marketing communication is more effective when higher congruity between marketing communication and consumer's cultural values are achieved. However, the introduction of global culture due to the expansion of new media such as Internet or cable television makes the congruity not the best choice of marketing strategy. In addition, use of highly attractive models in advertising to increase the effect of advertising is general. However, recent studies show that targeted women audience tend to compare themselves to the highly attractive models and do experience negative sentiment. Bower (2001) proved the difference between 'comparer' and 'noncomparer' when women face highly attractive models. The results show that a comparer who has an intention to compare highly attractive model (HAM) with herself has a significantly negative effect on model expertise, product argument, product evaluation and buying intention. Therefore, HAM is not always a good choice and model attractiveness plays a role in the processing other cues or changing the advertising effect from result of processing other cues. The purpose of this study is to investigate the effect of the use of foreign language on the advertising response of the audience with regard of the model attractiveness. For the empirical study, the virtual advertising using foreign models (HAM, NAM), brand names and slogans(Korean, English) were used as stimuli. The respondents of each stimulus were 75('HAM-Korean'), 75('NAM-Korean'), 66('HAM-English') and 66 ('NAM-English') respectively. To establish the effect of marketing communication, the attitude for media(AM), the attitude for product(AP), targetedness(TD), overall quality(OQ), and purchase intention(PI) with 7 point likert scale were measured. The manipulation was verified to check the difference between HAM attractiveness assessment (m=3.27) and NAM attractiveness assessment (m=5.12). The mean difference was statiscally significant (p<.05). As a result, all consequences were significantly changed with model attractiveness, and overall quality evaluation(OQ) were significantly changed with language. The interaction effect from model attractiveness and language was significant on attitude toward the product(AP) and purchase intention(PI). To analyze the difference, the mean values and standard deviation of consequences were compared. The result was more positive when model attractiveness was high for all consequences. For language effect, the assessment was more positive when English was used for OQ. Considering model attractiveness and language simultaneously, HAM-Korean was more positive for AP and PI, and NAM-English was more positive for AP and PI. In other words, the interaction effect was confirmed by model attractiveness and language. As mentioned above, use of foreign models and foreign language in advertising was explained by cultural match up hypothesis (Leclerc et al. 1994) which claimed that culture of origin effect. In other words, in advertising, use of same cultural language with the foreign model could make positive assessment for OQ. But this effect was moderated by model attractiveness. When the model attractiveness was low, the use of English makes PI high because of the effect of foreign language which supported the cultural match up hypothesis. When the model attractiveness was low, the use of Korean made AP and PI high because the effect of foreign language was diluted. It was a general notion that the visual cues got processed before (Holbrook and Moore, 1981; Sholl et al, 1995) compared to linguistic cues. Therefore, when consumers were faced HAM, so much perception was already consumed at processing visual cues making their native language of Korean to strongly and positively connected with the advertising concept. On the contrary, when consumers were faced with NAM, less perception was consumed compared to HAM, making English to accompany cultural halo effect which affected more positively. Therefore, when foreign models were employed in advertising, the language must be carefully selected according to the level of model attractiveness.

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The Interpretation of Different Recreation Benefits According to Time Horizon in the Contingent Valuation Method (가상가치평가법(假想價値評價法)에서 시간범위(時間範圍)에 따른 휴양가치(休養價値)의 차이(差異) 해석(解析))

  • Kim, Joon-Soon
    • Journal of Korean Society of Forest Science
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    • v.88 no.1
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    • pp.117-123
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    • 1999
  • Consumer surplus is to be a value concerning a time horizon. Especially it is very important how long time horizon would be chosen in contingent market. This study aimed to provide causes of difference recreation benefits through discount rate in many aspects. The data were collected by personal interviews with visitors in Songnisan National Park. The respondents answered yes or no, dichotomous choice, on recreation benefits according to a chosen time horizon, one year or five years. The probit model was used in the analysis. In order to avoid the truncation bias of upper bound, the median was chosen as the recreation benefits of visitor. As the result, the value was evaluated to be 16,569 Won for one year and 27,111 Won for five years. The discount rate is estimated 153% annually to coincide different recreation benefits. The reasons of the high discount rate were to be interpreted as following five types : (1)uncertainty of future consumption (2)increasing of probability of the substitution owing to increasing of time horizon (3)recognization of different time horizons (4) effect by the price ratio of goods and utility function (5) overestimation of the recreation benefits owing to a basic premium of payment vehicle.

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A Study on the Effect of User Value on Smartwatch Digital HealthcareAcceptance Intention to Promote Digital Healthcare Venture Start Up (Digital Healthcare 벤처창업 촉진을 위한, 사용자 가치가 Smartwatch Digital Healthcare 수용의도에 미치는 영향 연구)

  • Eekseong Jin;soyoung Lee
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.18 no.2
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    • pp.35-52
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    • 2023
  • Recently, as the non-face-to-face environment has developed due to COVID-19 and environmental pollution, the importance of online digital healthcare is increasing, and venture start-ups and activities such as health care, telemedicine, and digital treatments are also actively underway. This study conducted the impact on the acceptability of digital healthcare smartwatches with an integrated approach of the expanded integrated technology acceptance model (UTAUT2) and the behavioral inference model (BRT). The most advanced integrated technology acceptance model for innovative technology acceptance research was used to identify major factors such as utility expectations, social effects, convenience, price barriers, lack of alternatives, and behavioral intentions. For the study, about 410 responses from ordinary people in their teens to 60s across the country were collected, and based on this, the hypothesis was verified using structural equations after testing reliability and validity of the data. SPSS 23 and AMOS 23 were used for research analysis. Studies have shown that personal innovation has a significant impact on the reasons for acceptance (use value, social impact, convenience of use), attitude, and non-use (price barriers, lack of alternatives, and barriers to use). These results are the same as the results of previous studies that confirmed the influence of the main value of innovative ICT on user acceptance intention. In addition, the reason for acceptance had a significant effect on attitude, but the effect of the reason for non-acceptance was not significant. It can be analyzed that consumers are interested in new ICT products and new services, but purchase them more carefully and selectively. This study has evolved from the acceptance analysis of general-purpose consumer innovation technology to the acceptance analysis of consumer value in smartwatch digital healthcare, which is a new and important area in the future. Industrially, it can contribute to the product's purchase and marketing. It is hoped that this study will contribute to increasing research in the digital healthcare sector, which will play an important role in our lives in the future, and that it will develop into in-depth factors that are more suitable for consumer value through integrated approach models and integrated analysis of consumer acceptance and non-acceptance.

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Simultaneous Effect between eWOM and Revenues: Korea Movie Industry (온라인 구전과 영화 매출 간 상호영향에 관한 연구: 한국 영화 산업을 중심으로)

  • Bae, Jungho;Shim, Bum Jun;Kim, Byung-Do
    • Asia Marketing Journal
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    • v.12 no.2
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    • pp.1-25
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    • 2010
  • Motion pictures are so typical experience goods that consumers tend to look for more credible information. Hence, movie audiences consider movie viewers' reviews more important than the information provided by the film distributor. Recently many portal sites allow consumers to post their reviews and opinions so that other people check the number of consumer reviews and scores before going to the theater. There are a few previous researches studying the electronic word of mouth(eWOM) effect in the movie industry. They found that the volume of eWOM influenced the revenue of the movie significantly but the valence of eWOM did not affect it much (Liu 2006). The goal of our research is also to investigate the eWOM effects in general. But our research is different from the previous studies in several aspects. First, we study the eWOM effect in Korean movie industry. In other words, we would like to check whether we can generalize the results of the previous research across countries. The similar econometric models are applied to Korean movie data that include 746,282 consumer reviews on 439 movies. Our results show that both the valence(RATING) and the volume(LNMSG) of the eWOM influence weekly movie revenues. This result is different from the previous research findings that the volume only influences the revenue. We conjectured that the difference of self construal between Asian and American culture may explain this difference (Kitayama 1991). Asians including Koreans have more interdependent self construal than American, so that they are easily affected by other people's thought and suggestion. Hence, the valence of the eWOM affects Koreans' choice of the movie. Second, we find the critical defect of the previous eWOM models and, hence, attempt to correct it. The previous eWOM model assumes that the volume of eWOM (LNMSG) is an independent variable affecting the movie revenue (LNREV). However, the revenue can influence the volume of the eWOM. We think that treating the volume of eWOM as an independent variable a priori is too restrictive. In order to remedy this problem, we employed a simultaneous equation in which the movie revenue and the volume of the eWOM can affect each other. That is, our eWOM model assumes that the revenue (LNREV) and the volume of eWOM (LNMSG) have endogenous relationship where they influence each other. The results from this simultaneous equation model showed that the movie revenue and the eWOM volume interact each other. The movie revenue influences the eWOM volume for the entire 8 weeks. The reverse effect is more complex. Both the volume and the valence of eWOM affect the revenue in the first week, but only the volume affect the revenue for the rest of the weeks. In the first week, consumers may be curious about the movie and look for various kinds of information they can trust, so that they use the both the quantity and quality of consumer reviews. But from the second week, the quality of the eWOM only affects the movie revenue, implying that the review ratings are more important than the number of reviews. Third, our results show that the ratings by professional critics (CRATING) had negative effect to the weekly movie revenue (LNREV). Professional critics often give low ratings to the blockbuster movies that do not have much cinematic quality. Experienced audiences who watch the movie for fun do not trust the professionals' ratings and, hence, tend to go for the low-rated movies by them. In summary, applied to the Korean movie ratings data and employing a simultaneous model, our results are different from the previous eWOM studies: 1) Koreans (or Asians) care about the others' evaluation quality more than quantity, 2) The volume of eWOM is not the cause but the result of the revenue, 3) Professional reviews can give the negative effect to the movie revenue.

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The Effect of Telemedicine Expansion on the Structural Change and the Competition Increase in the Health Care Industry and its Policy Implication- Focusing on the case of Amazon's foray on the health care industry (원격의료 확대가 의료산업 구조변화 및 경쟁 확대에 미치는 영향과 정책적 시사점 - 미국 아마존의 헬스케어 분야 진출 사례를 중심으로)

  • Lee, Jaehee
    • The Journal of the Convergence on Culture Technology
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    • v.8 no.3
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    • pp.405-413
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    • 2022
  • Since the COVID-19 outbreak, the active utilization of new health care service utilizing the ICT technology and data science such as telemedicine, smart hospital, AI dignosis has been increasingly found. In this study we examined the business model of Amazon healthcare which leads disruptive innovation in U.S. health care industry with the introduction of hybrid model of telemedicin, in-person care and customer-centric online drug delivery, home-use diagnostic kit, characterized by the integrated model combining medical care, drug delivery and the use of diagnostic kit. We showed using the multiproduct competition model that the synergy effect between the Amazon's original business areas and the healthcare business area causes the active market penetration and the increase in the customer value from utilization of the Amazon care. Using Hotelling's spatial competition model, we also showed that the competition in the health care market can be greater when consumer's choice of health care providers are available in telemedicine platform. In the long, run the issue of competition being weakened due to the exit of less competent healthcare providers may arise, to which the policymakers in the charge of fair competition in health care industry should pay attention.

Analyzing the Impact for Housing Occupied Form of HouseNomad ('하우스노마드족'의 주거점유형태에 미치는 요인 분석)

  • Yun, Jin-Young;Oh, Jongryul
    • The Journal of the Korea Contents Association
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    • v.14 no.11
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    • pp.955-963
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    • 2014
  • According to the "Population and Housing Census of 2010", announced by the National Statistical Office, "House Nomad group" was increased by more than 70% compared to 2005. Emergence of House Nomad tribe about the cause of the increase of influence and House Nomad tribe give the housing market, but prior to the discussion often, there is no place that still it became clearly evident in the research. The purpose of this study, are looking for the emergence and increasing cause of House Nomad group in terms of consumption behavior of the house. For this reason, We use the Population and Housing Census 1% of the data 2010. and Multinomial Logit Models., is a useful method that can be utilized when there is no rank and order the consumer choice. The results were as follows. House Nomad group was found to be higher probability of living place and good environmental characteristics of housing that has been expressed in the properties of the housing. Also appeared to have a relatively longer time commuting. And that residential mobility is high.

A study on the Interrelationship between Internet Shopping Mall Familiarity, Attribute Evaluation, Inquiry and Purchase (인터넷 쇼핑몰 친숙도, 특성평가, 상품조회 및 구매의도의 상호관련성에 관한 연구)

  • Rhee, Mun-Sung
    • Korean Business Review
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    • v.16
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    • pp.99-121
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    • 2003
  • In consumer research area, familiarity has been frequently mentioned with relation to customers' product information processing and choice behavior. However, the familiarity has been utilized initially in this paper to examine if the relationship between consumers' evaluations of attributes of an internet shopping mall and their inquiry and purchase intentions on there is affected significantly by the degree of familiarity. The results have shown that the relationship between levels of the safety, the functional convenience, and the tangibility attribute of an internet shopping mall and consumers' willingness to inquire about/purchase products on there is affected significantly by the degree of familiarity. Interestingly, the relationship between the tangibility attribute of a mall and customers' inquiry willingness on there is not impacted significantly by the familiarity. Thus, we conclude that our model and hypotheses have been supported quite strongl.

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A Study of Factors Influencing on Receivers' Communication Style in Internet Shopping Mall Contents (인터넷 쇼핑몰 콘텐츠에서 정보수신자의 커뮤니케이션 스타일에 미치는 영향요인에 관한 연구)

  • Chun Myung-Hwan
    • The Journal of the Korea Contents Association
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    • v.6 no.3
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    • pp.75-84
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    • 2006
  • The internet has the capabilities of supporting and facilitating several forms of consumer interaction including one-to-one, one to many, or many-to-many interactions. Especially, previous studies revealed that the Online Word-of-Mouth communication is widely used as a source of customer's information seeking and purchase decision making. Even with this importance of the Online Word-of-Mouth communication on internet, few research has systematically addressed the issue. This study investigates the effect of interpersonal communication on consumers' information search activities and develops a model that depicts the key antecedents and mediating variables of interpersonal communication in internet shopping environment. The results are as follows: First, choice uncertainty, perceived risk, and knowledge uncertainty play an important role for perceived usefulness. Second, perceived usefulness has directly affected interactive communication of consumers' communication style. Thus, it is essential for internet companies to find ways to encourage their customers to engage in word-of-mouth communication.

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Estimating the Economic Value of the Online Marketplace for Legal Services (변호사검색상담 플랫폼의 경제적 가치 추정)

  • Minsoo Park;Jungmin Kim;Hong Lee
    • KDI Journal of Economic Policy
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    • v.45 no.3
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    • pp.49-73
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    • 2023
  • This study examines the usage status of legal services provided by lawyers targeting domestic consumers and investigates empirically how much online platforms that facilitate lawyer search and consultation can increase consumers' utility, and how much the lawyer legal service market will expand through this. To this end, this study applies a discrete choice demand model to the data collected through a conjoint survey to estimate the value of the lawyer search and consultation platform perceived by consumers, and estimates the effectiveness of the platform in expanding the market for lawyer legal services through a simulation method. As a result of the analysis, the relative value that consumers place on finding and consulting a lawyer using the online platform instead of being introduced to a lawyer by an acquaintance or searching for a lawyer offline is estimated to be about 70,414 won. It was found that the existence of lawyer search and consultation platforms could increase the market size of legal services by as little as 18.9% to as much as 70.2%. In particular, the platforms are expected to increase the accessibility of legal services to vulnerable groups.

A Theoretical Analysis on the Demand for Education and Residential Location (교육수요와 거주지선택에 대한 이론적 분석)

  • Kim, Byung-Hyun
    • International Area Studies Review
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    • v.15 no.1
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    • pp.571-583
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    • 2011
  • We use the properties of competitive location equilibrium to study the relationship between the demand for education and the choice of primary residential location. Consumers can work and live in a comparatively high wage place where there are few education opportunities, or live in a place where education is available and commute to work. If education and employment are each location-specific, there are pooling equilibria in which consumers locate according to their preference for education. In general, the stronger the taste for education, the greater the attraction of living close to the education site and the lower the demand for other goods, including housing. Exploring the effects of the model parameters on the spatial distribution of consumers, we find that a higher frequency of trips taken to the education site, a shorter distance between the work place and the education site, or a greater out-of-pocket education cost each leads to a wider range of consumer types selecting to reside at the education location. We also find that a higher wage lowers the range of consumers who select to live near the education site.