• Title/Summary/Keyword: Consumers Satisfaction

Search Result 1,559, Processing Time 0.03 seconds

Effect of usage motivation of luxury fashion brands' Instagram on flow, enjoyment, and purchase intention (럭셔리 패션 브랜드 인스타그램 계정 이용 동기가 소비자 몰입, 즐거움, 구매의도에 미치는 영향)

  • Lee, Eun-Jung;Baltabaveva, Bibigul
    • The Journal of the Convergence on Culture Technology
    • /
    • v.7 no.4
    • /
    • pp.405-413
    • /
    • 2021
  • In this study, based on the theory of use and satisfaction, the motives of consumers who use Instagram accounts for luxury fashion brands were classified and the effect of the flow state experienced according to the motives on the purchase intention and the enjoyment was empirically studied. As a result of the analysis, the conclusions obtained through this study can be summarized as follows. First, it was found that the motive for using Instagram, a luxury fashion brand, had a significant positive effect on flow, followed by social interaction motive, informational motive, and enjoyment motive. Among the motivations for use, it was confirmed that the motivation for social interaction had the greatest influence on flow. Second, when using the luxury fashion brand Instagram account, the state of consumer flow induces positive emotions such as pleasure, which has a positive effect on purchase intention. Third, age, which is a characteristic of luxury fashion brand Instagram account users, had a significant positive moderating effect on the relationship between informational motives and flow, and had a significant negative effect with playful motives. Through the results of this study, we contributed to the flow of previous related studies by empirically showing the dynamics of consumer psychology related to the use of luxury Instagram accounts.

The study of consumer types according to the level of digital divide (디지털 정보격차 수준에 따른 소비자유형 연구)

  • Baek, Ji-Yeon;Jang, Eun-Gyo;Lee, Jin-Myong
    • Journal of Digital Convergence
    • /
    • v.20 no.4
    • /
    • pp.193-202
    • /
    • 2022
  • The purpose of this study is to propose an effective informatization policy by categorizing consumer groups according to the level of digital divide and identifying the characteristics of each type. For this end, a total of 402 data were collected through an online and on-site surveys targeting consumers with internet experience, and the data were analyzed using the SPSS 26.0 program. As a result of conducting a K-means cluster analysis based on access to, capability, and utilization of digital devices, four consumer groups were categorized: 'device lover', 'proficient user', 'general user', and 'digital alienated'. By consumer type, significant differences were found in demographic characteristics, social capital, perception of the future information society, attitude toward technology as innovativeness, discomfort and familiarity, which are the antecedent variables of the digital divide. Significant differences in digital device satisfaction and intention to use, which are outcome variables of the digital divide, were also confirmed by consumer type. This study is academically and practically valuable in that it proposes customized informatization policies for each consumer group according to the level of digitization.

Case Study on Global Competency Reinforcement of Liberal Arts Education: Focusing on Non-Curricular Areas (교양교육의 글로벌 역량 강화 방안 사례 연구: 비교과 영역을 중심으로)

  • Ra, Mijin
    • Korean journal of aerospace and environmental medicine
    • /
    • v.31 no.1
    • /
    • pp.24-30
    • /
    • 2021
  • Purpose: The purpose of this study is to consider ways to strengthen it through comparison and curriculum while recognizing the importance of global competencies in liberal arts education in universities. Methods: In order to explore ways to reinforce the sub-competence of global competencies, this study was conducted at a four-year university in Chungcheong-do for one year in 2019, such as 'Global Culture Talk', 'Global Travel', 'Global Nanta', and 'Making Global Friends'. Cases of comparison and application of educational programs were analyzed. The program was attended by the Department of Business Administration, Department of Aviation Service, Department of Design, Department of Manga Animation, Department of Broadcasting and Film, and foreign exchange students. The competency-centered curriculum not only has clear educational goals, but is also very advantageous in establishing a feedback system by measuring its performance. This study will assess the effectiveness of the education plan by diagnosing the change in competencies before and after the comparison and curriculum is operated. Results: The overall global competency has increased by 0.2 points compared to 2017. By subsector, it was found that the flexibility increased by 1.4 points. In the field of cross-cultural understanding, it rose 0.6 points, and in the field of global understanding, it rose 2.2 points, showing the largest increase in the sub-fields. Nevertheless, the field of global interest remains at a low level. This is considerably low compared to flexibility and ability to understand other cultures, and it is expected that measures for improvement should be continuously sought. Since the understanding of other cultures has already exceeded 60 points, it is expected that the global competency of the university will be strengthened if the level is consistently maintained and the emphasis is placed on enhancing flexibility and improving global understanding. Conclusion: The importance of strengthening global capabilities is steadily rising. Universities are also reorganizing the curriculum by analyzing the needs and satisfaction of education consumers to respond to this. The programs operated and analyzed in this study were also made as part of this effort. However, since there are various factors that affect global competency, it cannot be but admitted that it is not easy to gauge the change in competency with only a few programs and short-term efforts. However, if the efforts pursued by this study are accumulated and supplemented through feedback from a long-term perspective, it can be expected that there are not a lot of contributions to strengthening global competencies in liberal arts education.

A Study on AR Algorithm Modeling for Indoor Furniture Interior Arrangement Using CNN

  • Ko, Jeong-Beom;Kim, Joon-Yong
    • Journal of the Korea Society of Computer and Information
    • /
    • v.27 no.10
    • /
    • pp.11-17
    • /
    • 2022
  • In this paper, a model that can increase the efficiency of work in arranging interior furniture by applying augmented reality technology was studied. In the existing system to which augmented reality is currently applied, there is a problem in that information is limitedly provided depending on the size and nature of the company's product when outputting the image of furniture. To solve this problem, this paper presents an AR labeling algorithm. The AR labeling algorithm extracts feature points from the captured images and builds a database including indoor location information. A method of detecting and learning the location data of furniture in an indoor space was adopted using the CNN technique. Through the learned result, it is confirmed that the error between the indoor location and the location shown by learning can be significantly reduced. In addition, a study was conducted to allow users to easily place desired furniture through augmented reality by receiving detailed information about furniture along with accurate image extraction of furniture. As a result of the study, the accuracy and loss rate of the model were found to be 99% and 0.026, indicating the significance of this study by securing reliability. The results of this study are expected to satisfy consumers' satisfaction and purchase desires by accurately arranging desired furniture indoors through the design and implementation of AR labels.

Framing Instead of Solving: Approaching the Wicked problem of Restaurant Food Waste through Service Design Research (해결대신 프레이밍: 서비스 디자인 연구를 통해음식점 음식물쓰레기라는 난제에 접근)

  • Punyotai Thamjamrassri;Kun-Pyo Lee;Yong-Ki Lee
    • Journal of Service Research and Studies
    • /
    • v.12 no.3
    • /
    • pp.93-114
    • /
    • 2022
  • The hospitality and food service sector is the food sector that generates the most food waste. To deliver a more sustainable service, the food service industry needs to understand and reduce customer plate waste, which is mostly avoidable. Several studies have investigated the drivers of plate waste behaviors and proposed mitigations. However, service designers need actionable insights that inspire innovative solutions. The goals of this study are twofold. The first goal is to identify factors influencing young consumers' food waste behavior in restaurants. The second goal is to frame food waste challenges as design opportunities for service designers. A photo diary was conducted with 10 Korean university students. Participants took before and after photos of two meals and fill out questionnaires. The questions include personal background, considerations when choosing a meal, satisfaction with the meal, and reasons for leaving food. Both qualitative and quantitative data were collected and analyzed. The results suggest that lack of awareness and control are the key drivers of leftovers. The food waste problem is framed into "How Might We" design opportunities for service design. Interventions should focus on improving communication with oneself, dining partners, and restaurants. The paper contributes by demonstrating the service design research approach to framing wicked problems with the example of restaurant food waste.

A Study on Perceived Quality affecting the Service Personal Value in the On-off line Channel - Focusing on the moderate effect of the need for cognition - (온.오프라인 채널에서 지각된 품질이 서비스의 개인가치에 미치는 영향에 관한 연구 -인지욕구의 조정효과를 중심으로-)

  • Sung, Hyung-Suk
    • Journal of Distribution Research
    • /
    • v.15 no.3
    • /
    • pp.111-137
    • /
    • 2010
  • The basic purpose of this study is to investigate perceived quality and service personal value affecting the result of long-term relationship between service buyers and suppliers. This research presented a constructive model(perceived quality affecting the service personal value and the moderate effect of NFC) in the on off line and then propose the research model base on prior researches and studies about relationships among components of service. Data were gathered from respondents who visit at the education service market. For this study, Data were analyzed by AMOS 7.0. We integrate the literature on services marketing with researches on personal values and perceived quality. The SERPVAL scale presented here allows for the creation of a common ground for assessing service personal values, giving a clear understanding of the key value dimensions behind service choice and usage. It will lead to a focus of future research in services marketing, extending knowledge in the field and stimulating further empirical research on service personal values. At the managerial level, as a tool the SERPVAL scale should allow practitioners to evaluate and improve the value of a service, and consequently, to define strategies and actions to address services for customers based on their fundamental personal values. Through qualitative and empirical research, we find that the service quality construct conforms to the structure of a second-order factor model that ties service quality perceptions to distinct and actionable dimensions: outcome, interaction, and environmental quality. In turn, each has two subdimensions that define the basis of service quality perceptions. The authors further suggest that for each of these subdimensions to contribute to improved service quality perceptions, the quality received by consumers must be perceived to be reliable, responsive, and empathetic. Although the service personal value may be found in researches that explore individual values and their consequences for consumer behavior, there is no established operationalization of a SERPVAL scale. The inexistence of an established scale, duly adapted in order to understand and analyze personal values behind services usage, exposes the need of a measurement scale with such a purpose. This need has to be rooted, however, in a conceptualization of the construct being scaled. Service personal values can be defined as a customer's overall assessment of the use of a service based on the perception of what is achieved in terms of his own personal values. As consumer behaviors serve to show an individual's values, the use of a service can also be a way to fulfill and demonstrate consumers'personal values. In this sense, a service can provide more to the customer than its concrete and abstract attributes at both the attribute and the quality levels, and more than its functional consequences at the value level. Both values and services literatures agree, that personal value is the highest-level concept, followed by instrumental values, attitudes and finally by product attributes. Purchasing behaviors are agreed to be the end result of these concepts' interaction, with personal values taking a major role in the final decision process. From both consumers' and practitioners' perspectives, values are extremely relevant, as they are desirable goals that serve as guiding principles in people's lives. While building on previous research, we propose to assess service personal values through three broad groups of individual dimensions; at the self-oriented level, we use (1) service value to peaceful life (SVPL) and, at the social-oriented level, we use (2) service value to social recognition (SVSR), and (3) service value to social integration (SVSI). Service value to peaceful life is our first dimension. This dimension emerged as a combination of values coming from the RVS scale, a scale built specifically to assess general individual values. If a service promotes a pleasurable life, brings or improves tranquility, safety and harmony, then its user recognizes the value of this service. Generally, this service can improve the user's pleasure of life, since it protects or defends the consumer from threats to life or pressures on it. While building upon both the LOV scale, a scale built specifically to assess consumer values, and the RVS scale for individual values, we develop the other two dimensions: SVSR and SVSI. The roles of social recognition and social integration to improve service personal value have been seriously neglected. Social recognition derives its outcome utility from its predictive utility. When applying this underlying belief to our second dimension, SVSR, we assume that people use a service while taking into consideration the content of what is delivered. Individuals consider whether the service aids in gaining respect from others, social recognition and status, as well as whether it allows achieving a more fulfilled and stimulating life, which might then be revealed to others. People also tend to engage in behavior that receives social recognition and to avoid behavior that leads to social disapproval, and this contributes to an individual's social integration. This leads us to the third dimension, SVSI, which is based on the fact that if the consumer perceives that a service strengthens friendships, provides the possibility of becoming more integrated in the group, or promotes better relationships at the social, professional or family levels, then the service will contribute to social integration, and naturally the individual will recognize personal value in the service. Most of the research in business values deals with individual values. However, to our knowledge, no study has dealt with assessing overall personal values as well as their dimensions in a service context. Our final results show that the scales adapted from the Schwartz list were excluded. A possible explanation is that although Schwartz builds on Rokeach work in order to explore individual values, its dimensions might be especially focused on analyzing societal values. As we are looking for individual dimensions, this might explain why the values inspired by the Schwartz list were excluded from the model. The hierarchical structure of the final scale presented in this paper also presents theoretical implications. Although we cannot claim to definitively capture the dimensions of service personal values, we believe that we come close to capturing these overall evaluations because the second-order factor extracts the underlying commonality among dimensions. In addition to obtaining respondents' evaluations of the dimensions, the second-order factor model captures the common variance among these dimensions, reflecting the respondents' overall assessment of service personal values. Towards this fact, we expect that the service personal values conceptualization and measurement scale presented here contributes to both business values literature and the service marketing field, allowing for the delineation of strategies for adding value to services. This new scale also presents managerial implications. The SERPVAL dimensions give some guidance on how to better pursue a highly service-oriented business strategy. Indeed, the SERPVAL scale can be used for benchmarking purposes, as this scale can be used to identify whether or not a firms' marketing strategies are consistent with consumers' expectations. Managerial assessment of the personal values of a service might be extremely important because it allows managers to better understand what customers want or value. Thus, this scale allows us to identify what services are really valuable to the final consumer; providing knowledge for making choices regarding which services to include. Traditional approaches have focused their attention on service attributes (as quality) and service consequences(as service value), but personal values may be an important set of variables to be considered in understanding what attracts consumers to a certain service. By using the SERPVAL scale to assess the personal values associated with a services usage, managers may better understand the reasons behind services' usage, so that they may handle them more efficiently. While testing nomological validity, our empirical findings demonstrate that the three SERPVAL dimensions are positively and significantly associated with satisfaction. Additionally, while service value to social integration is related only with loyalty, service value to peaceful life is associated with both loyalty and repurchase intent. It is also interesting and surprising that service value to social recognition appears not to be significantly linked with loyalty and repurchase intent. A possible explanation is that no mobile service provider has yet emerged in the market as a luxury provider. All of the Portuguese providers are still trying to capture market share by means of low-end pricing. This research has implications for consumers as well. As more companies seek to build relationships with their customers, consumers are easily able to examine whether these relationships provide real value or not to their own lives. The selection of a strategy for a particular service depends on its customers' personal values. Being highly customer-oriented means having a strong commitment to customers, trying to create customer value and understanding customer needs. Enhancing service distinctiveness in order to provide a peaceful life, increase social recognition and gain a better social integration are all possible strategies that companies may pursue, but the one to pursue depends on the outstanding personal values held by the service customers. Data were gathered from 284 respondents in the korean discount store and online shopping mall market. This research proposed 3 hypotheses on 6 latent variables and tested through structural equation modeling. 6 alternative measurements were compared through statistical significance test of the 6 paths of research model and the overall fitting level of structural equation model. and the result was successful. and Perceived quality more positively influences service personal value when NFC is high than when no NFC is low in the off-line market. The results of the study indicate that service quality is properly modeled as an antecedent of service personal value. We consider the research and managerial implications of the study and its limitations. In sum, by knowing the dimensions a consumer takes into account when choosing a service, a better understanding of purchasing behaviors may be realized, guiding managers toward customers expectations. By defining strategies and actions that address potential problems with the service personal values, managers might ultimately influence their firm's performance. we expect to contribute to both business values and service marketing literatures through the development of the service personal value. At a time when marketing researchers are challenged to provide research with practical implications, it is also believed that this framework may be used by managers to pursue service-oriented business strategies while taking into consideration what customers value.

  • PDF

A Study on the Cooperative Marketing of Fishery Products in Korea (수협 마아케팅에 관한 연구)

  • 안세원
    • The Journal of Fisheries Business Administration
    • /
    • v.17 no.1
    • /
    • pp.77-106
    • /
    • 1986
  • In the field of fisheries, there is at the apex Central Federation of Fishery Cooperatives, established under the Fishery Cooperatives Law(1962), It is a multipurpose organization with a membership of 105 cooperatives, 87 regional cooperatives, 15 business-type cooperatives and 3 manufactures' cooperatives. Accordingly, this thesis examines the marketing of fishery cooperatives in Korea, and in particular considers the marketing channel strategy of fisheries products. No company can perform by itself all the activities involved in the production and distribution of its products and services to its final markets. It must work with other firms to get the job done. Thus marketing channel firms of the fisheries products include primarily the fishery cooperatives, the licensed In the field of fisheries, there is at the apex Central Federation of Fishery Cooperatives, established under the Fishery Cooperatives Law (1962). It is a multipurpose organization with a membership of 105 cooperatives, 87 regional cooperatives, 15 business-type cooperatives and 3 manufactures' cooperatives. Accordingly, this thesis examines the marketing of fishery cooperatives in Korea, and in particular considers the marketing channel strategy of fisheries products. No company can perform by itself all the activities involved in the production and distribution of its products and services to its final markets. It must work with other firms to get the job done. Thus marketing channel firms of the fisheries products include primarily the fishery cooperatives, the licensed dealers and the merchant middlemen. The goal of marketing is in matching of segments of supply and demand. Every producer seeks to the link the marketing channel firms that will help it accomplish its objective best. This thesis tries to attempt to improve the present Korean Fishery Cooperatives marketing activities. The purpose of the operation of fishery cooperatives is to guarantee the profits of fisherman as well as the interests of general consumers by eliminating the inordinate profits of middlemen and by narrowing other market margins. Fishery cooperatives marketing activity functions forming a self-helf organization for economic protection of producers themselves, and acting as a market reformational institution through its transaction by group. The following are the characteristics of fishery cooperatives marketing. \circled1 Fishery cooperatives is organized with an economic factor and a personnel factor. \circled2 Fishery cooperatives is non-profit organization. \circled3 The members of fishery cooperatives is independent constitution of economy, but they are closely connected with the cooperative. \circled4 Fishery cooperatives is a mutual aid organization. The objective of an efficient marketing strategy may be well described by the common saying provides the right product at the right time, the right place, and the right price. But it is quite true that the Korean Fishermen's Cooperative can be said to owe its development to the successful implementation of the marketing system. The use of the marketing system has resulted in the following marketing strategy. 1. The direct marketing system. \circled1 The cooperation between the fishery cooperatives and the other cooperative through the collection and delivery center. \circled2 The selling between the fishery cooperatives and the large scale retailers through the process industry. 2. The vertical marketing system. \circled1The fishermen's cooperative to be nominated by wholesaler in the terminal market. \circled2 Contracted vertical marketing system. \circled3 Abolition of selling by double auction in the landing and the terminal market. 3. The physical distribution system. \circled1 The need for adoption of cold chain system to connect production directly to consumption. \circled2 The need for more expansion of landing markets and terminal market facilities. Solutions to the problems of the Korean fishery are made possible through effective functioning of cooperative marketing activities of fishery products. The marketing concept of fishermen's cooperative lies in the satisfaction of consumer needs. According to the marketing concept fishermen's cooperative should try to satisfy customer's needs through a coodinated set of activities that allows the organization to achieve its goal. Providing satisfaction to customers is the major trust of the marketing concept. To do this, a business must find out what will satisfy customers. With this information the cooperative sells to the greatest possible number of customers through the most efficient sales and marketing channels. Economic rationality of fishermen's cooperative marketing lies in reduction of marketing cost and elimination of intermediate institutions. Cooperative marketing and direct marketing are both indispensable marketing factors for a new cooperative organization among the manu ways. The cooperation between the fishermen's cooperative and the others cooperative, and vertical marketing system are the most necessary ones. Propulsion of cooperative marketing system could not be successful without the support of the marketing instituion's help. Consequently, successful cooperative marketing ought to lead to the necessity not only for the improvement of marketing organization, but for the application of a new marketing concept in the fishermen's cooperative.

  • PDF

The effect of suspension method on meat quality of Hanwoo (현수방법이 한우육질에 미치는 영향)

  • Hwang, I.H.
    • Journal of Animal Science and Technology
    • /
    • v.46 no.3
    • /
    • pp.427-436
    • /
    • 2004
  • The current study was conducted to determine the effect of suspension method on satisfaction level of Korean consumers and objective meat quality traits in Hanwoo longissimus dorsi(LD), triceps brachii(TB) and semimembranosus(SM) muscles. Eighteen Hanwoo steers were slaughtered and alternative sides were hung either by pelvic bone(TS) or Achilles tendon(Al). Sensory characteristics, WB-shear force, sarcomere length, water-holding capacity, saroomere length and cooking loss were determined after a 7-d chiller ageing. Higher carcass quality grade received significantly(p < 0.05) greater eating quality for LD, but the grade did not affect eating quality for both TB and SM. TS did not influence objective and subjective meat quality for TB, but that significantly(P < 0.05) improved eating quality for LD and SM. The most noticeable result was that when SM was tenderstretehed, eating quality was equivalent to that of nonna1ly hung LD. In relationship between objective and subjective meat quality assessments, eating qualty for LD had a significant(P < 0.05) relationship with intramuscular fat content, while that for SM was greatly(P < 0.05) related to saroomere length. The current study indicated that pelvic hanging was an effective way to improve eating quality both LD and SM, and carcass quality grades did not greatly reflect eating quality of SM and TB. The data also implied that instnunental measurements poorly estimated the satisfaction level of Korean conswners.

EEPERF(Experiential Education PERFormance): An Instrument for Measuring Service Quality in Experiential Education (체험형 교육 서비스 품질 측정 항목에 관한 연구: 창의적 체험활동을 중심으로)

  • Park, Ky-Yoon;Kim, Hyun-Sik
    • Journal of Distribution Science
    • /
    • v.10 no.2
    • /
    • pp.43-52
    • /
    • 2012
  • As experiential education services are growing, the need for proper management is increasing. Considering that adequate measures are an essential factor for achieving success in managing something, it is important for managers to use a proper system of metrics to measure the performance of experiential education services. However, in spite of this need, little research has been done to develop a valid and reliable set of metrics for assessing the quality of experiential education services. The current study aims to develop a multi-item instrument for assessing the service quality of experiential education. The specific procedure is as follows. First, we generated a pool of possible metrics based on diverse literature on service quality. We elicited possiblemetric items not only from general service quality metrics such as SERVQUAL and SERVPERF but also from educational service quality metrics such as HEdPERF and PESPERF. Second, specialist teachers in the experiential education area screened the initial metrics to boost face validity. Third, we proceeded with multiple rounds of empirical validation of those metrics. Based on this processes, we refined the metrics to determine the final metrics to be used. Fourth, we examined predictive validity by checking the well-established positive relationship between each dimension of metrics and customer satisfaction. In sum, starting with the initial pool of scale items elicited from the previous literature and purifying them empirically through the surveying method, we developed a four-dimensional systemized scale to measure the superiority of experiential education and named it "Experiential Education PERFormance" (EEPERF). Our findings indicate that students (consumers) perceive the superiority of the experiential education (EE) service in the following four dimensions: EE-empathy, EE-reliability, EE-outcome, and EE-landscape. EE-empathy is a judgment in response to the question, "How empathetically does the experiential educational service provider interact with me?" Principal measures are "How well does the service provider understand my needs?," and "How well does the service provider listen to my voice?" Next, EE-reliability is a judgment in response to the question, "How reliably does the experiential educational service provider interact with me?" Major measures are "How reliable is the schedule here?," and "How credible is the service provider?" EE-outcome is a judgmentin response to the question, "What results could I get from this experiential educational service encounter?" Representative measures are "How good is the information that I will acquire form this service encounter?," and "How useful is this service encounter in helping me develop creativity?" Finally, EE-landscape is a judgment about the physical environment. Essential measures are "How convenient is the access to the service encounter?,"and "How well managed are the facilities?" We showed the reliability and validity of the system of metrics. All four dimensions influence customer satisfaction significantly. Practitioners may use the results in planning experiential educational service programs and evaluating each service encounter. The current study isexpected to act as a stepping-stone for future scale improvement. In this case, researchers may use the experience quality paradigm that has recently arisen.

  • PDF

Optimal Incentives for Customer Satisfaction in Multi-channel Setting (멀티채널에서의 고객만족제고 인센티브 연구)

  • Kim, Hyun-Sik
    • Journal of Distribution Research
    • /
    • v.15 no.1
    • /
    • pp.25-47
    • /
    • 2010
  • CS is one of the major concerns of managers in the world because it is well known to be a key medium construct for firms' superior outcome. One of the major agents for CS management is retailers. Firms try to manage not only employees but also retailers to promote CS behaviors. And so diverse incentives are used to promote their CS behaviors under diverse channel setting such as multi-channel. However in spite of the rising needs there has been scarce studies on the optimal incentive structure for a manufacturer to offer competing retailers at the multi-channel. In this paper, we try to find better way for a manufacturer to promote the competing retailers' CS behaviors. We investigated how to promote the retailers' CS behavior via game-theoretic modeling. Especially, we focus on the possible incentive, CS bonus type reward introduced in the studies of Hauser, Simester, and Wernerfelt(1994) and Chu and Desai(1995). We build up a multi stage complete information game and derive a subgame perfect equilibrium using backward induction. Stages of the game are as following. (Stage 1) Manufacturer sets wholesale price(w) and CS bonus($\eta$). (Stage 2) Both retailers in competition set CS effort level($e_i$) and retail price($p_i$) simultaneously. (Stage 3) Consumers make purchasing decisions based on the manufacturer's initial reputation and retailers' CS efforts.

    Structure of the Model We investigated four issues about the topic as following: (1) How much total incentive is adequate for a firm of a specific level of reputation to promote retailers' CS behavior under multi-channel setting ?, (2) How much total incentive is adequate under diverse level of complimentary externalities between the retailers' CS efforts to promote retailers' CS behavior?, (3) How much total incentive is adequate under diverse level of cost to make CS efforts to promote retailers' CS behavior?, (4) How much total incentive is adequate under diverse level of competition between retailers to promote retailers' CS behavior? Our findings are as following. (1) The higher reputation has the manufacturer, the higher incentives for retailers at multi-channel are required in the equilibrium.
    shows the increasing pattern of optimal incentive level along the manufacturer's reputation level(a) under some parameter conditions(b=1/2;c=0;$\beta$=1/2). (2) The bigger complimentary externalities exists between the retailers' CS efforts, the higher incentives are required in the equilibrium.
    shows the increasing pattern of optimal incentive level along the complimentary externalities level($\beta$) under some parameter conditions(a=1;b=1/2;c=0). (3) The higher is the retailers' cost, the lower incentives are required in the equilibrium.
    shows the decreasing pattern of optimal incentive level along the cost level(c) under some parameter conditions(a=1;b=1/2;$\beta$=1/2). (4) The more competitive gets those two retailers, the higher incentives for retailers at multi-channel are required in the equilibrium.
    shows the increasing pattern of optimal incentive level along the competition level(b) under some parameter conditions(c=0;a=1;$\beta$=1/2). One of the major contribution points of this study is the fact that this study is the first to investigate the optimal CS incentive system under multi-channel setting.

  • PDF