• Communications for Statistical Applications and Methods
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• v.10 no.1
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• pp.101-113
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• 2003

Quasi likelihood estimators defined by Wedderburn are derived for several nonlinear time series models. And also, the least squared estimator and Quasi-likelihood estimator are compared in sense of asymptotic relative efficiency at those models. Finally, we apply these estimations to a real data on exchanging rate and stock market prices.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.37 no.4
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• pp.168-176
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• 2014

The enterprise life cycle derived from the product life cycle consists of introduction, growth, maturity and decline. The enterprise tries to reach the growth stage early and stay at the maturity stage stably through expanding its businesses and investing for the new technology. The public enterprise is not different but its life cycle is more prone to be affected by the national development and policy. A typical example can be found in the case of the quasi market SOC public enterprise which spends massive amount of fund to provide social infrastructure. After the fulfillment of its mandated mission it is exposed to the pressure of a merger or a closure usually because large portion of the debt is directly linked to the national financial stability and credit ratings. This research is focused on the variables that influence the life cycle of the quasi market SOC public Enterprise for its future competitiveness is in connection with its normalization, advancement and rationalization. In this respect, categorical variables system centering on public characteristics and profitability drew eight categorical variables such as policy outcomes, public benefit, finance and business values etc.

• Journal of Digital Convergence
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• v.7 no.4
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• pp.11-19
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• 2009

Electronic methods are already used in money transfer and credit cards transactions and electronic money and checks, which can substitute cash and coins, are being discussed. Recently, the Acts of Electronic Draft have been enacted, in order to make the money in the market flow efficiently. Also electronic bill of lading has been adopted for the practical use of international shipments. However, despite of the effort from the academia and practice, investments to stocks, especially in the stock exchange, is not quite perfectly electronic. Japan enacted a relevant act in 2004 which make its stock market totally dematerialized. This writing summarizes some issues in interpretation that arise in the course of operation of the Stock Electronic Registration System at the present time of 6 months after it came into effect and its purpose, by doing so, is to prevent in advance the kind of problems in introducing the similar system to Korea.

• KDI Journal of Economic Policy
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• v.27 no.1
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• pp.39-79
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• 2005

This paper addresses the question of whether a monopolistic banking system can lead to a higher steady state level of capital stock. Information externality has enhanced as the advance of the financial system such as the establishment of the credit bureau system, networking, etc. Hence this paper aims to analyze the effects of both information externality and economic development on the determination of the optimal banking market structure. This paper shows that the presence of information externality together with asymmetric information would explain how a monopoly bank leads to a higher steady state level of capital stock. It also shows that not only under-developed countries but industrialized countries may also benefit from a concentrated banking system. This analysis provides an alternative explanation of the recent deregulation and resulting trends in mergers and acquisitions. This also provides a theoretical foundation to support governments' policy changes toward promoting merger and acquisition activities.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.12 no.5
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• pp.2108-2114
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• 2011

I examine propping within chaebolgroups, using changes of bond rating events made by corporate credit evaluation institutions. Much studies related to the internal capital market and tunneling have enhanced our understanding of the important function of chaebolgroups in emerging market, but relatively little is known about propping within affiliated firms. In a common sense, propping implies capital reallocation within affiliated firms to save a financially troubled affiliate. In event study on announcement the changes of corporate bond rating, I found most positive numbers in chaebolgroup's CAR. Particularly when lower change than higher change, decrease ratio of CAR is higher positively in chaebolgroups, which relatively shows that there is more propping effects in chaebolgroups than non-chaebolgroups. In multi-regression analysis, after strengthen restriction of internal mutual investment, propping effects are decreased positively in chaebolgroups than non-chaebolgroups when credit rating adjust lower, which implies there was more propping in chaebolgroups.

• Journal of Korea Trade
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• v.26 no.4
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• pp.63-82
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• 2022

Purpose - Drawing on relational institutional theory, we explored how demographic similarity between board members of a firm and newly emerged political elites led to firms' increased financial resource acquisition such as leverage ratio and decreased export intensity amidst the Asian financial crisis. We also studied how a firm's leverage ratio and export intensity can further affect firm profitability and financial credit rating. Design/methodology - We revisited and explored a unique, unprecedented crisis that affected most Korean firms: the Asian financial crisis that coincided with a governmental shift from a conservative to a liberal party. We collected demographic information from 432 listed Korean firms' board members and 43 political elites of the Blue House from 1998-2000 to create a demographic similarity measurement. We collected firms' financial information, built panel data, and used ordinary least squares regression to test our theory. Findings - Our results showed that demographic similarity between a firm's directors and newly emerged politicians had a positive association with a firm's leverage ratio but a negative association with a firm's export intensity. A firm's leverage ratio had a negative relationship with firm performance measured by firm profitability and financial credit rating. A firm's export intensity showed a positive effect on firm performance. Originality/value - We highlighted that during an economic crisis that coincided with a governmental shift and change of leading political actors, firms exerted efforts to survey the environment and build new external stakeholder relationships to cope with the changing landscape. We proposed that in an emerging market like Korea where low levels of trust and favoritism are prevalent across society, one of the relational institutional strategies that firms can employ is the selection of directors with similar demographic characteristics to political elites based on factors including birthplace and school affiliations. We examined the efforts of firms to build political networks with newly empowered political elites during a financial crisis, and the consequences of establishing such networks. We highlighted that during a financial crisis, the demographic similarity between a firm's board members and newly emerged politicians can provide firms with access to financial resources but can also result in poor management and reduced effort to enhance its international competitiveness.

• Journal of Service Research and Studies
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• v.6 no.1
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• pp.29-50
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• 2016

The purpose of this study is to identify the motivation of using and choosing factors in credit cards. These results indicate that considerate of other people factor may emphasize the convenience and safety in using credit cards, while the leisure factor may prefer the real-worth factor as they know that the more they use, the more benefits they would get. As the personality factor and the fashion factor, we can pay much attention to the advertisements, promotions, card designs, the colors, the characters and the social positions of the card holders and that considerate other people factor may like the low annual fees and the accumulating points, buying items on the installments without paying additional interest, which had offered them cash service and card loan. The authors of this paper has suggested an information by which credit card companies can establish the strategies according to the lifestyle of the elderly in silver business market.

• Korean Journal of Construction Engineering and Management
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• v.21 no.5
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• pp.64-73
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• 2020

The government announced a plan for fund support to the enterprises with high possibility of recovery and early restructuring for the enterprises with low recovery by objectifying credit assessment system. Such announcement of government could be extended to restructuring risk of middle standing enterprises with low financial soundness by establishing the basis to prepare prompt restructuring by reinforcing the basis for restructuring through capital market. This research analyzed financial soundness based on the financial evaluation of bank by selecting 10 middle standing construction companies which focused on housing business in 2019, based on such analysis result, it was confirmed that there was a high possibility of restructuring risk. This research determined that there would be a decrease in growth rate of construction industry on the whole in 2020 due to fall of economic growth rate and reinforced real estate regulation, accordingly, there's a big possibility for middle standing construction companies with paid-in capital ratio due to its low possibility of maintenance of stable credit rating. This research established KCSI assessment model by utilizing the material of a reliable research institute in order for middle standing construction companies to evade restructuring risk, and indicated risk ratio differentiated per each item through a working-level expert survey. Such research result could suggest credit risk reduction method to middle standing construction company management staffs, and prepare a basis to evade restructuring risk.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.39
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• pp.105-142
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• 2008

For many companies, selling in an international market place is the ultimate challenge. One of the greatest problems facing exporters is the increasing insistence by importers that trade be conducted on open account terms. This often means that payment is received many weeks or even months after delivery. Unsurprisingly, many organisations find that giving buyers credit in this way can cause severe cash flow problems. Further problems can arise if the importer delays payment beyond originally agreed terms or makes no payment at all because of financial failure. In particular, many SMEs find it difficult to finance their production cycle, since after goods are delivered most buyers demand 30 to 90 days to pay. Therefore, International factoring for SME has been developing very rapidly in the world trade financing markets. Functions of international factoring as trade financing is a comprehensive financial service that includes credit protection, accounts receivable bookkeeping, collection services and financing. Factoring can be a powerful tool in providing financing to high-risk, informationally opaque sellers. International factoring is very helpful for international exporters to get competitiveness in the world markets. In Korea, a few banks are operating international factoring. But International factoring in Korea could not play a key roll as general trade supporting service. So, This study is to suggest importances of international factoring development for trade development and to investigate real operation situations and problems by way of interviews with operators in banks that are operating international factoring and suggest development strategies for international factoring in Korea.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.12
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• pp.337-344
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• 2020

Stability and sustainability of the biggest banks in any country are extremely important. When big banks become unstable and vulnerable, they typically stop lending. The resulting credit squeeze pushes the economy into recession or a slow growth path. The present study examines the financial stability and sustainability of the 30 large banks operating in the six Gulf Cooperation Council countries. These banks represent 70% of the GCC banking market. Monte Carlo simulation was attempted assuming that key drivers can vary randomly by twenty percent on either side of the current values. The conclusions are drawn based on 300 simulation trails of the five-year forecast balance and income statement of each bank. Year 2020 is not favorable for the GCC countries because of the COVID-19 pandemic and low oil prices, though the future years may be better. The study identifies several banks, which may become financially unsustainable because the simulations indicate the possibility of negative profitability, unacceptably low capital ratios and potential for heavy credit losses during periods of economic turbulence, which is the current situation due to the COVID-19 pandemic. Through simulation the paper is able to throw light on which factors lead to bank instability and weakness.