• Asia Marketing Journal
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• v.14 no.1
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• pp.1-24
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• 2012

Nowadays, customer satisfaction has been one of company's major objectives, and the index to measure and communicate customer satisfaction has been generally accepted among business practices. The major issues of CSI(customer satisfaction index) are three questions, as follows: (a)what level of customer satisfaction is tolerable, (b)whether customer satisfaction and company performance has positive causality, and (c)what to do to improve customer satisfaction. Among these, the second issue is recently attracting academic research in several perspectives. On this study, the second issue will be addressed. Many researchers including Anderson have regarded customer satisfaction as core competencies, such as brand equity, customer equity. They want to verify following causality "customer satisfaction → market performance(market share, sales growth rate) → financial performance(operating margin, profitability) → corporate value performance(stock price, credit ratings)" based on the process model of marketing performance. On the other hand, Insoo Jeon and Aeju Jeong(2009) verified sequential causality based on the process model by the domestic data. According to the rejection of several hypotheses, they suggested the balance model of marketing performance as an alternative. The objective of this study, based on the existing process model, is to examine the causal relationship between customer satisfaction and corporate value performance. Anderson and Mansi(2009) proved the relationship between ACSI(American Customer Satisfaction Index) and credit ratings using 2,574 samples from 1994 to 2004 on the assumption that credit rating could be an indicator of a corporate value performance. The similar study(Sangwoon Yoon, 2010) was processed in Korean data, but it didn't confirm the relationship between KCSI(Korean CSI) and credit ratings, unlike the results of Anderson and Mansi(2009). The summary of these studies is in the Table 1. Two studies analyzing the relationship between customer satisfaction and credit ratings weren't consistent results. So, in this study we are to test the conflicting results of the relationship between customer satisfaction and credit ratings based on the research model considering Korean credit ratings. To prove the hypothesis, we suggest the research model as follows. Two important features of this model are the inclusion of important variables in the existing Korean credit rating system and government support. To control their influences on credit ratings, we included three important variables of Korean credit rating system and government support, in case of financial institutions including banks. ROA, ER, TA, these three variables are chosen among various kinds of financial indicators since they are the most frequent variables in many previous studies. The results of the research model are relatively favorable : R², F-value and p-value is .631, 233.15 and .000 respectively. Thus, the explanatory power of the research model as a whole is good and the model is statistically significant. The research model has good explanatory power, the regression coefficients of the KCSI is .096 as positive(+) and t-value and p-value is 2.220 and .0135 respectively. As a results, we can say the hypothesis is supported. Meanwhile, all other explanatory variables including ROA, ER, log(TA), GS_DV are identified as significant and each variables has a positive(+) relationship with CRS. In particular, the t-value of log(TA) is 23.557 and log(TA) as an explanatory variables of the corporate credit ratings shows very high level of statistical significance. Considering interrelationship between financial indicators such as ROA, ER which include total asset in their formula, we can expect multicollinearity problem. But indicators like VIF and tolerance limits that shows whether multicollinearity exists or not, say that there is no statistically significant multicollinearity in all the explanatory variables. KCSI, the main subject of this study, is a statistically significant level even though the standardized regression coefficients and t-value of KCSI is .055 and 2.220 respectively and a relatively low level among explanatory variables. Considering that we chose other explanatory variables based on the level of explanatory power out of many indicators in the previous studies, KCSI is validated as one of the most significant explanatory variables for credit rating score. And this result can provide new insights on the determinants of credit ratings. However, KCSI has relatively lower impact than main financial indicators like log(TA), ER. Therefore, KCSI is one of the determinants of credit ratings, but don't have an exceedingly significant influence. In addition, this study found that customer satisfaction had more meaningful impact on corporations of small asset size than those of big asset size, and on service companies than manufacturers. The findings of this study is consistent with Anderson and Mansi(2009), but different from Sangwoon Yoon(2010). Although research model of this study is a bit different from Anderson and Mansi(2009), we can conclude that customer satisfaction has a significant influence on company's credit ratings either Korea or the United State. In addition, this paper found that customer satisfaction had more meaningful impact on corporations of small asset size than those of big asset size and on service companies than manufacturers. Until now there are a few of researches about the relationship between customer satisfaction and various business performance, some of which were supported, some weren't. The contribution of this study is that credit rating is applied as a corporate value performance in addition to stock price. It is somewhat important, because credit ratings determine the cost of debt. But so far it doesn't get attention of marketing researches. Based on this study, we can say that customer satisfaction is partially related to all indicators of corporate business performances. Practical meanings for customer satisfaction department are that it needs to actively invest in the customer satisfaction, because active investment also contributes to higher credit ratings and other business performances. A suggestion for credit evaluators is that they need to design new credit rating model which reflect qualitative customer satisfaction as well as existing variables like ROA, ER, TA.

• Journal of Intelligence and Information Systems
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• v.26 no.4
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• pp.111-126
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• 2020

Most industries have recently become aware of the importance of customer lifetime value as they are exposed to a competitive environment. As a result, preventing customers from churn is becoming a more important business issue than securing new customers. This is because maintaining churn customers is far more economical than securing new customers, and in fact, the acquisition cost of new customers is known to be five to six times higher than the maintenance cost of churn customers. Also, Companies that effectively prevent customer churn and improve customer retention rates are known to have a positive effect on not only increasing the company's profitability but also improving its brand image by improving customer satisfaction. Predicting customer churn, which had been conducted as a sub-research area for CRM, has recently become more important as a big data-based performance marketing theme due to the development of business machine learning technology. Until now, research on customer churn prediction has been carried out actively in such sectors as the mobile telecommunication industry, the financial industry, the distribution industry, and the game industry, which are highly competitive and urgent to manage churn. In addition, These churn prediction studies were focused on improving the performance of the churn prediction model itself, such as simply comparing the performance of various models, exploring features that are effective in forecasting departures, or developing new ensemble techniques, and were limited in terms of practical utilization because most studies considered the entire customer group as a group and developed a predictive model. As such, the main purpose of the existing related research was to improve the performance of the predictive model itself, and there was a relatively lack of research to improve the overall customer churn prediction process. In fact, customers in the business have different behavior characteristics due to heterogeneous transaction patterns, and the resulting churn rate is different, so it is unreasonable to assume the entire customer as a single customer group. Therefore, it is desirable to segment customers according to customer classification criteria, such as loyalty, and to operate an appropriate churn prediction model individually, in order to carry out effective customer churn predictions in heterogeneous industries. Of course, in some studies, there are studies in which customers are subdivided using clustering techniques and applied a churn prediction model for individual customer groups. Although this process of predicting churn can produce better predictions than a single predict model for the entire customer population, there is still room for improvement in that clustering is a mechanical, exploratory grouping technique that calculates distances based on inputs and does not reflect the strategic intent of an entity such as loyalties. This study proposes a segment-based customer departure prediction process (CCP/2DL: Customer Churn Prediction based on Two-Dimensional Loyalty segmentation) based on two-dimensional customer loyalty, assuming that successful customer churn management can be better done through improvements in the overall process than through the performance of the model itself. CCP/2DL is a series of churn prediction processes that segment two-way, quantitative and qualitative loyalty-based customer, conduct secondary grouping of customer segments according to churn patterns, and then independently apply heterogeneous churn prediction models for each churn pattern group. Performance comparisons were performed with the most commonly applied the General churn prediction process and the Clustering-based churn prediction process to assess the relative excellence of the proposed churn prediction process. The General churn prediction process used in this study refers to the process of predicting a single group of customers simply intended to be predicted as a machine learning model, using the most commonly used churn predicting method. And the Clustering-based churn prediction process is a method of first using clustering techniques to segment customers and implement a churn prediction model for each individual group. In cooperation with a global NGO, the proposed CCP/2DL performance showed better performance than other methodologies for predicting churn. This churn prediction process is not only effective in predicting churn, but can also be a strategic basis for obtaining a variety of customer observations and carrying out other related performance marketing activities.

• Journal of the Korea Society of Computer and Information
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• v.24 no.6
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• pp.45-55
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• 2019

The purposes of this paper is to draw a conclusion on the impact of the characteristics of economic cooperation between china and south korea on customer value and enterprise performance in the korean electronics industry. In this paper, product reliability and product innovation are especially used as analytical factors, and this paper used a survey of 293 internal employees working in the electronics industry for analyze, and structural equation model(SEM) was used to analyze the data. The results of the research analysis are summarized as follows. First, it was found that the characteristic of economic cooperation in the research model has a significant effect on the product reliability. Second, it was found that the characteristics of economic cooperation have a significant effect on the products innovation. Third, the products reliability has a significant impact on customer value, while the products innovation has not affected customer value. Finally, it was found that the customer value of the korean electronics industry also has a significant impact on the Enterprise performance. As a good development alternative to this research, there is the ultimate goal of hoping that corporate managers will help to create new good values. To this end, we hope it will be helpful as we have made necessary suggestions to establish the desired direction of the Korean electronics industry operator.

• The Research Journal of the Costume Culture
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• v.22 no.1
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• pp.28-41
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• 2014

The study focuses on verifying the effects of service education and empowerment on job satisfaction, job performance, and customer orientation. 290 salespeople working for fashion companies participated by completing a survey. The collected data was then analyzed with SPSS 16.0 and AMOS 7.0. Structural equation modeling was used to examine the goodness of fit. Looking at the results of this study, the service education of salespersons in fashion companies was shown to affect their level of satisfaction with their compensation, whereas empowerment affected their psychological satisfaction. These findings indicate that the service training and empowerment as experienced by salespersons working for fashion companies affect their customer orientation and job performance. Specifically, psychological satisfaction as part of the overall level of job satisfaction was found directly to affect their customer orientation, whereas their satisfaction with their compensation did not affect their customer orientation. Customer-orientation as influenced by service education and empowerment was revealed to have direct effect on job performance. The results of this study indicate that the service education of salesperson working for fashion companies and their level of empowerment create job satisfaction and customer orientation in these individuals. This study will be a valuable source of information for those who create salesperson empowerment programs and salesperson management strategies for fashion companies. Such programs and management strategies can facilitate efficient job performance by salespersons working for fashion companies and increase their level of job satisfaction.

• CRM연구
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• v.1 no.1
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• pp.3-22
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• 2006

As customer relationship management (CRM) has been increasingly adopted by corporations as a core business strategy, measuring performance of CRM is becoming an important managerial issue recently. In this study, we present a conceptual framework formeasuring CRM performance, and provide strategic priorities among the diagnostic perspectives and factors involved in the framework by analyzing their comparative weights. We first derived critical success factors of CRM from an extensive literature review and in-depth interviews with industrial and academic CRM experts, and categorized them into one of four different diagnostic perspectives. Then, we asked a group of CRM experts to evaluate each set of diagnostic factors in a pairwise fashion with respect to each perspective, computing their comparative weights by using the Analytic Hierarchy Process (AHP) technique. In terms of diagnostic perspectives, this study shows that customer perspective was the most critical perspective, whereas infrastructure was the least weighted perspective. The result also discloses that explicit goal and top management's attitude, expanding customer relationship, strengthening customer loyalty, and enhancing customer equity are the most important factors in infrastructure, CRM process, customer, and organizational performance perspective, respectively.

• Culinary science and hospitality research
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• v.5 no.2
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• pp.447-467
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• 1999

Most published work on product quality focuses on manufactured goods. The subject of service quality has received less attention. This distinction is important because some of the quality-improving strategies avaliable to manufacturers may be inappropriate for service firms. Services are performances, not objects. They are often produced in the presence of the customer, as in the cause of hotel restaurant services, quality occurs during service delivery, usually in an interaction between the customer and contact personnel of service firm. for this reason, service quality is highly dependent on the performance of employees, an organizational resource that cannot be controlled to the degree that components of tangible goods can be engineered. The study has begun as a basic study for customer satisfaction-oriented management in understanding the service quality of food & beverage products and through a systematic analysis of it. The major purpose of the study was to examine the relationship of the customer satisfaction and service quality in consideration of reliability, empathy, responsiveness, tangibility and assurance. An empirical research was conducted based on the previous theoretical studies. 286 customer at first class hotels in Seoul were selected as samples of this study. The time period of research was from February through March 1999, and answers were processed by SAS to yield frequency analysis, multivariate statistical analysis and regression analysis. The finding of the statistical treatment are frequencies, factor analysis, multiple regression analysis, path analysis. SERVQUAL method was used the service quality evaluation methods. After factor analysis, it was resulted to 3 factors. those were factor 1(assurance.empathy.responsiveness), factor 2(reliability), factor 3(tangibility). The findings of the statistical treatment are as follows. First, the attribute measurement of performance service quality was affected by customer satisfaction. Second, the attribute measurement of performance service qualify was affected by repurchase intention. Third, The attribute measurement of performance customer satisfaction was affected by repurchase intention. The result of study model was followed, service quality was affected repurchase intention than customer satisfaction. indirected effect through, service duality and customer satisfaction was affected repurchase intention.

• Journal of Digital Convergence
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• v.16 no.2
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• pp.169-178
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• 2018

The purpose of this study is to analyze the effect of innovation factors and relationship factors ASP service on customer performance for small firms using ASP service and Supplier trust analyzed the regulatory impact of the innovation factors and relationships factors on customer performance. Sample data was collected using questionnaire techniques, and statistical analysis used regression analysis. As a result of analysis, it is analyzed that the relative advantage of innovation factors and the influence of other companies have a positive effect on customer performance. In the relationship factors, the degree of information sharing was analyzed as a variable that positively influenced customer performance. However, the Flexibility of participants was analyzed as a variable that did not positively affect customer performance. As a result of analyzing the regulatory role of supplier trust, supplier trust is analyzed as a variable that plays a moderating role in customer performance along with innovation factors and relationship factors. Therefore, in the case of small enterprises using ASP service, it was found that innovation factors and information sharing factors are important factor to maximize customer performance. And that the trust of ASP vendors is a very important variable for customers.

• Korean Management Science Review
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• v.23 no.3
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• pp.133-156
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• 2006

The ubiquitous technology, leading the stream of change in telecommunication market, makes VoIP a foundation technology to enter NGN era. With this trend in mind, VoIP providers try to satisfy customer needs and invest on R&D in order to survive in this emerging market. The critical issues to VoIP providers are two fold the first one is to find out the quality attributes of Internet telephony service; and the second one is to assess the impact they have on customer satisfaction, customer loyalty and customer performance. In this study, we attempt to empirically answer the above two issues employing SEM (structural equation modeling) and AHP (analytic hierarchy process), and suggest strategic guidelines for successful deployment of Internet telephony service.

• Journal of Digital Convergence
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• v.15 no.3
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• pp.47-54
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• 2017

In this study, the organizational performance is divided into the policy perspective, the customer perspective, and the internal viewpoint rather than the financial perspective. The public institutions selected as examples of this study are public institutes under the Ministry of Environment, which are established to promote environmental industry development and environmental technology development projects, and promote the dissemination and practical use of developed environmental technologies. The public institutions that were the target of the study were concerned about how to define organizational performance and how to improve organizational performance. In addition, the institutions were interested in measuring performance in terms of customers and policies rather than financial performance. As a result of this study, it was found that the public institutions which were the subject of study were not very high in terms of policy, customer, and internal performance. In order to enhance the organization's policy performance, customer performance and internal performance, it is necessary to communicate smoothly among the members of the organization, horizontal organizational structure, encourage participation in the client's policy process, and redesign the business process from the customer's perspective.

• Knowledge Management Research
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• v.6 no.1
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• pp.1-17
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• 2005

Both knowledge management and BSC practices are in its inception in the tourism field, and the study explores the relationships between knowledge and BSC perspectives using correlations and path analysis. The purpose of this study was to explore the casual relationships among tourist destination knowledge and BSC performance perspectives. The study model added knowledge perspectives to the usual BSC model (with customer, growth and learning, internal process, and financial perspectives), in addition to the modification of the financial perspectives to economic, socio-cultual and physical impact. The study found out that knowledge supports learning and growth perspectives greatly, and less extent, internal processes and customer perspectives. Learning and growth affects internal processes and customer perspectives. Internal process supports customer perspectives. Both customer and, less extent, internal process have impact on the final results. The final analysis results were different by destination type. The study concludes with recommendations for further studies including rational BSC model for tourist destinations and relationships between BSC performance indicators.