• Title/Summary/Keyword: Customers

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Impact of Net-Based Customer Service on Firm Profits and Consumer Welfare

  • Kim, Eun-Jin;Lee, Byeong-Tae
    • 한국경영정보학회:학술대회논문집
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    • 2007.06a
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    • pp.141-146
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    • 2007
  • The importance of the net-based customer service in delivering supplementary after-sale services associated with product has been well documented. The strategic advantages of a well-implemented the net-based customer service are enhanced customer loyalty and higher lock-in of customers, and the resulting reduction in competition and the consequent increase in profits. However, not all customers utilize such the net-based customer service. This is partly due to the e-commerce divide, and partly due to privacy and security concerns of the customer for sharing personal information with firms. The limited level of customer adoption of the net-based customer service affects the firm profits and the customers' welfare. We use a game-theoretic model in which we model the net-based customer service system as a mechanism to enhance customers' loyalty. We find that an increase in adoption of the net-based customer service by the customer base is not always desirable for firms. and that customers who utilize such services are better off only when the overall adoption is limited.

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Customer Coproduction and Customer Citizenship Behavior in e-Commerce

  • Lee, Ju-Min;Han, In-Goo
    • 한국경영정보학회:학술대회논문집
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    • 2007.06a
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    • pp.473-478
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    • 2007
  • As customers' participation in B2C e-commerce increases, customers are getting more involved in the delivery of services, which may even go beyond the completion of service transactions. To examine such proactive extra-role online customer behavior, we delve into organizational citizenship behavior framework, which has been recently extended to examine customer citizenship behavior (CCB) in the service market area. Although CCB is vital for online retailing success, MIS and e-commerce research efforts have generally focused on the customer's customer coproduction that are customer in-role behaviors. Moreover, although the effect of information created by anonymous strangers on other customers increase, interpersonal trust research have focused on only the relationship between a seller and a customer. Therefore, this study attempts to answer two research questions: What are motivational factors that affect CCB? How differently do the two kinds of interpersonal trusts (trust in online retailer and trust in customers) influence customers?

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Queueing System Operating in Random Environment as a Model of a Cell Operation

  • Kim, Chesoong;Dudin, Alexander;Dudina, Olga;Kim, Jiseung
    • Industrial Engineering and Management Systems
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    • v.15 no.2
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    • pp.131-142
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    • 2016
  • We consider a multi-server queueing system without buffer and with two types of customers as a model of operation of a mobile network cell. Customers arrive at the system in the marked Markovian arrival flow. The service times of customers are exponentially distributed with parameters depending on the type of customer. A part of the available servers is reserved exclusively for service of first type customers. Customers who do not receive service upon arrival, can make repeated attempts. The system operation is influenced by random factors, leading to a change of the system parameters, including the total number of servers and the number of reserved servers. The behavior of the system is described by the multi-dimensional Markov chain. The generator of this Markov chain is constructed and the ergodicity condition is derived. Formulas for computation of the main performance measures of the system based on the stationary distribution of the Markov chain are derived. Numerical examples are presented.

Customer Selection for a Happy Call in the City Gas Business (도시가스업에서 해피꼴 고객의 선정)

  • 변대호
    • Korean Management Science Review
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    • v.20 no.1
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    • pp.125-139
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    • 2003
  • City gas is becoming an essential resource in households due to its convenience and low price in comparison to other energy sources. However, in order to prepare for the gas market to be saturated, many city gas companies must pursue customer satisfaction management and develop happy call systems for a promising solution. In the development of the happy call systems, the difficult problem is that we cannot contact all customers because of limited resources and calling efficiency in the call center, We should find best customers according to their value. This paper suggests a methodology for the selection of happy call customers when city 9as companies consider two strategies. First, they should launch a new business area. Second, they must attempt to prevent current customers from moving from city gas to other fuels. We will discover important attributes and derive rules of weighting for the attributes through an exploration study that affect customer satisfaction and preference. Through a simulation model, we will show how many customers will be selected by our methodology.

Asymptotic Analysis on Service Differentiation with Customer Arrival Information (고객 도착 정보를 이용한 서비스 차별화에 관한 점근적 분석)

  • Choi, Ki-Seok
    • Journal of the Korean Operations Research and Management Science Society
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    • v.33 no.2
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    • pp.115-135
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    • 2008
  • An interesting problem in capacitated supply chains is how to guarantee customer service levels with limited resources. One of the common approaches to solve the problem is differentiating service depending on customer classes. High-priority customers receive a better service at the cost of low-priority customers' service level. One of common criteria to determine a customer's priority in practice is whether he has made a reservation before arrival or not. Customers with a reservation usually receive service based on the time the reservation was made. We examine the effect this advance information of customer arrival has on customer service levels. We show the trade-offs between the leadtime and other system characteristics such as the proportion of high-priority customers. when the service level is high. We also suggest how to differentiate service using the asymptotic ratio of the service levels for both types of customers.

A study of developing Customer Satisfaction Index(CSI) used for Structural Equation Model(SEM) and applications of customers' decision - focused on the domestic automobile industry - (구조방정식을 이용한 고객만족지수 개발과 고객의사결정에의 활용 방안에 관한 연구 - 국내 자동차 산업을 중심으로 -)

  • 정지영;조재립
    • Journal of Korean Society for Quality Management
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    • v.31 no.3
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    • pp.85-97
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    • 2003
  • There are various methods to assess to company's outcome. Among them, the customers satisfaction, which is assessed by customers, is the most important. If the customers satisfaction is measured by the CSI based on the proper reliability and validity, you can apply the result for various marketing methods. Therefore, this study develops a model to assess CSI for an industry, specifically, local automotive industry based on the SEM that is already proven valid through assessing models such as ACSI, KCSI and NCSI. Moreover, this research can be utilized for marketing strategy helping customers to decide as an AHP model, one of the decision making method.

Analysis on G/M/1 queue with two-stage service policy

  • KIM SUNGGON;KIM JONGWOO;LEE EUI YONG
    • Proceedings of the Korean Statistical Society Conference
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    • 2004.11a
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    • pp.295-300
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    • 2004
  • We consider a G/M/1 queue with two-stage service policy. The server starts to serve with rate of ${\mu}1$ customers per unit time until the number of customers in the system reaches A. At this moment, the service rate is changed to that of ${\mu}2$ customers per unit time and this rate continues until the system is empty. We obtain the stationary distribution of the number of customers in the system.

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A Study on the Reliability Index and Customer Density of Distribution System (배전계통의 신뢰도 지수와 수용가 밀도에 관한 연구)

  • Bae, In-Su;Kim, Jin-O
    • The Transactions of The Korean Institute of Electrical Engineers
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    • v.60 no.9
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    • pp.1646-1650
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    • 2011
  • SAIDI(System Average Interruption Duration Index) is the index that signifies the power quality of customers. SAIDI is also used to know how well utilities operate their systems. The annual interruption time in the areas that consists of widely distributed customers, is generally longer than that in the areas that consists of heavily concentrated customers. The Reliability index of huge system is not necessarily better or worse than that of small system, because SAIDI is irrelevant to the total amount of power sold or the total number of customers. This paper proposes a customer density very relevant to SAIDI. The proposed customer density is used to modify the existing SAIDI to more clearly express the service level of power supply. A modified WSAIDI(weighted SAIDI) can be a useful indicator helping utilities improve the reliability of their systems and customers evaluate the service level of receiving power.

The Effect of Emotional Intelligence on Salesperson's Behavior and Customers' Perceived Service Quality

  • Kim, Sang-Hee
    • Proceedings of the Korean DIstribution Association Conference
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    • 2007.08a
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    • pp.127-158
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    • 2007
  • This study discusses salespersons' emotional intelligence, one of the key abilities necessary to meet customers' needs effectively, and express positive emotions in frequent interactions with customer. Emotional intelligence refers to self-controllability and social ability emphasizing pro-social aspect and understanding of others. This study investigates how salespersons' emotional intelligence affects adaptive selling and positive emotional expression during the process of interaction with customers, and how such adaptive selling and positive emotional expression affects the quality of service perceived by customers. The results show that greater salespersons' emotional intelligence results in better adaptive selling and positive emotional expression. Such adaptive selling and positive emotional expression had significant effects on the quality of service perceived by customers. These results are important in that they address emotional intelligence as salespersons' emotional ability, which has been overlooked as an antecedent variable for improving adaptive selling and display of positive emotion, consequently provide another factor to help salespersons improve their selling behavior.

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Does Customer Relationship Management for VIP Customers Affect Repurchase and Positive WOM in Premium Hotels? (특급호텔 서비스를 이용하는 VIP 고객 관점에서의 CRM 관계편익에 관한 연구 : 일반 고객과의 비교를 중심으로)

  • Shim, Byung-Hui;Kim, Min-Cheol;Ko, Jae-Yong;Kim, Sang-Yong
    • Journal of the Korean Operations Research and Management Science Society
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    • v.36 no.4
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    • pp.185-206
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    • 2011
  • "Does CRM benefit affect repurchase or WOM? What is difference between VIP customers and non-VIP customers on CRM benefit?" is the interesting issue on premium industry such as a hotel business. This study examines how social benefit, psychological benefits, economic benefits and customization benefits affect repurchase and positive WOM in premium hotel. Only three of the four benefits showed significant results in repurchase and positive WOM. Also interactions between customer type and benefits were different in repurchase and WOM. The results figure out that VIP customers depend on psychological benefits and customization benefits on repurchase, whereas VIP customers depend on only social benefit on WOM. This finding suggests that hotels need to develop VIP program and approach differently to increase the repurchase volume or positive WOM effect.