• Asia Marketing Journal
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• v.20 no.2
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• pp.29-40
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• 2018

Recent research reported that perception of future time is non-linearly scaled. That is, as objective time gets longer, subjective perception of the objective time does not grow proportionally. The non-linear time perception implies that the same future time feels shorter when it starts in the future than when it starts immediately. The authors call this as a future contraction effect. The current research tests two important implications of the effect regarding consumers' intertemporal preference for durable goods. First, consumers who contract future more will be more impatient for durable goods compared to those who contract less because the former would feel to use the same durable goods longer when it is purchased immediately. Second, consumers' impatience will be alleviated when their tendency to contract future is reduced. The authors find support for these predictions through two studies. Taken together, the current research demonstrates a property of time perception that has important ramifications for understanding consumers' intertemporal preference for durable goods.

• KDI Journal of Economic Policy
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• v.27 no.2
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• pp.123-154
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• 2005

Using Korean household data, this paper examines how consumption of durable goods is determined. Previous studies report that the standard Permanent Income Hypothesis (PIH), while being broadly consistent with non-durable goods consumption, provides little explanation for durable goods consumption. In this paper, we consider the (S, s) model as an alternative to the standard PIH. The (S, s) model predicts that, because of fixed adjustment costs, consumers make no adjustment to the durable goods stock until deviation from the optimal level becomes large. When the adjustments are made, the durable goods stock attains the optimal level. In order to test this prediction, we examine the intra-temporal relationship between non-durable goods and durable goods consumption and intertemporal changes in durable goods consumption, using data from the Korean Household Panel Study. The results show that, while the standard PIH is rejected by the data, the (S, s) model is not.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.43 no.3
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• pp.21-28
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• 2020

Aftermarket refers to a market in which a company sells complementary goods, replacements of parts, and upgrade or maintenance services to consumers after selling them main durable goods. Intuitively, consumers who purchase main durable goods become major potential customers in subsequent aftermarket. Thus the existence of the aftermarket has a significant impact on pricing of the main durable goods as well as the aftermarket products. In this study, we analyze the effect of aftermarket on the pricing strategy for a company selling both main durable goods and aftermarket products. To do this we first divided the market into markets where the aftermarket products are indispensable and optional. Based on the proposed market types, the profit maximizing solutions are derived using two-period model, and the impacts of consumers' undervaluation of aftermarket product prices on pricing strategy are analyzed. The results can be summarized as follows : (1) Regardless of the market type, the total profits were found to be inversely proportional to the consumer's awareness accuracy of product prices in the aftermarket. This is in line with marketing efforts that sales companies have made intuitively to make consumers underestimate the cost of the aftermarket. (2) If aftermarket product is indispensable, only revenue from the aftermarket is sought. On the other hand, if aftermarket product is optional, revenue from the main durable good as well as the aftermarket product will be sought simultaneously. (3) Moreover, when aftermarket product is optional, the lower the awareness accuracy of consumers, the higher the price and profit of the main durable goods, while the lower the price and profit of the aftermarket products. This is contrary to the intuition that the lower the consumer's valuation of the costs of aftermarket, the more advantageous it would be to rely on aftermarket products rather than on main durable goods.

• Proceeding of Spring/Autumn Annual Conference of KHA
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• 1991.09a
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• pp.19-28
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• 1991

The present state of possesion of durable consumer's goods in on family in Korean is could be similar with that of about 25 years ago in Japan. Korea meet a period of high rate of economic growth, Japan had already experienced this 25 years ago. It would be important to predict and plan the storage space in the planning house since purchase of durable consummers' goods increase greatly as the rapid economic growth. In order to grasp the dweller's way of thinking and an attitude of living in small size house in Japan, questionaire owe prepared focusing on the "small space", possession of excess living goods and dweller's state of living. From the analysis of the answers for questionaire, the result is as follows. (1) Most of dweller's conclude that the reason of the disorder in their house is that their house in too small, so that they think the part of thier living goods must be disposed. This concept is also available even when they buy new living goods. (2) Disposal of living goods not in use, restraint of buying those are considered inevitable. In addition, changing of place of furnitures is also introduced. (3) The dweller living under 50m2 area dosen's not consider the disorder the house by the living goods. they have interest in how the tradition could be kept their home.

• Journal of Korean Institute of Industrial Engineers
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• v.26 no.1
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• pp.66-72
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• 2000

Inventory management of a product not to be produced any more has a great impact on the financial status of a company. Clearance pricing can make bigger sales volume together with great savings of inventory holding cost specially for a durable goods with relatively large inventory carrying cost and accordingly cash inflow can be improved. This paper deals with the inventory management by non-linear clearance pricing with the sales rate which depends on the accumulated sales volume and selling price.

• IE interfaces
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• v.2 no.2
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• pp.63-73
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• 1989

The present paper determines the equilibrium price function of used goods and their carry-over age when there are heterogeneous firms with different factor prices. It is shown that the used good market enables more efficient use of durable goods and thereby gains from trades. It is also shown that firms with a lower interest rate and a higher wage rate specialize in using newer goods.

• Journal of Environmental Science International
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• v.24 no.6
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• pp.709-720
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• 2015

After analyzing the actual acquisition status of carbon labeling by year and by product for the past four years, as well as its certification in the construction-related sectors of greenhouse gas emission, this study attempted to present the problems and coping strategies upon issuing the carbon labeling certification in the landscape architecture. During the period of this analysis, the carbon labelings were acquired by 134 enterprises, 267 workplaces, and 735 products, while the percentage of acquisition was highest in the regular non-durable goods(49%), followed by energy-consuming durable goods(26%), regular production goods (19%), regular durable goods(3%), and service(3%). Furthermore, the acquisition certifications in construction sectors, were highest in the various pipes/panel(8 cases), followed by concrete(6 cases), gypsum board(4 cases), and landscape architecture materials(2 cases). The landscape architecture only had two cases in the acquisition certification for the first time in 2012, which accounted for 0.27% of the entire certification products, due to the uncertainty in the process, the lack of professionalism, and the lack of comprehension. However, the study conducted on the coping strategies for carbon labeling in the landscape architecture revealed the following: (1) regular reporting system management through the division of labor in the head office and factories, (2) the building of objective DB through the adoption of data management programs such as SAP, (3) continuous promotion and vitalization of the incentive system, (4) the adoption of mandatory or preferential application system in landscaping projects, management, and bidding, (5) enhancement of elasticity in deliberation of certification by recruiting experts in the landscape architecture sectors, and (6) provision of incentives for the cooperative firms acquiring the certification and support for their participation.

• Journal of Families and Better Life
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• v.9 no.1 s.17
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• pp.187-202
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• 1991

The purpose of this study is to analyze what attitude housewives hove to the TV advertisement and how their purchasing behavior is proceeding by information acquisition. Questionaire survey method was used in this research. The sample was taken from 437 housewives living is Seoul, form 4th of Feb. to 13th of Feb, in 1991. Used statistical methods were Frequency, Percentage, Crosstabs, One-way Anova, Duncan-test, and Regression Analysis. The major findings are summarized as follows : 1) The attitude to the TV advertisement according to the socio-demographic variables : TV advertisement seeing and hearing, the necessity of TV advertisement, and the attitude to the new advertisement are all found significant difference by age and education. The feeling to the false of TV advertisement is found significant difference by age, education, and income. 2) The purchasing behavior with TV advertisement information is most influenced by utilization of TV advertisement for all four goods(home medicine, milk product, detergent, durable goods). 3) The interest to the TV advertisement according to the TV advertisement information acquired: The degree to the utilization of TV advertisement and the necessity of TV advertisement when they buy goods were most influenced by conversation about the TV advertisement. 4) The purchasing behavior to the TV advertisement information acquired : The degree of influence was more affected by conversation about the TV advertisement for four goods, The degree of confidence was influenced by conversation about the TV advertisement for four goods. The degree of confidence was influenced by conversation about the TV advertisement for house medicine and detergent. The degree of satisfaction was not significant for all four goods, and the comparative appraisement was influenced by conversation about the TV advertisement for detergent and durable goods.

• Journal of the Korean Operations Research and Management Science Society
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• v.10 no.1
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• pp.65-78
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• 1985

In this paper, the approach getting a total demand by forecasting the new demand and the replacement demand separately and adding them is used for long term forecasting of durable goods. Cross country analysis using the income as an independent variable and S-shaped growth curve as a fitting model is developed as a method of forecasting new demand. To get the replacement demand the methods using the number of ownership and the replacement rate and the methods using the past demand and the distribution of the product life are proposed. And the theoretical explannation for product life cycle's diversity, which is the one of the major considerations in the long term forecasting, is attempted by the combination of the new demand and the replacement demand patterns. This is applicated the long term forecasting of Korean passenger cars.

• Korean Journal of Rural Living Science
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• v.2
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• pp.51-62
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• 1991