• Title/Summary/Keyword: Duty Free Shops

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Economic Effects of Incheon International Airport Arrival Duty-Free Shops (인천공항 입국장 면세점 도입에 따른 경제적 효과 분석)

  • Kim, Seok;Choi, Yu-Jin
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.26 no.4
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    • pp.20-26
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    • 2018
  • This study analyzes the economic effect of introducing the arrival duty - free shop at Incheon International Airport. Based on the estimated sales of KRW 127 billion for the duty-free shop at the port of entry, the international balance of payments was estimated at KRW 55.5 billion. Job creation was estimated at 530, including direct and indirect workforce. With the admission of arrival duty-free shops, duty-free shops in the airline are likely to see a decline in sales, helping to improve monopoly structure on the market structure side. It is expected that the rental income generated through the operation of the arrival duty-free shop will be used as a resource for social contribution activities, creating additional social economic effects.

Is the Korean Duty Free Shop Industry Monopolistic? (한국 면세점 산업의 구조, 독과점인가?)

  • Lee, Hee-Tae;Cha, Moon-Kyung
    • Journal of Distribution Science
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    • v.14 no.10
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    • pp.47-57
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    • 2016
  • Purpose - This study's purpose is to investigate the market structure of the Korean duty free shop industry that has received recent attention from researchers and practitioners. By raising the question of whether or not the Korean duty free shop industry is unequivocally monopolistic, a wider viewpoint is provided. The study seeks to offer insights and managerial implications for marketers and policy makers who are in charge of regulating major Korean duty free shops. Research design, data, and methodology - The authors use secondary data from various sources, including Korea Customs Service and the Moodie Report, to investigate the structure of the duty free shop industry of Korea. Based on several theories, they present various criteria and statistical evidence such as K-firm concentration ratio, HHI, consumer substitutability, excess profit, and marketing costs. Results - In terms of consumer substitutability, it is difficult to confirm whether or not the Korean duty free shop industry is monopolistic. Notwithstanding monopoly characteristics in terms of market share, neither the company Lotte nor Shilla appear to have market dominating power. It is not easy for either of them to control prices or to achieve a much lower operational profit ratio due to a dominant bargaining power. Moreover, the license is not an economic rent. In this situation, it is not easy for these companies to obtain an excessive profit. Conclusions - Considering that most global duty free shops are trying to go upscale to improve bargaining power, it does not seem likely that rigid regulations are needed in the industry. Even though the Korean duty free industry ostensibly has a monopolistic structure, government and policy-makers should look beyond the surface. They should take global and other reasonable criteria into consideration when they establish or change regulation policies. Thorough understanding and appropriate support are needed for the Korean duty free shop industry. Additionally, duty free shops should position themselves as global companies struggling against unlimited international competition, rather than Korean domestic companies. At the same time, they need to give customers appropriate information about the benefits they provide.

A Study on Design Preference for the Sales Spaces of Duty-Free Shops by the Examination of Image Evaluation - Cases of Duty-Free Shops in Jeju Special Self-governing Province -

  • Moon, Jung-Eun;Kim, Bong-Ae
    • Architectural research
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    • v.12 no.2
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    • pp.53-62
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    • 2010
  • The purpose of this study is to examine design preferences for the sales spaces of duty-free shops (DFSs) by conducting image evaluations. The results will help improve quality by influencing designs for the construction, extension or remodeling of these shops. An image measurement method, the semantic differential method, was used to measure cognitive structure using photos of shops. Photos were collected of the DFS at Jeju Island, as well as photos of brand stores designed by architects. Two sets of 16 photos (32 different photos in all) were selected according to photo classification standards and design concepts, both decided by reviewing previous studies and related materials. The evaluation and survey were done by two sets of subjects: sales employees, who have experience and special knowledge of the evaluation of sales space; and students majoring in architecture. To strengthen the evaluation results, I conducted a preliminary survey and a main survey, verifying and complementing findings. 116 surveys were conducted, of which 14 were of poor quality and rejected, leaving and 102 to be analyzed. The collected surveys were statistically analyzed, using SPSS 12.0 for Windows. Reliability, image profile, factor and multi-dimensional scaling analyses were conducted. As a result, image evaluation structure and characteristics were obtained for sales spaces of DFSs, confirming the difference between them and other spaces.

A Study on the Shopping Behavior of Duty Free Shop Users

  • Choi, Yu-Jin;Park, Jin-Woo
    • Journal of Distribution Science
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    • v.16 no.8
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    • pp.39-50
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    • 2018
  • Purpose - The ultimate purpose of this research is to analyze the influence of personal disposition on shopping value and behavioral intention by expanding the theory of planned behavior (TPB). Research design, data, and methodology - An attempt was made to examine the effects of personal disposition (reflecting duty-free shop characteristics) on three selective actions of consumers - compulsive buying, variety seeking, and price sensitivity. We conducted a questionnaire survey with the users of airport duty-free shops, downtown duty-free shops (offline), and online duty-free shops. In total, 410 copies of the questionnaire were analyzed using a structural equation model. Results - According to the results, compulsive buying, variety seeking, and price sensitivity significantly affected shopping value. Shopping value and subjective norms both had significant effects on attitude, the major variable in the TPB, and attitude had the greatest effect on behavioral intention, followed by subjective norms and perceived behavioral control in descending order. Conclusions - This study has academic implications in that it extends the existing theories of planned behavior and applies it to consumer characteristics and shopping value. It has practical implications as well in that it provides basic data that can be used to establish concrete marketing strategies for duty-free shop owners targeting segmented markets by closely examining customer desires.

A Study of the Influence of Situational.Emotional Factors on Impulsive Buying in Duty-Free Shops (면세점내 상황적.감정적 요인이 충동구매에 미치는 영향에 관한 연구)

  • Jung, Joo-Won;Cho, So-Yeon;Park, Myung-Hee
    • Journal of the Korean Home Economics Association
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    • v.48 no.8
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    • pp.99-111
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    • 2010
  • The purpose of this study was to identify the factors, which influence impulsive buying at duty-free shops. This involved an investigation into the effects of demographic characteristics, the types of purchased items, and the situational and emotional factors affecting impulsive purchasing behaviour in consumers, who had bought items from duty free shops in the past three years. The findings are as follows. Firstly, while beverage and cosmetic items were found to encourage impulse buying, in general demographic variables and type of product had only a slight influence. Secondly, the situational factors of price benefits, overseas luxury branding, and ease of access in the duty free shopping area all had a definite positive influence. Thirdly, with regard to emotional factors, positive emotion was found to have strong augmenting effect on impulsive purchasing. The findings can be used in the development of educational materials to prevent impulsive purchasing and promote sensible consumer behaviour.

The Research focusing on the Goal-directed Behavior of Duty Free Shop Users (면세점 이용객들의 목표지향적 행동에 관한 연구)

  • Choi, Yu-Jin;Park, Jin-Woo
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.23 no.4
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    • pp.73-81
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    • 2015
  • The purpose of this study is to explore structural relationship between cognitive factors and emotional factors in predicting behavioral intention of duty-free users. This study conducted questionnaire survey on 246 users of duty-free shops and analyzed it by using structural equation. As the result of the study, attitude was significantly associated with both desire and behavioral intention. Subjective norm had a significant impact on desire, but had no significant imfact on behavioral intention. Whereas perceived behavioral control did not have a significant influence on desire and intention. Desire, which plays mediating role as a major variable in goal-directed behavioral model, turned out to not only have significant impact on behavioral intention but has the strongest effect as well. This study has its academic meaning in that it explored factors which have effect on decision-making process of duty-free users focusing on goal-oriented behavioral model, which is one of integrated psychological models. In practical terms, this study can be used as a basic material for corporations to establish goals in domestic duty-free shops.

Analysis of Duty-Free Shopping Attributes and Shopping Satisfaction of Chinese Tourists : Focusing on duty free shops in Busan (중국인 관광객의 면세점 선택속성과 쇼핑 만족도 분석 : 부산지역 면세점을 중심으로)

  • Hwang, Seong-Jun;Kim, Dong-Il
    • Journal of Digital Convergence
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    • v.15 no.12
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    • pp.137-145
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    • 2017
  • The purpose of this study is to suggest the measures to measure the shopping satisfaction and to increase the shopping satisfaction. We conducted surveys and conducted empirical analysis on Chinese tourists visiting duty free shops in Busan using direct survey method. The results of this study are as follows. First, factor analysis for subdividing the duty - free choice attribute was analyzed as store attribute, product attribute, and service attribute. Second, based on this analysis, the effect of each attribute on shopping satisfaction showed statistically significant positive results. Third, the analysis of the relative size of the effects of analytic attributes on satisfaction showed that store attributes were the highest. That is, the quality of duty-free shops, services, and products increases overall shopping satisfaction. Therefore, it can be said that the strategy implementation that improves the quality of the attributes affecting the satisfaction is expected to contribute to the improvement of the management performance, and suggests the management implications for the activation of the operation of the duty - free shop. Future studies will be more meaningful if more variety of shopping places are studied.

Developing Appropriate Inventory Level of Frequently Purchased Items based on Demand Forecasting: Case of Airport Duty Free Shop (수요예측을 통한 다빈도 구매상품의 적정재고 수준 결정 모형개발: 공항면세점 사례)

  • Cha, Daewook;Bak, Sang-A;Gong, InTaek;Shin, KwangSup
    • The Journal of Bigdata
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    • v.5 no.2
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    • pp.1-15
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    • 2020
  • The duty-free industry before COVID-19 has continuously grown since 2000, along with the increase of demand in tourism industry. To cope with the increased demand, the duty free companies have kept the strategies which focused on the sales volume. Therefore, they have developed the ways to increase the volume and capacity, not the efficient operations. In the most of previous research, however, authors have proposed the better strategies for marketing and supporting policies. It is very hard to find the previous research which dealt with the operations like logistics and inventory management. Therefore, in this study, it has been predicted the future demand of frequently purchased items in airport duty free shops based on the estimated number of departing passengers by the linear regression, which concluded with the appropriate inventory level. In addition, it has been analyzed the expected effects by introducing the inventory management policy considering the cost and efficiency of operations. Based on the results of this study, it may be possible to reduce total cost and improve productivity by predicting the excessive inventory problems at duty-free shops and improving cycles of supplying items.

A Study on the Effect of Duty Free Shop Sales on Airline Delay at Airport - Focused on airlines of Incheon International Airport - (공항에서 면세점 매출액이 항공기 지연에 미치는 영향에 관한 연구 - 인천국제공항 탑승동 취항 항공사 대상으로 -)

  • Kim, Kwang Il
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.26 no.2
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    • pp.123-131
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    • 2018
  • Air transport industry tries to enhance punctuality, stability and amenity for customer's satisfaction. Especially airlines and airports do make an effort as the distance between these two stakeholders and passengers are close. This research has empirically discussed the relationship between duty free shop purchase of passengers and the number of flights and hours of schedule delay at the airport. According to the result, the total sales of duty free shop sales have meaningful influence on the number of flights and hours of delay. In order to decrease such an impact, close cooperation between airports and duty free shops required.

A study on improving the usability of AR Shopping in the Mobile Duty-free App: Focusing on the Lotte Duty-free App (모바일 면세점 앱에서 AR 쇼핑 사용성 향상에 관한 연구: 롯데 면세점 앱을 중심으로)

  • Liu Chunli;Nam Inyong;Ding Meijun;Wang Xiuhong;Xue Yuanyuan
    • The Journal of the Convergence on Culture Technology
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    • v.10 no.1
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    • pp.143-152
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    • 2024
  • Due to COVID-19, domestic Duty-free shops have been severely impacted, and with the expansion of the untact market, the proportion of mobile shopping has increased. So far, mobile duty-free shop AR shopping is not active, and related research is scarce. Therefore, we aims to enhance Duty-free Shopping APPs with AR technology by researching the needs of foreign users. First, in the mobile duty-free shop app, the AR shopping interface must be in a prominent position to be open and easy to use. Second, there should be an explanation or help for location and function so that all users can easily recognize the AR shopping interface. Third, when wearing duty-free items in the AR shopping interface or adding them to the storage and shopping cart of interest, the interface must be simple and flexible, making it convenient to use and operate. Fourth, technical improvements must be made to prevent errors. We expect that the research will help develop AR shopping technology and domestic duty-free shop AR shopping technology and revitalize online and offline duty-free shops.