• Title/Summary/Keyword: E-commerce distribution

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Survey on Pharmacist's Awareness of E-commerce for Non-prescription Medicine (일반의약품의 전자상거래에 대한 약사의 인식도 고찰)

  • Park, Young-Dal;Bang, Joon Seok;Min, Young Sil;Sohn, Uy Dong
    • Korean Journal of Clinical Pharmacy
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    • v.26 no.2
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    • pp.137-149
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    • 2016
  • Objective: Online pharmacies were introduced in some countries such as United States of America or Canada. They can provide benefits to consumer because they can buy and take conveniently drugs without limitation of location or time. In Korea, online pharmacies are illegal and only pharmacists can sell drugs to consumers or patients. Therefore, we investigated the knowledge of online pharmacy and the possible problem in Korea to survey pharmacists. Methods: We developed questionnaire based on previous articles about online pharmacy and surveyed nation-wide pharmacists by mail or e-mail. The data was analyzed by SPSS and Microsoft Excel. P-values less than 0.05 were statistically significant. Results: 175 pharmacists involved in this study. About introduction of online pharmacies, 53.1% were opposition while 10.3% were approval and 36.6% were conditional. Although online pharmacies were introduced, 46.3% pharmacists do not have a plan to start online pharmacy. However, the approval and tends about starting online pharmacies were higher in younger pharmacists (20s, 30s) (p < 0.05). The criteria of permission about opening online pharmacies were 100% pharmacist license regardless of holding off-line pharmacy. 53.7% pharmacists responded education about taking medication is impossible. When online pharmacies are introduced, 65.1% pharmacists responded traditional pharmacies are affected negatively. Pharmacists concerned that the competition with large-sized distribution corporations, reduced reliance between pharmacists and patients, illegal transaction of counterfeit drugs, increased misuse of drugs. Conclusion: These results showed that Korea pharmacists have negative standard on online pharmacies. Therefore it is required to be more cautious before introducing online pharmacy and it need strict watching system and continuous education and study for safety after introducing online pharmacy.

Digital Rights Management and Rights Language (디지털 저작권관리와 Rights Language)

  • 박정희;성평식;이기동
    • Journal of Korea Society of Industrial Information Systems
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    • v.8 no.2
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    • pp.7-13
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    • 2003
  • The Internet presents a unique platform for disseminating digital content such as music, video, games, software, text, business and proprietary corporate information. It promises ubiquitous access, while at the same time fundamentally challenging the traditional rules of ownership and distribution of content. In such environment, safe protection and proper delivery of digital content would be a crucial requirement toward a new e-business model. Research on the Digital Rights Management (DRM) focuses on filling this functional vacancy of the market transition by providing a more viable business model based. XrML(eXtensible Rights Markup Language) provides a universal tool for specification of rights, fees, and issuing conditions(licenses) associated with the use and protection of digital content. ContentGuard has developed XrML to unify the Digital Rights Management(DRM) specifications and encourage interoperability. It seems that all working groups of DRM agree to use XrMl for their right description language.

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The Impact of Consumer Characteristics Upon Trust and Purchase Intentions in B2C E-marketplaces (오픈마켓에서 개인특성이 신뢰 및 구매의도에 미치는 영향에 관한 실증연구)

  • Cho, Hwi-Hyung;Hong, Il-Yoo
    • Information Systems Review
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    • v.12 no.3
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    • pp.49-73
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    • 2010
  • The lack of customer satisfaction and trust remains a key barrier to electronic commerce. From the standpoint of online merchants, it is critical to build consumer trust by lessening sources of apprehensions and uneasiness associated with online transactions. This paper explores the relationships between customer satisfaction and intermediary's trustworthiness factors in B2C e-marketplaces. It also aims at examining the effects of consumer characteristics, including propensity to trust and Internet shopping self-efficacy, upon trust and purchase intentions. To meet the research objectives, an empirical study has been conducted by surveying 223 active e-marketplace buyers in Korea. The findings of the present research indicate that customer satisfaction positively affects all the three attributes of trustworthiness (i.e., competence, benevolence, and integrity), and more specifically it has a quite strong association with benevolence. In addition, propensity to trust has no significant influence on trust or purchasing intentions, and only affects benevolence and integrity with no direct effect on competence. Finally, Internet shopping self-efficacy was found to affect both trust and purchasing intentions, suggesting that e-marketplaces seek an online strategy designed to strengthen loyalty for customers with high self-efficacy, while they use a strategy to improve the usability and usefulness of their website to attract customers with low self-efficacy. The paper concludes with implications and directions for future research.

The Impact of Market Environments on Optimal Channel Strategy Involving an Internet Channel: A Game Theoretic Approach (시장 환경이 인터넷 경로를 포함한 다중 경로 관리에 미치는 영향에 관한 연구: 게임 이론적 접근방법)

  • Yoo, Weon-Sang
    • Journal of Distribution Research
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    • v.16 no.2
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    • pp.119-138
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    • 2011
  • Internet commerce has been growing at a rapid pace for the last decade. Many firms try to reach wider consumer markets by adding the Internet channel to the existing traditional channels. Despite the various benefits of the Internet channel, a significant number of firms failed in managing the new type of channel. Previous studies could not cleary explain these conflicting results associated with the Internet channel. One of the major reasons is most of the previous studies conducted analyses under a specific market condition and claimed that as the impact of Internet channel introduction. Therefore, their results are strongly influenced by the specific market settings. However, firms face various market conditions in the real worlddensity and disutility of using the Internet. The purpose of this study is to investigate the impact of various market environments on a firm's optimal channel strategy by employing a flexible game theory model. We capture various market conditions with consumer density and disutility of using the Internet.

    shows the channel structures analyzed in this study. Before the Internet channel is introduced, a monopoly manufacturer sells its products through an independent physical store. From this structure, the manufacturer could introduce its own Internet channel (MI). The independent physical store could also introduce its own Internet channel and coordinate it with the existing physical store (RI). An independent Internet retailer such as Amazon could enter this market (II). In this case, two types of independent retailers compete with each other. In this model, consumers are uniformly distributed on the two dimensional space. Consumer heterogeneity is captured by a consumer's geographical location (ci) and his disutility of using the Internet channel (${\delta}_{N_i}$).
    shows various market conditions captured by the two consumer heterogeneities.
    (a) illustrates a market with symmetric consumer distributions. The model captures explicitly the asymmetric distributions of consumer disutility in a market as well. In a market like that is represented in
    (c), the average consumer disutility of using an Internet store is relatively smaller than that of using a physical store. For example, this case represents the market in which 1) the product is suitable for Internet transactions (e.g., books) or 2) the level of E-Commerce readiness is high such as in Denmark or Finland. On the other hand, the average consumer disutility when using an Internet store is relatively greater than that of using a physical store in a market like (b). Countries like Ukraine and Bulgaria, or the market for "experience goods" such as shoes, could be examples of this market condition. summarizes the various scenarios of consumer distributions analyzed in this study. The range for disutility of using the Internet (${\delta}_{N_i}$) is held constant, while the range of consumer distribution (${\chi}_i$) varies from -25 to 25, from -50 to 50, from -100 to 100, from -150 to 150, and from -200 to 200.
    summarizes the analysis results. As the average travel cost in a market decreases while the average disutility of Internet use remains the same, average retail price, total quantity sold, physical store profit, monopoly manufacturer profit, and thus, total channel profit increase. On the other hand, the quantity sold through the Internet and the profit of the Internet store decrease with a decreasing average travel cost relative to the average disutility of Internet use. We find that a channel that has an advantage over the other kind of channel serves a larger portion of the market. In a market with a high average travel cost, in which the Internet store has a relative advantage over the physical store, for example, the Internet store becomes a mass-retailer serving a larger portion of the market. This result implies that the Internet becomes a more significant distribution channel in those markets characterized by greater geographical dispersion of buyers, or as consumers become more proficient in Internet usage. The results indicate that the degree of price discrimination also varies depending on the distribution of consumer disutility in a market. The manufacturer in a market in which the average travel cost is higher than the average disutility of using the Internet has a stronger incentive for price discrimination than the manufacturer in a market where the average travel cost is relatively lower. We also find that the manufacturer has a stronger incentive to maintain a high price level when the average travel cost in a market is relatively low. Additionally, the retail competition effect due to Internet channel introduction strengthens as average travel cost in a market decreases. This result indicates that a manufacturer's channel power relative to that of the independent physical retailer becomes stronger with a decreasing average travel cost. This implication is counter-intuitive, because it is widely believed that the negative impact of Internet channel introduction on a competing physical retailer is more significant in a market like Russia, where consumers are more geographically dispersed, than in a market like Hong Kong, that has a condensed geographic distribution of consumers.
    illustrates how this happens. When mangers consider the overall impact of the Internet channel, however, they should consider not only channel power, but also sales volume. When both are considered, the introduction of the Internet channel is revealed as more harmful to a physical retailer in Russia than one in Hong Kong, because the sales volume decrease for a physical store due to Internet channel competition is much greater in Russia than in Hong Kong. The results show that manufacturer is always better off with any type of Internet store introduction. The independent physical store benefits from opening its own Internet store when the average travel cost is higher relative to the disutility of using the Internet. Under an opposite market condition, however, the independent physical retailer could be worse off when it opens its own Internet outlet and coordinates both outlets (RI). This is because the low average travel cost significantly reduces the channel power of the independent physical retailer, further aggravating the already weak channel power caused by myopic inter-channel price coordination. The results implies that channel members and policy makers should explicitly consider the factors determining the relative distributions of both kinds of consumer disutility, when they make a channel decision involving an Internet channel. These factors include the suitability of a product for Internet shopping, the level of E-Commerce readiness of a market, and the degree of geographic dispersion of consumers in a market. Despite the academic contributions and managerial implications, this study is limited in the following ways. First, a series of numerical analyses were conducted to derive equilibrium solutions due to the complex forms of demand functions. In the process, we set up V=100, ${\lambda}$=1, and ${\beta}$=0.01. Future research may change this parameter value set to check the generalizability of this study. Second, the five different scenarios for market conditions were analyzed. Future research could try different sets of parameter ranges. Finally, the model setting allows only one monopoly manufacturer in the market. Accommodating competing multiple manufacturers (brands) would generate more realistic results.

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  • The Impact of the Internet Channel Introduction Depending on the Ownership of the Internet Channel (도입주체에 따른 인터넷경로의 도입효과)

    • Yoo, Weon-Sang
      • Journal of Global Scholars of Marketing Science
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      • v.19 no.1
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      • pp.37-46
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      • 2009
    • The Census Bureau of the Department of Commerce announced in May 2008 that U.S. retail e-commerce sales for 2006 reached $ 107 billion, up from $ 87 billion in 2005 - an increase of 22 percent. From 2001 to 2006, retail e-sales increased at an average annual growth rate of 25.4 percent. The explosive growth of E-Commerce has caused profound changes in marketing channel relationships and structures in many industries. Despite the great potential implications for both academicians and practitioners, there still exists a great deal of uncertainty about the impact of the Internet channel introduction on distribution channel management. The purpose of this study is to investigate how the ownership of the new Internet channel affects the existing channel members and consumers. To explore the above research questions, this study conducts well-controlled mathematical experiments to isolate the impact of the Internet channel by comparing before and after the Internet channel entry. The model consists of a monopolist manufacturer selling its product through a channel system including one independent physical store before the entry of an Internet store. The addition of the Internet store to this channel system results in a mixed channel comprised of two different types of channels. The new Internet store can be launched by the independent physical store such as Bestbuy. In this case, the physical retailer coordinates the two types of stores to maximize the joint profits from the two stores. The Internet store also can be introduced by an independent Internet retailer such as Amazon. In this case, a retail level competition occurs between the two types of stores. Although the manufacturer sells only one product, consumers view each product-outlet pair as a unique offering. Thus, the introduction of the Internet channel provides two product offerings for consumers. The channel structures analyzed in this study are illustrated in Fig.1. It is assumed that the manufacturer plays as a Stackelberg leader maximizing its own profits with the foresight of the independent retailer's optimal responses as typically assumed in previous analytical channel studies. As a Stackelberg follower, the independent physical retailer or independent Internet retailer maximizes its own profits, conditional on the manufacturer's wholesale price. The price competition between two the independent retailers is assumed to be a Bertrand Nash game. For simplicity, the marginal cost is set at zero, as typically assumed in this type of study. In order to explore the research questions above, this study develops a game theoretic model that possesses the following three key characteristics. First, the model explicitly captures the fact that an Internet channel and a physical store exist in two independent dimensions (one in physical space and the other in cyber space). This enables this model to demonstrate that the effect of adding an Internet store is different from that of adding another physical store. Second, the model reflects the fact that consumers are heterogeneous in their preferences for using a physical store and for using an Internet channel. Third, the model captures the vertical strategic interactions between an upstream manufacturer and a downstream retailer, making it possible to analyze the channel structure issues discussed in this paper. Although numerous previous models capture this vertical dimension of marketing channels, none simultaneously incorporates the three characteristics reflected in this model. The analysis results are summarized in Table 1. When the new Internet channel is introduced by the existing physical retailer and the retailer coordinates both types of stores to maximize the joint profits from the both stores, retail prices increase due to a combination of the coordination of the retail prices and the wider market coverage. The quantity sold does not significantly increase despite the wider market coverage, because the excessively high retail prices alleviate the market coverage effect to a degree. Interestingly, the coordinated total retail profits are lower than the combined retail profits of two competing independent retailers. This implies that when a physical retailer opens an Internet channel, the retailers could be better off managing the two channels separately rather than coordinating them, unless they have the foresight of the manufacturer's pricing behavior. It is also found that the introduction of an Internet channel affects the power balance of the channel. The retail competition is strong when an independent Internet store joins a channel with an independent physical retailer. This implies that each retailer in this structure has weak channel power. Due to intense retail competition, the manufacturer uses its channel power to increase its wholesale price to extract more profits from the total channel profit. However, the retailers cannot increase retail prices accordingly because of the intense retail level competition, leading to lower channel power. In this case, consumer welfare increases due to the wider market coverage and lower retail prices caused by the retail competition. The model employed for this study is not designed to capture all the characteristics of the Internet channel. The theoretical model in this study can also be applied for any stores that are not geographically constrained such as TV home shopping or catalog sales via mail. The reasons the model in this study is names as "Internet" are as follows: first, the most representative example of the stores that are not geographically constrained is the Internet. Second, catalog sales usually determine the target markets using the pre-specified mailing lists. In this aspect, the model used in this study is closer to the Internet than catalog sales. However, it would be a desirable future research direction to mathematically and theoretically distinguish the core differences among the stores that are not geographically constrained. The model is simplified by a set of assumptions to obtain mathematical traceability. First, this study assumes the price is the only strategic tool for competition. In the real world, however, various marketing variables can be used for competition. Therefore, a more realistic model can be designed if a model incorporates other various marketing variables such as service levels or operation costs. Second, this study assumes the market with one monopoly manufacturer. Therefore, the results from this study should be carefully interpreted considering this limitation. Future research could extend this limitation by introducing manufacturer level competition. Finally, some of the results are drawn from the assumption that the monopoly manufacturer is the Stackelberg leader. Although this is a standard assumption among game theoretic studies of this kind, we could gain deeper understanding and generalize our findings beyond this assumption if the model is analyzed by different game rules.

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    Extracting Minimized Feature Input And Fuzzy Rules Using A Fuzzy Neural Network And Non-Overlap Area Distribution Measurement Method (퍼지신경망과 비중복면적 분산 측정법을 이용한 최소의 특징입력 및 퍼지규칙의 추출)

    • Lim Joon-Shik
      • Journal of the Korean Institute of Intelligent Systems
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      • v.15 no.5
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      • pp.599-604
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      • 2005
    • This paper presents fuzzy rules to predict diagnosis of Wisconsin breast cancer with minimized number of feature in put using the neural network with weighted fuzzy membership functions (NEWFM) and the non-overlap area distribution measurement method. NEWFM is capable of self-adapting weighted membership functions from the given the Wisconsin breast cancer clinical training data. n set of small, medium, and large weighted triangular membership functions in a hyperbox are used for representing n set of featured input. The membership functions are randomly distributed and weighted initially, and then their positions and weights are adjusted during learning. After learning, prediction rules are extracted directly from n set of enhanced bounded sums of n set of small, medium, and large weighted fuzzy membership functions. Then, the non-overlap area distribution measurement method is applied to select important features by deleting less important features. Two sets of prediction rules extracted from NEWFM using the selected 4 input features out of 9 features outperform to the current published results in number of set of rules, number of input features, and accuracy with 99.71%.

    Association Analysis of Product Sales using Sequential Layer Filtering (순차적 레이어 필터링을 이용한 상품 판매 연관도 분석)

    • Sun-Ho Bang;Kang-Hyun Lee;Ji-Young Jang;Tsatsral Telmentugs;Kwnag-Sup Shin
      • The Journal of Bigdata
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      • v.7 no.1
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      • pp.213-224
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      • 2022
    • In logistics and distribution, Market Basket Analysis (MBA) is used as an important means to analyze the correlation between major sales products and to increase internal operational efficiency. In particular, the results of market basket analysis are used as important reference data for decision-making processes such as product purchase prediction, product recommendation, and product display structure in stores. With the recent development of e-commerce, the number of items handled by a single distribution and logistics company has rapidly increased, And the existing analytical methods such as Apriori and FP-Growth have slowed down due to the exponential increase in the amount of calculation and applied to actual business. There is a limit to examining important association rules to overcome this limitation, In this study, at the Main-Category level, which is the highest classification system of products, the utility item set mining technique that can consider the sales volume of products together was used to first select a group of products mainly sold together. Then, at the sub-category level, the types of products sold together were identified using FP-Growth. By using this sequential layer filtering technique, it may be possible to reduce the unnecessary calculations and to find practically usable rules for enhancing the effectiveness and profitability.

    Building B2B system using timestamp tree for data change detection in low speed network environment (저속 네트워크 환경에서 데이터 변화 탐지를 위해 타임스탬프 트리를 이용하는 B2B 시스템 구축)

    • Son Sei-Il;Kim Heung-Jun
      • The KIPS Transactions:PartD
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      • v.12D no.6 s.102
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      • pp.915-920
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      • 2005
    • In this paper we expanded a existing web based B2B system to support users in low speed network. To guarantee shared dat a consistency between clients and a server, we proposed a method of data change detection by using a time stamp tree and the performance analysis of the proposed method was proved by a simulation. Under the worst condition that leaf nodes of a times tamp tree were changed uniform distribution, the simulation result showed that the proposed method was more efficient than a sequential detection until the percentage of changed nodes were below $15\%$. According to our observation, the monthly average of data change was below $7\%$ on a web-based construction MRO B2B system or a company A from April 2004 to August 2004. Therefore the Proposed method improved performance of data change detection in practice. The proposed method also reduced storage consumption in a server because it didn't require a server to store replicated data for every client.

    Critical Path Analysis for Codesign of Public Key Crypto-Systems (공개키 연산기의 효율적인 통합 설계를 위한 임계 경로 분석)

    • Lee Wan bok;Roh Chang hyun;Ryu Dae hyun
      • Journal of Korea Multimedia Society
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      • v.8 no.1
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      • pp.79-87
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      • 2005
    • In e-commerce applications, a public key cryptosystem is an important and indispensible element for the basic security operations such as authentication, digital signaturing, and key distribution. In wired network environments, the public key infrastructure certificate, which is based on X.509 specification, has been widely used. On the other hand, it still remains difficult to use the certificate information in wireless network environments due to the inherent limitations of the hand-held devices such as low computational power and short battery life. In this paper, we facilitate a codesign approach by implementing a software public-key cryptosystem and classifying its internal computation overheads quantitatively using a software profiling technique. Moreover, we propose a method to analyze the profiled data and apply it to the problem of software/hardware partitioning in a codesign approach. As an illustrative example, we analyze the computational overheads of an EC-Elfagamal application and examine a critical computational path.

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    Application of the Flow-Capturing Location-Allocation Model to the Seoul Metropolitan Bus Network for Selecting Pickup Points (서울 대도시권 버스 네트워크에서 픽업 위치 선정을 위한 흐름-포착 위치-할당 모델의 적용)

    • Park, Jong-Soo
      • The KIPS Transactions:PartD
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      • v.19D no.2
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      • pp.127-132
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      • 2012
    • In the Seoul metropolitan bus network, it may be necessary for a bus passenger to pick up a parcel, which has been purchased through e-commerce, at his or her convenient bus stop on the way to home or office. The flow-capturing location-allocation model can be applied to select pickup points for such bus stops so that they maximize the captured passenger flows, where each passenger flow represents an origin-destination (O-D) pair of a passenger trip. In this paper, we propose a fast heuristic algorithm to select pickup points using a large O-D matrix, which has been extracted from five million transportation card transactions. The experimental results demonstrate the bus stops chosen as pickup points in terms of passenger flow and capture ratio, and illustrate the spatial distribution of the top 20 pickup points on a map.


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