Journal of Korean Society of Industrial and Systems Engineering
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v.46
no.2
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pp.143-151
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2023
Expanding exports of small and medium-sized companies is crucial for the continuous growth of the Korean economy. Therefore, the government operates various support systems to enhance the export capabilities of these companies. This study aims to analyze the impact of the Korean government's flagship export support system, known as the export initiation support system, on the performance of participating domestic companies. A fixed effect model using panel data was applied to examine the characteristics of 11,099 companies that participated in the export initiation support system from 2016 to 2019. The analysis revealed that the number of exporting countries, employees, and previous export volume had a significant impact on the export amount of participating companies. However, contrary to expectations, the number of overseas marketing participation and the GCL (global competence level) test did not show a significant impact. This study is significant as it provides implications for the development of support projects tailored to the specific needs of small and medium-sized companies, with the goal of improving the export support system.
The basic purpose of Customs Drawback System of the material for export goods is export support as cut a price down the export goods' price. Especially the trade volume between South Korea and China is the greatest in comparison with other countries in 2010. Therefore companies involved China is necessary to understand exactly for China's tariff system(duty drawback system). Due to inconsistent policies, it is difficult to understand VAT-related provisions on exports goods of China compared with South Korea Tax System. Accordingly, the results of this study is significant in China-related companies. In South Korea and China, amount of customs duty drawback is very large 4.017606 billion won 732.8 billion yuan respectively. Thus, the amount of customs duty drawback is greater, a comparison of customs duty drawback in South Korea and China is very necessary on Customs Drawback System.
This study is design to provide basic directions that Korea can take in forestry negotiation of Korea- Vietnam FTA. Trade trends and characteristics of forestry sector are figured out and the competitiveness of main products are analyzed. The trade amount between Korea and Vietnam is $207,260 thousand. Korea exports nontimber products to Vietnam, while she mainly imports wood products. The average import value of wood products during recent five years accounts for 88% of all value from Vietnam. The export items are not various, and the export value is small. The amount of imports, however, which are mainly composed of low price wood products, is relatively big. The results of analysis say that three items of Korean forest products have competitiveness, while Vietnam has eleven items. According to the study it is recommended that a sawn wood and a plywood should be classified as sensitive products to minimize and to take a long term tariff reduction.
Purpose - This study examined the effect of tariff cuts on productivity in Korea's manufacturing industries and the effect of initial productivity level before tariff cuts on productivity improvement after tariff cuts. We also attempted to identify whether import-driven or export-driven factors are more important for productivity improvement, especially in low productivity industries. Design/methodology - Since tariff reduction is a policy decision that can affect cross-industry, its impact is spread across all industries beyond the scope of a single firm through the input and output network of industry structure. Accordingly, we proposed a new method to measure the change in productivity to reflect the impact of tariff cuts across industries. Through an Armington CGE analysis, changes in endogenous variables can be directly measured after the exogenous shock of tariff reduction, and the amount of movements in productivity triggered by tariff cuts can also be calculated. We can thus assess the effectiveness of exogenous policy, such as tariff cuts, through the difference between the benchmark and counterfactual values of endogenous variables. Findings - This study confirmed that tariff reduction positively affected productivity improvement in Korea's manufacturing industries. It also confirmed that productivity gains occur in Korea's leading export industries. Finally, greater productivity gains were recorded in the group with additional high-export-share or high-import-share conditions for low productivity industries. These results are, in a limited sense, consistent with the existing studies that emphasize the importance of exports and imports on productivity improvement, especially for low productivity industries. Originality/value - The results of our experiments are different from those of non-CGE studies, which measure the industry-level change in productivity with dummy coefficients, in terms of directly calculating the amount of change in productivity. In addition, we propose that the Armington CGE model is more appropriate than the Melitz CGE model to directly measure the productivity after tariff cuts. This is because the Melitz CGE model assumes the given specific productivity density, which does not change after an overall drop of tariffs. To the best of our knowledge, this approach to directly calculating productivity by reflecting the impact of tariff reduction across industries through CGE analysis, is unprecedented in this literature.
The purpose of this study was to understand and improve the clothing habits and the apparel industry of North Korea in preparation for the reunification of South and North Korea. For this study, literary data, reports, periodicals, interviews and internet data of the two Koreas were reviewed. North Korean clothing habits used to be monotonous and uniform but nowadays people's clothes have become somewhat brighter in color and more diverse in design than before. In particular, liberal and individual dressing habits appeared among the privileged classes. When taking part in national events, women have to wear the traditional Korean costume, Hanbok, while men wear business suits for formal wear. In general, men don't wear Hanbok. Students have to be in uniforms but blue jeans, T-shirts with English logos were popular among them reflecting their sensitivity and openness towards western cultures. The brides usually wear pink Hanboks and the bridegrooms wear black business suits for their wedding. North Koreans also wear Hanbok on national holidays like South Koreans. Clothing is the most important item in the trade of process commission between North and South Korea. Trading items are mid to low end men's clothing for the most part due to less emphasis on fashion in the North. The processing is indirect trade and composed of sample making and contracting, sending out materials and production, carrying in goods and setting accounts. To activate South-North trade, establishment of infrastructure, stabilization of shipping, reducing high costs of distribution, building direct communication system by setting up office in a neutral zone and simplifying procedures in applying for the South and North Korea Economic Cooperation Fund. On the other hand, clothing and textiles education is carried on at art colleges, light industries colleges and commercial colleges in Pyongyang. Clothing institutes which study Hanbok and Western clothes, are installed in each city and province. Graduates who majored in clothing and textiles are posted in institutes or apparel factories. Their job is designing, patternmaking and sewing for their customers. Most of them are women and in good state of economic conditions. The North Korean clothing industry has been the core national industry that has developed based on overseas demand form the mid 1980s. The standard is that of South Korea in the early 1980s. In 1999, trade of North Korean textile products with trade counterparts such as Japan and China was $1.3 million in exports and $1.27 in imports. Of this amount the export takes up 25.4% of the total exports in North Korea. However, fundamentally even in sectors that are irrelevant to politics such as the fashion clothing industry, trust between the South and North should be a prerequisite. Only through this can exchange between North and South and economic cooperation contribute towards the reunification.
Food goods traded between Korea and Japan during the middle period of the Cho Sun era included Insam (Jinseng), rice, beans, honey, perilla oil, starch, adlay, walnuts, pine nuts, jujubes, hazelnuts, and dired chestnuts as exports ; and pepper as imports. The number of Japanese envoies that visited regularly was one thousand five hundred people a year. The receptions that were held for them during the middle period equaled those of the first term of the Cho Sun era, but these receptions were only held in Pu-san. The expense of daily meals was broken down into 8 grades ranging from \129,300 to 2133. The daily meals included Jo-ban (breakfast), Jo-seok-ban (breakfast and dinner), and Ju-jeom-shim (lunch) for the Japanese who visited regularly. During the course of a year, the total amount spent on daily meals was put at a billion won. The banquet style meals included Ha-seon-da-rye (a welcome tea party), Ha-seon-yeon (a welcome banquet), No-cha-yeon (a banquet that was held on the street), and Ye-dan-da-rye (a drink banquet that was held when silk was offered as a gift). It also included Byeol-yeon (a banquet out of the dordinary), Sang-seon-yeon (a farewell banquet), and Myong-il-yeon (a banquet that was held on a national holiday). The banquet style meals were composed of Ceon-tack (to set a table for dinner), Sang-hwa (a flower that was put on the food), Kwan-hwa (to offer a flower when a banquet was held), Ju-9-jan (the ninth wine glass), Dae-seon (meat), music, and Jung-bae-rye (a banquet that was held again after a banquet). The Cho Sun government held banquets forty five times for the Japanese, the food expense for the banquets was put at two hundred and thirty million won.
Purpose - Recognizing the importance of small and medium enterprises and venture enterprises for the domestic economy, the purpose of the present study is to select factor termed export modes from among various export success strategies and factors that can help those enterprises secure export competitiveness in the world market to analyze the effects of export modes on the amounts of exports and periods until export after the foundation of those enterprises. Research design, data, and methodology - A structured questionnaire was used as a tool to derive the purpose of the study, and a questionnaire survey was conducted using a mobile survey technique that facilitated the distribution of questionnaire sheets and the collection of results. The main methodology used is crossover analysis, and the regression analysis technique was applied to verify the study results derived, thereby securing the reliability and validity of the final results derived. Results - Small and medium venture enterprises with shorter periods of time until the first export success after establishment adopted direct export modes more frequently, and those enterprises with larger amounts of the first export after establishment adopted direct export modes more frequently. The results of quantitative analysis, indicating that 66.1% of those enterprises with an export amount exceeding one billion won adopted direct export modes, can be said to support the foregoing. The crossover analysis results derived as such were reanalyzed using the PPML regression analysis technique to quantitatively identify that the amounts of the first export of enterprises that adopted direct export modes were larger than those of enterprises that adopted indirect export modes by 120%. Conclusions - The present study implies differentiated values in three aspects. First, the present study investigated and presented the export success factors and strategies of small and medium venture enterprises in a total of 14 countries in the Asian region, European region, North American region, African region, and South American region. Second, it intensively investigated five export modes to identify and verify that they were affecting the export success of small and medium venture enterprises. Third, based on the results of the investigation, the present study presented two marketing implications in the pragmatic aspect.
Export credit insurance is a policy tool for export growth. In the era of free trade under the governance of WTO, export credit insurance is still allowed as one of the few instruments to increase exports. This paper, using data on short-term export insurance contracts issued to foreign subsidiaries of Korean companies, calculates the expected loss per exposure by combining the effect of risk factors (credit rate of foreign importers, size of mother company, and payment period) on loss frequency and loss severity in different levels. We, applying generalized linear models (GLM), first fit loss frequency and loss severity to negative binomial and lognormal distribution, respectively, and then estimate the loss frequency rate per contract and the ratio of loss severity to coverage amount. Finally, we calculate the expected loss per exposure for each level of risk factors by combining these two rates. Based on the result of statistical analysis, we present the implication for the current premium rate of export insurance.
Proceedings of the Korean Institute of Navigation and Port Research Conference
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v.1
/
pp.211-216
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2006
Within the frame of the MERCOSUR (South Common Market), one of the most important goals to achieve by its member states is a better cost effective international cargo transportation system. For this purpose the project of developing a commercial waterway linking the east region of Uruguay with the south of Brazil has been under study for a number of years now. Because of the high costs involved on the development of such waterway, the project has been indefinitely delayed. It is our intention to show an alternative way to reduce the present obstacles by using a budget oriented approach in order to determine the vessel best suited to use on the proposed waterway. So far, every study related to the project has been focused on the amount of work needed to modify the environment in order to accommodate the hardware already available in the region. The conclusions show that the cost of opening and maintaining the required navigation channel is high enough to discourage investment; the added responsibility to take care of any environmental damage incurred during the building and/or operation of the waterway makes searching for a less costly and hazardous option an interesting challenge. The proposed terminal on the Cebollat? River would be located at the heart of the Uruguayan rice growing region. Uruguay exports 90% of its rice production, being Brazil its biggest buyer. Wood chips and clinker are the other types of cargo considered to use the proposed waterway in route to either Brazil or to overseas destinations through the deep water port of Rio Grande. Through the analysis of local data by a Geographical Information System, international regulations regarding inland waterways and shallow draught vessel characteristics, we seek to propose a cost efficient alternative to apply on this particular scenario.
This study aims to examine how the U.S. economic shocks affect the Japanese economy. It is widely believed that the U.S. economy has a significant effect on the Japanese economy. Actually, the U.S. accounts for a considerable amount of Japan's exports and imports. To the economic policymakers, it is very important to know how economic disturbances generated by the U.S. are transmitted to the Japanese economy. A vector autoregression(VAR) model is employed to investigate the international transmission channel of economic disturbances. The interactions of the U.S.-Japansese economy are investigated by using variance decompositions(VDCs). The results of this study provided the evidence that the U.S. economic shocks were important for the Japanese economy during the sample period. This study supports the notion of economic dependence of smaller open economy such as Japan as compared with larger economy such as the U.S.
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