• Asia Marketing Journal
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• v.11 no.3
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• pp.57-89
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• 2009

This study aims to shed light on the new insights on the cross-buying intentions in the banking industry and suggests an integrated model of the cross-buying intentions. Recently with globalization in the financial sector, financial companies are trying to retain current customers and attract new one by developing various financial products. In South Korea, this trend is especially apparent in the banking sector. Cross-selling of various financial products such as beneficiary certificates, bankasurance and etc. is becoming more important in retaining competitive advantage in Korean banking industry. However, there are few studies which are trying to find out the factors affecting cross-buying intentions and explain their interrelationships comprehensively. Based upon the previous studies, this study finds out the factors affecting cross-buying intentions and classifies them into two dimensions: affective and instrumental. Affective dimension includes trust, satisfaction and commitment. Instrumental dimension includes the factors such as geological convenience, one-stop convenience, professionality, and direct mail. The results from this study are as follow. All the factors in the affective dimension(trust, satisfaction and commitment) have significant impacts on cross-buying intentions. Also all the factors in the instrumental dimension(geological convenience, one-stop convenience, professionality, and DM) significantly affect cross-buying intentions. Some implications of this dissertation are as follow; First, this study identifies the antecedents of cross-buying intentions comprehensively. Second, this paper provides practical guidelines for the banks attempting to intensify cross-selling activities. Third, banks need to develop sophisticated plans which can consolidate the emotional ties with customers through positive service experiences as the affective dimension is important in influencing cross-buying intentions. Finally, regarding the instrumental dimesnion, the implications are: 1) Developing various new financial products in addition to traditional product such as deposits and installment savings for improving customer convenience, 2) Enhancing the professionality of employees by strengthening education programs on numbers of financial products, 3) Increasing cross-buying intentions through the DM.

• Journal of Intelligence and Information Systems
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• v.10 no.2
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• pp.39-51
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• 2004

Product factory is a real-time financial product design system for the Internet customers. The hybrid product is a product taking combined characteristics of two different products. Hybrid product factory is a product factory that designs hybrid products from two different products based on both business rules and customer requirements. Though the importance of product factory is emphasized in the industry, there has not been much research peformed regarding product factory. In this research, we developed a product factory system that designs hybrid products. To design a hybrid product, it is necessary to have a method to combine attributes and values of two different products, and a method to control the combining operations to properly reflect business requirements. In this research, we developed low different combining operators and business rule representations. rn addition, to prove the effectiveness of this methods, we implemented a prototypical system and demonstrated on cases regarding financial loan products.

• Human Ecology Research
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• v.52 no.6
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• pp.601-616
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• 2014

This study's aim was to explore the relationships among consumers' perceived risk, trust, and familiarity with products made in China. We invited 489 Korean adult consumers, who had purchased products made in China earlier, to take part in this investigation. Data analyses were conducted using a reliability test, confirmatory factor analysis, and structural equation modeling (SEM) with SPSS ver. 21.0 and AMOS ver. 21.0. We assumed that the perceived risk could be classified into four types: financial, performance, psychological, and social risk. The empirical verification through SEM indicated that all four types of the perceived risk represented a negative influence on the trust. Further, only the financial and psychological risks were significant when consumers were not familiar with products made in China (novice); in contrast, the experts (consumers familiar with products made in China) showed that the performance and social risks were effective. Finally, we found that there was a moderating effect of familiarity on the relationship between three types of perceived risk, namely financial, performance, and psychological risks, and trust, but the social risk was not affected. The results of this research should help us to understand the consumers' risk perception of imported goods and to formulate criteria on the basis of which the consumers evaluate these products. This research can help companies, particularly those in China, to formulate market strategies effectively when they enter a foreign market such as Korea by exploring the influence of the perceived risk on local consumers' purchasing behaviors as well.

• Journal of Korea Society of Industrial Information Systems
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• v.28 no.1
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• pp.47-56
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• 2023

Mezzanine products are financial investment products with both bond and stock characteristics, which are mainly issued by low-grade companies in the financial market to secure liquidity. Therefore, bondholders investing in mezzanine products must make decisions about when they want to convert to stocks, along with whether they invest in mezzanine products issued by the company. Therefore, in this paper, a total of 2,000 learning data and 200 predictive experimental data with stock conversion events completed by major industries are divided, and mezzanine event algorithms are designed and performance analyzed through artificial neural network models. This topic is meaningful in that it proposed a methodology to scientifically solve the difficulties of exercising mezzanine products, which are of high interest in the financial field, by applying artificial neural network technology.

• Information Systems Review
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• v.25 no.1
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• pp.111-128
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• 2023

With the development of artificial intelligence technology, interest in data-based product preference estimation and personalized recommender systems is increasing. However, if the recommendation is not suitable, there is a risk that it may reduce the purchase intention of the customer and even extend to a huge financial loss due to the characteristics of the financial product. Therefore, developing a recommender system that comprehensively reflects customer characteristics and product preferences is very important for business performance creation and response to compliance issues. In the case of financial products, product preference is clearly divided according to individual investment propensity and risk aversion, so it is necessary to provide customized recommendation service by utilizing accumulated customer data. In addition to using these customer behavioral characteristics and transaction history data, we intend to solve the cold-start problem of the recommender system, including customer demographic information, asset information, and stock holding information. Therefore, this study found that the model proposed deep learning-based collaborative filtering by deriving customer latent preferences through characteristic information such as customer investment propensity, transaction history, and financial product information based on customer transaction log records was the best. Based on the customer's financial investment mechanism, this study is meaningful in developing a service that recommends a high-priority group by establishing a recommendation model that derives expected preferences for untraded financial products through financial product transaction data.

• Asia Marketing Journal
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• v.17 no.4
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• pp.89-104
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• 2016

Based on the observation that insurance companies in Korea, unlike those in other financial sectors and those in other countries, dominantly use the agent-based push-type marketing strategy, this paper hypothesizes that difference in distribution systems originating from characteristics of financial products can lead to welfare asymmetry between financial institutions and customers, merely due to their financial matching. For this analysis, we employ a simple matching theoretic model, try to understand the welfare implications of distribution systems from a matching theoretic perspective, and analyze the bottom of negative perceptions of insurance industry. The proposed model suggests that this welfare asymmetry derives mainly from financial matching through the distribution systems, which implies that any efforts to improve the insurance industry must consider changes in the matching process, namely the distribution system. We hope that this paper complements and extends the existing literature on insurance distribution systems in terms of methodologies and research subjects.

• Journal of the Korean Operations Research and Management Science Society
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• v.16 no.2
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• pp.51-51
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• 1991

Recently financial institutions in Korea are experiencing an unfamiliar challenge in terms of their operational risk management due to the volatility of global financial market and the incessant development of new financial products. In this paper, we present an AHP(Analytic Hierarchy Process) model to evaluate the effectiveness of commercial softwares for risk management in banking. The AHP model considers software's performance. utility, serviceability and durability as major evaluation criteria. The weight of each criterion is generated by the questionnaire survey given to practitioners in risk management in domestic commercial banks.

• Korean Management Science Review
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• v.16 no.2
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• pp.51-59
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• 1999

Recently financial institutions in Korea are experiencing an unfamiliar challenge in terms of their operational risk management due to the volatility of global financial market and the incessant development of new financial products. In this paper, we present an AHP(Analytic Hierarchy Process) model to evaluate the effectiveness of commercial softwares for risk management in banking. The AHP model considers software's performance. utility, serviceability and durability as major evaluation criteria. The weight of each criterion is generated by the questionnaire survey given to practitioners in risk management in domestic commercial banks.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.10
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• pp.147-158
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• 2022

This study examines the relationship between employee engagement and goal orientation toward competence. In addition, it also examines the relationship between competence and employee performance in financial institutions in Indonesia. Questionnaires were distributed to several employees who work at financial institutions in Aceh, North Sumatra, and Riau. The basis for selecting the research object was that most financial institutions have similar business products. The similarities are the marketing of home loan ownership products and multipurpose investments. The three study regions are located in western Indonesia's most central provinces and have a significant amount of trade. The sampling technique used was purposive sampling based on specific criteria for the respondents. 275 employees made up the research sample, and partial least squares data analysis methods were applied. In data analysis, initial testing was carried out on the components of the research statement items to see their validity and reliability. The results of this study indicate that employee engagement behavior can improve employee performance, which improves financial institutions' organizational performance. The study's findings offer suggestions for policies and guidelines that will encourage productive work behavior among employees and boost organizational performance. The fact that employees must think and act creatively to develop their competence and become superior employees is another distinctive feature of this research.

• Korean Management Science Review
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• v.29 no.3
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• pp.23-43
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• 2012

Enacted for enhancing the competitiveness of the Korean capital market and financial industry, Capital Market Consolidation Act (CMCA) was intended to induce considerable changes such as adopting the concept of financial investment products, regulating financial investment functionally, extending financial investors' business areas and intensifying protection for investors. Employing DEA (Data Envelopment Analysis), this study measures and compares the efficiencies of domestic financial companies between the before and after the enactment of the Consolidation Act. We categorize the financial companies into 4 groups (banks, life insurance companies, property and casualty insurance companies and securities companies) depending on their business types, and evaluate how much and in which direction the Consolidation Act affects the efficiency of each group respectively. The study shows that there is no significant difference between the average efficiency of banks and that of property and casualty insurance companies due to the trade-off between opportunities and threats of the Act. To the contrary, it shows that the respective average efficiencies of life insurance companies and securities companies moved in the opposite directions to a considerable extent. Through empirical tests, we demonstrate the effect of the Act on the efficiency of Korean financial companies, and suggest the countermeasures for each financial group against the Act.