• Journal of Internet Computing and Services
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• v.18 no.6
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• pp.137-144
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• 2017

A variety of customized marketing strategies are being implemented in the telecommunications market, including the offering of gifts to consumers, as competition in the market is being restructured with the focus on bundled products. However, the Korea Communications Commission (KCC) has recently imposed fines for user discrimination on telecommunication carriers whose marketing strategies have included the award of excessive prizes. In that regard, various issues related to the suitability and appropriate limit of the current gift regulation in the telecommunications market have been raised. Since the Fair Trade Commission, which had a similar scheme to that of the KCC, abolished the regulation on gifts in July 2016, disputes have arisen as to whether the current regulation on gifts is practically effective from the perspective of consumer benefit. In other words, discussions on the rationality of the theoretical and empirical grounds for the regulation on gifts only in the telecommunication market but not in other commodities markets have begun. As such, this study aims to empirically analyze the suitability of the current regulation on gifts in the domestic telecommunications market under the new competitive environment centered on bundled products, and to seek the rational improvement of, and infer the implications for, the regulation on gifts in the telecommunications market based on the results of the analysis.

• Korean Management Science Review
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• v.31 no.4
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• pp.75-92
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• 2014

Broadcast-telecommunication bundling services provide customized services and reduce household telecommunication costs, contributing to the improvement of users' welfare. However, following the recent fierce competition of broadcast-telecommunication providers, the Korea Communications Commission, an organization that regulates promotional gifts and fee-reduction benefits to attract subscribers, has imposed a series of regulations. The excessive offering of promotional gifts can distort fair market competition and damage users. Yet if all bundling services are regulated uniformly, some benefits for users may be reduced, and the autonomous marketing competition of service providers may be restricted, thereby shrinking the entire communications market. Therefore, this study attempts to investigate domestic and foreign regulations on promotional gifts and other offerings related to broadcast-telecommunication bundling services, to analyze problems with respect to the current regulations and to propose an improvement plan. The study asserts that it is necessary to improve the violation decision criteria of the Korea Communications Commission and its regulations on broadcast-telecommunication service providers' promotional gifts in order to regulate the bundling services reasonably. In addition, it proposes a proper regulation of the OTS(Olleh TV Skylife) product, a new service emerging in the evolution of the bundling service type.

• Management & Information Systems Review
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• v.32 no.1
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• pp.195-216
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• 2013

This Study investigates evaluation policies for goodwill under the current tax law and suggests improvements as follows. First, even though not appear on the financial statements of acquiree at the date of acquisition, the current corporate tax raw regulates that firms need to estimate purchased goodwill including acquisition amount and additionally recognizable intangible property right with no distinction. According to this rule, purchased goodwill from business combination under the current tax raw has a drawback in overestimating. So, there is need of further improvement on the current related purchased goodwill regime to distinguish additionally recognized intangible property right from purchased goodwill. Second, in the consideration of internally generated goodwill, suggested in the current inheritance and gift tax act as a supplementary evaluation technique, the estimated value of goodwill may contain some bias, since the current regulation uniformly applies to all the companies with no industry characteristics. This may particularly become problematic while computing abnormal earnings, uniformly applying the 10% normal return to all the companies since the normal return is not likely to reflect industry characteristics and thus the computed abnormal earnings may be biased. Therefore, there is need to revise the current regulation relating to the normal return, to convert from the existing 10% rule to the industry average rate of return method.