Purpose - Drawing on relational institutional theory, we explored how demographic similarity between board members of a firm and newly emerged political elites led to firms' increased financial resource acquisition such as leverage ratio and decreased export intensity amidst the Asian financial crisis. We also studied how a firm's leverage ratio and export intensity can further affect firm profitability and financial credit rating. Design/methodology - We revisited and explored a unique, unprecedented crisis that affected most Korean firms: the Asian financial crisis that coincided with a governmental shift from a conservative to a liberal party. We collected demographic information from 432 listed Korean firms' board members and 43 political elites of the Blue House from 1998-2000 to create a demographic similarity measurement. We collected firms' financial information, built panel data, and used ordinary least squares regression to test our theory. Findings - Our results showed that demographic similarity between a firm's directors and newly emerged politicians had a positive association with a firm's leverage ratio but a negative association with a firm's export intensity. A firm's leverage ratio had a negative relationship with firm performance measured by firm profitability and financial credit rating. A firm's export intensity showed a positive effect on firm performance. Originality/value - We highlighted that during an economic crisis that coincided with a governmental shift and change of leading political actors, firms exerted efforts to survey the environment and build new external stakeholder relationships to cope with the changing landscape. We proposed that in an emerging market like Korea where low levels of trust and favoritism are prevalent across society, one of the relational institutional strategies that firms can employ is the selection of directors with similar demographic characteristics to political elites based on factors including birthplace and school affiliations. We examined the efforts of firms to build political networks with newly empowered political elites during a financial crisis, and the consequences of establishing such networks. We highlighted that during a financial crisis, the demographic similarity between a firm's board members and newly emerged politicians can provide firms with access to financial resources but can also result in poor management and reduced effort to enhance its international competitiveness.
Journal of the Korean Society for information Management
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v.41
no.1
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pp.283-311
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2024
This study examined the factors affecting the intention of the public to share electronic medical records(EMR) based on the theory of reasoned action and the privacy calculus model. It also investigated whether the purpose of EMR sharing varies depending on personal characteristics, such as the degree of interest in health and personal medical history. According to an online survey of 145 people, altruistic enjoyment, awareness of personal information protection, recognition of legal and institutional roles, and interest in health had a positive impact on the level of EMR sharing, and trust in hospitals positively adjusted the relationship between recognition of legal and institutional roles and sharing intentions. Accordingly, we confirmed that the public recognized the role of the government and hospitals in the sharing process as necessary. The public interest benefits of sharing are critical to activating public participation in the sharing of EMR, and it is also essential to prepare guidelines that legally guarantee the security and proper use of EMR.
Fostering trusting belief in financial transactions is a challenging task in Internet banking services. Authenticated Certificate had been regarded as an effective method to guarantee the trusting belief for online transactions. However, previous research claimed that this method has some loopholes for such abusers as hackers, who intend to attack the financial accounts of innocent transactors in Internet. Two types of methods have been suggested as alternatives for securing user identification and activity in online financial services. Control transparency uses information over the transaction process to verify and to control the transactions. Outcome feedback, which refers to the specific information about exchange outcomes, provides information over final transaction results. By using these two methods, financial service providers can send signals to involved parties about the robustness of their security mechanisms. These two methods-control transparency and outcome feedback-have been widely used in the IS field to enhance the quality of IS services. In this research, we intend to verify that these two methods can also be used to reduce risks and to increase the security protections in online banking services. The purpose of this paper is to empirically test the effects of the control transparency and the outcome feedback on the risk perceptions in Internet banking services. Our assumption is that these two methods-control transparency and outcome feedback-can reduce perceived risks involved with online financial transactions, while increasing perceived trust over financial service providers. These changes in user attitudes can increase the level of user satisfactions, which may lead to the increased user loyalty as well as users' willingness to pay for the financial transactions. Previous research in IS suggested that the increased level of transparency on the process and the result of transactions can enhance the information quality and decision quality of IS users. Transparency helps IS users to acquire the information needed to control the transaction counterpart and thus to complete transaction successfully. It is also argued that transparency can reduce the perceived transaction risks in IS usage. Many IS researchers also argued that the trust can be generated by the institutional mechanisms. Trusting belief refers to the truster's belief for the trustee to have attributes for being beneficial to the truster. Institution-based trust plays an important role to enhance the probability of achieving a successful outcome. When a transactor regards the conditions crucial for the transaction success, he or she considers the condition providers as trustful, and thus eventually trust the others involved with such condition providers. In this process, transparency helps the transactor complete the transaction successfully. Through the investigation of these studies, we expect that the control transparency and outcome feedback can reduce the risk perception on transaction and enhance the trust with the service provider. Based on a theoretical framework of transparency and institution-based trust, we propose and test a research model by evaluating research hypotheses. We have conducted a laboratory experiment in order to validate our research model. Since the transparency artifact(control transparency and outcome feedback) is not yet adopted in online banking services, the general survey method could not be employed to verify our research model. We collected data from 138 experiment subjects who had experiences with online banking services. PLS is used to analyze the experiment data. The measurement model confirms that our data set has appropriate convergent and discriminant validity. The results of testing the structural model indicate that control transparency significantly enhances the trust and significantly reduces the risk perception of online banking users. The result also suggested that the outcome feedback significantly enhances the trust of users. We have found that the reduced risk and the increased trust level significantly improve the level of service satisfaction. The increased satisfaction finally leads to the increased loyalty and willingness to pay for the financial services.
This study explores influences of the relationship between social capital and residents' perception in a collective aspects, and also explores the differences of influence between two groups in 10 rural communities. This study conducts regression analysis with residents questionnaires, and analyzes the relationship of influence among the latent factors, and differences between the two groups. As a results, associational network and social trust factors of social capital are identified as the most important factor in the quality of life and residents' attitudes. In addition, the differences in socio-cultural factor of quality of life and residents' attitude between two groups are identified by comparison with the relationship between two groups, although the explanatory power of both groups is not high. To achieve a successful rural tourism based on the result of this study, rural tourism should consider the regional and demographic characteristics, such as age, occupations and education and so on. The major contribution of this study is to confirm that the impact of social capital on the residents' perception would be different by regions in comparison with two groups, and it will be able to provide useful implication for the rural tourism development in the future.
Today, when innovation and creativity become increasingly important, management of human resources is a key factor for corporate performance and competitive advantage. Corporate are implementing and introducing various types of support methods for members to achieve goals and improve organizational performance. Organizational culture and organizational trust affect the cognitive and emotional state of members. Furthermore, it can bring about changes in organizational performance such as job stress and job satisfaction. From an institutional point of view, work-life balance is also a major factor affecting organizational performance. The imbalance between work and life leads to a decline in organizational performance, such as decreased morale and dissatisfaction with work. In relation to work-life balance, the low birth rate problem intensified and the importance began to emerge. Therefore, the government has implemented various policy support for workers' work-life balance, and the "52-hour workweek" is a representative example. This study analyzed the effect of organizational culture applying the competitive value model on workers' job stress. In addition, the mediating effects of overtime work per week and organizational trust were analyzed. Job stress corresponds to a prerequisite stage that affects job commitment, job satisfaction, and turnover intention. However, research measuring job stress by organizational performance is insufficient. In addition, there are few studies analyzing the relationship between overtime and organizational performance. Considering this, it is necessary to understand the influence relationship. The results of the study are as follows. First, a hierarchical culture increases the job stress of workers. On the other hand, innovation-oriented, relationship-oriented, and competition-oriented corporate culture reduce job stress. Second, a hierarchical culture has reduced trust in the organization, and other organizational cultures have increased trust in the organization. Third, relationship-oriented and competition-oriented organizational culture reduced overtime. Innovation-oriented, hierarchical-oriented culture increased overtime Fourth, organizational trust and overtime have the effect of mediating organizational culture and job stress. Based on these analysis results, this study presented academic and political implications.
Recently, Police integrity has been issued on the media, which cause discredit of police organization. Although high level of morality and integrity are required compared to other occupational groups due to their authority to exert legal force to the citizens and a variety of policies have been enforced by the National Police Agency for the purpose of uplifting the integrity of the officers, in reality, corruption had not yet been eradicated. At this point in time, this study attempted to draw implications for uplifting integrity by utilizing domestic and foreign preceding studies and statistical data related to police corruption and uplifting integrity. The inspection system through whistle-blowing was pointed out as a problem in the institutional framework that hinders uplifting integrity of the police officers and the perception in which police officers are regarded as potential criminals was also pointed out as a problem. Also, vague standards of disciplinary action in examining an offense of a police officer and lack of care for those who were disciplined in the past which affects loyalty to the organization were presented as problems. Based on such suggested concerns, policies for uplifting integrity and restoring citizens' trust in the policies officers were proposed. The proposed agenda were warning the police officers by presenting clear and specific category of corruptive behaviors, expressing the necessity of devising a system that prevents the officers from committing serious crimes by discovering problematic officers earlier through introduction of Early Warning System(EWS) of US and Australian police in order to break away from exposure-oriented inspection system, and reinforcing the testing of integrity in the new employment process.
Industrial clusters are geographical concentrations of interconnected companies, specialised suppliers, service providers, firms in related industries, and associated institutions (for example, universities, standard agencies, and trade associations) that combine to create new products and/or services in specific lines of business. At present, the concept of industrial cluster becomes very popular worldwide, policy makers at national, regional and local levels and business people in both forerunner and latecomer countries are keen to implement the cluster concept as an economic development model. Though understanding of clusters and related promoting policies varies from one place to another, the underlying benefits of clusters from collective learning and knowledge spillovers between participating actors strongly attract the attention of these people. In Thailand, a latecomer country in terms of technological catching up, the cluster concept has been used as a means to rectify weakness and fragmentation of its innovation systems. The present Thai government aspires to apply the concept to promote both high-tech manufacturing clusters, services clusters and community-based clusters at the grass-root level. This paper analyses three very different clusters in terms of technological sophistication and business objectives, i.e., hard disk drive, software and chili paste. It portrays their significant actors, the extent of interaction among them and the evolution of the clusters. Though are very dissimilar, common characteristics attributed to qualified success are found. Main driving forces of the three clusters are cluster intermediaries. Forms of these organizations are different from a government research and technology organization (RTO), an industrial association, to a self-organised community-based organization. However, they perform similar functions of stimulating information and knowledge sharing, and building trust among participating firms/individuals in the clusters. Literature in the cluster studies argues that government policies need to be cluster specific. In this case, the best way to design and implement cluster-specific policies is through working closely with intermediaries and strengthening their institutional especially in linking member firms/individuals to other actors in clusters such as universities, government R&D institutes, and financial institutions.
Nowadays Korean governments use Information Technology to improve the quality of life for a people. One of these tries is building the Food Tracing System based on Information Technology. Koreans have big concern about food that is good for health. The Food Tracing System means that the system can follows, traces, and records every steps of production and delivery of food and its ingredient. And this process should be identified and grouped by using tags, marks, and other methods. For example, producer of ingredient, processing steps of food, delivered place could be traced. In addition to food, medical herbs need consumer's trust in production and delivery. To trace and prosecute contaminated medical herbs, medical herbs also need this kind of Tracing System based on Information Technology. This study shows current medical herbs tracing ways and RFID(Radio Frequency IDentification) technology trend. As preceding study for future RFID based medical herbs tracing system, this study suggests the building plan and scenario of the Medical Herbs Tracing System. The determination of the main body for sticking RFID Tags is very important to design for RFID Traceability System. In this study, the starting point of information to medical herbs is an inspection agency. The Medical Herbs to product domestically or import moved to an inspection agency. An inspection agency bond the RFID Tags to packing of the Medical Herbs after examining the a basic its component. At the same time inspector give the information of production or importation to the Tags. This Tags are moved for logistical process to end point, the Korean medicine agency. The customer confirmed the traceability and certification information of the Medical Herbs. For success tracing of medical herbs, institutional support and close cooperation between related organizations is necessary besides good system design.
Journal of the Economic Geographical Society of Korea
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v.6
no.1
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pp.233-247
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2003
Ecotourism is widely known to be a sort of alternative tourism which seeks to keep balance between conservation and development. Successful ecotourism is not just dependent upon natural/cultural resources but also the consensus-building and collaboration among actors involved in the development of ecotourist attractions. In this sense, the establishment of good local governance can be crucial to achieve both conservation and development which are incompatible one another. Governance is carried out through self-organising, inter-organisational networks, which is emerging as new forms of collective decision-making at local level. Governance leads to the development of different relationships, not simply between public/ nonpublic agencies but between citizens and public/nonpublic agencies. I represent some key dimensions to construct good local governance in ecotourism: i) the creation of socio-institutional milieu that facilitate interactions among actors related to ecotourism; ii) actors involved in ecotourism taking responsibility to play an appropriate role in their own position. I argue that interactive relationships and consensus-building between different actors can be promoted by collective actions such as the sharing of information and resources, co-education and co-training, and seminars. It therefore implies that local good governance cannot be established without local social capital based on trust and cooperation between actors.
The purpose of this study is to examine the implications of the business start-up mentoring that overcomes limitations of government support projects' mentoring. The start-up mentoring of 'Creative Maestar Job Creation Project' supported to match mentors and mentees regardless of location, provide a SNS mentoring that allows 24-hour open consulting, and visit a products production site accompanying mentors and mentees. These institutional devices encouraged the preparers of design start-ups to develop effective communication skills and managerial mindset, not material support. In addition, mentors and mentees have become facilitators of learning that grow their mutual capabilities by constantly exchanging new ways of thinking, behaviors, and values. As a result, this study implies the importance of mentoring a talented person focusing on cultivating the qualities of a one-man design entrepreneur and a mentor's relationship with a mentor based on human trust.
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