• The Korean Journal of Applied Statistics
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• v.23 no.4
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• pp.621-633
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• 2010

This paper considers a certain expense structure where a vendor of equity-linked investment product will collect its expenses continuously from the investor's account whenever the investment performance exceeds a certain threshold level. Under the Black-Scholes framework, we derive compact convolution formulas for evaluating the total expenses to be collected during the investment period by using the joint Laplace transform of the Brownian motion and its excursion time. We provide numerical examples for illustration.

• Journal of Convergence for Information Technology
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• v.8 no.4
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• pp.213-217
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• 2018

The relationship between R&D investment and subsequent change has been mostly confirmed under additional influencing factors, with the form of innovation investments. The research assumes that a firm adjusts its R&D spending in accordance to performance feedback. It is argued that an increased fluctuation of a firm's R&D expense is related to a reduced performance. This hypothesis is tested on SME in World class 300 Projet by SMBA. Using panel data models, instability measured by SD is related to performance levels measured by ROA, ROE & PM. Results support the proposed relationship between R&D expense instability and the subsequent performance. Although a causal link cannot be clearly established, the results indicate that firms with a lower performance have higher R&D investment fluctuations, possibly being more responsive to performance feedback.

• Korean small business review
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• v.43 no.1
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• pp.85-105
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• 2021

This study verified how R&D investment affects the management performance of SMEs, whether technology innovation mediates this relationship, and whether marketing competency moderates the relationship between technology innovation and management performance. A longitudinal analysis was conducted using data from the corporate panel survey performed by Daegu Technopark every year since 2013. Data from 349 companies in the Daegu-Gyeongbuk region were mainly used, and the size of 30 to 50 employees in the manufacturing industry was a major analysis target company. The results are as below. First, The results showed that R&D investment had a positive effect on management as well as technology innovation, but technology innovation did not affect management performance. Also, technological innovation did not mediate the relationship between R&D investment and management performance. This shows that in the case of small SMEs, even if technological innovation occurs through R&D investment, the technological innovation does not lead to management performance. Also, the relationship between technological innovation and management performance was not changed by marketing capabilities. This shows that technological innovation in small SMEs is not easy to lead to business performance.

• Journal of Intelligence and Information Systems
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• v.26 no.3
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• pp.37-50
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• 2020

Information security has become an important issue in the world. Various information and communication technologies, such as the Internet of Things, big data, cloud, and artificial intelligence, are developing, and the need for information security is increasing. Although the necessity of information security is expanding according to the development of information and communication technology, interest in information security investment is insufficient. In general, measuring the effect of information security investment is difficult, so appropriate investment is not being practice, and organizations are decreasing their information security investment. In addition, since the types and specification of information security measures are diverse, it is difficult to compare and evaluate the information security countermeasures objectively, and there is a lack of decision-making methods about information security investment. To develop the organization, policies and decisions related to information security are essential, and measuring the effect of information security investment is necessary. Therefore, this study proposes a method of constructing an investment portfolio for information security measures using game theory and derives an optimal defence probability. Using the two-person game model, the information security manager and the attacker are assumed to be the game players, and the information security countermeasures and information security threats are assumed as the strategy of the players, respectively. A zero-sum game that the sum of the players' payoffs is zero is assumed, and we derive a solution of a mixed strategy game in which a strategy is selected according to probability distribution among strategies. In the real world, there are various types of information security threats exist, so multiple information security measures should be considered to maintain the appropriate information security level of information systems. We assume that the defence ratio of the information security countermeasures is known, and we derive the optimal solution of the mixed strategy game using linear programming. The contributions of this study are as follows. First, we conduct analysis using real performance data of information security measures. Information security managers of organizations can use the methodology suggested in this study to make practical decisions when establishing investment portfolio for information security countermeasures. Second, the investment weight of information security countermeasures is derived. Since we derive the weight of each information security measure, not just whether or not information security measures have been invested, it is easy to construct an information security investment portfolio in a situation where investment decisions need to be made in consideration of a number of information security countermeasures. Finally, it is possible to find the optimal defence probability after constructing an investment portfolio of information security countermeasures. The information security managers of organizations can measure the specific investment effect by drawing out information security countermeasures that fit the organization's information security investment budget. Also, numerical examples are presented and computational results are analyzed. Based on the performance of various information security countermeasures: Firewall, IPS, and Antivirus, data related to information security measures are collected to construct a portfolio of information security countermeasures. The defence ratio of the information security countermeasures is created using a uniform distribution, and a coverage of performance is derived based on the report of each information security countermeasure. According to numerical examples that considered Firewall, IPS, and Antivirus as information security countermeasures, the investment weights of Firewall, IPS, and Antivirus are optimized to 60.74%, 39.26%, and 0%, respectively. The result shows that the defence probability of the organization is maximized to 83.87%. When the methodology and examples of this study are used in practice, information security managers can consider various types of information security measures, and the appropriate investment level of each measure can be reflected in the organization's budget.

• Journal of Information Technology and Architecture
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• v.10 no.1
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• pp.137-145
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• 2013

Until recently, Korean government had supported Start-Up Investment Subsidies to the early stage of non-metropolitan manufacturing company for the purpose of promoting start-up and new job creation. As a result, for 4 years, there are total of 1.546 trillion won increase of sales and a total of 3,825 people have been hired including non-regular workers. In this paper, I suggest the performance of Start-Up Investment Subsidy and policy direction for improvement.

• Management & Information Systems Review
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• v.36 no.3
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• pp.219-237
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• 2017

Looking into the top-five innovative sectors in Korea's manufacturing and service industries, this study empirically analyzes the effect of innovation performance on R&D investment, which is one of the most important strategic decisions for corporate management. In the midst of an uncertain business environment, R&D investment has been regarded as the most important strategic decision making in corporate management related to innovation. Corporate management, however, tend to be reluctant to make sufficient R&D investment due to the risk of an investment failure. Therefore, having R&D investment by offsetting this risk has been deemed as a key task for corporate management. However, prior studies have failed to identify which factors affect companies' strategic decision making on R&D investment. This study is to remedy this weakness of prior study. Relying on path dependency theory at organization-level and dominant logic at individual-level, this study empirically examines the multiple regression model, which sees entrepreneurial orientation as a positive mediator between innovation performance and R&D investment. The results found in the analysis of 242 local companies in the manufacturing and service sectors represent that innovation performance has a direct and positive effect on R&D investment, while it indirectly affects R&D investment through the mediating roles of entrepreneurial orientation. They also revealed that innovation performance had a meaningful impact on entrepreneurial orientation, which is an inclination to seek innovation, led to R&D investment. The founding of this study imply that innovation performance in the past affects innovation strategies in the future, and such a relationship could be strengthened by entrepreneurial orientation as the dominant logic of corporate management.

• Korean Journal of Construction Engineering and Management
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• v.16 no.6
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• pp.144-155
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• 2015

This paper is to understand investment's efficiency and performance of commercial real estate assets diversified by use and district. To do so, this paper divides two different commercial real estate markets(office build market and retail real estate market) in Seoul city by district into "GBD(Gangnam Business District), YBD(Yeouido Business District), and CBD(Central Business District)" and "GBD(Gangnam Business District), SBD(Shinchon Business District), and CBD(Central Business District)" respectively, configures these districts each other to structure portfolios as its portion varies based on Markowitz's Mean-Variance principle, and looks at risk-return relationship of portfolios to find out efficiency, performance, and optimal investment chosen based upon Sharpe's Performance Index. As a result, the portfolio configured by "10 to 30% of office building asset at CBD" and "70 to 90% of retail real estate asset at CBD" is shown to be the most optimal, suggesting the highest quarterly Sharpe's performance index of 2.7118~2.7776 with quarterly rate of return of 1.826%~1.838% and quarterly standard deviation of 0.573~0.589. Furthermore, it is obvious that diversified portfolio configured by use(office-retail) shows better investment performance than that by district with same type of asset(office-office or retail-retail). Finally, results driven from this research will play an important role to stimulate real estate and construction markets through enlarging ideas as to diversified investment by use and district on real estate indirect investment products.

• The Journal of Society for e-Business Studies
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• v.11 no.1
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• pp.53-67
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• 2006

It is difficult to justify an IT investment unless the investment is expected to have a direct impact on a corporation's performance under rapidly changing business environment. It is important to demonstrate the benefit of the investment through a pre-investment assessment process to induce the executive's decision. This paper presents a methodology to assess the investment by analyzing cost and benefit of the investment. This methodology shows tangible cost as well as hidden cost by analyzing total cost of ownership. The methodology also produces ROI by performing cost benefit analysis including financial and non-financial factors. This paper suggests a systematic way to support If investment decision marking process by evaluating the investment objectively.

• Management & Information Systems Review
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• v.37 no.3
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• pp.83-113
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• 2018

The purpose of this study to empirically examine a smart work investment and job performance by change resistance. Firstly, There investigates mediating role of the communication between the smart work investment and the job performance. Secondly, It will identify the job productivity differences through a level of organizational change resistance that reduced smart work investment. The smart work is to provide the flexibility of time and location and is a working method to improve a work productivity of organization members. The introduction of smart work means the adoption of new organizational culture, institution and technology and requires a novel change of a custom and pattern on existing organization culture and institution because of transformation form of communication and collaboration. The method of this study adopts a structural equation model to test a mediating effect of communication and a moderating effect of change resistance level. This model confirms whether smart work investments provide a positive impact on communication and organizational productivity. In addition, I will classify a change resistance level of smart work by cluster analysis and then check a critical path difference of job productivity between each group. As a result, The organizational IT, institution and culture on the smart work investment appeared to important influencers in communication and also had a direct influence of individual performance. Also, The three independent variables of smart work investment have an indirect influence of individual and organizational performance through communication mediating variables. However, the organizational IT and institution as independent variables do not provide direct influence of organization performance. Nevertheless, two independent variables of organizational IT and institution have an indirect influence the organization performance through communication mediating variables. As a result of confirming a productivity of three groups on organization resistance, there was a difference the individual and organizational performance among groups. The low-level group of organizational resistance showed high coefficient value of performance compared to other groups. The group analysis implications, The smart work investment appeared significantly to revise the institution first, build culture secondly and advanced technology lastly. The theoretical implication from this study contributes an extension of social science theory through socio-technical systems, institution, culture, change resistance and job performance based on smart work. The practical implications explain the smart work success in step-by-step investment rather than radical investment as level management of change resistance. In future research, the smart work performance between private and public firms will analyze a difference of the organizational culture, institution, technology and performance.

• Journal of Arbitration Studies
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• v.29 no.2
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• pp.35-63
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• 2019

Since imposing Performance Requirements (PRs) on investors have been conducted as a means to protect a host state's domestic industry in the short run, with its effect on improving the international balance of payments, it has been implemented mostly in developing countries. From the viewpoint of investors, however, PRs hinder free competition and investment activities and have the effect of distorting international trade activities; therefore, they are expected to bring detrimental effects on the host state's economic development in the long run. PRs provided by International Investment Agreements (IIAs) and WTO-TRIMs, too, included many abstract regulations which are grounded on the host state's economic efficiency in the past; however, those PRs are gradually being more concretely specified, shifting to a form of prohibition with the goals of increasing the protection on investors and realizing investment liberalization. Accordingly, when Korea freshly concludes IIAs or revises them afterwards, one should focus more on following the points regarding PRs. First, to protect Korean companies' investment activities, it is advantageous to list the contents of prohibited PRs extensively and concretely and create a stipulation. Second, it is necessary to list the contents of the PRs prohibited and add the phrases for prohibiting "any other similar requirements" explicitly, as well so as to cover the PRs that can appear newly. Third, as in the cases associated with PRs, issuable matters are mostly either the range of applying PRs or the conditions of applying them (relevance or detrimental effects); therefore, it is necessary to classify the cases accumulated by issues and analyze them thoroughly. In conclusion, as this study has analyzed the theoretical characteristics of PRs provided in IIAs and related cases and suggests exquisite theory regarding PRs, it not only lays fundamental grounds for follow-up research but also gives useful and practical guidelines for the parties concerned and the arbitrators according to the ISDS procedure.