• Title/Summary/Keyword: Joint Operation System

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State's Duty to Manage Pandemic Diseases and the Role of Institutional Review Boards (국가의 팬데믹 감염병 관리 의무와 기관생명윤리위원회의 역할)

  • Park, Hyoung Wook
    • The Korean Society of Law and Medicine
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    • v.22 no.4
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    • pp.37-55
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    • 2021
  • On March 19, 2021, the Korean Bioethics Association and related academic circles published a joint statement criticizing the partial revision of Infectious Disease Control And Prevention Act. However, according to the Bioethics And Safety Act of Korea, research conducted by the state or local governments for public welfare is excluded from human subjects research project. In addition, since the Korean legal system is not based on the dichotomy between research and surveillance, the discussion of the US Common Rule cannot be directly applied to Korea. For the harmonious operation of the state's duty to manage infectious diseases and the Institutional Review Boards, institutional alternatives should be prepared in consideration of the following issues. First, the related academic community should first pay attention to the problems of the current laws in Korea. Second, it should be understood that the state is carrying out many tasks without the consent of the parties in order to fulfill its duty to manage infectious diseases. Third, when presenting institutional alternatives, it is necessary to consider the feasibility of implementation in Korea. An in-depth discussion of the institutional alternatives by the Medical Law Society and other related academic circles is necessary.

A Discussion on Container Loss Accidents and Responses During Ship Voyage (선박 운항 중 컨테이너 해상유실 사고 및 대응에 관한 고찰)

  • Hwang, Daejung
    • Journal of Navigation and Port Research
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    • v.46 no.4
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    • pp.331-337
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    • 2022
  • In 2021, the Joint Group of Experts on the Scientific Aspects of Marine Environmental Protection (GESAMP), a U.N. advisory research institute, cited container loss as one of six sources of marine litters in shipping. The sinking of the X-P ress Pearl in May 2021 caused a catastrophic environmental pollution accident in which the loaded containers were moved to the shore, and the plastic pellets were loaded inside covered the coast of Sri Lanka. With this history, the International Maritime Organization (IMO) will discuss prevention and follow-up measures for container loss during ship voyages, as an agenda at the 8th Sub Committee on Carriage of Cargoes and Containers meeting in September 2022. To establish Korea's response direction at the IMO meeting, this study identified major causes of container loss accidents, and considered the response through analysis based on the accident investigation report and related professional data. As a result, it was found that the major cause of container loss during voyages was the enlargement of container ships, bad weather, and poor loading of containers. In particular, the need to prepare countermeasures for the deterioration of the operational safety of large container ships due to bad weather was identified. Additionally, integrated monitoring of the implementation of international conventions is required, for the safe sea transportation of container cargo. In particular, in terms of preservation of the marine environment, it is necessary to supplement the system for the recovery of lost containers. Finally, it was found that it is necessary to establish systems that can complement each other in the shipbuilding and shipping industries, in terms of shipbuilding as well as ship operation, to fundamentally prevent container loss accidents at sea. It is judged that it is difficult to resolve the various factors of container loss at sea during voyages, by responding from an individual perspective.

A Study of Wind Characteristics around Nuclear Power Plants Based on the Joint Distribution of the Wind Direction and Wind Speed

  • Yunjong Lee
    • Journal of Radiation Industry
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    • v.17 no.3
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    • pp.299-307
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    • 2023
  • Given that toxic substances are diffused by the various movements of the atmosphere, it is very important to evaluate the risks associated with this phenomenon. When analyzing the behavioral characteristics of these atmospheric diffusion models, the main input data are the wind speed and wind direction among the meteorological data. In particular, it is known that a certain wind direction occurs in summer and winter in Korea under the influence of westerlies and monsoons. In this study, synoptic meteorological observation data provided by the Korea Meteorological Administration were analyzed from January 1, 2012 to the end of August of 2022 to understand the regional wind characteristics of nuclear power plants and surrounding areas. The selected target areas consisted of 16 weather stations around the Hanbit, Kori, Wolsong, Hanul, and Saeul nuclear power plants that are currently in operation. The analysis was based on the temperature, wind direction, and wind speed data at those locations. Average, maximum, minimum, median, and mode values were analyzed using long-term annual temperature, wind speed, and wind direction data. Correlation coefficient values were also analyzed to determine the linear relationships among the temperature, wind direction, and wind speed. Among the 16 districts, Uljin had the highest wind speed. The median wind speed values for each region were lower than the average wind speed values. For regions where the average wind speed exceeds the median wind speed, Yeongju, Gochang, Gyeongju, Yeonggwang, and Gimhae were calculated as 0.69 m s-1, 0.54m s-1, 0.45m s-1, 0.4m s-1, and 0.36m s-1, respectively. The average temperature in the 16 regions was 13.52 degrees Celsius; the median temperature was 14.31 degrees and the mode temperature was 20.69 degrees. The average regional temperature standard deviation was calculated and found to be 9.83 degrees. The maximum summer temperatures were 39.7, 39.5, and 39.3 in Yeongdeok, Pohang, and Yeongcheon, respectively. The wind directions and speeds in the 16 regions were plotted as a wind rose graph, and the characteristics of the wind direction and speed of each region were investigated. It was found that there is a dominant wind direction correlated with the topographical characteristics in each region. However, the linear relationship between the wind speed and direction by region varied from 0.53 to 0.07. Through this study, by evaluating meteorological observation data on a long-term synoptic scale of ten years, regional characteristics were found.

Research Framework for International Franchising (국제프랜차이징 연구요소 및 연구방향)

  • Kim, Ju-Young;Lim, Young-Kyun;Shim, Jae-Duck
    • Journal of Global Scholars of Marketing Science
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    • v.18 no.4
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    • pp.61-118
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    • 2008
  • The purpose of this research is to construct research framework for international franchising based on existing literature and to identify research components in the framework. Franchise can be defined as management styles that allow franchisee use various management assets of franchisor in order to make or sell product or service. It can be divided into product distribution franchise that is designed to sell products and business format franchise that is designed for running it as business whatever its form is. International franchising can be defined as a way of internationalization of franchisor to foreign country by providing its business format or package to franchisee of host country. International franchising is growing fast for last four decades but academic research on this is quite limited. Especially in Korea, research about international franchising is carried out on by case study format with single case or empirical study format with survey based on domestic franchise theory. Therefore, this paper tries to review existing literature on international franchising research, providing research framework, and then stimulating new research on this field. International franchising research components include motives and environmental factors for decision of expanding to international franchising, entrance modes and development plan for international franchising, contracts and management strategy of international franchising, and various performance measures from different perspectives. First, motives of international franchising are fee collection from franchisee. Also it provides easier way to expanding to foreign country. The other motives including increase total sales volume, occupying better strategic position, getting quality resources, and improving efficiency. Environmental factors that facilitating international franchising encompasses economic condition, trend, and legal or political factors in host and/or home countries. In addition, control power and risk management capability of franchisor plays critical role in successful franchising contract. Final decision to enter foreign country via franchising is determined by numerous factors like history, size, growth, competitiveness, management system, bonding capability, industry characteristics of franchisor. After deciding to enter into foreign country, franchisor needs to set entrance modes of international franchising. Within contractual mode, there are master franchising and area developing franchising, licensing, direct franchising, and joint venture. Theories about entrance mode selection contain concepts of efficiency, knowledge-based approach, competence-based approach, agent theory, and governance cost. The next step after entrance decision is operation strategy. Operation strategy starts with selecting a target city and a target country for franchising. In order to finding, screening targets, franchisor needs to collect information about candidates. Critical information includes brand patent, commercial laws, regulations, market conditions, country risk, and industry analysis. After selecting a target city in target country, franchisor needs to select franchisee, in other word, partner. The first important criteria for selecting partners are financial credibility and capability, possession of real estate. And cultural similarity and knowledge about franchisor and/or home country are also recognized as critical criteria. The most important element in operating strategy is legal document between franchisor and franchisee with home and host countries. Terms and conditions in legal documents give objective information about characteristics of franchising agreement for academic research. Legal documents have definitions of terminology, territory and exclusivity, agreement of term, initial fee, continuing fees, clearing currency, and rights about sub-franchising. Also, legal documents could have terms about softer elements like training program and operation manual. And harder elements like law competent court and terms of expiration. Next element in operating strategy is about product and service. Especially for business format franchising, product/service deliverable, benefit communicators, system identifiers (architectural features), and format facilitators are listed for product/service strategic elements. Another important decision on product/service is standardization vs. customization. The rationale behind standardization is cost reduction, efficiency, consistency, image congruence, brand awareness, and competitiveness on price. Also standardization enables large scale R&D and innovative change in management style. Another element in operating strategy is control management. The simple way to control franchise contract is relying on legal terms, contractual control system. There are other control systems, administrative control system and ethical control system. Contractual control system is a coercive source of power, but franchisor usually doesn't want to use legal power since it doesn't help to build up positive relationship. Instead, self-regulation is widely used. Administrative control system uses control mechanism from ordinary work relationship. Its main component is supporting activities to franchisee and communication method. For example, franchisor provides advertising, training, manual, and delivery, then franchisee follows franchisor's direction. Another component is building franchisor's brand power. The last research element is performance factor of international franchising. Performance elements can be divided into franchisor's performance and franchisee's performance. The conceptual performance measures of franchisor are simple but not easy to obtain objectively. They are profit, sale, cost, experience, and brand power. The performance measures of franchisee are mostly about benefits of host country. They contain small business development, promotion of employment, introduction of new business model, and level up technology status. There are indirect benefits, like increase of tax, refinement of corporate citizenship, regional economic clustering, and improvement of international balance. In addition to those, host country gets socio-cultural change other than economic effects. It includes demographic change, social trend, customer value change, social communication, and social globalization. Sometimes it is called as westernization or McDonaldization of society. In addition, the paper reviews on theories that have been frequently applied to international franchising research, such as agent theory, resource-based view, transaction cost theory, organizational learning theory, and international expansion theories. Resource based theory is used in strategic decision based on resources, like decision about entrance and cooperation depending on resources of franchisee and franchisor. Transaction cost theory can be applied in determination of mutual trust or satisfaction of franchising players. Agent theory tries to explain strategic decision for reducing problem caused by utilizing agent, for example research on control system in franchising agreements. Organizational Learning theory is relatively new in franchising research. It assumes organization tries to maximize performance and learning of organization. In addition, Internalization theory advocates strategic decision of direct investment for removing inefficiency of market transaction and is applied in research on terms of contract. And oligopolistic competition theory is used to explain various entry modes for international expansion. Competency theory support strategic decision of utilizing key competitive advantage. Furthermore, research methodologies including qualitative and quantitative methodologies are suggested for more rigorous international franchising research. Quantitative research needs more real data other than survey data which is usually respondent's judgment. In order to verify theory more rigorously, research based on real data is essential. However, real quantitative data is quite hard to get. The qualitative research other than single case study is also highly recommended. Since international franchising has limited number of applications, scientific research based on grounded theory and ethnography study can be used. Scientific case study is differentiated with single case study on its data collection method and analysis method. The key concept is triangulation in measurement, logical coding and comparison. Finally, it provides overall research direction for international franchising after summarizing research trend in Korea. International franchising research in Korea has two different types, one is for studying Korean franchisor going overseas and the other is for Korean franchisee of foreign franchisor. Among research on Korean franchisor, two common patterns are observed. First of all, they usually deal with success story of one franchisor. The other common pattern is that they focus on same industry and country. Therefore, international franchise research needs to extend their focus to broader subjects with scientific research methodology as well as development of new theory.

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The Development of a Cryotherapy System (한냉물리치료기의 개발)

  • Kim, Yeong-Ho;Yang, Gil-Tae;Jang, Yun-Hui;Park, Si-Bok;Ryu, Jin-Sang
    • Journal of Biomedical Engineering Research
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    • v.19 no.6
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    • pp.617-622
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    • 1998
  • A cryotherapy system using cold air was developed. The developed system had superior low-temperature characteristics with various flow rates and nozzle sizes, and used R-404A, as a coolant, which has no destructive effects of Ozone layers. Flow rates and the treatment time can be easily altered during the operation. In addition, and alarm system was designed for the overload, overheat, and over-charge of the machine. For clinical applications, skin temperatures, intra-articular temperatures of the knee joint and intra-muscluar temperatures of the gluteal muscles were measured during and after the cryotherapy. After a 5-minute therapy, skin and intra-articular temperatures decreased by $23.3{\pm}4.7 and 4.1 {\pm}1.0^{circ}C$, respectively. A 5-minute cryotherapy was good enough to maintain low intra-articular temperatures for 2-3 hours. Resting intra-muscular temperatures in 2, 4, and 6cm deep in the gluteal muscle were $36.5{\pm}1.2, 36.9{\pm}0.2, 37.1{\pm}0.2^{circ}C$, respectively (p<0.05). Lowest temperatures in 2, 4, and 6cm depth were $35.1{\pm}0.7, 36.2{\pm}0.4, 36.9{\pm}0.3^{circ}C$, respectively (p<0.05). Temperatures after a 2-hour cold air application on the skin and in the muscle in dept도 of 2, 4, and 6cm were $32.2{\pm}1.1, 36.2{\pm}0.5, 36.6{\pm}0.3, 36.9{\pm}0.3^{circ}C$respectively (p<0.05). Temperatures on the skin and in the muscle significantly decreased after 2 hours, compared with before cold air application (p<0.05). The intra-muscular temperature was changed more slowly than the skin temperature, and the deeper the muscle, the lesser temperature changes. The effect of a 5-minute cold air application lasts up to 2 hours, and it seems that the rebound-rise of the temperature dut to the reactive vasodilatation does not occur in the gluteal muscle.

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Survival Results and Prognostic Factors in T4 N0-3 Non-small Cell Lung Cancer Patients According to the AJCC 7th Edition Staging System

  • Arslan, Deniz;Bozcuk, Hakan;Gunduz, Seyda;Tural, Deniz;Tattli, Ali Murat;Uysal, Mukremin;Goksu, Sema Sezgin;Bassorgun, Cumhur Ibrahim;Koral, Lokman;Coskun, Hasan Senol;Ozdogan, Mustafa;Savas, Burhan
    • Asian Pacific Journal of Cancer Prevention
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    • v.15 no.6
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    • pp.2465-2472
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    • 2014
  • Background: The American Joint Committee on Cancer (AJCC) published a new staging system ($7^{th}$ edition) in 2009. In our study, we evaluated the survival results and prognostic factors among T4 local advanced non-small cell lung cancer (LA-NSCLC) patients in a large heterogeneous group, in accordance with this new system. Materials and Methods: We retrospectively evaluated the files of 122 T4 N0-3 M0 LA-NSCLC patients, identified according to the new staging system, treated at two centers between November 2003 and June 2012. Variables correlating with univariate survival at p<0.20 were later included in multivariate Cox regression analysis. Here, selection of relevant predictors of survival was carried out in accordance with the likelihood ratio formula with p<0.05 regarded as significant. Results: The median age was 60 and the median follow-up period was 17.4 months. Median overall survival (OS) was 18.3 months, the 1 year overall survival (OS) rate was 72%, and the 5 year OS rate was 28%. Statistically significant predictors of survival were (p<0.20) ECOG-PS (Eastern Cooperative Oncology Group Performance Status), age, T4 factor subgroup, stage and primary treatment in OS univariate analysis. On multivariate analysis for OS ECOG-PS (p=0.001), diagnostic stage (p=0.021), and primary treatment (p=0.004) were significant. In the group receiving non-curative treatment, the median OS was 11.0 months, while it was 19.0 months in the definitive RT group and 26.6 months in the curative treatment group. There was a significant difference between the non-curative group and the groups which had definitive RT and curative operations (respectively p<0.001 and p=0.001) in terms of OS, but not between the groups which had definitive RT and curative operations. The median event free survival (EFS) rate was 9.9 months, with rates of 46% and 19% at 3 and 5 years, respectively. On univariate analysis of EFS rate with ECOG-PS, weight loss and staging, statistical significance was found only for thorax computerized tomography (CT)+18F-fluorodeoxy-glucose positron emission tomography-CT (PET-CT) use, stage and primary treatment (p<0.20). In multivariate analysis with EFS, only the primary treatment was statistically significant (p=0.001). In the group receiving non-curative treatment, the median EFS was 10.5 months while in the curative operation group it was 14.7 months. When all the primary treatment groups were taken into consideration, grade III/IV side effect swas observed in 57 patients (46.6%). Esophagitis was most prominent among those that received definitive radiotherapy. Conclusions: Independent prognostic factors among these 122 heterogeneous LA-NSCLC T4 N0-3 M0 patients were age at diagnosis, ECOG-PS, stage and primary treatment, the last also being a significant prognostic indicator of EFS. Our findings point to the importance of appropriate staging and a multidisciplinary approach with modern imaging methods in this patient group. In those with T4 lesions, treatment selection and the effective use of curative potential should be the most important goal of clinical care.

Reconstruction after Wide Excision of Malignant Soft Tissue Tumor in Ankle and Foot (족관절 및 족부에 발생한 연부 조직 악성 종양의 광범위 절제술 후 재건술)

  • Kwon, Young-Ho;Cho, Yool;Kim, Jae-Do;Chung, So-Hak
    • The Journal of the Korean bone and joint tumor society
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    • v.14 no.1
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    • pp.33-43
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    • 2008
  • Purpose: To evaluate the clinical usability of reconstructive methods, and how to select flap after wide excision of malignant soft tissue tumor in ankle and foot. Materials and Methods: The 15 cases shown in the 14 patients (In case of a male patient, reconstruction was performed two times due to local recurrence.) with malignant soft tissue tumor in ankle and foot, who underwent reconstruction after wide excision from March 2000 until March 2007. Oncologic, surgical and functional results were evaluated. Results: The method of reconstruction used were anterolateral thigh perforator flap (5cases), Reversed superficial sural artery flap (4 cases), dorsalis pedis flap (3 cases), local flap (3cases). The defect, mean size was $5.5{\times}5.7\;cm$, was reconstructed with rotation flap or free flap, mean size was $5.9{\times}6.0\;cm$, skin graft for remnant. The mean operation time was 310 minutes (120~540 minutes); it took 256 minutes to reconstruct by rotation flap, and 420 minutes by free flap. As oncologic results, 7 patients were no evidence of disease, 6 patients were alive with disease and 1 patient was expired by pulmonary metastasis at the time of the last follow-up. 4 patients had local recurrence and 4 pateints had distant metastases. As functional results, 14 patients were evaluated with average score of 68.8% using the system of the Musculoskeletal Tumor Society. Conclusion: The dorsalis pedis and reverse superficial sural artery rotation flap which is easy procedure, has less complication and takes short operation time, can be primarily considered to reconstruct a small defect. And the anterolateral thigh perforator flap is suitable for coverage of a large defects after wide excision of malignant soft tissue tumor in ankle and foot.

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A Study on Design Education Re-engineering by Multi-disciplinary Approach (다학제적 접근을 통한 대학디자인 교육혁신 프로그램 연구)

  • Lee, Soon-Jong;Kim, Jong-Won;Chu, Wu-Jin;Chae, Sung-Zin;Yoon, Su-Hyun
    • Archives of design research
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    • v.20 no.3 s.71
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    • pp.299-314
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    • 2007
  • For the past 20 years, the growth and development of university-design-educational institutes contributed to the industrial development of our country. Due to the technological fluctuation and changes in the industrial structure in the latter half of the 20th century, the enterprise is demanding professionally-oriented design manpower. The principle which appears from instances of the advanced nations is to accommodate the demands in social changes and apply them to educational design programs. In order to respond promptly to the industrial demand especially, the advanced nations adopted "multidisciplinary design education programs" to lead innovation in the area of design globally. The objective of the research consequently is to suggest an educational system and a program through which the designer can be educated to obtain complex knowledge and the technique demanded by the industry and enterprise. Nowadays in order to adapt to a new business environment, designers specially should have both the knowledge and techniques in engineering and business administration. We suggest that the IPDI, a multidisciplinary design educational system and program is made up of the coordinated operation of major classes, on-the-job training connection, educational system for research base creation, renovation design development program for the application and the synthesis of alternative proposals about the training facility joint ownership by connecting with the education of design, business administration and engineering.

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This Study of the Arms Used in the Three Kingdoms (삼국시대(三國時代) 병기체제(兵器體制)의 연구(硏究))

  • Kim, sung-tae
    • Korean Journal of Heritage: History & Science
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    • v.34
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    • pp.20-58
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    • 2001
  • In order to unravel the characteristics of arms used in the 'Three Kingdoms,' Kokuryo, Silla and Paikje. the classification and the developing procedures of the arms should be first discussed. At first, the basic arms of the soldiers of Three Kingdoms were iron swords, iron spearheads, and bows. During that period, swords attached a ring pommel were commonly used. But after 5A. D. a sword with a decoration pommel appeared. Infantry generally used iron spearheads. From the late 4A. D. the long spearheads were broadly used in cavalry battles. In the late 6A. D. infantry mainly used long spearheads, and this resulted in the foundation of long spearheads units. There were two kinds of bows: Short Bow whose arch is small and Long Bow whose arch is long. It is known that the Short Bow was widely used in Kokuryo and Paikje up to 5A. D. In the early era, infantry used Long Bow, yet it was vastly used after 6A. D. when a castle's strategical value was great and defending a castle was. significant. Above mentioned, as basic combat weapons, iron spearhead and bow were fundamental. In particular, the spearhead was the essential weapon to a soldier. Yet, arrow gun and hook-shape cutters were important weapons. Especially, after 6A.D., when a castle became strategically pivotal in military, the arrow gun became the important weapon. This resulted in the foundation of arrow gun units. Hook-shape cutters were used to snatch horsemen or to climb up to fall the castle. Yet, the cutter was not the Three Kingodoms' basic weapon. In addition, the three stages of arms development in the Three Kingdoms are formation stage, development stage, and settlement stage. The formation stage was the period when premitive military unit appeared in the Three Kingdoms. It ranged from 1B. C. to the mid 3A. D. At that time according to regions. there were two weapon systems operating: North area including Kokuryo and the northern part of Paikje and South area including Silla, Kaya and the southern part of Paikje. ln North area a sword with a ring attached at the end of the holder, iron spear with neck and mid-size flat holder and iron arrowhead with an extension to fix, were used. In this period, during a war calvary units were mostly used and their weapon systems seemed possibly to succeed in that of Kochosun. In the development stage, when LoLang's influence on surroundings became weak, Koguryo, Paikjae and Silla had directly contacted each other. In the late 3A.D. to the early 6A.D., Silla achieved a drastic improvement in weapon system. This was the period when Kokuryo played a leading role in arms race. Kokuryo's arms manufacturing techniques passed onto Silla, Kaya and Paikje. In combat strategy a joint operation between infantry and calvary prevailed even if their military tactics were different. In a calvary battle heavily armed horsemen played import roles at this period. The horsemen and even horses were heavily guarded with iron armors. After all, the appearance of fully armed horsemen implies the very need of powerful destructive forces in weapon system. At that time, basic weapons were a big sword with a ring attached at the end of the holder, swallow's tail-shape spear with neck, and iron spearhead with neck and an extension. The settlement stage began at the mid 6A.D., when it was the revolutionary period in the arms development history. Of course, actual proofs and picture documents were not sufficient enough to penetrate full scale of the weapon system. But, according to historical circumstances and historic records, it is very certain that this period was the peak in arms development. In this period special military units, such as infantry-calvary companies, Archery units and Long spear units, that executed particular duties with special weapons, were founded. This became the characteristics of the settlement stage.

The Impact of the Internet Channel Introduction Depending on the Ownership of the Internet Channel (도입주체에 따른 인터넷경로의 도입효과)

  • Yoo, Weon-Sang
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.1
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    • pp.37-46
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    • 2009
  • The Census Bureau of the Department of Commerce announced in May 2008 that U.S. retail e-commerce sales for 2006 reached $ 107 billion, up from $ 87 billion in 2005 - an increase of 22 percent. From 2001 to 2006, retail e-sales increased at an average annual growth rate of 25.4 percent. The explosive growth of E-Commerce has caused profound changes in marketing channel relationships and structures in many industries. Despite the great potential implications for both academicians and practitioners, there still exists a great deal of uncertainty about the impact of the Internet channel introduction on distribution channel management. The purpose of this study is to investigate how the ownership of the new Internet channel affects the existing channel members and consumers. To explore the above research questions, this study conducts well-controlled mathematical experiments to isolate the impact of the Internet channel by comparing before and after the Internet channel entry. The model consists of a monopolist manufacturer selling its product through a channel system including one independent physical store before the entry of an Internet store. The addition of the Internet store to this channel system results in a mixed channel comprised of two different types of channels. The new Internet store can be launched by the independent physical store such as Bestbuy. In this case, the physical retailer coordinates the two types of stores to maximize the joint profits from the two stores. The Internet store also can be introduced by an independent Internet retailer such as Amazon. In this case, a retail level competition occurs between the two types of stores. Although the manufacturer sells only one product, consumers view each product-outlet pair as a unique offering. Thus, the introduction of the Internet channel provides two product offerings for consumers. The channel structures analyzed in this study are illustrated in Fig.1. It is assumed that the manufacturer plays as a Stackelberg leader maximizing its own profits with the foresight of the independent retailer's optimal responses as typically assumed in previous analytical channel studies. As a Stackelberg follower, the independent physical retailer or independent Internet retailer maximizes its own profits, conditional on the manufacturer's wholesale price. The price competition between two the independent retailers is assumed to be a Bertrand Nash game. For simplicity, the marginal cost is set at zero, as typically assumed in this type of study. In order to explore the research questions above, this study develops a game theoretic model that possesses the following three key characteristics. First, the model explicitly captures the fact that an Internet channel and a physical store exist in two independent dimensions (one in physical space and the other in cyber space). This enables this model to demonstrate that the effect of adding an Internet store is different from that of adding another physical store. Second, the model reflects the fact that consumers are heterogeneous in their preferences for using a physical store and for using an Internet channel. Third, the model captures the vertical strategic interactions between an upstream manufacturer and a downstream retailer, making it possible to analyze the channel structure issues discussed in this paper. Although numerous previous models capture this vertical dimension of marketing channels, none simultaneously incorporates the three characteristics reflected in this model. The analysis results are summarized in Table 1. When the new Internet channel is introduced by the existing physical retailer and the retailer coordinates both types of stores to maximize the joint profits from the both stores, retail prices increase due to a combination of the coordination of the retail prices and the wider market coverage. The quantity sold does not significantly increase despite the wider market coverage, because the excessively high retail prices alleviate the market coverage effect to a degree. Interestingly, the coordinated total retail profits are lower than the combined retail profits of two competing independent retailers. This implies that when a physical retailer opens an Internet channel, the retailers could be better off managing the two channels separately rather than coordinating them, unless they have the foresight of the manufacturer's pricing behavior. It is also found that the introduction of an Internet channel affects the power balance of the channel. The retail competition is strong when an independent Internet store joins a channel with an independent physical retailer. This implies that each retailer in this structure has weak channel power. Due to intense retail competition, the manufacturer uses its channel power to increase its wholesale price to extract more profits from the total channel profit. However, the retailers cannot increase retail prices accordingly because of the intense retail level competition, leading to lower channel power. In this case, consumer welfare increases due to the wider market coverage and lower retail prices caused by the retail competition. The model employed for this study is not designed to capture all the characteristics of the Internet channel. The theoretical model in this study can also be applied for any stores that are not geographically constrained such as TV home shopping or catalog sales via mail. The reasons the model in this study is names as "Internet" are as follows: first, the most representative example of the stores that are not geographically constrained is the Internet. Second, catalog sales usually determine the target markets using the pre-specified mailing lists. In this aspect, the model used in this study is closer to the Internet than catalog sales. However, it would be a desirable future research direction to mathematically and theoretically distinguish the core differences among the stores that are not geographically constrained. The model is simplified by a set of assumptions to obtain mathematical traceability. First, this study assumes the price is the only strategic tool for competition. In the real world, however, various marketing variables can be used for competition. Therefore, a more realistic model can be designed if a model incorporates other various marketing variables such as service levels or operation costs. Second, this study assumes the market with one monopoly manufacturer. Therefore, the results from this study should be carefully interpreted considering this limitation. Future research could extend this limitation by introducing manufacturer level competition. Finally, some of the results are drawn from the assumption that the monopoly manufacturer is the Stackelberg leader. Although this is a standard assumption among game theoretic studies of this kind, we could gain deeper understanding and generalize our findings beyond this assumption if the model is analyzed by different game rules.

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