• Asia Marketing Journal
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• 제15권3호
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• pp.53-77
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• 2013

As advertising and promotions are categorized as operating expenses, managers tend to reduce marketing budget to improve their short term profitability. Gauging the value and accountability of marketing spending is therefore considered as a major research priority in marketing. To respond this call, recent studies have documented that financial market reacts positively to a firm's marketing activity or marketing related outcomes such as brand equity and customer satisfaction. However, prior studies focus on the relation of marketing variable and financial market variables. This study suggests a channel about how marketing activity increases firm valuation. Specifically, we propose that a firm's marketing activity increases the level of the firm's product market information and thereby the dispersion in financial analysts' earnings forecasts decreases. With less uncertainty about the firm's future prospect, the firm's managers and shareholders have less information asymmetry, which reduces the firm's cost of capital and thereby increases the valuation of the firm. To our knowledge, this is the first paper to examine how informational benefits can mediate the effect of marketing activity on firm value. To test whether marketing activity contributes to increase in firm value by mitigating information asymmetry, this study employs a longitudinal data which contains 12,824 firm-year observations with 2,337 distinct firms from 1981 to 2006. Firm value is measured by Tobin's Q and one-year-ahead buy-and-hold abnormal return (BHAR). Following prior literature, dispersion in analysts' earnings forecasts is used as a proxy for the information gap between management and shareholders. For model specification, to identify mediating effect, the three-step regression approach is adopted. All models are estimated using Markov chain Monte Carlo (MCMC) methods to test the statistical significance of the mediating effect. The analysis shows that marketing intensity has a significant negative relationship with dispersion in analysts' earnings forecasts. After including the mediator variable about analyst dispersion, the effect of marketing intensity on firm value drops from 1.199 (p < .01) to 1.130 (p < .01) in Tobin's Q model and the same effect drops from .192 (p < .01) to .188 (p < .01) in BHAR model. The results suggest that analysts' forecast dispersion partially accounts for the positive effect of marketing on firm valuation. Additionally, the same analysis was conducted with an alternative dependent variable (forecast accuracy) and a marketing metric (advertising intensity). The analysis supports the robustness of the main results. In sum, the results provide empirical evidence that marketing activity can increase shareholder value by mitigating problem of information asymmetry in the capital market. The findings have important implications for managers. First, managers should be cognizant of the role of marketing activity in providing information to the financial market as well as to the consumer market. Thus, managers should take into account investors' reaction when they design marketing communication messages for reducing the cost of capital. Second, this study shows a channel on how marketing creates shareholder value and highlights the accountability of marketing. In addition to the direct impact of marketing on firm value, an indirect channel by reducing information asymmetry should be considered. Potentially, marketing managers can justify their spending from the perspective of increasing long-term shareholder value.

• 기술혁신학회지
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• 제14권3호
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• pp.405-430
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• 2011

본 연구는 한국 제조기업들이 외부지식을 적극적으로 활용하게 하는 요인들을 고찰한다. 관련문헌들에 의하면 기업의 혁신성과 보호전략 (appropriability strategy), 흡수능력 (absorptive capacity), 기술분야 창업기업여부 (technology entrepreneurship), 기업규모 그리고 산업별 기술발전기회 등이 외부지식 활용을 결정하는 요인들이라고 주장되고 있다. 본 연구는 이러한 요인들 중에서 한국 제조기업들의 외부지식활용도에 실제로 영향을 미치는 것들은 무엇인지를 한국 제조업 분야 혁신활동조사 자료 (Korean Manufacturing Innovation Survey)를 활용하여 분석한다. 그 결과들은 다음과 같다. 첫째, 기업들이 혁신성과 보호 메커니즘을 적극적으로 활용할수록 외부지식 활용도가 높다. 둘째, 고등교육을 받은 종업원들의 비중이 높은 기업일수록 외부지식을 더 많이 활용한다. 셋째, 기술분야 창업기업일수록 외부지식 활용도가 높다. 넷째, 규모가 큰 기업일수록 외부지식을 더 많이 활용한다. 다섯째, 기술 발전기회가 더 많은 산업에 종사하는 기업일수록 외부지식 활용도가 높다. 특히 한국 제조기업들의 경우 고등교육을 받은 종업원들의 비중과 기술분야 창업기업여부가 다른 요인들보다 외부지식활용에 더 영향을 미치고 있다고 분석되었다.

• Asia Marketing Journal
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• 제16권4호
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• pp.19-37
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• 2015

Forming interfirm collaborative relationships has become a key aspect of a firm's marketing strategies to create value for customers and achieve greater firm performance. While empirical findings are mixed in previous studies, this study is an effort to identify boundary conditions for the benefits of marketing alliances. We investigate internal and environmental factors that may magnify or constrain the effect of marketing alliances on firm profitability. Given the complementary relationship between marketing and R&D activities, we focus on a firm's R&D intensity as an internal factor that may magnify the value of marketing alliances for firm performance. For environmental factors, we focus on industry turbulence and industry competitiveness. Industry turbulence refers to the degree to which industry market conditions change quickly and unpredictably, whereas industry competitiveness refers to the degree to which a firm faces competition in the industry. By testing these factors, we are intended to reveal boundary conditions that determine the value of marketing alliances for firm profitability. The analysis of firms in the diverse industries shows that while the main effect of marketing alliances on firm profitability is not significant, it becomes more positive when R&D investment is more intensive or when industry environment is more turbulent. The results of this study imply that just forming more marketing alliances may not be enough to increase firm profitability. Our findings imply that marketing alliances become more effective in a dynamically changing industry environment. That is, firms can cope with industry uncertainties more effectively by forming marketing alliances. At the same time, the moderating effect of R&D intensity implies that the internal investments in R&D magnify the effect of marketing alliances on firm profitability. The findings of this study contributes to the existing alliance literature in three aspects. First, this study enhances our understanding of the contingent value of marketing alliances by testing both internal and external factors that may influence the effectiveness of marketing alliances. Second, this study responds to the need for research that investigates actual performance resulting from interfirm relationships. Third, while previous studies primarily focused on a specific industry, this study extend previous findings of the boundary conditions for the benefits of marketing alliances in a broader context.

• 한국경영과학회지
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• 제31권4호
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• pp.49-68
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• 2006

E-business strategy has interests in Issues of strategic positioning and its impact on firm performance. These studies address the environmental factors as antecedents to strategic decision makings and its consequences such like firm performance. However most studies has not considered the role of business models In explaining e-business firm performance. We adopt Porter's generic strategies to the e-business context. We Identify business models and e-business environmental factors as antecedents and then examine these factors Influence on firm performance. We find that uncertainty of environment has a negatively related to the strategic choices of e-Business firms; in contrast, market turbulence positively affects the level of adoption of all the strategies. Among the strategies, marketing differentiation only makes an Impact on firm performance.

• 경영과학
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• 제6권2호
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• pp.73-88
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• 1989

This paper presents a model for analyzing a firm's competitive position. The model utilizes M. Porter's Value Chain concept and develops a framework for analyzing a firm's cost structure and identifying the sources of a firm's competitive advantage. The paper first discusses the nature of a firm's competitive advantage and identifies different types of competitive advantage a firm can pursue. The paper then introduces the concepts of cost driver and its linkage as a new way of examining organizations, and develops a model for analyzng a firm's competitive advantage. Next, it illustrates detailed procedures of the model by applying it into a real world organization, and draws some strategic implications for the organization. Finally, the paper discusses the limitations of the research and suggest future related research.

• 한국지능시스템학회:학술대회논문집
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• 한국퍼지및지능시스템학회 1998년도 추계학술대회 학술발표 논문집
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• pp.498-503
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• 1998

퍼지관계 개념을 응용한 BK-퍼지정보검색기법은 형태론에 입각하는 기존의 정보 검색기법과는 달리 문서와 용어의 상대적 의미에 근거하는 정보검색 기법이다. 그러나 BK-퍼지정보검색기법은 높은 시간복잡도(time-complexity)의 검색 연산을 내재하고 있어 실제 대용량의 정보 검색은 사실상 불가능하다. 본 논문에서는 BK-퍼지정보검색모델(BK-FIRM)의 높은 시간복잡도를 낮추기 위해, 용어집합의 부분집합으로서 그 원소 개수는 상수처럼 작용하는 축소용어집합(reduced term set)을 이용한 개선된 퍼지정보검색모델(A-FIRM)을 제안하고 실제 이를 처리시간과 신뢰도 측면에서 분석 및 비교한다.

• East Asian Economic Review
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• 제16권4호
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• pp.315-331
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• 2012

Previous studies of location choice have focused on country-level data more than firm-level data and been more concerned with host countries' distinctive features than with firm heterogeneity. Therefore, they do not answer the question of who will go where in terms of location choice. To analyze the role of firm heterogeneity in determining location choice, we develop a theoretical model and analyze data on 3,644 Korean manufacturing multinationals operating in 87 countries between 1982 and 2006. The results of our conditional logit analysis indicate that not only host country characteristics but also firm heterogeneous factors such as productivity, labor intensity, and size have considerable influence on the decision of where to locate FDI.

• 기술혁신연구
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• 제13권3호
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• pp.77-100
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• 2005

This paper analyzes the determinants of firm's innovative activity, using Korean Innovation Survey (KIS) dataset. Especially, we focused on the role of external networks by partners(other firms or research institutions) in performing innovative activities. The product innovation, product improvement, and process innovation are used as proxies for innovative activity. The explanatory variables such as market concentration ratio, lagged profitability, foreign ownership, export ratio, firm's age, formal R&D activity, and industrial R&D intensity are also considered. With data from 1,124 firms for the two years (2000-2001), we estimated the logistic regression model. The finding is that the determinants of firm's innovative activities differ by type of innovations. We also found that the innovative behavior of SMEs differs from that of large firms. The result confirms that external networks have a strong positive effect on innovative activity. However, the network effects by partners vary across both firm size and type of innovations.

• Industrial Engineering and Management Systems
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• 제10권2호
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• pp.115-122
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• 2011

This research considers a system containing a manufacturing firm who generates waste material during manufacturing process, and a disposal firm who collects and disposes the waste material. Identification of the optimal number of pick ups and the amount of waste to be disposed at certain period of time in terms of cost minimization is studied. Two types of waste accumulation rates, constant and linearly increasing, are discussed and mathematical models are developed. It can be shown that the results for these two different types of waste accumulation differ in a wide range because of the difference in the way of how waste is accumulated, which disturbs the storage cost. An integrated model is also developed and discussed in which both the manufacturing firm and the disposal firm benefit from the coordination between the two parties. It is shown that the optimal policy adopted by the integrated approach can provide a strong and consistent cost-minimizing effect for both the manufacturing firm and the disposal firm over the existing approach. Finally, all the models are verified by a numerical example and the results are compared.

• 아태비즈니스연구
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• 제9권4호
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• pp.157-180
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• 2018

This paper empirically analyzes how working conditions of employees and executives affect Korean companies' survival. To this end, a survival analysis based on the accelerated failure time model is conducted from the end of December 2012 to the end of September 2018 on the 2012 year-end financial data for corporations whose common stocks have ever been listed either in the KOSPI market or in the KOSDAQ market with fiscal year ending at the end of December. The analysis shows that the average wage level per employee and the number of executives relative to the number of employees threaten while the average duration of service for female employees prolongs firm survival. Here, the average wage level per employee has turned out to worsen firm survivability regardless of the gender of employees in question while the average duration of service improves firm survivability only in case the employees are female: the average duration of service for male employees or the entire employees has turned out not to have any statistically significant influence on firm survival. The average compensation per executive and the percentage of temporary employees have turned out not to have any statistically significant influence on firm survival while the percentage of female employees has shown statistically significant positive influence on firm survival in some, although not all, models employed in our study. These results are expected to be a good reference in the course of our reaching agreements regarding the improvement of working conditions either between firms and employees or among the members of the entire society.