• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.5 no.4
• /
• pp.1-34
• /
• 2010

Recently, failure rates of Kosdaq IPO firms are increasing and their survival rates tend to be very low, and when these firms do fail, often times backed by a number of governmental financial supports, they may inflict severe financial damage to investors, let alone economy as a whole. To ensure investors' confidence in Kosdaq and foster promising and healthy businesses, it is necessary to precisely assess their intrinsic values and survivability. This study investigates what contributed to the failure of IPO firms and analyzed how these elements are factored into corresponding firms' stock returns. Failure risks are assessed at the time of IPO. This paper considers factors reflecting IPO characteristics, a firm's underwriter prestige, auditor's quality, IPO offer price, firm's age, and IPO proceeds. The study further went on to examine how, if at all, these failure risks involved during IPO led to post-IPO stock prices. Sample firms used in this study include 98 Kosdaq firms that have failed and 569 healthy firms that are classified into the same business categories, and Logit models are used in estimate the probability of failure. Empirical results indicate that auditor's quality, IPO offer price, firm's age, and IPO proceeds shown significant relevance to failure risks at the time of IPO. Of other variables, firm's size and ROA, previously deemed significantly related to failure risks, in fact do not show significant relevance to those risks, whereas financial leverage does. This illustrates the efficacy of a model that appropriately reflects the attributes of IPO firms. Also, even though R&D expenditures were believed to be value relevant by previous studies, this study reveals that R&D is not a significant factor related to failure risks. In examing the relation between failure risks and stock prices, this study finds that failure risks are negatively related to 1 or 2 year size-adjusted abnormal returns after IPO. The results of this study may provide useful knowledge for government regulatory officials in contemplating pertinent policy and for credit analysts in their proper evaluation of a firm's credit standing.

• Korean Journal of Environment and Ecology
• /
• v.26 no.2
• /
• pp.273-282
• /
• 2012

This study has estimated Gyeongju National Park's natural environment and cultural relic value in the same way and then been performed to compare the size of the value. Representative method to measure environmental property is contingent valuation methods, CVM. The variables and estimated models adopted for the calculation were same and the respondents were asked by distinguishing between the amount which they would pay to preserve the natural environment and that which they were willing to pay to preserve the cultural relics. As the result, WTP(Willing to pay), the amount that they were willing to pay to preserve the natural environment of Gyeongju National Park was 17,838 won per person and that to preserve the cultural relics appeared to be 316,248 won per person. Based on this, it was estimated that the value of the natural environment with which Gyeongju National Park provided annual visitors was 47 billion won and that the annual value of the cultural relics was 845.7 billion. If the natural environment and the cultural relics value elements are united, it can be estimated that the natural environment and cultural relic value got at the time of people's first visit to Gyeongju National Park is 334,086 won and that the annual value is 893.4 billion won. In this study, the value of the cultural relics has been estimated 18 times higher than that of the natural environment. This reason was that visitors judged that a total of 66 cultural properties including 11 national treasures, 23 treasures, 13 historic places, one historic sites and scenic spot and 18 local cultural properties, etc. which were distributed in Gyeongju National Park were worth far more than the natural environment. Based on the result of this study, the operating management plan of Gyeongju National Park should include a differentiated operation strategy through consultation with relevant experts by taking into account characteristics of the physical components.

• The Korean Journal of Financial Management
• /
• v.21 no.2
• /
• pp.99-123
• /
• 2004

We focus in this study on incremental financing decisions and estimate a logit model for the probability a firm will choose a private placement over a public bond issue. We hypothesize that information asymmetry, financial risk, agent cost, and proprietary information may affect a firm's choice between public debt and private placements. We find that as the size of firm increases, the probability of choosing a private placement declines significantly. The age of the firm, however, is not a significant factor affecting the firm's choice between public and privately-placed bond. The coefficients on the firm's leverage and non-investment grade dummy are significantly positive, meaning firms with high financial risk and credit risk select private placements. The findings regarding agency-related variables, PER and Tobin's Q, are somewhat complex. We find significant evidence that firms with high PER prefer private placements to public bonds, suggesting that borrowers with options to engage in asset substitution or underinvestment are more likely to choose private placements. The coefficient of Tobin's Q is negative, but not significant, which weakly support the hold-up hypothesis. When we construct an interaction term on the Tobin's Q with a non-investment rating dummy, however, the Tobin's Q interaction term becomes positive and significant. Thus, high Tobin's Q firms with a speculative rating are significantly more likely to choose a private placement, regardless of the potential hold-up problems. The ratio of R&D to sales, proxy for proprietary information, is positively significant. This result can be interpreted as evidence in favor of a role for proprietary information in the debt sourcing decision process for these firms.

• 한국노년학
• /
• v.38 no.4
• /
• pp.811-835
• /
• 2018

Social relations and cognitive function in old age are closely related to each other, and social relation is classified into structural characteristics and qualitative characteristics reflecting cognitive and emotional evaluation. The concept of social isolation is the focus of attention in relation to the social relations of old age. Social isolation has a multidimensional theoretical structure that is divided into objective dimension such as social network, type of furniture, social participation, and subjective dimension such as lack of perceived social support and loneliness. There is also a close relationship between cognitive function and interpersonal conflict in old age. In this study, we examined the effect of subjective social isolation, which shows the structural characteristics of social relations, and subjective social isolation and interpersonal conflict on the dementia occurrence by age group in the elderly. The data were analyzed by applying a random effect panel logit model using 1,740 panel data from the first year to the third year of KSHAP. The results of the analysis are summarized as follows. First, the cognitive impairment increased sharply with age. Objective and subjective social isolation were both U-shaped distribution with an inflection point of 80 years old. Second, the main effect on the probability of cognitive impairment was statistically significant with objective and subjective social isolation, but the type of interpersonal conflict did not appear to be significant. Third, the results of two-way interaction effect analysis on the probability of cognitive impairment are as follows. The relationship between subjective social isolation and the probability of occurrence of cognitive impairment was significantly different according to the level of conflict with spouse. In addition, the higher the subjective social isolation, the higher the probability of cognitive impairment in the elderly(over 85) than in the young-old(65~74). In addition, as the level of conflict with spouses increases, the probability of cognitive impairment of the oldest-old(aged 85 or older) is drastically lower than that of the young-old(aged 65~74). Based on the results of this study, policy and practical implications for reducing the cognitive impairment of the elderly age group were suggested, and limitations of the study and suggestions for future research were discussed.

• Korean Journal of Environment and Ecology
• /
• v.36 no.6
• /
• pp.676-683
• /
• 2022

Due to the effects of rapid changes in the living environment since 2000 and the recent unforeseen pandemic, people are refraining from domestic and international traveling and movement, and outdoor activities for health and the public value of forest trails, called Dullegil Trail in Korea, have become more important. This study estimated the environmental value of the tentatively named "East-West Trail," which connects the forest trails crossing Chungcheong and Gyeongsang Provinces using CVM (Contingent Valuation Method). It surveyed visitors to the East-West Trail, and 725 questionnaires were used for analysis. The average characteristics of respondents were those who exercised 2-3 times per week, visited a forest trail not far from their residence with friends or family, and showed a tendency to spend 50 thousand Korean won or more per visit. Visitors to the Dullegil Trail felt that there was a shortage of information boards on the forest trail, and they preferred a shelter in appropriate locations. We used a double-bounded dichotomous choice (BDDC) logit model proposed by Hanemann to measure the conservation value of the East-West Trail. It was estimated that the environmental value that a visitor to the East-West Trail could obtain was 30,087 won per trip. The estimated environmental value of the East-West Trail can be converted to about 94 billion won total visitors annually based on the population belonging to the direct-use zone near the East-West Trail. As there has been no study on the environmental value of forest trails using CVM, the results of this study will be able to suggest the feasibility of the government policies on forest trails.