• Title/Summary/Keyword: Price Strategy

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A study of the destructive styles from Contemporary Paintings - Focused on distinguishing enmity-destruction and self-destruction - (현대회화에서 드러난 해체의 형식론에 관한 연구 -타의적 해체와 자의적 해체의 성격규정을 중심으로-)

  • Park Ki-Woong
    • Journal of Science of Art and Design
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    • v.7
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    • pp.5-63
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    • 2005
  • Generally, the meanings of destruction are related in the meaning of demolition, breakdown, into fragments ... and so on, and the similar meanings are twist, crush, demolish, split, cut, into pieces , break up ... etc. Further, it has related in the cruelty and destructive heart which are linked with orgy, Sadism, Necrophilia and so on. The meanings are also expressed by the initial , which are deprivation, deface, defame, deform, degrade, delegitimize, denounce , deride, destroy, devalue, as well as debase, debunk, declaim, declassify, decry, delete, denigrate, deprecate, despise or detract ...and so on. Dario Gamboni has discussed the meaning in his book as two categories Iconoclasm and Vandalism. And the similar meanings could be found in the words which has the initial of , like abase, abate, abhor, abjure, abolish, abridge, abuse ...and so on. Even though the distinct meanings of Iconoclasm and Vandalism, it is not easy to distinguish clearly between the differences when the results are accomplished in contemporary paintings because of the similarity of the results. In korean vocabulary there are no similar words to distinguish between the meanings of destruction and deconstruction, and the deconstruction is not recorded in the general dictionaries. However the meaning of is diminishing, separation, contrast and so on. So the unification of the word as do-construction is not construct, minus construction, reverse construction. And Vincent Ditch explained that there are the meaning of destroy the text. From Jacques Derrida, the deconstruction strategy is to criticise the world of traditional metaphysics and logocentrism, and not to reconstruire the philosophical meaning of texts but $d\'{e}construire$ them. And Saussure emphasized that the signifers could have more meaning that there can be more signified in traditional texts in the art. as a result, deconstruction is explained that there are many signified meanings in a signifer. In this thesis , from using the meanings of destruction and deconstruction, to distinguish the expressive skills in contemporary art works are arising. Therefore, special methods which are linked in the destruction styles are selected. As a result, the two different purposes of destruction is arising, one is enmity destruction and the other is self destruction another word, auto destruction or destruction to create The enmity destruction can be distinguished by the two category Iconoclasm and Vandalism. They come from the moment of different historical aspect is arising and want to attack the Icon or masterpiece this concept is from the study of John Philips and especially iconoclasm is linked with religious and artistic heart, but Vandalism is come from the political attack. Sometime, this distinguish is not clearly arising, because the two aspects are co-related in the attack. As a result, firstly, the Iconoclastic controversy had arisen in the methods of Dadaism which has developed by Man Ray, Francis Picabia and Marcel Duchamp. They want to attack the pre-established master-pieces and painting spaces, and they had 'non-artistic attitude' not to be art. Since 1980, the German artist Anselm Kiefer adapted the methods and made them his special skills so he had tried to paint tough brush strokes and draw with hugh pallette image line and fire and water images , they can be the image attack as the Iconoclasm. secondly, the model of vandalism is to be done by hammer, drill, canon and so on. the method is to attack the content of painting. Further, the object of destruction is bound by cords and iron lings to demolish or to declare the authority of pre-statues; it symbolize the pre-authority is gone already. Self-destruction based paintings are clearly different in the purpose of approaching the art work. First of all, they can be auto-destruction, creative destruction and metamorphosis destruction, which is linked with the skill the material aspect and basic stature, and sign destruction or signifier destruction, which is link with the inner meaning destruction that is considered as the Semiotical destruction in post-modern paintings. Since 1960, the auto destruction is based on the method of firing, melting, grinding and similar skills, which is linked with Neo-Dada and reverse-assemblage. Metamorphosis destruction is strongly linked with the basic inner heart price and quality, so it can be resulted in the changedness of expectation and recognition. Tony Cragg has developed the skills to metamorphose the wood as stone or iron as cloth and stone as sponge and rubber and so on. The researcher has developed the same style in the series of since 2003. The other self-destructive methods are found in the skill of sign destruction. In the methods the meaning of the art is not fixed as one or two, but is developed multi-meaning and differ from original starting situation, so Jacques Derrida called the difference meaning in deconstruction. It is the destruction of textes. These methods are accomplished by David Salle, Francesco Clemente, and recently Tracy Emin, who has developed the attacking heart in the spectators' emotion. Sometime in the method of self-destruction, it is based on horror and shock, the method is explored by Demian Hirst and Jakes and Dinos Chapman. Their destructive styles stimulate ambivalent heart and destroy original sign of girl and animals.

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GIS-based Market Analysis and Sales Management System : The Case of a Telecommunication Company (시장분석 및 영업관리 역량 강화를 위한 통신사의 GIS 적용 사례)

  • Chang, Nam-Sik
    • Journal of Intelligence and Information Systems
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    • v.17 no.2
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    • pp.61-75
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    • 2011
  • A Geographic Information System(GIS) is a system that captures, stores, analyzes, manages and presents data with reference to geographic location data. In the later 1990s and earlier 2000s it was limitedly used in government sectors such as public utility management, urban planning, landscape architecture, and environmental contamination control. However, a growing number of open-source packages running on a range of operating systems enabled many private enterprises to explore the concept of viewing GIS-based sales and customer data over their own computer monitors. K telecommunication company has dominated the Korean telecommunication market by providing diverse services, such as high-speed internet, PSTN(Public Switched Telephone Network), VOLP (Voice Over Internet Protocol), and IPTV(Internet Protocol Television). Even though the telecommunication market in Korea is huge, the competition between major services providers is growing more fierce than ever before. Service providers struggled to acquire as many new customers as possible, attempted to cross sell more products to their regular customers, and made more efforts on retaining the best customers by offering unprecedented benefits. Most service providers including K telecommunication company tried to adopt the concept of customer relationship management(CRM), and analyze customer's demographic and transactional data statistically in order to understand their customer's behavior. However, managing customer information has still remained at the basic level, and the quality and the quantity of customer data were not enough not only to understand the customers but also to design a strategy for marketing and sales. For example, the currently used 3,074 legal regional divisions, which are originally defined by the government, were too broad to calculate sub-regional customer's service subscription and cancellation ratio. Additional external data such as house size, house price, and household demographics are also needed to measure sales potential. Furthermore, making tables and reports were time consuming and they were insufficient to make a clear judgment about the market situation. In 2009, this company needed a dramatic shift in the way marketing and sales activities, and finally developed a dedicated GIS_based market analysis and sales management system. This system made huge improvement in the efficiency with which the company was able to manage and organize all customer and sales related information, and access to those information easily and visually. After the GIS information system was developed, and applied to marketing and sales activities at the corporate level, the company was reported to increase sales and market share substantially. This was due to the fact that by analyzing past market and sales initiatives, creating sales potential, and targeting key markets, the system could make suggestions and enable the company to focus its resources on the demographics most likely to respond to the promotion. This paper reviews subjective and unclear marketing and sales activities that K telecommunication company operated, and introduces the whole process of developing the GIS information system. The process consists of the following 5 modules : (1) Customer profile cleansing and standardization, (2) Internal/External DB enrichment, (3) Segmentation of 3,074 legal regions into 46,590 sub_regions called blocks, (4) GIS data mart design, and (5) GIS system construction. The objective of this case study is to emphasize the need of GIS system and how it works in the private enterprises by reviewing the development process of the K company's market analysis and sales management system. We hope that this paper suggest valuable guideline to companies that consider introducing or constructing a GIS information system.

The Performance Formation Model of Service Quality Factors for Courier Service (택배산업의 서비스품질 성과형성 모델)

  • Song, Jang-Gwen;Kim, Tae-Ryong
    • Journal of Distribution Science
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    • v.10 no.4
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    • pp.37-45
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    • 2012
  • The popularity of courier services in Korea has made it an essential part of the country's domestic logistics industry, bolstering the growth not only of the national economy, but also the quality of people's daily lives. An effective strategy for courier companies in Korea would be to provide high-quality services to their existing target markets with the goal of maximizing customer loyalty. This study investigates structural relationships between customer loyalty and service quality as a set of factors and between customer trust and customer satisfaction. These antecedent relationships will be used to understand the "performance formation model" through service quality. In this study, service quality, as a set of factors, is considered to be the independent variable, while customer satisfaction and customer trust are both treated as intervening variables. Finally, customer loyalty is the dependent variable. Following a review of the literature, this paper's proffered hypothesis will be investigated in terms of whether the independent and intervening variables significantly affect customer loyalty. A statistical analysis of the empirical research was carried out using both SPSS 18.0 and AMOS 18.0 The results of this study's empirical analysis show three conclusions. First, among the intervening variables (customer satisfaction and customer trust), customer satisfaction is significantly correlated with customer loyalty. Customer trust, however, was shown to have little or no relationship to customer loyalty. Second, the quality of service variable seems to influence customer satisfaction, customer trust, and customer loyalty. Third, with respect to the relationship of intervening variables, customer trust affects customer satisfaction. Thus, the companies that have a competitive advantage in Korea have successfully maximized customer loyalty for their existing customers. Courier companies will need to research and study customer needs. Therefore, this research suggests that effective courier service management can be better understood through the application of the service quality performance formation model, which can enhance the quality of service provided by domestic courier services. This research is limited to investigating qualitative variables, such as the service quality factors, customer satisfaction, and customer trust. It would be helpful for future research on courier services to consider quantitative variables, such as price and weight.

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Effects of Private Insurance on Medical Expenditure (민간의료보험 가입이 의료이용에 미치는 영향)

  • Yun, Hee Suk
    • KDI Journal of Economic Policy
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    • v.30 no.2
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    • pp.99-128
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    • 2008
  • Nearly all Koreans are insured through National Health Insurance(NHI). While NHI coverage is nearly universal, it is not complete. Coverage is largely limited to minimal level of hospital and physician expenses, and copayments are required in each case. As a result, Korea's public insurance system covers roughly 50% of overall individual health expenditures, and the remaining 50% consists of copayments for basic services, spending on services that are either not covered or poorly covered by the public system. In response to these gaps in the public system, 64% of the Korean population has supplemental private health insurance. Expansion of private health insurance raises negative externality issue. Like public financing schemes in other countries, the Korean system imposes cost-sharing on patients as a strategy for controlling utilization. Because most insurance policies reimburse patients for their out-of-pocket payments, supplemental insurance is likely to negate the impact of the policy, raising both total and public sector health spending. So far, most empirical analysis of supplemental health insurance to date has focused on the US Medigap programme. It is found that those with supplements apparently consume more health care. Two reasons for higher health care consumption by those with supplements suggest themselves. One is the moral hazard effect: by eliminating copayments and deductibles, supplements reduce the marginal price of care and induce additional consumption. The other explanation is that supplements are purchased by those who anticipate high health expenditures - adverse effect. The main issue addressed has been the separation of the moral hazard effect from the adverse selection one. The general conclusion is that the evidence on adverse selection based on observable variables is mixed. This article investigates the extent to which private supplementary insurance affect use of health care services by public health insurance enrollees, using Korean administrative data and private supplements related data collected through all relevant private insurance companies. I applied a multivariate two-part model to analyze the effects of various types of supplements on the likelihood and level of public health insurance spending and estimated marginal effects of supplements. Separate models were estimated for inpatients and outpatients in public insurance spending. The first part of the model estimated the likelihood of positive spending using probit regression, and the second part estimated the log of spending for those with positive spending. Use of a detailed information of individuals' public health insurance from administration data and of private insurance status from insurance companies made it possible to control for health status, the types of supplemental insurance owned by theses individuals, and other factors that explain spending variations across supplemental insurance categories in isolating the effects of supplemental insurance. Data from 2004 to 2006 were used, and this study found that private insurance increased the probability of a physician visit by less than 1 percent and a hospital admission by about 1 percent. However, supplemental insurance was not found to be associated with a bigger health care service utilization. Two-part models of health care utilization and expenditures showed that those without supplemental insurance had higher inpatient and outpatient expenditures than those with supplements, even after controlling for observable differences.

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A comparative study between Korea and the USA on the development process in retail trade & its changing locations (소매업의 발달과정과 입지 변화에 관한 한.미 비교 연구)

  • Jeon, Kyung-Sook
    • Journal of the Korean association of regional geographers
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    • v.6 no.2
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    • pp.21-40
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    • 2000
  • The retail trades in many countries have changed recently according to the high quality, diversification, and marked individuality of consumer needs. Under the continually competing system of the WTO agreement, corporations based in the USA and the EU try to raise their market share in other countries so it is inevitable for Korean retail enterprises to compete with them. This paper is aimed at contributing to the efficient growth for Korean retail trade from the analysis of the development process in retail trade and its changing locations comparing Korea and the USA. Retailers in the USA have practiced diversified marketing strategies considerably in order to survive in a rapidly changing retailing environment. American retailing, which has the most advanced marketing system in the world, has been of growing concern to marketing strategies in Korea. The following is a brief summary of this study. 1. Speedy and higher quality consumption is needed in accordance with the great increase in the single-family household and the female labor force participation both in Korea and in the USA. Senior citizens have become a new consumer group due to the aging population. In the future the retail trade will switch over to diversified retail formats and internet shopping as countries are transformed into information and communication societies. 2. In Korea, the former retail system characterized by markets and department stores has been greatly changed since the late 1980s with emphasis on high quality and convenience in consumption behaviors, with large domestic enterprises and foreign distribution corporations participating in Korean retailing. In the USA, retailing mergers and takeovers by major retails, bankruptcies, and extra-large shopping centers have emerged since the late 1980s. Recently, the USA retailing formats have been changed from the lower price-oriented discount types to the large scale theme parks. Much emphasis was put on entertainment, resorts, and convention centers. On the other hand, non-store types, such as the internet shopping, the CATV shopping, as well as catalog and mail-order sales are drastically increasing, although the proportion of their sales is low up to now. 3. In Korea, most of the retail facilities are concentrated in Seoul and the Metropolitan Region, and the distribution ratio of facilities came to 52% in 1997. The periodic markets, traditional markets which open on a periodic basis, are located mainly in Chollanam-do and Kyungsangbuk-do. The large-sized discount stores have expanded their locations to the over-crowded apartment complexes in new towns, located in the Metropolitan Region, and the large provincial cities, unlike the suburban locations in the USA. Therefore we needed to give attention to the locational relations in retail facilities between Seoul & the Metropolitan Region and rural settlement areas. In the USA, urban areas grew quickly with the development of the automobile in the 1920s, and the location of stores changed from a dispersed style centering around rural areas to a centralized one in urban areas. There is an accelerated growth for suburban areas, which have grown rapidly since 1950. As the membership warehouse clubs were introduced in the 1970s, the decentralization of location was more intensified. On the other hand, inner cities were revitalized by rearranging existing facilities to cope with suburban areas. And the location-free virtual retailing & TV shopping are also growing every year. 4. In view of the above, the continuous and desirable development devices in Korean retail trade are summarized as follows: First, the countermeasures against economies of scale, increase in retailing sales, and rise of a employment percentage in retailing are in need. Second, a scheme of lowering the proportion of food retail sales, and increasing a ratio of durable goods sales need to be worked out. Third, the original ideas are needed to apply positively information, communication and technology to retailing, to graft the traditional types on modem ones based on the social culture. Fourth, strategies are needed to strengthen the competitiveness of our retail trade through cooperation and chains of smaller retailers, the large enterprises participating in the distribution industry. Fifth, in order to realize the above, the retail industry, the administration, and the academic world should support the retail segment with concern and a practical strategy plan.

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Shipping Industry Support Plan based on Research of Factors Affecting on the Freight Rate of Bulk Carriers by Sizes (부정기선 운임변동성 영향 요인 분석에 따른 우리나라 해운정책 지원 방안)

  • Cheon, Min-Soo;Mun, Ae-ri;Kim, Seog-Soo
    • Journal of Korea Port Economic Association
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    • v.36 no.4
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    • pp.17-30
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    • 2020
  • In the shipping industry, it is essential to engage in the preemptive prediction of freight rate volatility through market monitoring. Considering that freight rates have already started to fall, the loss of shipping companies will soon be uncontrollable. Therefore, in this study, factors affecting the freight rates of bulk carriers, which have relatively large freight rate volatility as compared to container freight rates, were quantified and analyzed. In doing so, we intended to contribute to future shipping market monitoring. We performed an analysis using a vector error correction model and estimated the influence of six independent variables on the charter rates of bulk carriers by Handy Size, Supramax, Panamax, and Cape Size. The six independent variables included the bulk carrier fleet volume, iron ore traffic volume, ribo interest rate, bunker oil price, and Euro-Dollar exchange rate. The dependent variables were handy size (32,000 DWT) spot charter rates, Supramax 6 T/C average charter rates, Pana Max (75,000 DWT) spot charter, and Cape Size (170,000 DWT) spot charter. The study examined charter rates by size of bulk carriers, which was different from studies on existing specific types of ships or fares in oil tankers and chemical carriers other than bulk carriers. Findings revealed that influencing factors differed for each ship size. The Libo interest rate had a significant effect on all four ship types, and the iron ore traffic volume had a significant effect on three ship types. The Ribo rate showed a negative (-) relationship with Handy Size, Supramax, Panamax, and Cape Size. Iron ore traffic influenced three types of linearity, except for Panamax. The size of shipping companies differed depending on their characteristics. These findings are expected to contribute to the establishment of a management strategy for shipping companies by analyzing the factors influencing changes in the freight rates of charterers, which have a profound effect on the management performance of shipping companies.

The Effects of Characteristics of Mobile Coupon Service on Consumers' Intention of Using Mobile Coupons (모바일 쿠폰서비스의 특성이 소비자의 쿠폰이용의도에 미치는 영향과 자기해석의 조절효과에 관한 연구)

  • Jeong, Seong Min;Kim, Sang Hee;Cho, Seong Do
    • Asia Marketing Journal
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    • v.13 no.3
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    • pp.103-134
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    • 2011
  • The recent economic recession and price rise reduces excessive consumption as a whole. So companies take more interest in and use discount coupons as a means of sales promotion to reinforce their competitiveness. The combination of Internet and mobile communication technology leads to an explosive increase in the use of mobile Internet service, which promotes commercialization of mobile coupons. Nevertheless, there are absolutely insufficient researches on mobile coupons than those on paper ones. In this context, this study tries to consider intention of accepting and using mobile coupons. The innovated Technology Acceptance Model (TAM) was used to see factors of using mobile coupons considered important by customers. Through the combination of characteristics of mobile coupon service and values obtained from mobile coupons, effects of variables to enhance intention of using mobile coupons were empirically analyzed. In particular, this study suggested importance of psychological as well as economic values of mobile coupons and emphasized good considerations of the psychological aspect, such as shame, stinginess, and reputation sensitivity, in using mobile coupons as an important factor for intention of using the coupons. Another empirical analysis was made of what moderating roles consumers' self-construalplayed in the effects of mobile coupon values perceived by consumers on intention of using coupons. As a result, immediate connectivity and situational provision among characteristics of mobile coupon service were found to affect ease and usability. It was also shown that perceived ease and usability had significant effects on both economic and psychological values, which then had significant effects on intention of using a mobile system. After testing moderating effects of self-construal, the degree of effects of perceived mobile coupon values on intention of using mobile coupons was greater among inter-dependent self-construal users than among independent ones. This study considered various schemes of improving intention to use mobile coupons and provided a foundation to help companies make a strategy for mobile coupons to be activated in the future.

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A Study on the Meaning and Strategy of Keyword Advertising Marketing

  • Park, Nam Goo
    • Journal of Distribution Science
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    • v.8 no.3
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    • pp.49-56
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    • 2010
  • At the initial stage of Internet advertising, banner advertising came into fashion. As the Internet developed into a central part of daily lives and the competition in the on-line advertising market was getting fierce, there was not enough space for banner advertising, which rushed to portal sites only. All these factors was responsible for an upsurge in advertising prices. Consequently, the high-cost and low-efficiency problems with banner advertising were raised, which led to an emergence of keyword advertising as a new type of Internet advertising to replace its predecessor. In the beginning of 2000s, when Internet advertising came to be activated, display advertisement including banner advertising dominated the Net. However, display advertising showed signs of gradual decline, and registered minus growth in the year 2009, whereas keyword advertising showed rapid growth and started to outdo display advertising as of the year 2005. Keyword advertising refers to the advertising technique that exposes relevant advertisements on the top of research sites when one searches for a keyword. Instead of exposing advertisements to unspecified individuals like banner advertising, keyword advertising, or targeted advertising technique, shows advertisements only when customers search for a desired keyword so that only highly prospective customers are given a chance to see them. In this context, it is also referred to as search advertising. It is regarded as more aggressive advertising with a high hit rate than previous advertising in that, instead of the seller discovering customers and running an advertisement for them like TV, radios or banner advertising, it exposes advertisements to visiting customers. Keyword advertising makes it possible for a company to seek publicity on line simply by making use of a single word and to achieve a maximum of efficiency at a minimum cost. The strong point of keyword advertising is that customers are allowed to directly contact the products in question through its more efficient advertising when compared to the advertisements of mass media such as TV and radio, etc. The weak point of keyword advertising is that a company should have its advertisement registered on each and every portal site and finds it hard to exercise substantial supervision over its advertisement, there being a possibility of its advertising expenses exceeding its profits. Keyword advertising severs as the most appropriate methods of advertising for the sales and publicity of small and medium enterprises which are in need of a maximum of advertising effect at a low advertising cost. At present, keyword advertising is divided into CPC advertising and CPM advertising. The former is known as the most efficient technique, which is also referred to as advertising based on the meter rate system; A company is supposed to pay for the number of clicks on a searched keyword which users have searched. This is representatively adopted by Overture, Google's Adwords, Naver's Clickchoice, and Daum's Clicks, etc. CPM advertising is dependent upon the flat rate payment system, making a company pay for its advertisement on the basis of the number of exposure, not on the basis of the number of clicks. This method fixes a price for advertisement on the basis of 1,000-time exposure, and is mainly adopted by Naver's Timechoice, Daum's Speciallink, and Nate's Speedup, etc, At present, the CPC method is most frequently adopted. The weak point of the CPC method is that advertising cost can rise through constant clicks from the same IP. If a company makes good use of strategies for maximizing the strong points of keyword advertising and complementing its weak points, it is highly likely to turn its visitors into prospective customers. Accordingly, an advertiser should make an analysis of customers' behavior and approach them in a variety of ways, trying hard to find out what they want. With this in mind, her or she has to put multiple keywords into use when running for ads. When he or she first runs an ad, he or she should first give priority to which keyword to select. The advertiser should consider how many individuals using a search engine will click the keyword in question and how much money he or she has to pay for the advertisement. As the popular keywords that the users of search engines are frequently using are expensive in terms of a unit cost per click, the advertisers without much money for advertising at the initial phrase should pay attention to detailed keywords suitable to their budget. Detailed keywords are also referred to as peripheral keywords or extension keywords, which can be called a combination of major keywords. Most keywords are in the form of texts. The biggest strong point of text-based advertising is that it looks like search results, causing little antipathy to it. But it fails to attract much attention because of the fact that most keyword advertising is in the form of texts. Image-embedded advertising is easy to notice due to images, but it is exposed on the lower part of a web page and regarded as an advertisement, which leads to a low click through rate. However, its strong point is that its prices are lower than those of text-based advertising. If a company owns a logo or a product that is easy enough for people to recognize, the company is well advised to make good use of image-embedded advertising so as to attract Internet users' attention. Advertisers should make an analysis of their logos and examine customers' responses based on the events of sites in question and the composition of products as a vehicle for monitoring their behavior in detail. Besides, keyword advertising allows them to analyze the advertising effects of exposed keywords through the analysis of logos. The logo analysis refers to a close analysis of the current situation of a site by making an analysis of information about visitors on the basis of the analysis of the number of visitors and page view, and that of cookie values. It is in the log files generated through each Web server that a user's IP, used pages, the time when he or she uses it, and cookie values are stored. The log files contain a huge amount of data. As it is almost impossible to make a direct analysis of these log files, one is supposed to make an analysis of them by using solutions for a log analysis. The generic information that can be extracted from tools for each logo analysis includes the number of viewing the total pages, the number of average page view per day, the number of basic page view, the number of page view per visit, the total number of hits, the number of average hits per day, the number of hits per visit, the number of visits, the number of average visits per day, the net number of visitors, average visitors per day, one-time visitors, visitors who have come more than twice, and average using hours, etc. These sites are deemed to be useful for utilizing data for the analysis of the situation and current status of rival companies as well as benchmarking. As keyword advertising exposes advertisements exclusively on search-result pages, competition among advertisers attempting to preoccupy popular keywords is very fierce. Some portal sites keep on giving priority to the existing advertisers, whereas others provide chances to purchase keywords in question to all the advertisers after the advertising contract is over. If an advertiser tries to rely on keywords sensitive to seasons and timeliness in case of sites providing priority to the established advertisers, he or she may as well make a purchase of a vacant place for advertising lest he or she should miss appropriate timing for advertising. However, Naver doesn't provide priority to the existing advertisers as far as all the keyword advertisements are concerned. In this case, one can preoccupy keywords if he or she enters into a contract after confirming the contract period for advertising. This study is designed to take a look at marketing for keyword advertising and to present effective strategies for keyword advertising marketing. At present, the Korean CPC advertising market is virtually monopolized by Overture. Its strong points are that Overture is based on the CPC charging model and that advertisements are registered on the top of the most representative portal sites in Korea. These advantages serve as the most appropriate medium for small and medium enterprises to use. However, the CPC method of Overture has its weak points, too. That is, the CPC method is not the only perfect advertising model among the search advertisements in the on-line market. So it is absolutely necessary that small and medium enterprises including independent shopping malls should complement the weaknesses of the CPC method and make good use of strategies for maximizing its strengths so as to increase their sales and to create a point of contact with customers.

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The Effect of the Gap between College Students' Perception of the Importance of Coffee Shops and Their Satisfaction after Patronizing Coffee Shops on Their Purchasing Behavior (대전원교학생대가배점중요성적감지화타문광고가배점지후적만의도지간적차거대타문구매행위적영향(大专院校学生对咖啡店重要性的感知和他们光顾咖啡店之后的满意度之间的差距对他们购买行为的影响))

  • Lee, Won-Ok
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.4
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    • pp.1-10
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    • 2009
  • The purpose of this study was to categorize the gap between coffee shop 'importance' (as perceived by customers before patronizing the coffee shop) and 'satisfaction' (perception of customers after patronizing the coffee shop) as positive or negative and to analyze the effect of these gaps on purchasing behavior. To do this, I used the gap between importance and satisfaction regarding the choice of a coffee shop as the explanatory variable and performed an empirical analysis of the direction and size of the effect of the gap on purchasing behavior (overall satisfaction, willingness-to-revisit) by applying the Ordered Probit Model (OPM). A previous study that used IPA to evaluate the effects of gaps estimated the direction and size of a quadrant but failed to analyze the effect of gaps on customers. In this study, I evaluated the effects of positive and negative gaps on customer satisfaction and willingness-to-revisit. Using OPM, I quantified the effect of positive and negative gaps on overall customer satisfaction and willingness-to-revisit. Per-head expenditure, frequency of visits, and coffee-purchasing place had the most positive effects on overall customer satisfaction. Frequency of visits, followed by per-head expenditure and then coffee-purchasing place, had the most positive impact on willingness-to-visit. Thus per-head expenditure and frequency of visits had the greatest positive effects on overall satisfaction and willingness-to-revisit. This finding implies that the higher the actual satisfaction (gap) of customers who spend KRW5,000 or more once or more per week at coffee shops is, the higher their overall satisfaction and willingness-to-revisit are. Despite the fact that economical efficiency had a significant effect on overall satisfaction and willingness-to-revisit, college and university students still use coffee shops and are willing to spend KRW5,000 because they do not only purchase coffee as a product itself, but use the coffee shop for other activities, such as working, meeting friends, or relaxing. College and university students also access the Internet in coffee shops via personal laptops, watch movies, and study; thus, coffee shops should provide their customers with the appropriate facilities and services. The fact that a positive gap for coffee shop brand had a positive effect on willingness-to-revisit implies that the higher the level of customer satisfaction, the greater the willingness-to-revisit. A negative gap for this factor, on the other hand, implies that the lower the level of customer satisfaction, the lower the willingness-to-revisit. Thus, the brand factor has a comparatively greater effect on satisfaction than the other factors evaluated in this study. Given that the domestic coffee culture is becoming more upscale and college/university students are sensitive to this trend, students are attentive to brands. In most upscale coffee shops in Korea, the outer wall is built out of glass that can be opened, the interiors are exotic with an open kitchen. These upscale coffee shops function as landmarks and match the taste of college/university students. Coffee shops in Korea have become a cultural brand. To make customers feel that coffee shops are upscale, good quality establishments and measures to provide better services in terms of brand factor should be instituted. The intensified competition among coffee shop brands in Korea as a result of the booming industry indicates that provision of additional services is needed to differentiate competitors. These customers can also use a scanner free of charge. Another strategy that can be used to boost brands could be to provide and operate a seminar room for seminars and group study. If coffee shops adopt these types of strategies, college/university students would be more likely to consider the expenses they incur worthwhile and, subsequently, they would be more likely to be satisfied with the brands of these coffee shops, with an associated increase in their willingness-to-revisit. Gender and study year had the most negative effects on overall satisfaction and willingness-to-revisit. Female students were more likely to be satisfied and be willing to return than male students, and third and fourth-year students were more likely to be satisfied and willing-to-return than first or second-year students. Students who drink coffee, read books, and use laptops alone at coffee shops are easily noticeable. High-grade students tend to visit coffee shops alone in order to use their time efficiently for self-development and to find jobs. The economical efficiency factor had the greatest effect on overall satisfaction and willingness-to-revisit in terms of a positive gap. The higher the actual satisfaction (gap) of students with the price of the coffee, the greater their overall satisfaction and willingness-to-revisit. Economical efficiency with a negative gap had a negative effect on willingness-to-revisit, which implies that a less negative gap will result in a greater willingness-to-revisit. Amid worsening market conditions, coffee shops located around colleges/universities are using strategies, such as a point or membership card, strategic alliances with credit-card companies, development of a set menu or seasonal menu, and free coffee-shot services to increase their competitive edge. Product power also had a negative effect in terms of a negative gap, which indicates that a higher negative gap will result in a lower willingness-to-revisit. Because there are many more customers that enjoy coffee in this decade, as compared to previous decades, the new generation of customers, namely college/university students, want various menu items in addition to coffee, and coffee shops should, therefore, add side menu items, such as waffles, rice cakes, cakes, sandwiches, and salads. For example, Starbucks Korea is making efforts to enhance product power by selling rice cakes flavored in strawberry, wormwood, and pumpkin, and providing coffee or cream free of charge. In summary, coffee shops should focus on increasing their economical efficiency, brand, and product power to enhance the satisfaction of college/university students. Because shops adjacent to colleges or universities enjoy a locational advantage, providing differentiated services in terms of economical efficiency, brand, and product power, is likely to increase customer satisfaction and return visits. Coffee shop brands should, therefore, be innovative and embrace change to meet their customers' desires. Because this study only targeted college/university students in Seoul, comparative studies targeting diverse regions and age groups are required to generalize the findings and recommendations of this study.

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The Effect of Attributes of Innovation and Perceived Risk on Product Attitudes and Intention to Adopt Smart Wear (스마트 의류의 혁신속성과 지각된 위험이 제품 태도 및 수용의도에 미치는 영향)

  • Ko, Eun-Ju;Sung, Hee-Won;Yoon, Hye-Rim
    • Journal of Global Scholars of Marketing Science
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    • v.18 no.2
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    • pp.89-111
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    • 2008
  • Due to the development of digital technology, studies regarding smart wear integrating daily life have rapidly increased. However, consumer research about perception and attitude toward smart clothing hardly could find. The purpose of this study was to identify innovative characteristics and perceived risk of smart clothing and to analyze the influences of theses factors on product attitudes and intention to adopt. Specifically, five hypotheses were established. H1: Perceived attributes of smart clothing except for complexity would have positive relations to product attitude or purchase intention, while complexity would be opposite. H2: Product attitude would have positive relation to purchase intention. H3: Product attitude would have a mediating effect between perceived attributes and purchase intention. H4: Perceived risks of smart clothing would have negative relations to perceived attributes except for complexity, and positive relations to complexity. H5: Product attitude would have a mediating effect between perceived risks and purchase intention. A self-administered questionnaire was developed based on previous studies. After pretest, the data were collected during September, 2006, from university students in Korea who were relatively sensitive to innovative products. A total of 300 final useful questionnaire were analyzed by SPSS 13.0 program. About 60.3% were male with the mean age of 21.3 years old. About 59.3% reported that they were aware of smart clothing, but only 9 respondents purchased it. The mean of attitudes toward smart clothing and purchase intention was 2.96 (SD=.56) and 2.63 (SD=.65) respectively. Factor analysis using principal components with varimax rotation was conducted to identify perceived attribute and perceived risk dimensions. Perceived attributes of smart wear were categorized into relative advantage (including compatibility), observability (including triability), and complexity. Perceived risks were identified into physical/performance risk, social psychological risk, time loss risk, and economic risk. Regression analysis was conducted to test five hypotheses. Relative advantage and observability were significant predictors of product attitude (adj $R^2$=.223) and purchase intention (adj $R^2$=.221). Complexity showed negative influence on product attitude. Product attitude presented significant relation to purchase intention (adj $R^2$=.692) and partial mediating effect between perceived attributes and purchase intention (adj $R^2$=.698). Therefore hypothesis one to three were accepted. In order to test hypothesis four, four dimensions of perceived risk and demographic variables (age, gender, monthly household income, awareness of smart clothing, and purchase experience) were entered as independent variables in the regression models. Social psychological risk, economic risk, and gender (female) were significant to predict relative advantage (adj $R^2$=.276). When perceived observability was a dependent variable, social psychological risk, time loss risk, physical/performance risk, and age (younger) were significant in order (adj $R^2$=.144). However, physical/performance risk was positively related to observability. The more Koreans seemed to be observable of smart clothing, the more increased the probability of physical harm or performance problems received. Complexity was predicted by product awareness, social psychological risk, economic risk, and purchase experience in order (adj $R^2$=.114). Product awareness was negatively related to complexity, meaning high level of product awareness would reduce complexity of smart clothing. However, purchase experience presented positive relation with complexity. It appears that consumers can perceive high level of complexity when they are actually consuming smart clothing in real life. Risk variables were positively related with complexity. That is, in order to decrease complexity, it is also necessary to consider minimizing anxiety factors about social psychological wound or loss of money. Thus, hypothesis 4 was partially accepted. Finally, in testing hypothesis 5, social psychological risk and economic risk were significant predictors for product attitude (adj $R^2$=.122) and purchase intention (adj $R^2$=.099) respectively. When attitude variable was included with risk variables as independent variables in the regression model to predict purchase intention, only attitude variable was significant (adj $R^2$=.691). Thus attitude variable presented full mediating effect between perceived risks and purchase intention, and hypothesis 5 was accepted. Findings would provide guidelines for fashion and electronic businesses who aim to create and strengthen positive attitude toward smart clothing. Marketers need to consider not only functional feature of smart clothing, but also practical and aesthetic attributes, since appropriateness for social norm or self image would reduce uncertainty of psychological or social risk, which increase relative advantage of smart clothing. Actually social psychological risk was significantly associated to relative advantage. Economic risk is negatively associated with product attitudes as well as purchase intention, suggesting that smart-wear developers have to reflect on price ranges of potential adopters. It will be effective to utilize the findings associated with complexity when marketers in US plan communication strategy.

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