Prior to making choices among online products and services, consumers often search online product reviews written by other consumers. Online product reviews have great influences on consumer behavior because they are believed to be more reliable than information provided by sellers. However, ever-increasing lists of product reviews make it difficult for consumers to find the right information efficiently. A customized search mechanism is a method to provide personalized information which fits the user's requirements. This study examines effects of a customized search mechanism and perceived similarity between consumers and product reviewers on consumer behaviors. More specifically, we address the following research questions: (1) Can a customized search mechanism increase perceived similarity between product review authors and readers? (2) Are product reviews perceived as more credible when product reviews were written by the authors perceived similar to them? (3) Does credibility of product reviews have a positive impact on acceptance of product reviews? (4) Does acceptance of product reviews have an influence on purchase intention of the readers? To examine these research questions, a lab experiment with a between-subject factor (whether a customized search mechanism is provided or not) design was employed. In order to enhance mundane realism and increase generalizability of the findings, the experiment sites were built based on a real online store, cherrya.com (http://www.cherrya.com/). Sixty participants were drawn from a pool that consisted of undergraduate and graduate students in a large university. Participation was voluntary; all the participants received 5,000 won to encourage their motivation and involvement in the experiment tasks. In addition, 15 participants, who selected by a random draw, received 30,000 won to actually purchase the product that he or she decided to buy during the experiment. Of the 60 participants, 25 were male and 35 were female. In examining the homogeneity between the two groups, the results of t-tests revealed no significant difference in gender, age, academic years, online shopping experience, and Internet usage. To test our research model, we completed tests of the measurement models and the structural models using PLS Graph version 3.00. The analysis confirmed individual item reliability, internal consistency, and discriminant validity of measurements. The results show that participants feel more credible when product reviews were written by the authors perceived similar to them, credibility of product reviews have a positive impact on acceptance of product reviews, and acceptance of product reviews have an influence on purchase intention of the readers. However, a customized search mechanism did not increase perceived similarity between product review authors and readers. The results imply that there is an urgent need to develop a better customized search tool in order to increase perceived similarity between product review authors and readers.
International Journal of Reliability and Applications
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v.2
no.3
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pp.161-187
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2001
Starting with the meaning of the word quality, diverse concepts connoted by the term are examined. Instead of a bathtub curve, the desirable shape of a failure rate covering the entire life of a good product, which might be called hockey-stick line, is introduced. From the hockey-stick line and the definition of reliability, two measurements are extracted. The terms reliability, failure rate, product life, and durability are explained. From the customer's standpoint, the concept of product quality is classified in five factors, according to related technology: performance, reliability, conformance to specifications, customer perception, and fundamentals advantage. The correlation of the five factors for a first-class product is discussed, Since the market share of a company is determined as the competition result of its product value, defined as product quality and price, the market share increase is derived mathematically from the increment of product value. The market share increase, $\Delta$S, can be calculated from the present market share, S, and the oriented relative value increment of new product, R, to the current product in the same company for the same market target: $\Delta$S : $\Delta$(1-S). R/(1+S.R). Finally, the importance of separating warranty cost from the profit equation for the durables is explained.
Proceedings of the Korean Society of Precision Engineering Conference
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2005.06a
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pp.65-70
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2005
This paper introduces an approach to multi-layered product knowledge model for collaborative engineering environment. The participants in collaborative engineering want to share and reason product knowledge through internet without any heterogeneity and ambiguity. However the previous knowledge models are limited in providing those aspects. In this paper, the collaborative engineering domain is analyzed and then the product knowledge is organized into four levels such as product context model, product specific model, product design model and product manufacturing model. The four levels are represented by first-order logic in layered fashion. The concepts and the instances of a formal ontology are used for recursive representation of the four levels. The instances of the concepts of an upper level like product context model are considered as the concepts of an adjacent lower level like product specific model, and this mechanism is applied to the other levels. These logic representations are integrated with the schema and the instances of a relational database. OWL representation of the four levels is defined through the integration of the logic representation and OWL primitives. The four product knowledge models have their major representation according to the characteristics of each model. This approach enables engineer to share product knowledge through internet without any ambiguity and utilize it as basis for additional reasoning.
This study attempts to integrate causal model with competitiveness evaluation model, both of which have developed independently of each other, in connection with many studies on PMES (performance measurement and evaluation system) including the BSC (balanced scorecard) of Kaplan and Norton (1992, 1996). For this attempt, this study is composed of four analyses : First, this study develops a structural model for evaluating and diagnosing corporate ‘comprehensive’ competitiveness including quality competitiveness, derive CCI (comprehensive competitiveness index) and QCI (quality competitiveness index) ; Second, this study analyzes the determinants of quality competitiveness, the impacts of quality competitiveness, on product design and product reliability, and the impacts of product design and product reliability on quality competitiveness in the comprehensive competitiveness evaluation model of this study. Third, this study empirically identifies the positioning of product design in the quality competitiveness evaluation model of this study and the functional relationship between product design and other functions : product development, manufacturing, marketing, and marketing, and sales in the same comprehensive competitiveness evaluation model, estimate the determinants of product design and its impacts, thereby providing some empirical findings for the foundation of design management theory, and Fourth, this study identifies the positioning of product reliability in the same quality competitiveness evaluation model, estimate the reliability function and the functional relationship between product reliability and other dimensions of product quality, and tests the hypotheses on the causality of product reliability.
Journal of Korea Society of Digital Industry and Information Management
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v.12
no.1
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pp.131-141
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2016
This study explores the conditions under which consumers adopt wearable devices. The study focuses on the attractiveness of the product that consumers can perceive. This study was implemented to find out what factors influenced the consumers to perceive the attractiveness and value of the product. The factors include the benefits and costs of the product. The consumers' wants for the product was included under personal factor. The synergy effect of related product was classified circumstantial factor. The outcomes derived from the postulating and verifying hypothesis are as follows. First, the attractiveness of the product that the consumers perceive has a positive effect on perceiving the attractiveness of the product. Second, the benefits of the product that the consumers feel have a positive effect on the value of the product in a meaningful way. Third, the consumers' perception of the wants for the product have a significant effect on perceiving the value and attractiveness of the product. Fourth, the consumers' perception of the synergy effect between the wearable device and the smartphone did not affect the value of the product in a significant way, but did have a significant effect on the attractiveness of the products.
The environment-friendly agricultural product market receives consumers' great interests despite relatively few studies focused on consumers' decision making process of the environment-friendly agricultural products. This paper examines what factors influence on consumers' attitude and buying behavior on the environment-friendly agricultural product. In order to find the relative importance of each factor's influence, this study adopts multiple regression method based on the survey results of 500 people with the systematic random sampling. The results showed that consumers' favorable attitude towards the environment-friendly agricultural product were influenced by taste, freshness, food safety, and positive attitudes toward the environment-friendly agricultural product promotion. In addition, consumers' purchase intention was influenced by taste, food safety, environmental concern, and the promotion. Respondents recommend the environment-friendly agricultural product when they believe that the environment-friendly agricultural product had the values of taste, environmental concern, and promotion. Women are more active in buying and recommending the environment-friendly agricultural product; however, the price was not the statistically meaning factor. This study provides empirical data that was used for marketing and increasing the sales of the environment-friendly agricultural product. Future research was advised to examine more thoroughly on the relationships between the promotion efforts and purchase intention and the occasions when the price becomes the issue in the buying decision of the environment-friendly agricultural product.
Journal of the Society of Naval Architects of Korea
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v.30
no.2
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pp.1-12
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1993
The role of product model in CIM environemt(where such heterogenous application programs as CAD, CAE, CAM, Database, and Expert Systems are included) is system integration. Product model manages all the information related to manufacuring activities. This information includes shapes, operation, process, scheduling, quality, and mangement. Product model architecture includes product model kernel, object schema, model manipulation language, and user interface. Objects to be shared are defined using the model manipulation luage and the defintions are saved in the object schema. In this paper, we present the design and implementation of a prototype. In this prototype, application programs for CAPP(Computer Aided Process Planning) are used.
Journal of the Korean Society of Clothing and Textiles
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v.26
no.8
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pp.1196-1204
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2002
This research was to see if the fashion product ads are standardized or differentiated, and to find what were the determinants if any differentiation existed. The purpose of this study was to identify cultural characteristics significant on marketing fashion produce. In addition, the relative importance of product appeals between rational and emotional in the fashion ads was examined. Hofstede's(l991) three cultural characteristics dimensions such as individualism-collectivism, power distance, masculinity-femininity were used. Content analysis was applied in the study. Magazine ads of apparel, cosmetics and accessories were collected from France, Japan, Korea and the US in 1999-2000. Cultural characteristics of the fashion ads were evaluated and compared in terms of country, product type and product involvement. Also ten consumption appeals were examined for county and product type. ANOVA, Duncan test and $X^2$ test were applied to analyze data. The results were shown as follows: First, all the cultural characteristics such as individualism-collectivism, power distance, and femininity-masculinity were different among countries. Second, two product appeals were significantly different among countries. Hedonic appeals were dominant fur France and the US while those were not for Korea and Japan. Third, product involvement level had significant impact on power distance characteristic and product appeals. Ads of high involvement fashion goods showed larger power distance and more emotional appeals. In conclusion, global fashion ads should be differentiated in terms of some cultural characteristics and product appeals.
As product development process becomes complex, it becomes more important for engineering students to experience collaborative product development. Especially the collaboration experience based on Product Data Management (PDM) systems is useful, since participants are likely to use the same environment for their professional product development. However, instructors have difficulties to evaluate contribution of each participant to their projects during the practices, since it is hard to trace personal activities for collaborative design processes. To solve this problem, this study suggests a data-driven objective method that analyses product data accumulated in PDM databases to evaluate numerically calculated contributions of participants to their class projects. As a result, the quantitative measures provided by the data-driven analysis with qualitative measures for project results can improve the fairness and quality of evaluation of contributions of participants to collaborative projects. This study implemented the proposed evaluation method with an information system and discussed the result of the application of the system to product development practices.
Purpose: This study is a quantitative study and analyzes the effect of evaluating the extreme and usefulness of product reviews on sales performance by using text mining techniques based on product review big data. We investigate whether the perceived helpfulness of product reviews serves as a mediating factor in the impact of product review extremity on sales performance. Research design, data and methodology: The analysis emphasizes customer interaction factors associated with both product review helpfulness and sales performance. Out of the 8.26 million Amazon product reviews in the book category collected by He & McAuley (2016), text mining using natural language processing methodology was performed on 300,000 product reviews, and the hypothesis was verified through hierarchical regression analysis. Results: The extremity of product reviews exhibited a negative impact on the evaluation of helpfulness. And the helpfulness played a mediating role between the extremity of product reviews and sales performance. Conclusion: Increased inclusion of extreme content in the product review's text correlates with a diminished evaluation of helpfulness. The evaluation of helpfulness exerts a negative mediating effect on sales performance. This study offers empirical insights for digital market distributors and sellers, contributing to the research field related to product reviews based on review ratings.
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