• Title/Summary/Keyword: Revenue Generation

Search Result 91, Processing Time 0.02 seconds

The Antecedents of Need for Self-Presentation and the Effect on Digital Item Purchase Intention in an Online Community (온라인 커뮤니티에서 자기표현욕구의 영향요인과 디지털 아이템 구매의도에 미치는 효과)

  • Koh, Joon;Shin, Seon-Jin;Kim, Hee-Woong
    • Asia pacific journal of information systems
    • /
    • v.18 no.1
    • /
    • pp.117-144
    • /
    • 2008
  • Lots of virtual communities and online businesses presently derive their primary sources of revenues through advertising, but nevertheless are plagued with marginal profitability though they might possess a significant user base. In the light of the need for an efficacious business model, there have been recent insights of an online community in particular reaping profits through an innovative and lucrative revenue generation method that earns by selling digital items. There have been some obvious evidences (e.g., Cyworld, SecondLife, Habo Hotel, etc.) that online communities can be profitable through their unique business model of selling digital items. However, there is lack of understanding about the motivation of purchasing digital items. This study tries to identify the main motivators of digital item purchases based on social/individual identity theory and self-presentation theory. "Digital items", otherwise known as "virtual assets", may include online avatars, accessories for the avatars, decorative ornaments like furniture, digital wallpapers, skins, background music and virtual weapons used for Internet games. These digital items are employed by users for representation and articulation in the online space, especially to create and enhance their online profiles in web pages and games. Prices for digital items typically range from a few cents to a few dollars each. Based on the theoretical framework like social identity theory and self-presentation theory, we developed the research model and proposed seven hypotheses. An analysis of 225 members of Cyworld found that digital item purchase intention in virtual world is affected by both members' need for self-presentation and need for affiliation. We also found that the need for self-presentation is significantly increased by innovativeness of members, community group norm, and community involvement. We concluded that the need for self-presentation could be a key variable for profitable business model in online community service industry. However, neither individual self-efficacy nor the need for affiliation significantly influenced the need for self-presentation which triggers purchase intention of digital items. In term of the theoretical and practical contribution, this study can be a pioneering empirical research that investigates the purchase intention of digital items based on social identity theory and self-presentation theory in the online context. Also, the findings of our study are valuable and practical for practitioners in the market who wish to adopt or improve the business model of selling digital items in an online community. From the findings, it can be seen that innovativeness of users, community group norm, and community involvement are three significant factors that influence need for self-presentation of users which ultimately leads to their intentions to buy digital items. These findings put forth that virtual community providers and online businesses selling digital items should prioritize their efforts and focus on these three factors if they want to increase the sales of these digital items and generate greater revenues. This study provides important implications for academic researchers and practitioners to understand why the community members pay money for their digital items in virtual world and how the practitioners can increase the sales of digital items in an online community. A couple of limitations of the study and future research directions are also discussed.

A Study on the Economic Feasibility Analysis of Cosmetics Beauty Industrialization Center

  • Kim, Ji-In;Park, Jeong-Min
    • Journal of the Korea Society of Computer and Information
    • /
    • v.25 no.2
    • /
    • pp.221-229
    • /
    • 2020
  • As the cosmetics beauty industry grows into a key next-generation industry, the establishment of an industrialization center is needed, but failure to verify the adequacy and feasibility of the investment could lead to financial burdens. In this study, the project costs and facilities of an industrial center are reviewed to analyze its economic feasibility based on the cost estimates, revenue estimates, estimated profit or loss calculations, and estimated operating cash flows. The profit estimation criteria were analyzed by applying 90 per cent of expected orders for research projects (24 billion won) and 12 per cent of rental rates for testing equipment (4.5 billion won for construction), and the benefit/cost ratio is higher than 1.02 per cent and the net present value is higher than '0' won, and the internal rate of return is also more than 5.06 per cent for all three analytical methods. Therefore, in order for the construction of a cosmetics beauty industrialization center to be economically feasible, it is necessary to maintain research project orders of more than 90 percent and return on equipment rent of more than 12 percent, and a strategic approach is needed to diversify business profits.

The Implications of Increasing Safety and Environmental Standard for Ship Operators

  • Marsh, Captain A.G.
    • Journal of the Korean Society of Marine Environment & Safety
    • /
    • v.2 no.1
    • /
    • pp.137-150
    • /
    • 1996
  • Safety is built in to the activities of the prudent ship operator. Ant investment made towards this end is likely to have a measurable payback in positive terms. That there must be an investment is inevitable, because the industry at large has let things slip too far too long. Those who have not allowed it to slip too far and who are the first to recognize that safety, far from costing money, in the long term actually preserves it, will be wieners. Too many seem to have lost sight of the fact that every one hundred pennies saved is a full one hundred pennies profit. Every hundred pennies of additional revenue contributes no more then fifteen pence to profit. Environmental protection is not so simple, nor so financially attractive. Man needs the minerals of the Earth as well as the products of the soil and sea survive. We(the human race) are still not in the position, politically or financially to manage the Earth's assets without causing damage. The evidence of our damage is evident in many different parts of the Glove and will in some cases haunt several generations still to come. We have learned a lot, and continue to learn, but despite the best intentions some Government needs for their people will be at the expense of people in another region for the foreseeable future. We sailors ply the seas with the raw materials of commerce as well as the finished and part finished goods. It does not always sit well to consider too deeply what effect the ship and the cargo it carries is having, or may have, on some communities, or on the sea through which sail. None my generation can hold up his head and claim to be without blame in the pollution of the seas. Times are changing though, and Governments are turning their attention more to the protection of our planet and its precious resources. This will not be without cost. The investment will have to be made not for our benefit, but for the benefit of generations yet to come, however the cost will have to be borne by society as a whole, not by the shipping community alone. The debate surrounding the choice between engineering our way to a better tomorrow, or adapting our working practices will continue. Each method has the same goal as its target and as long as we attain the goal does it really matter how we get there?

  • PDF

Ad Planning Model by Comparison Challenge Approach in the e-Marketplace (e-Marketplace에서의 비교도전에 의한 광고계획 모델)

  • 이재규;이재원
    • Journal of Intelligence and Information Systems
    • /
    • v.9 no.3
    • /
    • pp.137-153
    • /
    • 2003
  • Comparison shopping is the most popular functionality in the e-Marketplace. Most of their revenue has been generated kent the Internet advertisement, but the ad earning was declined as the ad costing per action method widespread. Seller less familiar to the customer shrinks from chances for advertising and exposing their products. So, we need an efficient methodology subject to the seller's ad budget and other constraints, and it also has to increase comparison broker's earning in the e-Marketplace. Our research proposed and developed an ad planning methodology using comparison challenge approach which can be applied by 3$^{rd}$ party comparison brokers. Comparison challenge planning is organized with challenge policy of competitor level, product level and specification level. With that policies and basic challenge propositions, we measure the quantified value of functional distance between the specifications of my product and competitor's product. My product challenges the comparison using the comparative ad format to the similar but inferior competitor's product based on quantified valuation. Comparison challenge planning system has two phases of comparative value generation and optimization. We developed a prototype system and applied it to the desktop PC market of five major manufacturers. Our performance was emphasized by comparing to other comparative ad methods such as random display method and minimum distance method..

  • PDF

A Study on Awareness of the Revitalization of Tourism Promotionality through Focus Group Interview : Focus on the Gyeongsangbuk-do Area (관광 홍보관 활성화에 관한 인식 : 경상북도 지역 중심으로)

  • Nam, Tae-Suk;Hur, Jong-Guk
    • Journal of Korea Entertainment Industry Association
    • /
    • v.13 no.6
    • /
    • pp.1-14
    • /
    • 2019
  • This study explored ways to activate tourism promotion centers located in 23 regions of Gyeongsangbuk-do and carried out qualitative research through FGI(Focus Group Interview) to the heads of tourism promotion agencies, public officials, and professors. The FGI(Focus Group Interview) analysis results discussed the problems of tourism promotion and information center facilities recognized by stakeholders in Gyeongsangbuk-do and service improvement cooperation. At a time when the importance of the tourism industry is being emphasized, it is time to expand and improve the facilities of the tourism promotion center as a tourism information facility for Koreans and foreigners. Gyeongsangbuk-do Province has a natural environment and unique tourism resources that can become a tourist attraction in South Korea. In particular, four topics were drawn: providing satisfaction with visitors linked to regional economic revitalization cooperation and tourism guidance, and measures to boost revenue generation at public relations centers and information centers in Gyeongsangbuk-do.

Effects of the Perceived Value of IP-based Game Character Skins and Purchase Intention on Game Loyalty: Focusing on the MOBA Game Pokemon Unite (IP 기반 게임 캐릭터 스킨의 지각된 가치와 구매의도가 게임 충성도에 미치는 영향 - MOBA 게임 포켓몬 유나이트를 중심으로)

  • Zhang, Yin;Jang, Yu Jin;Limb, Seong-Joon
    • Journal of Service Research and Studies
    • /
    • v.14 no.3
    • /
    • pp.131-152
    • /
    • 2024
  • Recent trends in the gaming industry have highlighted a significant rise in games based on intellectual properties (IP), such as animations and webtoons. This study addresses a critical aspect of revenue generation for game companies: item sales. Specifically, it explores how the perceived value of character skins in IP-based games influences purchase intentions and, subsequently, how these intentions affect game loyalty. Utilizing 'Pokemon Unite'-a game that integrates the prominent IP Pokemon with the dynamic MOBA genre-this research investigates these relationships within a sample of Chinese users. The perceived value of character skins was delineated into six categories: aesthetic value, hedonic value, social value, personal value, economic value, and IP value. Findings indicate that, of these six value dimensions, five-hedonic, social, personal, economic, and IP values-significantly impact purchase intentions, with aesthetic value showing no significant effect. Furthermore, the study demonstrates that purchase intentions have a positive effect on game loyalty, with character loyalty partially mediating this relationship. These results underscore that players of IP-based games weigh a multifaceted array of values when deciding on character skin purchases and highlight the critical role these skins play in not only generating item sales but also enhancing game loyalty.

Identifying the Key Success Factors of Massively Multiplayer Online Role Playing Game Design using Artificial Neural Networks (인공신경망을 이용한 MMORPG 설계의 핵심성공요인 식별)

  • Jung, Hoi-Il;Park, Il-Soon;Ahn, Hyun-Chul
    • The Journal of Society for e-Business Studies
    • /
    • v.17 no.1
    • /
    • pp.23-38
    • /
    • 2012
  • Massive Multiplayer Online Role Playing Games(MMORPGs) headed by some Korean game companies such as NC Soft, NHN, and Nexon have exploded in recent years. However, it becomes one of the major challenges for the MMORPG developers to design their games to appeal to gamers since only a few MMORPGs succeed whereas they require a huge amount of initial investment. Under this background, our study derives the major elements for designing MMORPG from the literature, and identifies the ones critical to the users' satisfaction and their willingness to pay among the derived elements. Though most previous studies on the design elements of MMORPG have used analytic hierarchy process(AHP), our study adopts artificial neural network(ANN) as the tool for identifying key success factors in designing MMORPG. The results of our study show that the elements of the game contents quality have a bigger effect on the user's satisfaction, whereas the ones of the value-added systems have a bigger effect on the user's willingness to pay. They also show that user interface affects both the user's satisfaction and willingness to pay most. These results imply that the strategies for the development of MMORPG should be aligned with its goal and market penetration strategy. They also imply that the satisfaction and revenue generation from MMORPG cannot be achieved without convenient and easy control environment. It is expected that the new findings of our study would be useful forthe developers or publishers of MMORPGs to build their own business strategies.

A Comparative Study about Industrial Structure Feature between TL Carriers and LTL Carriers (구역화물운송업과 노선화물운송업의 산업구조 특성 비교)

  • 민승기
    • Journal of Korean Society of Transportation
    • /
    • v.19 no.1
    • /
    • pp.101-114
    • /
    • 2001
  • Transportation enterprises should maintain constant and qualitative operation. Thus, in short period, transportation enterprises don't change supply in accordance with demand. In the result, transportation enterprises don't reduce operation in spite of management deficit at will. In freight transportation type, less-than-truckload(LTL) has more relation with above transportation feature than truckload(TL) does. Because freight transportation supply of TL is more flexible than that of LTL in correspondence of freight transportation demand. Relating to above mention, it appears that shortage of road and freight terminal of LTL is larger than that of TL. Especially in road and freight terminal comparison, shortage of freight terminal is larger than that of road. Shortage of road is the largest in 1990, and improved after-ward. But shortage of freight terminal is serious lately. So freight terminal needs more expansion than road, and shows better investment condition than road. Freight terminal expansion brings road expansion in LTL, on the contrary, freight terminal expansion substitutes freight terminal for road in TL. In transportation revenue, freight terminal's contribution to LTL is larger than that to TL. However, when we adjust quasi-fixed factor - road and freight terminal - to optimal level in the long run, in TL, diseconomies of scale becomes large, but in LTL, economies of scale becomes large. Consequently, it is necessary for TL to make counterplans to activate management of small size enterprises and owner drivers. And LTL should make use of economies of scale by solving the problem, such as nonprofit route, excess of rental freight handling of office, insufficiency of freight terminal, shortage of driver, and unpreparedness of freight insurance.

  • PDF

Analysis on Statistical Characteristics of Household Water End-uses (가정용수 용도별 사용량의 통계적 특성 분석)

  • Kim, Hwa Soo;Lee, Doo Jin;Park, No Suk;Jung, Kwan Soo
    • KSCE Journal of Civil and Environmental Engineering Research
    • /
    • v.28 no.5B
    • /
    • pp.603-614
    • /
    • 2008
  • End-uses of household water have been changed by a life style, housing type, weather, water rate and water supply facilities etc. and those variables can be considered as an internal and exogenous factors to estimate long-term demand forecasts. Analysis of influential factors on water consumption in households would give an explanation to cause on the change of trend and would help predicting the water demand of end-use in household. The purpose of this study is to analyze the demand trends and patterns of household water uses by metering and questionnaire such as occupation, revenue, numbers of family member, housing types, age, floor area and installation of water saving device, etc. The peak water uses were shown at Saturday among weekdays and July in a year based on the analysis results of water use pattern. A steep increase of total water volume can be found in the analysis of water demand trend according to temperature from $-14^{\circ}C$ to $0^{\circ}C$, while there are no significant variations in the phase of more than $0^{\circ}C$, with an almost stable demand. Washbowl water shows the highest and toilet water shows the lowest relation with temperature in correlation analysis results. In the results of ANOVA to find the significant difference in each unit water use by exogenous factors such as housing type, occupation, number of generation, residential area and income et al., difference was shown in bathtub water by housing type and shown in kitchen, toilet and miscellaneous water by numbers of resident. Especially, definite differences in components except washbowl and bathtub water, could be found by numbers of resident. Based on the result, average residents in a house should be carefully considered and the results can be applied as reference information, in decision making process for predicting water demand and establishing water conservation policy. It is expected that these can be used as design factors in planning stage for water and wastewater facilities.

Electronic Word-of-Mouth in B2C Virtual Communities: An Empirical Study from CTrip.com (B2C허의사구중적전자구비(B2C虚拟社区中的电子口碑): 관우휴정려유망적실증연구(关于携程旅游网的实证研究))

  • Li, Guoxin;Elliot, Statia;Choi, Chris
    • Journal of Global Scholars of Marketing Science
    • /
    • v.20 no.3
    • /
    • pp.262-268
    • /
    • 2010
  • Virtual communities (VCs) have developed rapidly, with more and more people participating in them to exchange information and opinions. A virtual community is a group of people who may or may not meet one another face to face, and who exchange words and ideas through the mediation of computer bulletin boards and networks. A business-to-consumer virtual community (B2CVC) is a commercial group that creates a trustworthy environment intended to motivate consumers to be more willing to buy from an online store. B2CVCs create a social atmosphere through information contribution such as recommendations, reviews, and ratings of buyers and sellers. Although the importance of B2CVCs has been recognized, few studies have been conducted to examine members' word-of-mouth behavior within these communities. This study proposes a model of involvement, statistics, trust, "stickiness," and word-of-mouth in a B2CVC and explores the relationships among these elements based on empirical data. The objectives are threefold: (i) to empirically test a B2CVC model that integrates measures of beliefs, attitudes, and behaviors; (ii) to better understand the nature of these relationships, specifically through word-of-mouth as a measure of revenue generation; and (iii) to better understand the role of stickiness of B2CVC in CRM marketing. The model incorporates three key elements concerning community members: (i) their beliefs, measured in terms of their involvement assessment; (ii) their attitudes, measured in terms of their satisfaction and trust; and, (iii) their behavior, measured in terms of site stickiness and their word-of-mouth. Involvement is considered the motivation for consumers to participate in a virtual community. For B2CVC members, information searching and posting have been proposed as the main purpose for their involvement. Satisfaction has been reviewed as an important indicator of a member's overall community evaluation, and conceptualized by different levels of member interactions with their VC. The formation and expansion of a VC depends on the willingness of members to share information and services. Researchers have found that trust is a core component facilitating the anonymous interaction in VCs and e-commerce, and therefore trust-building in VCs has been a common research topic. It is clear that the success of a B2CVC depends on the stickiness of its members to enhance purchasing potential. Opinions communicated and information exchanged between members may represent a type of written word-of-mouth. Therefore, word-of-mouth is one of the primary factors driving the diffusion of B2CVCs across the Internet. Figure 1 presents the research model and hypotheses. The model was tested through the implementation of an online survey of CTrip Travel VC members. A total of 243 collected questionnaires was reduced to 204 usable questionnaires through an empirical process of data cleaning. The study's hypotheses examined the extent to which involvement, satisfaction, and trust influence B2CVC stickiness and members' word-of-mouth. Structural Equation Modeling tested the hypotheses in the analysis, and the structural model fit indices were within accepted thresholds: ${\chi}^2^$/df was 2.76, NFI was .904, IFI was .931, CFI was .930, and RMSEA was .017. Results indicated that involvement has a significant influence on satisfaction (p<0.001, ${\beta}$=0.809). The proportion of variance in satisfaction explained by members' involvement was over half (adjusted $R^2$=0.654), reflecting a strong association. The effect of involvement on trust was also statistically significant (p<0.001, ${\beta}$=0.751), with 57 percent of the variance in trust explained by involvement (adjusted $R^2$=0.563). When the construct "stickiness" was treated as a dependent variable, the proportion of variance explained by the variables of trust and satisfaction was relatively low (adjusted $R^2$=0.331). Satisfaction did have a significant influence on stickiness, with ${\beta}$=0.514. However, unexpectedly, the influence of trust was not even significant (p=0.231, t=1.197), rejecting that proposed hypothesis. The importance of stickiness in the model was more significant because of its effect on e-WOM with ${\beta}$=0.920 (p<0.001). Here, the measures of Stickiness explain over eighty of the variance in e-WOM (Adjusted $R^2$=0.846). Overall, the results of the study supported the hypothesized relationships between members' involvement in a B2CVC and their satisfaction with and trust of it. However, trust, as a traditional measure in behavioral models, has no significant influence on stickiness in the B2CVC environment. This study contributes to the growing body of literature on B2CVCs, specifically addressing gaps in the academic research by integrating measures of beliefs, attitudes, and behaviors in one model. The results provide additional insights to behavioral factors in a B2CVC environment, helping to sort out relationships between traditional measures and relatively new measures. For practitioners, the identification of factors, such as member involvement, that strongly influence B2CVC member satisfaction can help focus technological resources in key areas. Global e-marketers can develop marketing strategies directly targeting B2CVC members. In the global tourism business, they can target Chinese members of a B2CVC by providing special discounts for active community members or developing early adopter programs to encourage stickiness in the community. Future studies are called for, and more sophisticated modeling, to expand the measurement of B2CVC member behavior and to conduct experiments across industries, communities, and cultures.