• Information Systems Review
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• v.19 no.4
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• pp.183-209
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• 2017

With changes in information technology (IT), many innovative IT-based services, such as AirBnB, have become popular. Switching behavior toward new and innovative services become a major issue for managers who want to attract many customers. In response, many researchers have investigated why customers switch service providers. However, little research has been conducted on the processes of switching behavior for a hedonic service. To fill this research gap, this study aimed to identify the stages of switching behavior based on transtheoretical model. Furthermore, the factors affecting the service switching behavior in stages were identified on the basis of service provider switching model. This study also hypothesized the customer's switching behavior in accommodation sharing economy service and analyzed it empirically. Results showed that the factors affecting switching behavior differ across five stages. The present results can provide a basis to prevent switching behavior and reduce churn by analyzing the difference in switching behavior among stages. This study also helps managers who want to improve organizational performance by enhancing customer retention capability.

• Journal of Global Scholars of Marketing Science
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• v.15 no.3
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• pp.117-148
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• 2005

As this study aimed to examine which influence the nonverbal communication of service provider has upon service performance in terms of service industry, the specific objectives are as follows. First, it tried to examine into the relationship between the nonverbal communication in the service provider, and the emotional attachment. Nonverbal communication is divided into 4 kinds such as physical language, proxemics, paralanguage, and physical appearance. Second, it aimed to examine the relationship between the customer's attachment to the service provider, and the social competence and trust in the service provider. Third, it tried to examine into the relationship of service provider's social competence and trust with the customer satisfaction and with the switching costs. Additionally, it examined the moderating effect in the service type and the service usage period in terms of the model that was presented in this study. Given examining the verified results in these research hypotheses, those are as follows. First, given seeing the relationship between the nonverbal communication and the emotional attachment, it was represented that the physical language, proxemics, and physical appearance, except paralanguage, have significantly positive(+) influence upon emotional attachment. Second, it was indicated that emotional attachment has significantly positive(+) influence upon the social competence and trust in the service provider. Third, the social competence in the service provider had no positive effect(+) on customer satisfaction, and was having significantly positive(+) influence upon the customer's perceived switching barrier. Fourth, it was represented that the customer satisfaction toward the service provider have significantly positive(+) influence upon the switching barrier. Finally, as a result of having verified whether or not the moderating effect in the service type and the service usage period, it was indicated to be produced the difference depending on the service type in the relationships between the physical language and the emotional attachment, between the paralanguage and the emotional attachment, between the emotional attachment and the trust, and between the trust and the switching barrier. Depending on the service usage period, the difference was represented, respectively, in the relationships between the physical language and the emotional attachment and between the physical appearance and the emotional attachment.

• Asia Marketing Journal
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• v.14 no.1
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• pp.131-157
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• 2012

Despite the voluminous research on switching barriers, the notion that they can generate negative responses has not been investigated. Further, a critical question is what determines the strength of such negative responses. To address this question, the classic theory of psychological reactance is briefly reviewed, and the idea of switching barrier is advanced. This study attempts to suggest a model on the negative effects of switching- frustrated situation, based on the studies on psychological reactance. According to psychological reactance theory(Brehm 1966), whenever a freedom is threatened or removed, individuals are motivated, at least temporarily, to restore their freedom. For example, if individuals think they are free to engage in behaviors .v, y, or z, then threatening their freedom to engage in x would cause psychological reactance. This reactance could be reduced by an increase in the perceived attractiveness of engaging in, the threatened behavior(Kivetz 2005). This investigation seeks to extend existing switching barrier research in three important ways. First, while the past research has emphasized only positive role of switching barrier, this study address negative role of it by applying psychological reactance theory. Second, to find negative results of switching barrier, I suggest negative psychological response including regret to the past choice, resentment to the present provider, and strong desire to the alternative provider. Third, I suggest the perceived severity of the switching barriers, the attractiveness of the alternative as switching-frustrated situation which can lead to negative results. And, in addition to these relationships, I added moderated effects of perceived justice for better explanation. So this study includes the following hypotheses. H1-1 ~ H1-3: The attractiveness of the alternative has a positive effect regret to the past choice (h1-1), resentment to the present provider (h1-2), and strong desire to the alternative provider (h1-3). H2-1 ~ H2-3 : The perceived severity of the switching barrier has a positive effect regret to the past choice (h2-1), resentment to the present provider (h2-2), and strong desire to the alternative provider (h2-3). H3-1 ~ H3-3 : The positive relationships between the attractiveness of the alternative and consumer' negative responses will be stronger at low level of perceived justice than at high level of perceived justice. H4-1 ~ H4-3 : The positive relationships between the perceived severity of the switching barrier and consumer' negative responses will be stronger at low level of perceived justice than at high level of perceived justice. Survey research is employed to test hypotheses involving perceived severity of the switching barrier(Hess 2008), attractiveness of the alternative(Anderson and Narus 1990; Ohanian 1990),regret(Glovich and Medvec 1995), resentment, strong desire(Alcohol Urge Questionaire: Bohn et al. 1995), perceived justice(Bies and Moag 1986; Clemmer 1993; Lind and Tyler 1998). Previous researches, such as reactance theory, emotion and service failure, have been referenced to measure constructs. All items were measured on a 7-point Likert scale ranging from "strongly disagree" to "strongly agree". We collected data involving various service field, and used 249 respondents to analyze these data using the moderated regression. The results of our analysis suggest, as expected, that the perceived severity of the switching barrier had positive effects on regret to the past choice(b = .197, p< .01), resentment to the present provider(b = .214, p< .01), and strong desire to the alternative provider(b = .254, p< .001). And the attractiveness of the alternative had positive effects on regret to the past choice(b = .353, p<.001), resentment to the present provider(b = .174, p< .01), and strong desire to the alternative provider(b = .265, p< .001). However, our findings indicate perceived justice partly moderates relationship between switching-frustrated situation and psychological negative response. The study has brought to light a number of insights between switching barriers and consumer' negative responses that have been subject to little prior research. In particular, this study adds to the existing understanding of the psychological responses to switching barriers in switching- frustrated situation. This research therefore has significance to marketers for strategic marketing programs, particularly in terms of customer retention and switching barrier strategies. Since consumers could exhibit negative responses to switching barrier, companies would be able to lose their customer when they thoughtlessly use switching barrier for remaining customer. Although the study has these contributions, there are several limitations including unsupported hypotheses and research method. So, we need to make up for these limitations in the future researches.

• The Journal of Information Systems
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• v.27 no.4
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• pp.203-227
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• 2018

Purpose The purpose of this study is to investigate which decision factors continue to use the service based on the online simple payment service. In this study, we will examine how to activate the service from the continuing factors through the dual-model theory consisting of personal dedication and constraint dedication which are frequently used in relation marketing. Design/methodology/approach In this study, we investigated the activation of online simple settlement service using factors affecting the preference of the simple payment service based on the dual-model of dedication-based mechanism and constraint-based mechanism. Findings This study confirmed that customer satisfaction and convenience under the dedication -based mechanism were found to be linked to the preference of the simple payment service. Switching cost under the constraint - based mechanism showed that the customer had no binding ability to continue using the service of the current provider. Likewise, preference was found to have a direct effect on the actual frequency of use of the simple payment service, the number of uses compared to the total number of online payments, and willingness to use more.

• The Journal of Korean Institute of Communications and Information Sciences
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• v.26 no.12C
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• pp.280-291
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• 2001

LL (Leased Line service) is a facility-based service as a traditional business data service, but new competition services, such as FR (Frame Relay), VPN (Virtual Private Network), and ATM (Asynchronous Transfer Mode), are value-added services. Because of different service classifications, it is hard to gather necessary data for the service providers to plan their market strategies and regulations and policies are also applied asymmetrically to each service provider. Therefore an appropriate market classification is required for the business data services. After various methods of market classification are reviewed, the Hendry model is selected in this paper to analyze substitution-degree among brands or among services. Since the structure of virtual competitions is required for the Hendry model to be applied to data service market, the market is analyzed first by the well-known Porter's model. By the analysis of Porter's model, two virtual competition structures are set up - one is for the competitions among leased line service providers, and the other is for the competitions among business data services such as LL, FR, VPN and ATM. After the Hendry model is applied to each competition structure, it is confirmed that 7 LL service providers do not compete directly, but 2 sub-markets exist for the LL service provisions. However, it is shown that 4 business data services compete directly. Using the Switching Probability Matrix from Hendry model, future market shares of LL service providers and market shares of business data services are forecasted. These empirical results are helpful for service providers to set competitive strategies with the minimization of cannibalization effect and they can easily and efficiently predict their market demands.

• Journal of Communications and Networks
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• v.6 no.3
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• pp.269-279
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• 2004

A new online multi-layer integrated routing (MLIR) scheme that combines IP (electrical) layer routing with WDM (optical) layer routing is investigated. It is a highly efficient and cost-effective routing scheme viable for the next generation integrated optical Internet. A new simplified weighted graph model for the integrated optical Internet consisted of optical routers with multi-granularity optical-electrical hybrid switching capability is firstly proposed. Then, based on the proposed graph model, we develop an online integrated routing scheme called differentiated weighted fair algorithm (DWFA) employing adaptive admission control (routing) strategies with the motivation of service/bandwidth differentiation, which can jointly solve multi-layer routing problem by simply applying the minimal weighted path computation algorithm. The major objective of DWFA is fourfold: 1) Quality of service (QoS) routing for traffic requests with various priorities; 2) blocking fairness for traffic requests with various bandwidth granularities; 3) adaptive routing according to the policy parameters from service provider; 4) lower computational complexity. Simulation results show that DWFA performs better than traditional overlay routing schemes such as optical-first-routing (OFR) and electrical-first-routing (EFR), in terms of traffic blocking ratio, traffic blocking fairness, average traffic logical hop counts, and global network resource utilization. It has been proved that the DWFA is a simple, comprehensive, and practical scheme of integrated routing in optical Internet for service providers.

• Journal of Information Technology Services
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• v.15 no.3
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• pp.247-263
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• 2016

The purpose of the study is to derive success factors of B2C reverse auction business model, a business model contributes to the recent innovative practices in e-commerce and service sector. Electronic reverse auction has been traditionally used to ensure the procurement convenience and purchasing efficiency in B2B or B2G settings, however, e-RA is now expanding its basis toward B2C commerce industry along the huge success of an online e-RA travel service provider Priceline.com. Recently, B2C e-RA business model is getting the spotlight in the Korean venture industry with a variety of startups in diverse areas. However, e-RA does not work perfect in all kinds of trade settings. Therefore, we conducted a multiple case study to find out the success factors of B2C business model as follows : First, large supplier basis is an important factor that constructs a quasi-perfect competition environment. Second, the high online and mobile accessibility or e-readiness of Korean consumers was also a critical aspect of the success of e-RA. Lastly, e-RA performs best when the supplier switching cost is low and the trading occurs infrequently.

• Journal of the Korean Institute of Telematics and Electronics S
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• v.36S no.8
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• pp.30-38
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• 1999

On providing MPEG-2 video service through the ATM network, it is necessary for network provider to have the ATM QoS objectives in order to guarantee quality of service required by end users at the application layer. In this paper, the degradation of QoS caused by cell losses at application layer is assessed quantitatively by GIQ model considering AAL layer and is evaluated qualitatively by MOS from the viewpoint of the end users in order to analyze the relation between CLR and QoS of MPEG-2 video. From the simulation and empirical results, we know that CLR and $GIQ_{mean}$ for guaranteeing QoS of MOS grade 5(Excellent) are $CLR{\le}4{\times}10^7$ & $GIQ_{mean}{\ge}99.4%$ and those for guaranteeing QoS of MOS grade 4(Good) are $CLR{\le}2{\times}10^6$ & $GIQ_{mean}{\ge}99.705%$.

• Journal of Distribution Science
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• v.14 no.7
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• pp.83-90
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• 2016

Purpose - This study focuses on new type distribution channel that named as Omnichannel. Omnichannel is developed from Multichannel which is used in many distribution channels to buy or selling goods. Omnichannel basically needs an Information and Communications Technologies(ICT) to use, so researcher conduct a Technology Acceptance Model(TAM) to research model. Customer-brand relationship was used as dependent variable to focus on the role of Omnichannel. Research design, data, and methodology - The subject of this study is customer who purchase goods or service through omnichannel. Based on the literature from the preceding research analysis of TAM and customer-brand relationship, this study was constructed by the reference to previous studies, final research model design for figure out casual relationship among perceived ease of use, perceived usefulness, omnichannel use and customer-brand relationship. From 2016 February 3 to March 17, questionnaire survey targeted customers who use online and offline channels. 273 questionnaire survey had conducted, then, 252 survey data were available for empirical analysis. Researcher provide descriptive statistics for checking generality. Cronbach's alpha value was used to check the reliability of data. Exploratory factor analysis was used for purification of values and eigenvalue checking. After EFA, Confirmatory factor analysis was used to prepare structural equation modeling with executing structural equation modeling for confirming hypothesis which developed by researcher. Results - The main results of this empirical study are as follows. First, omnichannel's perceived ease of use has positive significant effect on perceived usefulness(estimate: 0.579). Moreover, omnichannel's perceived ease of use and perceived usefulness has positive significant effect on omnichannel use(estimate: 0.325,0.648). Second, using omnichannel has positive significant effect on brand-customer relationship(estimate: 0.521). Every hypothesis adopted as researcher designed. This study found out the intermediate relationship between perceived ease of use and omnichannel use by investigating hypothesis. Conclusions - Base on the empirical result, this study confirmed that TAM theory perceived has relation with omnichannel. First, factors of TAM has positive effect on omnichannel use, so it highlights the important role of customer based interface and usefulness. Especially, perceived usefulness has high indirect influence on ease of use and use of omnichannel. It seems that when customers try to decide use or not use omnichannel, customers focus on percept benefits from omnichannel. Thus, a provider should applicate attractive price table, accurate product or service information and high switching cost strategy to emphasize the usefulness of omnichannel. Second, using omnichannel enhances the relationship between customers and brand, because there are more time and frequency to serve customers. It is important because good relationship between customers can increase the future's financial performance through word of mouse, positive brand image and loyalty to brand or company. Finally, despite of empirical result and implications, this study has limitations. First, there are only a few previous studies about omnicahnnel, so literature reviews are restricted. While set up the factors which can affect the use of omnichannel, next study should be considered with broader theories or models(ex: contingency theory). Second, omnichannel has developed from multichannel, so comparative analysis is needed between these methods because there is a possibility about different forte character of each distribution system on customer's consuming patterns.