• Journal of Korea Trade
• /
• v.25 no.7
• /
• pp.1-18
• /
• 2021

Purpose - In this study, we explore the relationship between the degree of internationalization (DOI) and firm performance (DOI-P) of small and medium-sized enterprises (SMEs) in the manufacturing sector. Specifically, we investigate whether the costs and benefits dynamics concerning the internationalization of SMEs differ between high-tech and non-high-tech industries. Design/methodology - We extend the prior literature on this relationship by employing 5-year data on 589 Korean SMEs in the manufacturing sector and examining the moderating impact of the industry characteristics. Our findings reveal a U-shaped relationship between the DOI and SME performance. High-tech SMEs demonstrate an inverted U-shaped relationship, whereas non-hightech SMEs exhibit a U-shaped relationship. Findings - Our findings illustrate the importance of the industry factor in testing the performance impact of the internationalization of Korean SMEs. By incorporating industry dynamics, our results indicate that the DOI-P relationship depends on the context of the industry in which an SME operates. High-tech SMEs also display a higher DOI but are outperformed by non-high-tech SMEs for the entire internationalization path, which implies that high-tech SMEs face more challenges than non-high-tech SMEs while seeking internationalization. Originality/value - The findings strongly validate that significant benefits exist for SMEs undertaking internationalization. We also employ the contextual framework contributing to increasing the understanding of the intrinsic value of internationalization and resolving the mixed results issue on the DOI-P relationship, by illustrating that the industry factor leads to different dynamics of costs and benefits of SME internationalization; it also determines the shape and direction of the relationship.

• KDI Journal of Economic Policy
• /
• v.38 no.3
• /
• pp.37-52
• /
• 2016

This paper analyzes the effects of allocative efficiency on productivity in the manufacturing sector of Korea following Hsieh and Klenow (2009). The results of this research indicate that the overall allocative efficiency declined from 1990 to 2012. Using the method of Oberfield (2013), which allows inter-industry resource movement as well as intra-industry reallocation, we confirm that intensified misallocation generally results from intra-industry allocative inefficiency. The potential loss from instances of worsening misallocation is estimated to be approximately 0.6% points for each year, which is considerable in terms of the overall TFP. In terms of the firm size distribution, initially large establishments are more likely to expand if distortions are removed in most countries. One notable feature in Korea is that this pattern is pronounced. This implies that subsidies to unproductive small-sized establishments are heavily implemented.

• Proceedings of the Korean Operations and Management Science Society Conference
• /
• 1997.10a
• /
• pp.11-14
• /
• 1997

Flexibility and efficiency in producing a large number of productions in small-to-medium lot sizes are necessary to be competitive. Many firms are concerned about cellular manufacturing system(CMS) to surmount the abrupt change in management environment and to innovate their manufacturing systems. The purpose of this study 1) align BPR with CMS, 2) present the methodology for constructing a CMS and 3) apply to a firm ad verify it. The results of this paper are to present 1) the systematic methodology for constructing CMS at first in our country, 2) the methodology integrating managerial aspects, technological aspects and behavioral aspects, 3) the customer-oriented methodology based on customer value.

• Korean Journal of Human Ecology
• /
• v.9 no.1
• /
• pp.107-116
• /
• 2000

The purpose of this study was to suggest the data of base for automated underwear manufacture by analyzing the technology of the automated underwear manufacturing facilities in the area of Jeonbuk with a focus on Jeonju and Iksan. The case study samples were 6 underwear firms. The results were as follows : 1. Automated underwear manufacturing systems in the area of JeonBuk introduced over the entire period between 1990 and 1997. Most of Their production type was multi-kind and small-quantity production. 2. They were using Gerber, Assyst, Lectra, Microdynamics and Investronica systems as the CAD/CAM system, of which the Gerber system was mostly used by them. 3. In the stage of production planning and in the stage of preparation for production, most of them realized automation, but in the stage of main production, every firm did not realize automation. In most cases, they used both the stage of mechanization and the stage of unit process automation.

• Journal of the Korean Regional Science Association
• /
• v.11 no.2
• /
• pp.1-17
• /
• 1995

Regional production structres are investigated through an estimation of three-input(labor, capital and material) translog cost function. The estimation uses the pooled data in which time series data of 1970-1990 are combined with cross-sectional data corresponding to firm sizes. The empirical finding are the following: (1) the factors are Allen substitutes each otner in general except Pusan and a couple of regionss, and (2) estimates are very small in its absolute value irrespective of the regions. The low elasticity estimates of this study implies that substitytability among the three inputs are very weak in the regional manufacturing production compared to that in the national production. Seoul-Kyungki metropolitan area produces not only the smallest elasticities but relatively stable estimates without much fluctuation between the sub-regions of the area.

• Proceedings of the Korean Operations and Management Science Society Conference
• /
• 2004.10a
• /
• pp.173-176
• /
• 2004

Understanding the fact that more spending for R&D is merely a necessity, not a factor of success, managing technological development efforts effectively and efficiently for higher R&D productivity and sustainable growth has become an important issue for contemporary firms. Based on a survey on small- and medium-sized manufacturing firms, this paper explores the relationships of leadership positions, technological contents and acquisition methods of korean firms. This paper has identified several findings from Korean manufacturing firms: (1) five different patterns are identified in the technology strategy of medium-sized companies; (2) a significantly positive relationship exists between a firm's leadership position and the aggressiveness in technological contents of their acquisition methods; (3) a significantly positive relationship of some technology acquisition methods to the firms' leadership position exists,

• KDI Journal of Economic Policy
• /
• v.35 no.4
• /
• pp.1-29
• /
• 2013

This paper examines the effect of trade liberalization or globalization, more broadly, on plants' growth as well as on "bi-polarization". To do so, we reviewed the possible theoretical mechanisms put forward by recent heterogeneous firm trade theories, and provided available micro-evidence from existing empirical studies on Korean manufacturing sector. Above all, the empirical evidence provided in this paper strongly suggests that globalization promoted growth of Korean manufacturing plants. Specifically, evidence suggests that exporting not only increases within-plant productivity but also promotes introduction of new products and dropping of old products. However, the empirical evidence also suggest that globalization has some downsides: widening productivity differences across plants and rising wage inequality between skilled and unskilled workers. Specifically, trade liberalization widens the initial productivity differences among plants through learning from export market participation as well as through interactions between exporting and R&D, both of which increase plants' productivity. We also show that there is only a small group of large and productive "superstar" plants engaged in both R&D and exporting activity, which can fully utilize the potential benefits from globalization. Finally, we also show evidence that trade liberalization interacts with innovation to increase the skilled-unskilled wage inequality.

• Management & Information Systems Review
• /
• v.30 no.2
• /
• pp.133-159
• /
• 2011

This study was conducted about the various forms of downsizing in small manufacturing firms such as lay-offs, honorary retirement, wage cuts, reduction of assets, merging of organizations with similar functions. Specially the study was conducted among small manufacturing companies to investigate which factors play a role in deciding which method to use. As result, the study found out the form of downsizing varies according to the characteristics of the small manufacturing companies. In other words, it is the size and the growth form of the company which influences the form of downsizing, rather than the management experience of the company. Based on the result of the study, small firms tend to prefer form of downsizing which will have short term or immediate effect, depending on the condition of their organization. Also, this kind of slim down on workforce has positive effect on the management achievement. However, there is also a negative effect on the moral of the members of the organization and the level of concentration in the work field. Therefore, it is better for small manufacturing companies to seek other long term means to increase its' productivity and renovation in management, and avoid method which will have direct effect on the moral of the members.

• Asia pacific journal of information systems
• /
• v.5 no.1
• /
• pp.236-257
• /
• 1995

Not much attention has been paid to the characteristics of successful MIS in small business in Korea. This study compares the characteristics of successful MIS with those of less successful MIS of manufacturing industry in Korea in terms of micro level, macro level, and personal level. The micro level consists of those variables relating to the system development and maintenance while the macro level consists of the environmental variables relating to the information systems. The personal level measures a personal EDP experience. A mail survey was sent to small manufacturing companies to collect the data for the hypothesis tests. And 81 usable questionnaires were returned for data analysis. This study performs the validity of the categorization of variables in terms of three levels. The results shows that this categorization is appropriate but the personal level. As the personal experiences of EDP in Korea used to come up with those of the organization, the variables in the personal level have high correlations with those in the macro level in empirical testing. As the personal level, however, is different dimension from the macro level in theoretical aspect, the level is maintained separately throughout the study. The data were analyzed with MANOVA and two group discriminant analysis. The analyses reveal that the characteristics of successful MIS are different from those of less successful MIS in terms of three levels. And the micro level is more important than the macro level to develop successful MIS. That is because the organizations have relatively few experience in dealing with information systems, they have not developed unique information systems which are adjusted to their organizational characteristics. Those findings seems to be important determinants of success for the MIS in a firm.

• Industry Promotion Research
• /
• v.1 no.2
• /
• pp.49-54
• /
• 2016

This study analyzed the effect of small manufacturing firms' systematic documentation on productivity. The study results showed that establishment of work system documentation significanlty affectd defect decrease(p<.05) and production efficiency(p<.01), but ducumentation experience didn't significantly affected productivity improvement. So, it is suggested that firms should establish documentated work system and conduct education & training rather than depending on experiential aspect to improve productivity. This study provided implications for checking importance of documentation factor on productivity improvement and verifying the effect of documentation in quality management aspect.