In Korea, which achieved economic growth due to export industries, the economic importance of the foreign port transportation industry is very great. The government took the initiative in fostering the foreign port transportation industry, and as a result, it developed into one of the top 10 foreign port transport countries in the world. However, due to the poor management of the small and medium-sized foreign port transport business and the trade dispute between countries, the foreign port transportation industry has faced a long-term invasion. Therefore, in order for these companies to recover again, they will, among other things, have to reorganize their operational inefficiency to carry out efficient production activities. In this study, we want to analyze the management efficiency of the top 10% companies in the unlisted domestic outbound shipping industry, present the project value of inefficient enterprises, and confirm the reference collection of companies that may be subject to benchmarking. For this purpose, a total of 10 foreign port transportation industry were analysed for efficiency and scale profitability (RTS) of the CCR and BCC models. The analysis showed that there were a total of six entities with BCC efficiency and five entities with CCR efficiency. In addition, there were a total of five entities with both BCC and CCR efficiency.
Journal of the Korean association of regional geographers
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v.3
no.1
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pp.183-198
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1997
This case study was conducted by verification the site characteristics based on the questionnaire and interview obtained from the all factories located at No. 1 developing area in Kumi industrial complex. The site characteristics were presumed from the process of location behavior and spatial linkage. Kumi industrial complex was developed to improve export industry at national levels by providing chief land price and benefiting various tax. Kumi industrial complex which enticed many factories is playing an important role in export industry in Korea. At beginning, the detention of large enterprises promoted the establishment of related small to medium sized factories into the complex. Two distinctive industries. textile and electronic, were reflected by the purpose to establish the complex and industrial characteristics of Taegu city. respectively. In Kumi industrial complex, positive responses on traffic and raw material supply and negative reactions on the environmental impact on social community as well as high labor charge were investigated. Especially the higher labor cost prevented to hire laborers effectively. In the linkages of spatial and raw material, most factories in the complex depended on the availability of out side the Kumi city. For the textile factories, the supply of raw material and parts were relied on Taegu and/or other cities, whereas in electronic factories purchased them mainly from other cities and partly from abroad. Although questionnaire and interview suggested it, most of the parts were supplied by a parts maturing companies on the complex to a few large enterprises. In the marketing linkage, textile factories revealed higher relation-ship with the foreign countries and sewing factories in Korea. On the other hand, electronic factories have strong relation-ships in the marketing linkage to the parts supplying companies in the complex or large-scale resembling companies in other cities. In the textile companies, the right for decision on purchasing raw materials and parts is belonging to the owner whereas mother enterprise usually have the right for the marketing. In the case of the electronic factories, all the purchasing activities are related to the sub-contracting companies. In the service linkage, the Quality of the service created spatial distinction. There was high linkages on inside of Kumi complex for the low grade services such as repairing and installing machines, whereas strong linkages on outside of the complex for the high grade services such as management, law, taxation, new product development. and manufacturing technology. In the linkages of activity on the R&D (research and development), electronic factories do not have sufficiently qualified institutes in the complex. Strong regional linkages in the field of textile and electronic industries revealed limitations of the local industrial complex. In the sub-contracting linkage, high linkage ship within Kumi boundary reflected the characteristics of industrial site in the complex. There, most decisions by the companies centered by the mother enterprise.
In the development process, small and medium-sized enterprises in China have shown their unique features and regularities which are closely related to China's national condition and economic characteristics. But in 2008, because of the global financial crisis which started in the USA, the rate of Chinese export and the rate of economic growth has evidently slowed. Due to shortage of funds, foreign orders fell, increase the value of RMB, lack of talented factors, Chinese SMEs are facing bankruptcy. In this context, the purpose of this study is to examine the effects of domestic and international market environment, the government assistance for entering overseas market, entrepreneur characteristics, etc. on the global performance. Based on these, a research model and some hypotheses were set up and tested by the multiple regression analysis with total 317 effective survey data. The results of this paper are as follows. First, a positive effect relation on the financial performance was shown for the companies with high domestic and international market environment in the aspect of market environment. According to such analysis result, it was found that the market environment in which SMEs belong to is a very important factor. Second, in the aspect of government export assistance related to overseas, market development showed a positive effect relation on the both financial and non-financial performance. However, the direct financial assistance showed a positive effect relation only on the non-financial performance. Overall, it was found that the government assistance program on entering overseas market is having significant effects on SMEs, but direct financial assistance have not achieved the desired results. Third, the innovative-ness and progressiveness of entrepreneur showed a positive effect relation on the global market performance. However, the risk-taking of entrepreneur only showed a negative effect relation on the non-financial performance. Overall, it was found that the entrepreneurship of SMEs is an important and influential factor. This is a result implying that the propensity of taking too much risk is not desirable based on the uncertainty of the global environment market. To sum up, this study confirmed that the market environment, the government assistance and entrepreneur characteristics, which are the major prerequisites of global performance, have effects on global performance.
Modern enterprises should concentrate their efforts on continuous improvements in focusing their development in the core areas of business and to reduce their expenses and to enhance the quality of service for customers. The enterprises should focus on their core business while outsourcing the non-core areas of business to external specialists for the purpose of reducing cost. In South Korea, the enterprises are becoming increasingly interested in outsourcing their logistics function, especially in using IT technologies to the 3PL. The underlying reason for this trend is because the logistics costs of Korean businesses are much higher than that of other advanced countries. This higher logistic costs weakens the price competitiveness of Korean companies in the overseas export markets and even dampening the balance of international trade. Domestically, the higher logistics costs have the effect of raising prices in the local markets and thus affecting the local economy. Therefore a solution is urgently needed to save the logistics costs for the Korean companies in the interest of increasing national competitiveness. Outsourcing to the 3PL is becoming an attraction solution to this problem. Thanks to the increasing supply of professional logistics companies, many of the enterprises are switching to the Third Party Logistics. Nevertheless the enterprises do not yet utilize the integrated third-party logistics services on a full scale. This study analyzes present conditions and problems of the domestic third-party logistics market and suggests directions for future development. To solve the problems in the domestic third-party logistics market, four actions are recommended. First there should be new supporting policies in the laws and regulations and a system for small and medium sized companies to grow. Solutions to structural problems such as abnormal multilevel merchandising, illegal operation of private cars, and freight dumping should be implemented concurrently. Furthermore, standards for new companies entry into the market should be enhanced to allow only the competitive distribution companies to enter the market. Second, development of variety of educational programs is needed through establishing human-resource development system and specialized formal educational institution focused on this market. Third, the third party distribution companies, which seek long-term relationships with the owners of goods, should endeavor to strengthen their communications capability. Fourth, adoption of high-tech distribution system and the advent of U-Logistics, making use of RFID is urgent. This study has the limitation of objectivity because it does not include various comparative case studies about companies relating to the Third Party Logistics and domestic franchise companies. However, this study is significant to the extent that it analyzes the general present conditions and the problems of domestic Third Party Logistics and suggests recommendations for revitalization of Third Party Logistics. For future studies, analyzing the successful cases of international third party logistics companies' empirical data and studying the application into domestic franchise companies would improve the objectivity of the results. This would assist the domestic third party logistics companies not only to perform excellent domestic logistics function but also to enter into the global market for international logistics.
The term, Mittelstand, has no exact english translation for the definition, but, today, Mittelstand refers to small and medium-sized enterprises(SME), mostly family-owned firms in Germany. The Mittelstand is called the backbone of the German economy because it drove the economic miracle after World War II. During the global recession and the euro zone's debt crisis in recent years, in which european businesses have faced the near-collapse of competitiveness particularly in manufacturing, the German exports are booming and exceeded exports of China in 2012. Most importantly, the Germany economic performance has been widely attributed to the strength of the Mittelstand. Many of countries, even some leading public companies are seeking to emulate the success of the Mittelstand. Investors evaluate that many of Germany's investable "hidden champions" are Mittelstand companies. The purpose of this study is to present some of answers to the following questions: Firstly, what makes the German Mittelstand so successful? Secondly, what does the success of the German Mittelstand mean for the Korean SMEs in global competitiveness? Thirdly, what Korean government has to do improve the global competitiveness of the Korean SMEs? Some discussions in this study mention the managerial implications for Korean exporting SMEs particularly in manufacturing. Several factors that account for the success of the German Mittelstand are technological excellence and the tradition of family-owned management, concentration on niche market and globalization, and institutional supports. There are some of important lessons to be learned from the German Mittelstand. If the purposes of Korean SMEs want to remain in the sustainable competitive advantage and withstand unforeseen economic turbulences in the future, they must be able to meet the followings: 1) Technology that meets the global standard or exceeding it 2) Competitiveness in price in the global market 3) Active involvement in the globalization process, utilizing various entry modes Innovative products at globally competitive price are a crucial point for Korean exporting SMEs to achieve their competitive edge over others in the target markets abroad. It is time for Korean SMEs to cultivate a core competence in manufacturing in order to position Korea as a global manufacturing hub with SMEs leading.
Park, Myeongnam;Kim, Byungkwon;Hong, Gi Hoon;Shin, Dongil
Journal of the Korean Institute of Gas
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v.26
no.4
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pp.41-57
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2022
The global demand for carbon neutrality in response to climate change is in a situation where it is necessary to prepare countermeasures for carbon trade barriers for some countries, including Korea, which is classified as an export-led economic structure and greenhouse gas exporter. Therefore, digital transformation, which is one of the predictable ways for the carbon-neutral transition model to be applied, should be introduced early. By applying digital technology to industrial gas manufacturing facilities used in one of the major industries, high-tech manufacturing industry, and hydrogen gas facilities, which are emerging as eco-friendly energy, abnormal detection, and diagnosis services are provided with cloud-based predictive diagnosis monitoring technology including operating knowledge. Here are the trends. Small and medium-sized companies that are in the blind spot of carbon-neutral implementation by confirming the direction of abnormal diagnosis predictive monitoring through optimization, augmented reality technology, IoT and AI knowledge inference, etc., rather than simply monitoring real-time facility status It can be seen that it is possible to disseminate technologies such as consensus knowledge in the engineering domain and predictive diagnostic monitoring that match the economic feasibility and efficiency of the technology. It is hoped that it will be used as a way to seek countermeasures against carbon emission trade barriers based on the highest level of ICT technology.
Materials and Parts acts as the bridge in the manufacturing industry. In 2018, the materials and parts industry became the leading industry in Korea as its export reached $316.2 billion, accounting for 52.3 percent of the country's total exports. As such, it is the main industry of Korea leading the trade surplus, but when it comes to Japan, it is not. The trade deficit with Japan shrinks to $24 billion last year but the materials and parts industry still accounts for 60 percent of total deficit, which is about $15.1 billion. Today Japan has the top competitiveness in the high-tech materials and parts industry and the factors can be found in cooperation and symbiosis among companies, monotsukuri spirit, and long-term government policy. In order for Korean economy to pursue the Japan's high-tech materials and parts industry, the following change of perception is necessary. First, the material and parts industry requires win-win cooperation. In general, materials and parts are intermediate products. Therefore, it is important to understand the characterist that the transactions are all made up between companies not the with consumers. Second, expansion of joint technology development is absolutely necessary. South Korea is a leading country in the field of general-purpose materials and parts. However, the research shows that South Korea has structure which small and medium-sized companies could have difficulties in developing high-tech products as finding demand and developing market are hard due to low participation of large corporations at R&D stage. It is necessary for large corporations to participate in joint R&D and share opinions of customers from the beginning stage of R&D. Third, a long-term approach is needed. Structural vulnerabilities in the Korea's materials and parts industry, including the lack of advanced technologies is the main reason of solidification of Korea's trade deficit with Japan but there are also cultural differences about technology in the background. Even if it takes time, a long-term approach is absolutely necessary to build up technology and know-how in order to secure competitiveness in the high-tech materials and parts industry. This approach applies to act of corporation and government policy.
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