• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.14 no.2
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• pp.31-46
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• 2019

As the importance of venture firms has increased as a new growth engine, the South Korea government makes various efforts to establish healthy ecosystems for ventures and start-ups. Especially in order to foster the competitiveness of venture firms, various support policies such as financial and R&D expenses are being expanded and promoted. In this study, the author analyzed the impact of government funding on venture firms' internal competencies and management performance by using the resource-based theory. Moreover, this study tested the moderation effect of firm's growth stages. Unlike previous studies, this study focused on qualitative rather than quantitative aspects of internal competencies and the financial and non-financial performance are used to measure the management performance of the ventures to examine the effects of government funding for venture firms in more details. For the purpose of verifying the hypothesis of this research, "The Research On The Precision Status Of Venture Firms" in 2017 from the Ministry of Small and Medium Business was utilized, which has been compiled since 1999. According to the results of this study, the government funding experience did not significantly affect the company's internal competencies and financial performance, but had a significant impact on the non-financial performance, which in turn seemed to have a significant effect on the financial performance. In addition, it was found that the technology, price, design, and quality competencies affected non-financial performance, while the organizational management and marketing competencies did not. However, the price, design, organizational management, and marketing competencies affected financial performance, while the technology competency was not. Finally, there were no differences in the effectiveness of government funding, depending on the growth stages.

• Journal of the Korean association of regional geographers
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• v.9 no.1
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• pp.53-65
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• 2003

The aim of this study is to examine the regional features of shipbuilding-allied industries comprehensively. Inaddition, this study would offer groundwork to construct spatial networks of shipbuilding-allied industries. Relatively in short term, large modem shipbuilding firms of South Korea have developed under the national strategic support, around southeast coast region. Although small shipbuilding firms and marine equipment firms have supported regional economy, these firms have scaled down their functions and roles due to the national policy. In the long tenn, Korean shipbuilding-allied industries have limitations in stable development, because they have separated their roles. Consequently it is necessary the balanced development of large, medium, and small shipbuilding firms and linkage system with marine equipment firms for overall development of shipbuilding-allied industries. This study suggests two spatial strategy for shipbuilding-allied industries development. First, we need to construct a shipbuilding specialization area which agglomerates competent parts firms adjacent to large shipyards. Second, in national strategy, a long term strategy is required to utilize extremely synergy and external effects induced from a shipbuilding duster of southeast coast region which systematically combines shipbuilding-allied industries, universities, the government authorities, and research institutions.

• Asia Marketing Journal
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• v.15 no.4
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• pp.1-32
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• 2014

The purpose of this paper is to investigate upon a diversification strategy through market creation of CJ Group, which has contributed in positioning of the firm as one of the leading conglomerates in South Korea. With such objective, the background of CJ Group, followed by its business diversification strategies were explored, with reference to several case studies. The history of CJ Group began with establishment of CheilJedang Industrial Corporation in 1953, as the first domestic sugar producer and exporter of South Korea. The corporation gradually expanded its business ever since at both national and global level, to include the fields of food production, pharmaceutical, biotechnology, and life chemicals. Later, CheilJedang (CJ) Group was established as an affiliate of CheilJedang Industrial Corporation. With such independence, extension of business has been witnessed across the industries of media, entertainment, finance, information technology and distribution. Thus, the current CJ Group pursues to define itself as a progressive global living culture company with four major business categories from food and food service, biotechnology, entertainment and media, and logistics. Despite its success in today's market, CJ Group underwent hardships in its business diversification in 1990s due to indiscreet management, along with the Asian financial crisis. Here, many firms overcame the financial difficulties by taking advantage of the exchange rate for overseas expansion. Though, CJ Group tried to differentiate itself by focusing on the domestic market by creating something out of nothing. Hence, CJ Group takes a unique position among many cases of business diversification and their categorization. In an effort to identify and classify the types of growth experienced by the top 30 companies in South Korea, the firms were categorized into four groups according to their diversification strategies adapted after the Asian financial crisis. Based on the mode and time of entry, corporations were identified either as the 'Explorer', 'Invader', 'Venture Capitalist', or 'Assimilator'. Here, the majority of the firms showed the qualities of Invader, entering mature markets through large-scaled mergers and acquisitions. However, CJ Group was the only firm that was categorized as an Explorer, for its focus on the newly emerging service sector in culture-contents industry. This diversification strategy through market creation is worth examining, due to its contribution in generating simultaneous growth between the market and the company itself. Diverse brands of CJ Group have been referred to as case studies in this regard, from 'Hatban', 'Cine de Chef', 'VIPS' to 'CJ GLS'. These four businesses, each to represent processed food, film, restaurant service, and logistics industries respectively, show CJ Group's effectiveness in creating a whole new category of goods and services that are innovative. In fact, such businesses not only contributed in advancement of consumers' wellbeing, but toward generating additional value and employment. It is true that the diversification strategy of CJ Group requires long-term capital investment with high risk, compared to the other strategies mentioned in the paper. However, this model does create high employment and additional values that are positive to both the society and the firm itself. Therefore, the paper comes to a conclusion that the diversification strategy through market creation conveys the most positive impact relative to the others.

• Journal of Technology Innovation
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• v.31 no.3
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• pp.139-169
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• 2023

This study analyzes the effects of firms' technology innovation(patent applications) on employment(number of workers and proportion of high-skilled workers) and corporate performance(sales per worker), while considering the two-way causal relationships between these variables. We used the three-stage least squares(3SLS) estimation to examine system of equations in which the dependent variables affect each other with a two-year lag wherever relevant, and applied it to firm-level panel data of Korean manufacturers with 100 or more workers. Our data covered the period of 2005-2017. Exogenous variables, such as firms' managerial and other characteristics, were controlled as explanatory variables. The identification variables for each equation included firms' R&D intensity, labor cost per worker(or operation of firms' own R&D center), and investment on worker training. We find that firms' patent applications increased number of workers, proportion of high-skilled workers, and sales per worker; the causal relationships in the opposite direction were also significant. Evidently, firms' technology innovation is critical to the growth and quality improvement of employment as well as sustainable corporate growth.

• Journal of Distribution Science
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• v.14 no.7
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• pp.71-81
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• 2016

Purpose - Because creativity, which is an intangible resource embedded within the company, can offer a competitive advantage, most companies have an interest in promoting creativity among their employees and division(e.g., marketing organization). Creativity renders a sustainable competitive advantage to a firm because it is a strategic resource that is valuable, flexible, rare, and imperfectly imitable or substitutable. Although most companies broadly recognize the importance of creativity, the methods for developing creativity remain elusive. Therefore, the present study investigates how to structure incentives to motivate employees to be more creative and how to develop tools to facilitate creativity. In detail, the present study aimed to examine the relationship between the regulatory focus of marketing organizations(e.g., promotion focus vs prevention focus) and creativity of marketing organizations. In addition, the present study set out to examine the moderating role of interaction of financial reward and creative training in addition to investigating the direct relationship between creativity and regulatory focus in New Product Development(NPD) context. Research design, data, and methodology - The data used to test the hypotheses are drawn from a survey of full time NPD project members(including project manager, designer, engineer, and marketer). The present study utilized data obtained mainly from a database compiled by the Korea Investors Service-Financial Analysis System which provides comprehensive corporate and financial information on firms listed on the Korea Stock Exchange. A study population comprising 1,000 South Korean firms was obtained from this database. We selected 864 firms from the database, and the firms have experiences of new product development project. We collected a total of 162 responses, for a 18.8% response rate. After we excluded 14 questionnaire because of incomplete responses, a total of 148 questionnaire remained(final response rate: 17.1%). Working with a sample of 148 responses in South Korea, hierarchical moderated regression is employed to test research hypotheses(

The relationship between promotion focus and creativity of marketing organization,

The relationship between prevention focus and creativity of marketing organization,

The moderating effect of joint influences(interaction between financial rewards and creativity training) on the relationship between promotion focus creativity of marketing organization,

The moderating effect of joint influences(interaction between financial rewards and creativity training) on the relationship between prevention focus creativity of marketing organization). SPSS 18.0 and AMOS software were used in the data analysis. Results - The empirical study confirmed that promotion focus of marketing organization is positively related to creativity of marketing organization. Also, prevention focus of marketing organization is positively affected to creativity of marketing organization. In addition, the interaction between financial rewards and creativity training moderated the relationship between regularity focus(e.g.), promotion focus vs prevention focus) and creativity of marketing organization. These results suggest that managers can improve the performances of their creative efforts by providing the use of financial rewards and creativity training in combination. Conclusion - Based on results of this study that examine the effects of regulatory focused creative efforts on creativity of marketing organization, promotion focus is helpful with marketing organizations to enhance their service innovation and performance. Prevention focused organization should allow monetary rewards and creativity training to increase their creativity for innovation of new products.

• Journal of Digital Convergence
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• v.7 no.4
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• pp.117-125
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• 2009

Information and computer technology(ICT) readiness in SME(small and medium enterprises) in globalized digital world get much attention due to its capability to reach broader customers and to personalized the products to the clients. The purpose of this study is to compare the readiness of ICT capabilities in SME between Korean firms operated in Qingdao China and Incheon, South Korea. The results of the study are presented and the implication of this comparative research is discussed. It is hoped that the finding of the research would be beneficial to academian and practitioners in China and South Korea.

• Journal of Global Scholars of Marketing Science
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• v.18 no.4
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• pp.277-306
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• 2008

Knowledge1 is considered to be a key element of understanding how organizations gain and sustain competitive advantages. But very few firms are capable of creating the requisite knowledge and thus, firms should acquire and exploit new knowledge through knowledge transfer processes. The empirical part of this study involves examining relationships among adaptability of knowledge and knowledge transfer and marketing performance and testing the moderating roles of absorptive capacity, socialization and local marketing knowledge. This study is organized as follows: (1) Previous literature on knowledge, knowledge transfer and absorptive capacity is summarized, followed by the development of hypotheses derived from the knowledge-based view and absorptive capacity. (2) The hypotheses are tested with data collected from MNCs' subsidiaries performing marketing activities in Korea.Thestudyisclosedwithfindings,implications,andconclusions. Following six research hypotheses are drawn from literature review in related areas: H1: Adaptability of knowledge transferred from the MNCs' headquarters and other subsidiaries is positively associated with knowledge inflows into the receiving subsidiary. H2: The level of marketing knowledge transferred from the MNCs' headquarters and other subsidiaries is positively associated with marketing performance of the receiving subsidiary. H3: Increases in potential absorptive capacity will enhance the relationship between adaptability of knowledge and the level of marketing knowledge transfer. H4: Increases in realized absorptive capacity will enhance the relationship between the level of knowledge transfer and marketing performance of the receiving subsidiary. H5: Increases in socialization activity among the headquarters and subsidiaries will enhance the relationship between adaptability of knowledge and the level of marketing knowledge transfer. H6: Increases in the level of locally developed marketing knowledge will enhance the relationship between the level of knowledge transfer and marketing performance of the receiving subsidiary. The research framework that illustrates the proposed hypotheses is presented in figure 1. The unit of analysis for this study is knowledge transfer from the MNCs' headquarters and other subsidiaries to their subsidiaries operating in South Korea. The population for this study consists of subsidiaries established either as joint ventures or as wholly-owned subsidiaries. A group of 603 foreign firms were drawn from diverse industry organizations and business societies. After personal contact, telephone, fax, and e-mail to request that the respondents complete the questionnaire, 282 valid questionnaires from 133 initial sample companies were collected. The results of the empirical analyses significantly support all of the proposed hypotheses except hypothesis 3. Adaptability of external knowledge promotes knowledge transfer and the relationship is moderated by a firm's potential knowledge absorptive capacity. On the other hand, knowledge transfer improves a firm's marketing performance and a firm's realized knowledge absorptive capacity and local marketing knowledge moderate the relationship. The theoretical and practical implications of the findings in this study are as follows: (1) firms must take seeking, transferring, sharing and exploiting of external knowledge into serious consideration, while simultaneously creating knowledge to support the necessary business operations, remain competitive, and achieve superior performance. (2) Firms should continuously seek to develop their knowledge absorptive capacity (both potential and realized capacity) to absorb, learn and utilize valuable external knowledge. (3) Firms should emphasize not only absorptive capacity, but also development of local knowledge. Firms with strong absorptive capability and local knowledge can learn and transfer more external knowledge, which can be translated into greater levels of competence and performance.

• KSII Transactions on Internet and Information Systems (TIIS)
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• v.16 no.2
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• pp.587-608
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• 2022

The European Union recently established the General Data Protection Regulation (GDPR) for secure data use and personal information protection. Inspired by this, South Korea revised their Personal Information Protection Act, the Act on Promotion of Information and Communications Network Utilization and Information Protection, and the Credit Information Use and Protection Act, collectively known as the "Three Data Bills," which prescribe safe personal information use based on pseudonymous data processing. Based on these bills, the personal data store (PDS) has received attention because it utilizes the MyData service, which actively manages and controls personal information based on the approval of individuals, and it practically ensures their rights to informational self-determination. Various types of PDS models have been developed by several countries (e.g., the US, Europe, and Japan) and global platform firms. The South Korean government has now initiated MyData service projects for personal information use in the financial field, focusing on personal credit information management. There is also a need to verify the efficacy of this service in diverse fields (e.g., medical). However, despite the increased attention, existing MyData models and frameworks do not satisfy security requirements of ensured traceability, transparency, and distributed authentication for personal information use. This study analyzes primary PDS models and compares them to an internationally standardized framework for personal information security with guidelines on MyData so that a proper PDS model can be proposed for South Korea.

• Journal of the Korean Operations Research and Management Science Society
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• v.38 no.4
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• pp.95-112
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• 2013

Information system (IS) security continues to present a challenge for firms. Especially, IT security accident is recently taking place successively in the financial sector. Thus, a comprehensive measure on this is demanded. A large part of a research on security relies upon technical design in nature and is restrictive in a consideration of person and organizational issue. To achieve a goal of firm security, it is possible with an effort of organizational management and supervision for maintaining the technical and procedural status. Based on a theory of accountability, we propose that the security countermeasures of organization lead to an increase in accountability and reduction in risk of IT security in a financial firm and further to firm performance like promotion in firm reliability. In addition, we investigate which difference a theoretical model shows by comparison between South Korean and American financial firms. As a result of analysis, it found that South Korea and America have significant difference, but that a measure on the financing IT security is important for both countries. We aim to enhance interpretability of a research on security by comparatively analysis between countries and conducting a study focus on specific firm called financial business. Our study suggest new theoretical framework to a research of security and provide guideline on design of security to financial firm.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.9 no.6
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• pp.101-108
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• 2014

The creation of new venture firm has been regarded as a key of creating more job opportunities and discovering new value engines for various industries. It is positively expected that venture capitals play an important role of supporting the process. Nevertheless, there is a scant of research efforts to analyze empirical data for understanding cross-correlations between investment of venture capital and new venture foundation. To fill the gap, this study investigated sets of time-series data from 1998 to 2014 in the context of South Korean economy. The results reveal that venture capitals have contributed significantly to the quantitative increase of venture firms. In addition, the findings show that the creation of new venture fails to yield a direct impact on resolving young unemployment problems in short term. The paper contributes to the research community on new venture foundation by providing insightful views.