• East Asian Economic Review
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• v.16 no.2
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• pp.139-154
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• 2012

This paper provides a theoretical setup for an analysis of strategic relationships inherent to activities of an innovative multinational enterprise (MNE) and a local company in a host country. Additionally, we explore the incentives of the host country's government to provide subsidies to attract foreign direct investment (FDI) and to protect outcomes of R&D activities conducted by the MNE. We show that the MNE's commercial interests may collide with local companies' over protection of IPRs. Therefore, the extent of knowledge spillovers from the MNE to the local company and the magnitude of incentives to the MNE perform a crucial function in determining the optimal policy mix of IPR protection and FDI subsidies of the host country's government.

• KDI Journal of Economic Policy
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• v.43 no.2
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• pp.103-123
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• 2021

This paper examines the impact of the regional cash subsidies which were granted in some districts in addition to the national universal stimulus payment in South Korea related to the COVID-19 pandemic. We evaluate the effects of the cash distribution per resident on aggregate credit and debit card sales and sales by industry using the difference-in-difference method. The increment in card spending due to the cash subsidy is about 1.58%p in total, and this effect is concentrated within a single month. The consumption stimulating effect is prominent among (semi)-durable goods that do not require close interactions between customers and sellers. In contrast, the effect is relatively small in the high-contact face-to-face service sectors and restaurants, areas the COVID-19 pandemic hit directly. On the other hand, some service sectors where customers could wear face masks, such as education and fitness, experienced a substantial sales boost due to the cash subsidy.

• Asia pacific journal of information systems
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• v.33 no.2
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• pp.444-467
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• 2023

Micro, small, and medium-sized enterprises (MSMEs) have been acknowledged to play a key role in promoting innovation and economic development. In Peru, 99.5% of formal firms are MSMEs, thus promoting innovation in these firms could have a significant impact on the Peruvian economy. In spite of Innovate Peru's efforts, Peru is still one of the countries that invests the least in innovation, with MSMEs offering low value added. Innovate Peru has launched programs (technological missions) to improve MSMEs' innovation through technology-transfer-oriented subsidies, which may strengthen companies' absorptive capacity (AC) and thus their capabilities to identify and integrate internal and external knowledge. This study assesses the impact of these programs on MSMEs. Data were collected from 85 MSMEs that participated in Innovate Peru's technological missions between 2014 and 2016. Findings show that all the dimensions of AC have a positive impact on innovation; however, the impact of economic subsidy was found to be non-significant. Theoretical and practical implications are discussed.

• Journal of Korean Society of Rural Planning
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• v.14 no.4
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• pp.57-67
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• 2008

The Direct Payment Program for Rural Landscape Conservation (DPPRLC), introduced by the Korean government, currently offers subsidies to rural villages to encourage the growing of flower crops or wild flowers instead of common grain. However, in many of these villages, major landscape elements like walls and roofs of houses are built with cheap, urban materials, and kept in poor condition. This is a poor reflection of the DPPRLC goal to improve the aesthetic of korean rural landscape. This study surveyed and analyzed traditional style walls and roofs in ten selected villages taking part in the DPPRLC program. Villagers were interviewed for a proposed direct payment program for building and maintaining traditional walls and roofs. Major findings are: First, more than 86% of residents are willing to build and maintain traditional walls if subsidies are given. They would like to be reimbursed 75% to 100% of construction and maintenance costs. Second, about 64% of residents would be willing to build and maintain traditional roofs with the subsidies. They also would like to receive 75% to 100% of construction and maintenance costs. The policy implication of this study is that extending the DPPRLC program to include walls and roofs in rural villages will make rural landscape more attractive.

• Journal of Distribution Science
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• v.16 no.4
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• pp.67-74
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• 2018

Purpose - Most of the amendments to the law on the improvement of the distribution structure of mobile communication terminal equipment, the fully self-sufficient system of terminals, and the separated disclosure system on the terminals are aimed at securing transparency of the distribution structure by eliminating or reducing handset subsidies. This study investigates what items are important for the purchase of mobile phones in various and rapidly changing mobile phone markets from the consumer's point of view and tries to make a strategic suggestion for future mobile distribution strategies. Research design, data, and methodology - The procedure of this study takes place in four steps. In step 1, only the SF type respondents selected for this study were extracted through MBTI analysis. In step 2, they were divided into three hierarchies for the AHP analysis and each element was arranged. In step 3, the AHP analysis was converted to a Fuzzy-AHP number using the trigonometric centroid method. This was to eliminate the ambiguity of the response by converting into a fuzzy number even if data consistency was maintained with CI value below 0.1. In step 4, the number of converted 2-layer and 3-layer was combined to derive the priority when the final handset is selected. Results - First, the highest importance among the four items in the second tier was the terminal function item, followed by brand, price, and design item. Second, in the third tier, the highest importance was level of after-sales service, followed by device price, processing speed, ease of use, usefulness, and rate system. Third, the arithmetic average of the determinant of the fuzzy function showed that processing speed, ease of use and usefulness in the function item, level of after-sales service in the brand item, and device price in the price item were the five most important factors among 16 choice factors. Conclusions - First, there will be a change in the consumption patterns of consumers who have compared distributors and dealers to purchase handsets with more subsidies. Second, it is highly likely that people will purchase new handsets only when they need to change their devices because they can not receive subsidies by switching phone brands any more.

• Journal of Distribution Science
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• v.15 no.12
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• pp.53-60
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• 2017

Purpose - This paper analyzes the effect of the handset subsidy and the Mobile Number Portability subscriber subsidy regulation, which are the main regulation adopted in "Law on the Improvement of the Mobile Terminal Distribution System" (Mobile Terminal Distribution Act), on the social surplus, the consumer surplus and profits of telecommunications carriers. We focus our analysis on whether the service charge competition is stimulated enough so that it can compensate for the loss of subsidies. Research design, data, and methodology - We use simple economic model to assess the impact of the handset subsidy and the Mobile Number Portability subscriber subsidy regulation. Unlike the former researches on this topic, we depart from using Hotelling model, and instead use the switching cost model, which uses switching cost as a parameter of market powers of telecommunications carriers. We also study the effect of the two different regulations when they are adopted both independently and concurrently. Results - If the market powers of telecommunications carriers are over certain threshold, contrary to the regulatory agency's assertion, the service charge competition would not be stimulated enough to compensate for the deduction in the subsidies, and thus the consumer surplus is compromised. Number Portability subsidy, especially, undermines the rival's market power and thus reduces the service charge. On the other hand, the regulations will also increase the profits of telecommunications carriers. However, social surplus is maximized when both of the regulations are present because the regulations reduces the frequency of switching handsets inefficiently. Conclusions - In enacting the Mobile Terminal Distribution Act, the telecommunications regulatory agency asserted that the regulation on subsidies will stimulate service charge competition, and in the long run, enhance the consumer surplus. However, contrary to the regulatory agency's assertion, subsidy regulation, especially the regulation on Number Portability subsidy, reduces consumer surplus. On the other hand, the Mobile Terminal Distribution Act can also increase the profits of telecommunications carriers because it decreases competition among the telecommunications carriers. However, the Mobile Terminal Distribution Act can increase the social surplus because it reduces inefficient switching of handsets.

• Health Policy and Management
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• v.11 no.1
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• pp.107-130
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• 2001

During the last year, we had a very severe situation with the strike of physicians working in medical facilities. From that time, many politicians and scholars insisted on the expansion of public hospitals to enhance the public role in the medical care sector. They think that private medical facilities work for profit motivation and that the high proportion of private to whole facilities is an obstacle to the public function of medical care under social insurance system. They found that one of the reasons for failing to prevent the physicians' strike was the high proportion of private facilities. Others insisted that the strike was not a good reason for the expansion of public hospitals. The physicians' strike was a very rare case, and it is not a good basis for generalization of the discussion of public hospitals. Last year almost all apprentice physicians in public facilities took part in the strike, and consequently the public hospitals also lost the role of public function. They view this increasing involvement of government in the medical sector as improper and the cause of inefficiencies. In this paper we review the debate over the expansion of public facilities. To clarify the debate, we review traditional criteria for the role of government in a market system and to apply these criteria to medical care. There are two traditional areas where government Is acknowledged to have a role in a market system: market imperfections and market failure. Where market imperfections and market failure exist, there may be a role for government. The justifications for government intervention are consumer protection and the existence of externalities. One of externalities is to provide medical care for the poor. The appropriate measures to provide medical owe to the poor can be sought in both demand and supply side subsidies. National health insurance is a method of demand subsidies and establishment of public hospitals is a method of supply side subsidies. Under the National Health Insurance System, the expansion of public hospitals is not an appropriate subsidy policy.

• Journal of Nutrition and Health
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• v.36 no.10
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• pp.1083-1093
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• 2003

Efficient financial management is a critical factor in achieving school foodservice goals. The objective of this study was to suggest efficient financial management practices in secondary school foodservices. In pursuit of this objective, we first identified performance indexes for measuring the success of financial management. Second, we suggested financial management standards, financial data classification methods and a report system. Last, we analyzed operating ratios with the financial data of self-operated and contract-managed school food services. The data were collected through an open-ended questionnaire from 10 middle/high school foodservices in Seoul and Kyeonggi Provincial during on-sites visits and interviews with dieticians and managers. Student participation, sales goals, re-contract frequency and number and cost of disaster loss were identified as the performance indexes for financial management. Income statements were compiled by identifying and classifying financial data. Total revenues consisted of subsidies, meal sales, other revenue and interest. Expenditures consisted of purchased food, salaries and wages, utility costs, office supplies, kitchen supplies, purchased services, company overhead indirect costs, facility investment and maintenance, facility usage expenses, employee benefits and miscellaneous. Mean price of a meal was 2,326 won at self-operated foodservices when the subsidies were included as revenues and 2,360 won at contract-managed foodservices. When including the subsidies as revenues, the operating ratios of self-operated foodservice showed that the food cost percentage was 66.9％, labor cost 23.2％, operation cost 9.9％ and profit 0％. The correspond figures at contract-managed foodservices were 57.6％, 21.5％, 15.3％, and 5.5％, respectively. Food costs in self-operated foodservices was significantly higher than that for contract-managed foodservices, however, facility investment and maintenance and facility usage expenses at self-operated foodservices was significantly lower than those for contract-managed foodservices. Based on this study, the methodology and classification system of financial data was found to be applicable to assess the financial structure of school foodservices.

• Analyses & Alternatives
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• v.5 no.2
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• pp.39-76
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• 2021

This article examines the effect of CEO's political connections on firm performance in Chinese private firms. Following the upper echelon theory and human capital theory, CEO's personal characteristics affect the strategic decision-making of the firm, and it is also firm-specific advantages that work as the human capital for the sustainable growth of the firm. In this regard, this article tries to empirically confirm whether CEO's political connections have positive effects on firm performance as the firm's human capital by dividing the Chinese local governments, which is a direct subject of political connections hierarchically. In addition, this research examines the mediating effects of government subsidies between political connections and firm performance. To verify these questions, we use a sample of 9,849 observations of 1,451 private firms listed on the Shanghai and Shenzhen stock exchanges from 2008 to 2016, the results show that the CEO's political connections are positively related to firm performance. Moreover, we find that only political connections with the provincial local government had a positive effect on firm performance. It indicates that values and influences of human capital held by CEOs only affect when they are related to the highest local government. Finally, when CEOs have political connections with city-level, it shows complete mediating effect. It provides empirical evidence to find that CEO's political connections affect firm performance as the results of non-market strategic of firms.

• Journal of The Korean Society of Integrative Medicine
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• v.10 no.2
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• pp.155-167
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• 2022

Purpose : Accumulation of accurate data regarding the use and adequacy of subsidies is important to provide optimal development rehabilitation services. However, no reports have discussed the status regarding the use and adequacy of subsidies available for motor development rehabilitation as a part of development rehabilitation services in children and adolescents with cerebral palsy. In this study, we investigated the current use and subsidy adequacy of motor development rehabilitation as an essential part of development rehabilitation services in children and adolescents with cerebral palsy. Methods : The study included parents of children and adolescents with cerebral palsy, who underwent motor development rehabilitation of development rehabilitation services (n=148). The participants were administered a questionnaire to investigate the current use and subsidy adequacy of the motor development rehabilitation part of development rehabilitation services. Results : Most respondents indicated that 310,000-410,000 /month was an appropriate subsidy and agreed that the subsidy should be extended to adults with cerebral palsy. We observed a significant difference in the appropriate subsidy based on age groups (p=.029), as well as type of development rehabilitation service most needed (p=.005) and whether or not agree to extend the subsidy to adults according to gross motor function classification system level (p=.015). There were significant relations of appropriate subsidy (p<.001) and appropriateness of copay (p=.004) according to degree of transportation cost burden. Moreover, there were significant relations of appropriateness of current subsidy (p=.015) and appropriate subsidy (p<.001) according to degree of inconvenience of using transportation. Conclusion : This study highlights the need to increase subsidies for motor development rehabilitation of development rehabilitation services and that the subsidy should be determined based on the burden of transportation costs and the inconvenience of using transportation. Development rehabilitation service for adults with cerebral palsy should also be supported.