• Korean Management Science Review
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• v.22 no.2
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• pp.35-49
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• 2005

When new services are introduced, interaction among existing and new services has to be considered. The interaction can be characterized by the substitution or complementary effect among services. This paper analyzes how the interaction among services affects the customers' subscription decision in telecommunication services industry. Based on a face-to-face in-depth survey from a sample of 1,200 respondents, a new wireless internet access service or WiBro is analyzed to identify the substitution/complementary effect in relation to the existing other telecommunication services. Additionally, the important factors explaining both customers' subscription and substitution decisions are identified. The analysis results indicate that males and students are more likely to subscribe WIBro service. Interestingly, family size positively affects the subscription decision. However, heavy users of on-line game are reluctant to subscribe WiBro service. Among the potential WiBro subscribers, the customers who are less satisfied with the existing fixed line broadband internet access service are more likely to stop subscribing the fixed line service, which implies substitution by a new service. We believe that the consideration of the interactions among services is essential to devise a winning strategy for the new services in the highly uncertain telecommunications business environment.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 2004.10a
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• pp.304-316
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• 2004

When new services are introduced, one of the drivers for market performance of them is the interactions among existing and new services. They are characterized by the substitution or complementary effects among existing and new service or the cannibalization of existing services by new services. This paper analyzes these issues in the telecommunications service industry context. To analyze them, a simple graphical tool or State Transition Diagram(STD) is developed and used. The diagram helps to clearly represent and explain the substitution, complement and cannibalization impact. Then, using the face-to-face survey of 1,200 people, a new wireless internet access service or WiBro is analyzed to identify the substitution/complement and cannibalization impacts in relation with the other competing services. Additionally, the important factors explaining customer subscription and substitution behavior are identified. The analysis results indicate that males, students or on-line game users are more likely to subscribe WiBro. Also, among the potential WiBro subscribers, customers who are less satisfied with the existing fixed line broadband internet access services are more likely to stop subscribing the fixed line service, which implies substitution by a new service. Additionally, this raises the issue of cannibalization if the existing and new services are provided by the same company. In fact we find the cannibalization effect is more serious for the cost sensitive group. We believe that our tool, approach, analysis results and their implications would be very helpful to devise a winning strategy for the new services in the highly uncertain telecommunications business environment.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.34 no.4
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• pp.120-128
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• 2011

Recent development of communication technology and evolution of telecommunications services, various needs of users are giving Telecom operators difficulties in discovering new services and its promotion strategies. In addition, at the launching of new services, if carriers does not consider complementary and substitution relationships with competing services or self-encroachment problem with the existing service profitability is reduced or lost in the current market. In this study, by analyzing usage pattern of telecommunications services respect to changes in supply and demand environment, the complementarity/substitutability analysis and systematic analytical framework is proposed. This study proposes approaches to establish mobile operators' business strategies and to identify new services demand.

• BMB Reports
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• v.49 no.3
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• pp.135-136
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• 2016

Small interfering RNAs (siRNAs) have been developed to intentionally repress a specific gene expression by directing RNA-induced silencing complex (RISC), mimicking the endogenous gene silencer, microRNAs (miRNAs). Although siRNA is designed to be perfectly complementary to an intended target mRNA, it also suppresses hundreds of off-targets by the way that miRNAs recognize targets. Until now, there is no efficient way to avoid such off-target repression, although the mode of miRNA-like interaction has been proposed. Rationally based on the model called "transitional nucleation" which pre-requires base-pairs from position 2 to the pivot (position 6) with targets, we developed a simple chemical modification which completely eliminates miRNA-like off-target repression (0%), achieved by substituting a nucleotide in pivot with abasic spacers (dSpacer or C3 spacer), which potentially destabilize the transitional nucleation. Furthermore, by alleviating steric hindrance in the complex with Argonaute (Ago), abasic pivot substitution also preserves near-perfect on-target activity (∼80-100%). Abasic pivot substitution offers a general means of harnessing target specificity of siRNAs to experimental and clinical applications where misleading and deleterious phenotypes from off-target repression must be considered.

• Bulletin of the Korean Chemical Society
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• v.35 no.10
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• pp.3009-3014
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• 2014

A palladium-catalyzed C-H arylation reaction of nitroimidazoles and nitropyrazoles was developed using aryl bromides as arene donors. The electron-withdrawing effect of the nitro group allows for direct C-H arylation reactions of the nitro diazoles with high regioselectivity under mild conditions. The new C-H arylation approach is thus complementary to nucleophilic substitution reactions, enabling the preparation of complex nitroazole compounds.

• Journal of the Korean Data and Information Science Society
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• v.22 no.1
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• pp.9-18
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• 2011

After the launch of PCS in 1997, the mobile telephone industry has achieved a remarkable growth in market share and sales, and substituted for long-distance wire communication market. This study investigates the interrelationships between the two markets in transition and attempts to perform the statistical tests if the diffusion of mobile telephone was the direct factor for the reduction in sales of long-distance communication industry. The evidence of the direct substitution effect between the two markets is not likely to be found. Unlike the general expectations, the test result seems to prove the sustained initial complementary relation for awhile.

• Korea Trade Review
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• v.43 no.2
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• pp.69-86
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• 2018

The paper studies the degree of international price dispersion for 300 individual goods and services between cities of three country groups over 1999 and 2013, focusing on the role of oil prices in generating deviations from the law of one price. We find that while oil prices did not contribute to the trend in cross-country price dispersion, it does account for within-country price dispersion. Once the oil price effect is subtracted out, the remaining price dispersion between U.S. cities no longer exhibits a noticeable upward trend. If oil prices increase transportation costs, they should increase the deviations from the law of one price, raising price dispersion. Our findings indicate that this effect is more pronounced within a country, while factors such as elasticity of substitution and other trade barriers are likely to matter more in price dispersion across borders. We view our results as complementary to those that emphasize the role of time-varying factors in accounting for price dispersion.

• Journal of Technology Innovation
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• v.24 no.3
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• pp.81-105
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• 2016

The purpose of this study is to estimate the cost-saving effect of R&D investment in the ICT industry. As is well known, the R&D investment induces both the product innovation and the process innovation, in turn leads the effect of creating profit and cutting cost. However, it appears that studies concerned with the cost-saving effect of R&D investment have been unproductive, while most existing studies concentrate on the topic involved with the creating profit of R&D investment. Therefore, we extend the effect of R&D investment to a framework of the cost-saving focusing on the ICT industry. To empirically analyze the effect, we built a simultaneous three-equation model comprising a translog cost function and two cost share equations, and employed the SUR analysis. As a result, we found out that the cost-saving effect on the total cost is statistically significant. In addition, we examined relationships between the R&D investment and each cost of production elements. The results show that on the one hand, the R&D investment and the intermediate good cost have the substitution relationship. On the other hand, the complementary relationship is observed between the R&D investment and each labor or capital cost.

• The Journal of Fisheries Business Administration
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• v.37 no.1 s.70
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• pp.45-71
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• 2006

The main objective of this study is to analyze problems of the Country of Origin Labeling(COOL) in small live fish(SLF) trade by applying the asymmetric information theory which is called ${\ulcorner}$Lemon Market Theory${\lrcorner}$. The purpose of importing SLF is to enhance fishing household income and import substitution effect as well. SLF importation is quite different in its nature from importing general fish and fish products for final/direct consumption. SLF are imported for the purpose of domestic aquaculture and naturalization where domestic production/supply of SLF is less than domestic demand for or such species are not native to Korean waters. Information asymmetric problems arise even in SLF trade as the same way in general goods and services. However, the information asymmetry issues in SLF trade are much more complex than non-living goods because SLF are traded in the live state. To alleviate such problems the Korean government initiated the general COOL scheme to imported SLF. However, many experts argues that such policy on SLF would not be appropriate because of SLF's very nature. Applying the lemon market theory, we can analyze how information discovery schemes are able to signal correct information to SLF trading parties and to result in more symmetric information in SLF trade markets. This research carried out a case study about small live eel(SLF) trade and its farming. The results showed that applying the COOL to small live eels just right upon coming into fish farms tends to increase substantially fish farmer's income and at the same time to lower unnecessary transaction costs. In particular, such transaction costs by imposing simply the general COOL on SLF may easily outweigh its benefits. For instance, to resolve the problems, the Korean ministry of agriculture and forestry(KMAF) has developed a quite different COOL rules from the general ones and has applied them to imported live cattle and medium/small livestocks. The KMAF's differentiated COOL policy on some imported livestocks may be a good case which can be applied to imported SLF. In addition to the differentiated COOL on SLF, Sanitary and Phytosanitary (SPS) and traceability system would play crucial complementary roles in alleviating information asymmetry problems in SLF trade. Advanced fisheries tend to strengthen their SPS system rather than to adopt the general comprehensive COOL schemes into imported SLF trades and domestic market exchanges.

• The Journal of Industrial Distribution & Business
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• v.10 no.1
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• pp.59-67
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• 2019

Purpose - The Millennial Generation, which grew in the wake of the spread of the Internet and rapid changes in the media environment, is rapidly moving from the traditional broadcasting environment to the Internet-broadcasting environment in terms of content acceptance. With the emergence of UGC (User-generated content), the change in the status of single-person content creators enables the growth of multi-channel networks (MCN), a new content-distribution platform and an agency concept for single creators. Youtube-based MCN produces multiple single star producers and casts and provides its own video series through Youtube. It is also emerging as a major M&A target for global media providers in terms of providing content to a wide range of consumers with the same interests and consumption characteristics. In addition, for the Millennials generation, which are part of their lives, MCN is becoming the most suitable media for TGIF (Twitter, Google, i-phone, Facebook). Accordingly, this study defines newly emerging MCNs and analyzes the factors for accepting MCN-produced content based on the push-pull-mooring (PPM) model. Research design, data, and methodology - An empirical analysis is performed through a questionnaire survey. For this purpose, 204 people who have experience of watching MCN were studied. Collected data is processed through analysis of a structural equation model using R to test the hypothesis. Results - For the MCN service to become an alternative to existing media, it is necessary to continuously promote cultural diversity and diversity of attempts that conventional media cannot provide. It is the attractiveness of the alternative that has the greatest influence on the intention to switch to a MCN service. When we look at MCN content so far, certain patterns such as game progress, introduction, food, and chat rooms have already appeared. We need to overcome this and develop a completely new conceptual content that we have never seen before. This requires a more generous viewer perception of the topics covered. For diversity, linguistic and verbal violence should be tolerant in common sense to provide a foundation for securing cultural diversity. Conclusions - In this study, we tried to develop a comprehensive approach to the substitution effect of MCN. In terms of academic achievement, the PPM model is used to enhance the utilization of media and broadcasting. Practical implications are to provide an analytical framework for verifying alternative or complementary effects when viewers switch to MCN.