• Industrial Engineering and Management Systems
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• v.3 no.2
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• pp.92-99
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• 2004

We consider the ATM switching node location problem (ANLP). In this problem, there are two kinds of facilities, hub facilities and remote facilities, with different capacities and installation costs. We are given a set of customers with each demand requirements, a set of candidate installation sites of facilities, and connection costs between facilities. We need to determine the locations to place facilities, the number of facilities for each selected location, the set of customers who are connected to each installed hub via installed remote facilities with minimum cost, while satisfying demand requirements of each customer. We formulate this problem as a general integer programming problem and solve it to optimality. In this paper, we present a preprocessing procedure to tighten the formulation and develop a branch-and-price algorithm. In the algorithm, we consider the integer knapsack problem as the column generation problem. Computational experiments show that the algorithm gives optimal solutions in a reasonable time.

• Asia pacific journal of information systems
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• v.23 no.1
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• pp.21-43
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• 2013

Internet vendors are gradually realizing the importance of "locking-in" online customers in order to ensure profitability. Erection of switching barriers increases customers'lock-in and in turn may result in their willingness to pay price-premium for the same service. However, raising customer lock-in online is difficult because search costs are very low. Therefore, this study examines the effect of switching barriers (customer satisfaction, perceived value and relative advantage) on switching costs and the effect of switching costs on customer's willingness to pay more. Since switching costs and consequent relationships may depend upon the type of product therefore the research model in this study is examined for both search products and experience products. Data is collected through an online survey from two websites (one each for search product and experience product). The empirical results show the key role of switching costs in customers' willingness to pay more and the relationships among the four constructs. The theoretical and practical implications of this study are also discussed.

• The Research Journal of the Costume Culture
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• v.15 no.3 s.68
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• pp.525-540
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• 2007

This study intended to construct the brand switching matrix in the Korean casual wear market and to analyze it in various aspects. 1,014 sample data were collected in Seoul area, a center of fashion retailing. Since the respondents cited over 200 brand names as their last 2 purchased casual wear brands, 15 most frequently-purchased brands were selected for constructing the brand switching matrix. As a result of the examination, it was founded that the brand loyalty was dominant rather than brand switching in the casual wear market. Polo was identified as the leading brand in the market. Its brand equity, which was comprised of brand recognition, brand preference (loyalty), perceived quality, and brand association, was evaluated very high. Especially, the strength of Polo was the consumer's strong preference and the brand image of simplicity, naturalness, and neatness. After combining 15 brands into 6 groups based on the style and price, additional interpretation was performed on this 'trend switching matrix.' A transition of fashion trend in casual wear was observed. Applying the brand switching matrix on fashion products gave us much insight to the market.

• Management Science and Financial Engineering
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• v.14 no.2
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• pp.105-118
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• 2008

There are many debates on the topic of the relationship between oil prices and economic growth. Through the repeated processes of conformations and contractions on the subject, two main issues are developed; one is how to define and drive oil shocks from oil prices, and the other is how to specify an econometric model to reflect the asymmetric relations between oil prices and output growth. The study, thus, introduces the unobserved component model to pick up the oil shocks and a first-order Markov switching model to reflect the asymmetric features. We finally employ unique oil shock variables from the stochastic trend components of oil prices and adapt four lags of the mean growth Markov Switching model. The results indicate that oil shocks exert more impact to recessionary state than expansionary state and the supply-side oil shocks are more persistent and significant than the demand-side shocks.

• Journal of the Korean Operations Research and Management Science Society
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• v.34 no.2
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• pp.55-75
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• 2009

Price discounts presupposing churn-in are important tools of competition in many industries such as mobile telecommunication services and newspaper. In this case, consumers can get discount only through changing the provider. For analyzing this kind of competitions, we should consider the incentive of utilizing iterative switching. Hence, in this paper, we consider multi-stage equilibrium and can find that equilibria are different from one stage discount. In particular, when consumers' decisions are for maximizing multi-stage utility, discounts can bring about churn-out as well as churn-in and firms lose the incentive of discounts.

• Culinary science and hospitality research
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• v.17 no.5
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• pp.139-153
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• 2011

The study is a hotel firm's brand evidence on the switching and relational performance by identifying a causal relationship to the differentiated and competitive was to provide useful information. Units of samples for evidence of brand switching hotels in Seoul participated in surveys customers in 2011, from June 10 to 20 July 2011 for a total of 500 copies for distribution and the Department of dual 408 with SPSS 18.0 and AMOS 18.0 Using factor analysis and reliability verification carried out, and presented research in order to test the hypothesis covariance structure analysis was performed. Analysis, employee services switching barriers and switching costs showed no significant affect. Switching barriers and switching costs, brand name, image congruence transition castle wall and switching costs, alternative attractiveness showed no significant visible results. And perceived price on switching barriers to conversion rates showed was significant affect. Second, switching barriers, switching costs, alternative attractiveness and that the relationship, to help conversion of non-financial performance showed no significant affect. Third, the practitioner services, brand names, images, match the castle there, and non-financial performance of the transition showing a statistically significant result was found.

• International Area Studies Review
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• v.12 no.3
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• pp.49-67
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• 2008

In this paper, we address the problem of optimal monetary policy rule in the presence of abrupt shifts in the structure of the economy. To do so, we first estimate a Markov switching model for the US housing price inflation, and find evidence supporting the presence of two distinct regimes for the US housing price inflation. One of the two regimes identified appears 'usual', in that housing price inflation negatively responds to higher real interest rate. The other regime is 'unusual', in that the housing price inflation is positively related with real interest rate. We then solve an optimal control problem of the FRB under the presence of the two regimes thus identified. The optimal policy is 'asymmetric' in that the optimal responses in the 'usual' regime require the FRB to lean against the wind to inflationary pressure, while the FRB is recommended to accommodate it in the unusual regime. It is also found that the optimal degree of responses is more conservative when the FRB acknowledges the uncertainty about future regime.

• Journal of Korean Society for Quality Management
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• v.44 no.4
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• pp.921-934
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• 2016

Purpose: The purpose of this study was to propose useful suggestions by explore the effects of the Mobile Telecommunication service quality on customer satisfaction and Customer Loyalty (Focus on Moderation effect of switching barrier) in Korea Mobile Telecommunication industry. Methods: After reviewing the literature, the structural eqation modeling(SEM) conducted by LISREL 8.53 test the research model. The data was collected from subscriber of mobile telecommunication service by the questionare in Korea. Results: The results of SEM show that Mobile Telecommunication Service Quality have a positive effect on customer satisfaction, and customer satisfaction also have a positive effect on customer loyalty. And switching barrier have a moderation effect between customer satisfaction and customer loyalty. Conclusion: Mobile Telecommunication Service Quality is highly related to Customer Satisfation and Customer Loyalty, so Mobile Telecomunication Company should improve Service Quality especially price-related service quality and process/ human- related service quality. And the company need to get higher the positive Switching Barriers in order to improve Customer Loyalty.

• Fashion & Textile Research Journal
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• v.15 no.5
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• pp.753-762
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• 2013

This study identifies meaningful factors that influence relationship switching intention and multi-channel use intention for department store customers. Two types of commitment (affective and calculative commitment) are proposed as mediators between satisfaction and behavioral intention. A web-based survey collected fashion product data from consumers who had a relationship with a department store. A total of 150 responses were analyzed by frequency analysis and reliability analysis, CFA, and SEM analysis with SPSS 18.0 and AMOS 18.0. Department store attributes were composed of four factors (product, salespersons, facilities and place, and price and promotion). Department store satisfaction was specified as a second order latent construct which was reflected in the satisfaction with the four department store attributes. Department store satisfaction had a significant negative influence on calculative commitment and a positive effect on affective commitment. Calculative commitment affected switching intention and affective commitment determined multichannel use intention. This study has implications for retail marketers that target fashion consumers and academics who research consumer behavior in retail settings. The most important result is that the affective commitment and the calculative commitment serve different functions. Department store managers need to make an increased effort to instigate an affective customer commitment in order to reduce switching intention.

• Journal of Digital Convergence
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• v.11 no.1
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• pp.199-209
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• 2013

This study empirically investigates how the switching barriers influence the consumer's perceived intention to change his or her current favorite internet shopping mall. Drawing from switching cost theory, variables pertaining to trust, shopping mall service quality, product price, web page quality, switching barriers were examined to examine the consumer's behavioral intention to switch to another shopping mall. The interaction effect of consumer involvement was also included in the research model. The results of the study report that customer satisfaction and switching cost influence shopping switching intention, while the effect of attractiveness of the shopping mall was not significant in the statistical analysis. Furthermore, a moderating effect of consumer involvement was not found significant in the PLS analysis. The study demonstrates the shopping mall owners try to increase the customer's overall satisfaction and raise the switching barrier by providing mileage advantages, for instance.