• Proceedings of the Korean Operations and Management Science Society Conference
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• 2002.05a
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• pp.378-384
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• 2002

In this paper, we propose a mixed integer optimization approach for solving the inventory problem with variable lead time, reorder point, crashing cost and price -quantity discount. Chang and Chang[15] study a continuous review inventory model in which lead time is a decision variable under price-quantity discount. However, their study cannot find the optimal solution due to the flaws in the modeling and the solution procedure. We present a complete procedure to find the optimal solution for the model. In addition to the above contribution, we also apply the minimax distribution free approach to the model to devise a practical procedure which can be used without specific information on demand distribution.

• Journal of Distribution Science
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• v.14 no.2
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• pp.123-133
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• 2016

Purpose - Understanding how service convenience drives shopping performance is imperative for retailers such as department and large discount stores. Retailers have to enhance shopping productivity by reducing the costs of shopping, as convenience triggers customers' perceived shopping value, leading to customer satisfaction, and ultimately patronage behavior. Consumers, generally considering time as a scarce resource, are more sensitive to the time costs of tasks in regard to shopping trip, differently from forming perceptions of convenience in time orientation. Therefore, this study attempts to examine the moderating effects of consumers' time orientation on the relationships among service convenience of retailers and shopping performances such as shopping value and service performances. Research design, data, and methodology - The department and discount store chains were chosen as the point of analysis in this study. Data were collected from a survey of real-life consumers and all respondents were screened to ensure only those who had visited in the department and discount store chains within past six month prior to the day of data collection. Out of 600 self-reported surveys that were distributed, a total of 530 responses were returned and after excluding 20 incomplete responses, the final sample size was 510. The three hypotheses were proposed and tested in this study. The one hypothesis was on the moderating effects of time orientation for the effects of service convenience on shopping value (hedonic and utilitarian shopping value). The other two hypotheses were on the comparisons between high and low time-oriented customers with the effects in shopping value from service performance. Hierarchical moderated regression analysis was used to test the hypotheses. Results - The results suggest that the effect of service convenience on utilitarian shopping value and the positive effect of utilitarian shopping value on customer satisfaction are greater in low time orientation than high time orientation customers. Conversely, when customers are highly oriented toward time, the effects of hedonic shopping value on customer satisfaction and revisit intention are greater than for customers who are lowly oriented toward time. Conclusions - This study has two-fold significance. First, this study contributes to the consumer behavior and services marketing literature by incorporating customers' time orientation into the service convenience-shopping performance. Although the effect of service convenience on shopping performance might differ from customers' perceptions concerning shopping, there has been little investigation or comparison between customers' perception on time. This study is a first attempt to consider how the effects of service convenience on shopping value and service performance vary with differing levels of customers' time orientation. This study advances prior studies by showing that the service convenience-shopping value and service convenience-service performance relationships vary across different combinations of the customer's time orientation. The findings of this study suggest that the retailers need to enhance the experiential aspects of the stores for their high time-oriented customers. Conversely, for the low time-oriented customers, the retailers should boost the visual distinctiveness and ease of store navigation.

• Journal of Global Scholars of Marketing Science
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• v.19 no.2
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• pp.53-67
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• 2009

For the last decades, service quality has been studied as one of the most important tools for a service company to compete with the other companies. Based on these past researches, it has been agreed that the service quality is a basic and powerful tool to create the competitive advantage. Due to similar reason, many service marketing practitioners have been also focused on the service quality to retain the existing consumers and collect the new consumers. However, service quality is subjectively perceived by individual consumers. Consumer evaluation of service quality can be different from each other. Especially consumers with one life-style may evaluate the service quality differently from the consumers with the other life-styles. Therefore we need to know whether there are differences in service quality perception on the categories of life-style. Life-style refers to a distinctive mode of living in its aggregate and broadest sense. It embodies the patterns that were developed and emerged from the dynamics of living in a society. Since the concept of life-style and its relationship to marketing was introduced in 1963 by William Lazer, methods of measuring the life-style and their application have been developed. Life-style has been usually used to segment the marketplace because it offers marketers a unique and important view of the market. When Life-style is combined with clustering methods, life-style segmentation can generate identifiable whole persons rather than isolated fragment. Life-style segmentation begins with people instead of products and classifies them into different life-style types, each characterized by a unique style of living based on a wide range of activities, interests, and opinions(Plummer, 1974). In this study we applies the life-style segmentation based on the AIO(Activities, Interests, and Opinions) to the consumers of the large discount stores. In Korea, the large discount store market has entered into maturity stage so that the market differentiation strategy is becoming a more critical issue to the marketing practitioners. One of the most important tools to differentiate from the competitors in large discount store market is continuously to provide service of better quality than competitors. This study tries to find answers about the following questions: 1) How can we categorize the consumer life-styles in the large discount store? 2) What are the characteristics of the categorized groups? 3) Are there any differences in service quality perception among the consumers with different life-styles 4) Are there any differences in consumer behavior among them in the large discount store? For the purpose, we collected survey data from consumers and analyzed the data with the SPSS package where we had $X^2$-test, factor analysis, ANOVA, MANOVA, and cluster analysis. The survey was made during one month in the April of 2008. Among the collected 306 copies of questionnaires, 281 copies were chosen as the effective samples for empirical analysis except 25 copies with wrong responses. To identify the life-style patterns, we used the measures employed by Kim and Kwon(1999), where 44 items on a seven-point scale were used to measure factors of the life-style patterns. The Principal Component Method was used for factor extraction, and the VARIMAX orthogonal factor rotation was employed. The 7 items showing low factor loading were eliminated. The results of the factor analysis suggested that nine factors of the life-style patterns were identified as follows: 1) the equality-of-sexes and pursuit-of-independence tendency 2) self-management tendency 3) sociable tendency 4) self-display tendency 5) degree of a dilettante life 6) pursuit-of-information tendency 7) bargain hunter tendency 8) TV preference tendency 9) pursuit-of-leisure tendency. Next, after the K-means cluster analysis was performed with nine factors of the life-style patterns, the life-styles of the respondents were classified into four groups which are named as the 'progressive practicality-oriented group', 'positive success-oriented group', 'sociable ostentation-oriented group', 'stable conservation-oriented group'. The analysis results for usage behavior between the market segments showed statistically significant differences in the frequency of usage, duration time in the store, consumer satisfaction, and loyalty. Also, we tried to investigate whether the large discount store consumers differently perceive the quality of service based upon the types of life-style. To measure the service quality of large discount store, we adapted several measurement models measuring the service quality such as SERVPERF, BCP, R-SERVPERF, R-BCP. MANOVA and One-Way ANOVA were performed to confirm the difference in service quality perception based on the market segments. The results have also shown significant differences between life-style types in service quality perception. These findings show that the large discount store marketers should consider consumer life-style as one of the most important market segments for marketing and understand the difference in service quality perception between life-style types. Our findings give important implications to marketers of large discount stores as well as life-style researchers. First, this study showed there were significant differences in consumer's service quality perception and usage behavior between the types of life-style. It provides evidence that the life-style approach can be a important basis in segmenting the large discount store market and will make consumers perceive the service quality high. Second, most previous researches on service quality have been in aggregate level. However, our results imply that the future research on service quality have to focus on segment level.

• Journal of the Korean Operations Research and Management Science Society
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• v.30 no.3
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• pp.17-39
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• 2005

The coordination of a three-level supply chain consisting of a supplier, a retailer, and a discount outlet (DCO) is studied here. We assume that the product is sold in two consecutive periods a Normal Sales Period (NSP) and a subsequent Clearance Salvage Period (CSP). A benchmark case is studied Initially in which the supply chain is coordinated by a s1n91e agent. Thus, the supplier the retailer, and the discount outlet design a common system that allows centralized decision making about stocking quantities, markdown time schedules, and policies on disposing of leftovers to deliver the greatest possible expected supply chain profit. Next, we consider a decentralized supply chain. Here, decisions are made without coordination. The objective is to maximize an individual party's expected profits. The focus of the study is on the following questions: what factors make the coordination an effective approach for the supply chain? How do we coordinate the supply chain so as to maximize the supply chain Joint expected profit? These and other related study issues are explored in this paper.

• Korean Journal of Construction Engineering and Management
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• v.6 no.2 s.24
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• pp.111-119
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• 2005

Although the life-spans of most apartment buildings are over fifty years, they are often demolished and retrofitted only after twenty years, in spite of its remaining life expectancy, resulting in economical waste. The purpose of this paper is to estimate optimum remodeling period of apartment buildings using total cost. In this study it is seen that total sum of running cost of life-span on the buildings is about 4.69 times of initial cost till the fifty years of the life expectancy. The optimum remodeling period of the apartment building is thirty years applying the discount rate of $4.17\%$ and the discount rate should be $6.122\%$ to obtain the forty years of the optimum remodeling period. From the sensitivity analysis based on the change of the discount rates, it is seen that if discount rate decreases the optimum remodeling period can be extended, or vice versa. As a result, a time of the demolished and remodeling can be expected and the basic data can also be established for lengthening life-span of the apartment buildings.

• Fire Science and Engineering
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• v.31 no.6
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• pp.53-59
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• 2017

The purpose of this study is to verify the suitability of the current standards by predicting the density of the occupant load density for discount stores. An internal data survey as well as an actual survey using a People Counting System (PCS) were employed to ascertain the number of occupants and 95% confidence interval of nationwide discount stores. According to the results of the actual survey, the time and days on which the maximum number of occupants were reached was from 16:00 to 18:00 and Christmas Eve and the weekend before New Year's Day, respectively. From the results of the maximum number of occupants, a regression equation was derived from the relationship between the internal data and the amount of sales, and this equation was verified in a previous study. Thus, the internal data of 50 discount stores were analyzed using this process. As a result, the 95% confidence interval was determined to be $2.7{\sim}2.9m^2/pers.$ and the error level was not large compared to the domestic and foreign standards. Therefore, this study proposes that a conservative estimate of the standard occupant load density for discount stores is $2.7m^2/pers.$

• Journal of the Chungcheong Mathematical Society
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• v.34 no.2
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• pp.169-180
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• 2021

This paper investigates the time-inconsistent agent's optimal consumption and investment problem under inflation risk. The agents' discount factor is governed by hyperbolic discounting, which has a random time to change. We impose the inflation risk which plays a crucial role in long-term financial planning. We derive the semi-analytic solution to the problem of sophisticated agents when the time horizon is finite.

• Journal of the Korea Society of Computer and Information
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• v.15 no.3
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• pp.121-128
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• 2010

Whenever and wherever, recognizing location of object such as human as well as things, ubiquitous Location-Based Service which provides useful service based on this are rising as an important service. In this paper, we implemented customized real time 1:1 e-CRM system that can communicate with user's mobile phone through using Location-Based Service of mobile phone. Among various scenarios that are applicable to designed system, development and test were conducted based on scenario that provides shopping information and discount information to customers through SMS as they approach to vicinity of large discount store and allow them to download discount coupons through Call Back. The suggested system will be applied to various service event and can be used as a customized real time marketing method according to user's personal activity area.

• Journal of the Chungcheong Mathematical Society
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• v.32 no.2
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• pp.215-224
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• 2019

We investigate the optimal consumption and investment decision problem of an agent whose time preference is time-inconsistent. Specifically, for a time-separable utility function, the agent's subjective discount factor is supposed to be changed randomly in the future. We provide closed-form solutions in the presence of income process. The method can be extended into the case with a stochastic income process.

• Proceedings of the Society of Korea Industrial and System Engineering Conference
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• 2002.05a
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• pp.343-348
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• 2002

We are concerned with a long-term replenishment contract for the ARIMA demand process in a supply chain. The chain is composed of one supplier, one buyer and consumers for a product. The replenishment contract is based upon the well-known (s, Q) policy but allows us to contract future replenishments at a time with a price discount. Due to the larger forecast error of future demand, the buyer should keep a higher level of safety stock to provide the same level of service as the usual (s, Q) policy. However, the buyer can reduce his purchase cost by ordering a larger quantity at a discounted price. Hence, there exists a trade-off between the price discount and the inventory holding cost. For the ARIMA demand process, we present a model for the contract and an algorithm to find the number of the future replenishments. Numerical experiments show that the proposed algorithm is efficient and accurate.