• The Journal of the Korea Contents Association
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• v.22 no.8
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• pp.159-169
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• 2022

The study explored the key factors(content satisfaction factor, functional satisfaction factor, inertia factor and situational factor) that influence OTT users' continued use from the perspective of Behavioral Economics. In addition to rational factors that make OTT users feel satisfied after experiencing the contents and functions by the platform, we assumed that it would also affect habitual factors from the 'status quo bias'. To verify this, an online survey was conducted on 523 adults in 20s and 40s who have subscribed to the Top3 OTT platform(Netflix, Wavve, and Tving). As a result of regression analysis, 'content satisfaction factor', 'functional satisfaction factor' and 'inertia factor' were significant in OTT continued use. 'Inertia factor' did not affect domestic OTT users. Unlike previous studies that supposed OTT service users as beings with complete rationality, this study is meaningful to explain OTT continued use by applying 'bounded rationality'.

• Journal of Service Research and Studies
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• v.4 no.1
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• pp.21-35
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• 2014

Many people have a social network service (SNS) by utilizing a variety of community activities, information sharing, and the creation of social networking. In terms of marketing academics view social networks between businesses and consumers in the new communication strategy, a new way to make them in terms of marketing a new business opportunity. That is, they are actively engaged in the various marketing activities targeting customers using SNS. According to H. A. Simon's needle theory, it is efficient to make a decision within the bounded rationality due to the difficulty of collecting data in decision-making as well as the inability to collect all information because of limited time and money. If the information or the informant can be trusted, the customers would be able to make a quick decision and get higher satisfaction from it. Therefore, this study examines and thereby empirically demonstrates what role customers' trust plays in a company's marketing using SNS by exploring how trust condition works in the mediated model and, theoretically, intends to introduce an empirical methodology on more strictly mediated moderating effects and, in practice, revisit the role of trust on direct and indirect effect the SNS's Information quality has on the performance variables such as customer satisfaction and loyalty. This study thereby aims to provide a strategic tool for the companies that plan to use the SNS in developing marketing strategies.

• Journal of Service Research and Studies
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• v.3 no.1
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• pp.17-31
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• 2013

With the advent of smart phones, there are increasing demands from customers to connect to the social media services at any time and at any place without restraint. As a result, many foreign companies have lately been able to pursue two-way communication with customers through social media which has enabled them to see the reaction and the needs of customers immediately and respond timely. That is, they are actively engaged in the various marketing activities targeting customers using SNS. According to H. A. Simon's needle theory, it is efficient to make a decision within the bounded rationality due to the difficulty of collecting data in decision-making as well as the inability to collect all information because of limited time and money. If the information or the informant can be trusted, the customers would be able to make a quick decision and get higher satisfaction from it. Therefore, this study examines and thereby empirically demonstrates what role customers' trust plays in a company's marketing using SNS by exploring how trust condition works in the mediated model and, theoretically, intends to introduce an empirical methodology on more strictly mediated moderating effects and, in practice, revisit the role of trust on direct and indirect effect the SNS's quality has on the performance variables such as customer satisfaction and loyalty. This study thereby aims to provide a strategic tool for the companies that plan to use the SNS in developing marketing strategies.

• The Journal of Fisheries Business Administration
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• v.31 no.1
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• pp.1-12
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• 2000

The experience of many countries strongly suggests that bad governments and institutions have been a serious, if not the most serious, obstacle to economic growth and industry-structural adjustments. All public sectors pursue a mix of both predatory and productive activities-bad governments emphasizing the former, while good governments finding a way of promoting the later. In fishery public policy studies, much confusion exists about the roles of policy illustration and prescription. In general fishery public sectors involve collective actions by numerous individuals under conditions of uncertainty, complexity, bounded rationality, and imperfect information structure. All collective fisheries action organizations consist of a center(e.g., government), which leads fishery group actions, and peripheral participants(e.g., fishermen), which are controlled by the government. A paradigm is developed that gives both theoretical and empirical meaning to the constitutional determination of fisheries political preference function or fishery public sector governance structures. Three relevant spaces are specified: policy instrument, results, and constitutional. The collective-choice rules of the constitutional space structure the tradeoff between public and special fishery interest groups. Fishery public sectors seeking sustainable reductions in wasteful rent-seeking fishing activities should select constitutional principles and institutional structures that tend to promote resource sustainability. In particular, the effects of internal and external events on fisheries may result in a greater or lesser concentration of interest group power. Thus, the structure of the fishereis political power must be assessed in any prescriptive evaluation of alternative fishery governance weights.

• KSII Transactions on Internet and Information Systems (TIIS)
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• v.8 no.4
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• pp.1192-1207
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• 2014

Dynamic spectrum sharing is a key technology to improve spectrum utilization in wireless networks. The elastic spectrum management provides a new opportunity for licensed primary users and unlicensed secondary users to efficiently utilize the scarce wireless resource. In this paper, we present a game-theoretic framework for dynamic spectrum allocation where the primary users rent the unutilized spectrum to the secondary users for a monetary profit. In reality, due to the ON-OFF behavior of the primary user, the quantity of spectrum that can be opportunistically shared by the secondary users is limited. We model this situation with the renewal theory and formulate the spectrum pricing scheme with the Bertrand game, taking into account the scarcity of the spectrum. By the Nash-equilibrium pricing scheme, each player in the game continually converges to a strategy that maximizes its own profit. We also investigate the impact of several properties, including channel quality and spectrum substitutability. Based on the equilibrium analysis, we finally propose a decentralized algorithm that leads the primary users to the Nash-equilibrium, called DST. The stability of the proposed algorithm in terms of convergence to the Nash equilibrium is also studied.

• The Journal of the Convergence on Culture Technology
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• v.3 no.4
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• pp.35-42
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• 2017

Behavior Economics, a branch of social sciences, which seeks to find the answers about why man sometimes does absurd economy-related things, came into existence through combining economics and psychology. To the contrary of the traditional economics', behavior economics has developed by explaining how man makes economy-related choices by means of applying their own cognitive principles. Individuals lack the information on the goods and services in the market, and don't know how to make best use of the obtained information, failing to achieve maximum utility. Therefore, man's rationality is meant to be confined to bounded rationality. It is the very Heuristic that does work in the process of this simplified decision making process. Heuristic utilizes established empirical notion and specific information, and that's why there can be cognitive biases sometimes leading to inaccurate judgment. As Oral Literature is basically based on heavy guesswork and perceptual biases of general public, it is imperative to contemplate oral literature in the framework of Heuristic of behavior economics. This thesis deals with thinking types and behavioral patterns of the short-piece proverbs, folklore language-game riddles on the basis of personal or public memory. As a result, it is evident that proverbs point out biases arising from human behaviors, while riddles make full or active use of biases.

• Journal of Korean Society of Transportation
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• v.19 no.5
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• pp.119-134
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• 2001

This paper proposed a dynamic transit vehicle simulation model and a dynamic transit passengers simulation model, which can simultaneously simulate the transit vehicles and passengers traveling on a transit network, and also developed an algorithm of dynamic departure time choice model based on individual passenger. The proposed model assumes that each passenger's behavior is heterogeneous based on stochastic process by relaxing the assumption of homogeneity among passengers and travelers have imperfect information and bounded rationality to more actually represent and to simulate each passenger's behavior. The proposed model integrated a inference and preference reforming procedure into the learning and decision making process in order to describe and to analyze the departure time choices of transit passengers. To analyze and evaluate the model an example transit line heading for work place was used. Numerical results indicated that in the model based on heterogeneous passengers the travelers' preference influenced more seriously on the departure time choice behavior, while in the model based on homogeneous passengers it does not. The results based on homogeneous passengers seemed to be unrealistic in the view of rational behavior. These results imply that the aggregated travel demand models such as the traditional network assignment models based on user equilibrium, assuming perfect information on the network, homogeneity and rationality, might be different from the real dynamic travel demand patterns occurred on actual network.

• International Area Studies Review
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• v.12 no.3
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• pp.69-88
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• 2008

Firms or internal exchanges exist to eliminate or at least reduce transaction costs from the separating process in many firms by dealing more efficiently with bounded rationality, complexity, and tendency towards opportunism faced by the markets so that vertical integration is supposed to have a positive relationship with performance. The organizational structure of Korean economy in the latter part of the $20^{th}$ century is much related with this transaction costs' view. I propose to estimate the effect of vertical integration on the firm's performance using the data of the Korean listed corporations from 1991 to 1995, therefore. The estimated results show that vertical integration at firm level is negatively and significantly related with the firm's performance: the higher level of vertical integration the worse performance. However, the group level integration is not related with performance at all.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.46 no.3
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• pp.109-122
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• 2023

As platforms become primary decision making tools, platforms for decision have been introduced to improve quality of decision results. Because, decision platforms applied augmented decision-making process which uses experiences and feedback of users. This process creates a variety of alternatives tailored for users' abilities and characteristics. However, platform users choose alternatives before considering significant quality factors based on securing decision quality. In real world, platform managers use an algorithm that distorts appropriate alternatives for their commercial benefits. For improving quality of decision-making, preceding researches approach trying to increase rational decision -making ability based on experiences and feedback. In order to overcome bounded rationality, users interact with the machine to approach the optional situation. Differentiated from previous studies, our study focused more on characteristics of users while they use decision platforms. This study investigated the impact of quality factors on decision-making using platforms, the dimensions of systematic factors and user characteristics. Systematic factors such as platform reliability, data quality, and user characteristics such as user abilities and biases were selected, and measuring variables which trust, satisfaction, and loyalty of decision platforms were selected. Based on these quality factors, a structural equation research model was created. A survey was conducted with 391 participants using a 7-point Likert scale. The hypothesis that quality factors affect trust was proved to be valid through path analysis of the structural equation model. The key findings indicate that platform reliability, data quality, user abilities, and biases affect the trust, satisfaction and loyalty. Among the quality factors, group bias of users affects significantly trust of decision platforms. We suggest that quality factors of decision platform consist of experience-based and feedback-based decision-making with the platform's network effect. Through this study, the theories of decision-making are empirically tested and the academic scope of platform-based decision-making has been further developed.

• Information Systems Review
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• v.20 no.1
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• pp.115-135
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• 2018

The growing interest in the privacy paradox involving discussions about discrepancy between attitude and behavior led to an increase in the number of studies on the topic. An in-depth theoretical review of the privacy paradox is essential to promote qualitative growth of domestic research in the privacy paradox. In this study, we conducted literature review of existing domestic studies in the privacy paradox. The results of this study showed that the quantity and the quality of research showed marked improvement. Earlier studies primarily focused on the existence of the privacy paradox phenomenon, but existing studies on the causes of the phenomenon gradually increased. Despite the use of various methodologies and analytical tools to investigate the causes of the privacy paradox, research in privacy paradox remains in its infancy. Further efforts are needed to achieve qualitative growth, and further studies should be conducted to introduce the behavioral economic approach. This approach posits that bounded rationality could contribute to a clear understanding of the privacy paradox and the academic development of the privacy field.