• Title/Summary/Keyword: buying decision

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Effect of Service Convenience on the Relationship Performance in B2B Markets: Mediating Effect of Relationship Factors (B2B 시장에서의 서비스 편의성이 관계성과에 미치는 영향 : 관계적 요인의 매개효과 분석)

  • Han, Sang-Lin;Lee, Seong-Ho
    • Journal of Distribution Research
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    • v.16 no.4
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    • pp.65-93
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    • 2011
  • As relationship between buyer and seller has been brought closer and long-term relationship has been more important in B2B markets, the importance of service and service convenience increases as well as product. In homogeneous markets, where service offerings are similar and therefore not key competitive differentiator, providing greater convenience may enable a competitive advantage. Service convenience, as conceptualized by Berry et al. (2002), is defined as the consumers' time and effort perceptions related to buying or using a service. For this reason, B2B customers are interested in how fast the service is provided and how much save non-monetary cost like time or effort by the service convenience along with service quality. Therefore, this study attempts to investigate the impact of service convenience on relationship factors such as relationship satisfaction, relationship commitment, and relationship performance. The purpose of this study is to find out whether service convenience can be a new antecedent of relationship quality and relationship performance. In addition, this study tries to examine how five-dimensional service convenience constructs (decision convenience, access convenience, transaction convenience, benefit convenience, post-benefit convenience) affect customers' relationship satisfaction, relationship commitment, and relationship performance. The service convenience comprises five fundamental components - decision convenience (the perceived time and effort costs associated with service purchase or use decisions), access convenience(the perceived time and effort costs associated with initiating service delivery), transaction convenience(the perceived time and effort costs associated with finalizing the transaction), benefit convenience(the perceived time and effort costs associated with experiencing the core benefits of the offering) and post-benefit convenience (the perceived time and effort costs associated with reestablishing subsequent contact with the firm). Earlier studies of perceived service convenience in the industrial market are none. The conventional studies that have dealt with service convenience have usually been made in the consumer market, or they have dealt with convenience aspects in the service process. This service convenience measure for consumer market can be useful tool to estimate service quality in B2B market. The conceptualization developed by Berry et al. (2002) reflects a multistage, experiential consumption process in which evaluations of convenience vary at each stage. For this reason, the service convenience measure is good for B2B service environment which has complex processes and various types. Especially when categorizing B2B service as sequential stage of service delivery like Kumar and Kumar (2004), the Berry's service convenience measure which reflect sequential flow of service deliveries suitable to establish B2B service convenience. For this study, data were gathered from respondents who often buy business service and analyzed by structural equation modeling. The sample size in the present study is 119. Composite reliability values and average variance extracted values were examined for each variable to have reliability. We determine whether the measurement model supports the convergent validity by CFA, and discriminant validity was assessed by examining the correlation matrix of the constructs. For each pair of constructs, the square root of the average variance extracted exceeded their correlations, thus supporting the discriminant validity of the constructs. Hypotheses were tested using the Smart PLS 2.0 and we calculated the PLS path values and followed with a bootstrap re-sampling method to test the hypotheses. Among the five dimensional service convenience constructs, four constructs (decision convenience, transaction convenience, benefit convenience, post-benefit convenience) affected customers' positive relationship satisfaction, relationship commitment, and relationship performance. This result means that service convenience is important cue to improve relationship between buyer and seller. One of the five service convenience dimensions, access convenience, does not affect relationship quality and performance, which implies that the dimension of service convenience is not important factor of cumulative satisfaction. The Cumulative satisfaction can be distinguished from transaction-specific customer satisfaction, which is an immediate post-purchase evaluative judgment or an affective reaction to the most recent transactional experience with the firm. Because access convenience minimizes the physical effort associated with initiating an exchange, the effect on relationship satisfaction similar to cumulative satisfaction may be relatively low in terms of importance than transaction-specific customer satisfaction. Also, B2B firms focus on service quality, price, benefit, follow-up service and so on than convenience of time or place in service because it is relatively difficult to change existing transaction partners in B2B market compared to consumer market. In addition, this study using partial least squares methods reveals that customers' satisfaction and commitment toward relationship has mediating role between the service convenience and relationship performance. The result shows that management and investment to improve service convenience make customers' positive relationship satisfaction, and then the positive relationship satisfaction can enhance the relationship commitment and relationship performance. And to conclude, service convenience management is an important part of successful relationship performance management, and the service convenience is an important antecedent of relationship between buyer and seller such as the relationship commitment and relationship performance. Therefore, it has more important to improve relationship performance that service providers enhance service convenience although competitive service development or service quality improvement is important. Given the pressure to provide increased convenience, it is not surprising that organizations have made significant investments in enhancing the convenience aspect of their product and service offering.

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Strategy for Store Management Using SOM Based on RFM (RFM 기반 SOM을 이용한 매장관리 전략 도출)

  • Jeong, Yoon Jeong;Choi, Il Young;Kim, Jae Kyeong;Choi, Ju Choel
    • Journal of Intelligence and Information Systems
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    • v.21 no.2
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    • pp.93-112
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    • 2015
  • Depending on the change in consumer's consumption pattern, existing retail shop has evolved in hypermarket or convenience store offering grocery and daily products mostly. Therefore, it is important to maintain the inventory levels and proper product configuration for effectively utilize the limited space in the retail store and increasing sales. Accordingly, this study proposed proper product configuration and inventory level strategy based on RFM(Recency, Frequency, Monetary) model and SOM(self-organizing map) for manage the retail shop effectively. RFM model is analytic model to analyze customer behaviors based on the past customer's buying activities. And it can differentiates important customers from large data by three variables. R represents recency, which refers to the last purchase of commodities. The latest consuming customer has bigger R. F represents frequency, which refers to the number of transactions in a particular period and M represents monetary, which refers to consumption money amount in a particular period. Thus, RFM method has been known to be a very effective model for customer segmentation. In this study, using a normalized value of the RFM variables, SOM cluster analysis was performed. SOM is regarded as one of the most distinguished artificial neural network models in the unsupervised learning tool space. It is a popular tool for clustering and visualization of high dimensional data in such a way that similar items are grouped spatially close to one another. In particular, it has been successfully applied in various technical fields for finding patterns. In our research, the procedure tries to find sales patterns by analyzing product sales records with Recency, Frequency and Monetary values. And to suggest a business strategy, we conduct the decision tree based on SOM results. To validate the proposed procedure in this study, we adopted the M-mart data collected between 2014.01.01~2014.12.31. Each product get the value of R, F, M, and they are clustered by 9 using SOM. And we also performed three tests using the weekday data, weekend data, whole data in order to analyze the sales pattern change. In order to propose the strategy of each cluster, we examine the criteria of product clustering. The clusters through the SOM can be explained by the characteristics of these clusters of decision trees. As a result, we can suggest the inventory management strategy of each 9 clusters through the suggested procedures of the study. The highest of all three value(R, F, M) cluster's products need to have high level of the inventory as well as to be disposed in a place where it can be increasing customer's path. In contrast, the lowest of all three value(R, F, M) cluster's products need to have low level of inventory as well as to be disposed in a place where visibility is low. The highest R value cluster's products is usually new releases products, and need to be placed on the front of the store. And, manager should decrease inventory levels gradually in the highest F value cluster's products purchased in the past. Because, we assume that cluster has lower R value and the M value than the average value of good. And it can be deduced that product are sold poorly in recent days and total sales also will be lower than the frequency. The procedure presented in this study is expected to contribute to raising the profitability of the retail store. The paper is organized as follows. The second chapter briefly reviews the literature related to this study. The third chapter suggests procedures for research proposals, and the fourth chapter applied suggested procedure using the actual product sales data. Finally, the fifth chapter described the conclusion of the study and further research.

A Research Survey on the Reserved Book System of Pilot Universities in Korea (실험대학 과제도서실 운영에 관한 조사연구)

  • 최달현
    • Journal of Korean Library and Information Science Society
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    • v.5
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    • pp.119-168
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    • 1978
  • This is a survey of the reserved book system in the pilot universities in Korea. We have surveyed only 22 university libraries among 29 pilot schools as of 1977, because of the differences in the library users, library organization, library facilities, and library materials between universities and colleges. In 1972, the Korean Ministry of Education developed a reformation plan for their higher education based on the teaching method of curriculum-oriented faculty instead of that of the faculty-oriented curriculum. The former puts emphasis on the cultivation of a student's thinking, creativity, and judgement through self-teaching to do a given assignment. The reserved book system in a college or university library is one of the most important methods necessary to accomplish the above educational aim. The survey used a questionnaire with 50 question on 28 items concerning the various aspects of the reserved book system in 22 pilot universities. the survey result discovered many problems needing correction. The following list describes the measures needed to correct the problems found in the pilot universities. 1. The management of a centralized reserved book system is much more effective and economical than the decentralized reserved book system when a university is located on the same campus. 2. In the university library, an independent reserved book department requires to gain the desired educational aims as compared with the reserved book room controlled by any other department in the library. 3. The reserved book system should not be adopted by all the departments at once but enlarged gradually, for it needs the understanding and support of faculty members and the university itself. 4. As competence is essential to the effective operation of the reserved book room, the university library should not place an unqualified person in charge of the reserved book department. 5. The librarian in charge of the reserved book department is required to do more professional works such as analysis of users, collection and analysis of syllabuses, maintenance of faculty member cooperation, establishment of measures to acquire unavailable materials, and drawing up an effective management plan. However, he is spending most of his time in clerical works, that is, non-professional works. 6. Three to five titles of each reserved book are considered reasonable and required materials should be shelved in proportion to the number of students, that is, one copy per eight or ten students if the materials are allowed to lend for two hours at a time. For the supplementary materials, the library needs to place two or three copies per subject. 7. Professors must select reserved books with care so that they can be used year after year. 8. Few universities are asking professors the number of class students and the date when the reserved material will no longer be needed on reserve. 9. The library should gather all the lists of reserved books from every professor at least three to five months before the courses open, because it takes a long time to obtain foreign materials. 10. It is desirable that the reserved book department should collect the lists and prepare the materials with promptness and consistency. 11. Instead of block buying, it is desirable to purchase reserved books at the time the library gets the reserved book list from the professors. The library should also inform faculty members whether it obtained each reserved book or not before the course open. 12. The library should make a copy of materials if a professor requires to reserve an out-of-print book or partial contents of a book, journal, and thesis. 13. An independent budger for reserved books from the budget for general materials is desired. 14. The shelf arrangement of reserved books by courses or professors under the same department is much more preferable than a classified arrangement. 15. While most of the universities adopted the open shelves system for all the reserved books, it is more effective and economical to take a compromise system, that is, closed shelves for requires materials and open shelves for supplementary materials. 18. Circulation of reserved books needs a different system between required materials and supplementary materials: two or three hours and/or overnight loan for the former and two and/or three days loan for the latter. 17. A reserved book room should be open a long time after class so that students can have sufficient time to use the room. 18. The library must take daily and monthly statistic as well as statistics on every aspect of the reserved book system in order that the library ma decide on policy and management of the reserved book room in collaboration with the university. Furthermore, regular reports on the use of the reserved book room should be made to the president and the executive council by the library to acquire their understanding and cooperation for the reserved book system. 19. Cooperation of faculty members is indispensable to the effective management of the reserved book department and it is desirable to make a committee which will fix various decisions about the system. Whenever the director of the library make his decision, he must consult with his staff in order to involve them earnestly in the operation of the system.

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Effects of Additive materials on the Quality Characteristics of Dasik (다식의 제조시 첨가하는 부재료와 품질특성)

  • 정외숙;박금순
    • Korean journal of food and cookery science
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    • v.18 no.2
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    • pp.225-231
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    • 2002
  • This study was carried out to investigate the possibility of improving the texture and flavor of Dasik by adding various types of sugar (syrup, honey) and flavor ingredients (omija, chija, coffee, green tea extract) to rice powder. Dasik samples were prepared, and the sensory quality and physical characteristics of those were compared. The moisture content of Dasik added with syrup was higher than that of honey. Coffee Dasik with syrup was the highest (23.6) in moisture content. In sensory quality, the omija and coffee Dasik showed the highest score in flavor quality (p<.001). Omija Dasik with honey and coffee Dasik with syrup showed the highest scores in overall acceptability (6.4, 6.2). Green tea Dasik with syrup showed the highest value in the lightness (L) of color. Omija Dasik with syrup showed the highest value in the redness (a) of color Chija Dasik was the highest in the yellowness(b) of color. In physical characteristics, the hardness was negatively correlated with the moistness, tenderness, and texture acceptability in sensory quality(p〈0.001). The cohesiveness was positively correlated with the overall acceptability in sensory quality (p〈0.01). In the relation of texture characteristics and sensory quality, the higher the moisture content, the lower the hardness and springiness were, but the higher the brittleness and the cohesiveness were(p〈.001). Overall, omija and coffee Dasik appeared to have desirable flavor, taste and overall acceptability.

Analysis of the Effects of E-commerce User Ratings and Review Helfulness on Performance Improvement of Product Recommender System (E-커머스 사용자의 평점과 리뷰 유용성이 상품 추천 시스템의 성능 향상에 미치는 영향 분석)

  • FAN, LIU;Lee, Byunghyun;Choi, Ilyoung;Jeong, Jaeho;Kim, Jaekyeong
    • Journal of Intelligence and Information Systems
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    • v.28 no.1
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    • pp.311-328
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    • 2022
  • Because of the spread of smartphones due to the development of information and communication technology, online shopping mall services can be used on computers and mobile devices. As a result, the number of users using the online shopping mall service increases rapidly, and the types of products traded are also growing. Therefore, to maximize profits, companies need to provide information that may interest users. To this end, the recommendation system presents necessary information or products to the user based on the user's past behavioral data or behavioral purchase records. Representative overseas companies that currently provide recommendation services include Netflix, Amazon, and YouTube. These companies support users' purchase decisions by recommending products to users using ratings, purchase records, and clickstream data that users give to the items. In addition, users refer to the ratings left by other users about the product before buying a product. Most users tend to provide ratings only to products they are satisfied with, and the higher the rating, the higher the purchase intention. And recently, e-commerce sites have provided users with the ability to vote on whether product reviews are helpful. Through this, the user makes a purchase decision by referring to reviews and ratings of products judged to be beneficial. Therefore, in this study, the correlation between the product rating and the helpful information of the review is identified. The valuable data of the evaluation is reflected in the recommendation system to check the recommendation performance. In addition, we want to compare the results of skipping all the ratings in the traditional collaborative filtering technique with the recommended performance results that reflect only the 4 and 5 ratings. For this purpose, electronic product data collected from Amazon was used in this study, and the experimental results confirmed a correlation between ratings and review usefulness information. In addition, as a result of comparing the recommendation performance by reflecting all the ratings and only the 4 and 5 points in the recommendation system, the recommendation performance of remembering only the 4 and 5 points in the recommendation system was higher. In addition, as a result of reflecting review usefulness information in the recommendation system, it was confirmed that the more valuable the review, the higher the recommendation performance. Therefore, these experimental results are expected to improve the performance of personalized recommendation services in the future and provide implications for e-commerce sites.

A Survey of Korean Consumers' Awareness on Animal Welfare of Laying Hens (산란계 동물복지에 대한 국내 소비자의 인지도 조사)

  • Hong, Eui-Chul;Kang, Hwan-Ku;Park, Ki-Tae;Jeon, Jin-Joo;Kim, Hyun-Soo;Kim, Chan-Ho;Kim, Sang-Ho
    • Korean Journal of Poultry Science
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    • v.45 no.3
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    • pp.219-228
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    • 2018
  • This study was conducted twice to investigate egg purchase behavior and perception on animal welfare of Korean consumers. This study included women, who were the main decision makers and caretakers in the household, and men with one-person household. This survey was conducted with by the Computer Assisted Web Interview and Gang Survey methods. On the key considerations factor, the highest response rate was considered to be 'price', and the response rate of considering 'packing date' increased in the second survey. At a reasonable price based on 10 eggs, the response rate was the highest at 53.8% and 42.9% in both the first and second surveys and the appropriate price averages were 2,482 won and 2,132 won, respectively. The highest rate of purchase of egg consumers from 'Large Mart' followed by 'Medium sized supermarket' and 'Chain supermarket'. As for the awareness about animal welfare, the recognition ratio (73.5%) was higher in the result of the second survey than the first. The cognitive period of animal welfare was 59.0% before the insecticide egg crisis and 41.0% thereafter. Regarding whether or not they have ever seen an animal welfare certification mark and an animal welfare animal farm certification mark, 59.6% of respondents said that they saw it for the first time and 37.6% answered that they knew the animal welfare certification mark. On the animal welfare system, the 'free-range' response rate was the highest at 85.8%. The 'free-range' fit response decreased by 34.2%p, while the 'barn' and 'European type' fit response increased by 13.2%p and 24.1%p, respectively. The number of 'I have never seen' and 'I have ever eaten' responses to the recognition and eating experience of animal welfare certified eggs decreased while the number of those who answered 'Have ever seen' and 'Have eaten' increased. The answer of purchasing animal welfare certified eggs at department stores, organic farming cooperatives, and internet shopping malls was higher than that of buying conventional eggs. Of the total respondents, 92.0% were willing to purchase an animal welfare egg before the price was offered, but after offering the prices of animal welfare eggs, the intention to purchase was 62.7%, which was about 30%p lower than before. The reason for purchasing an animal welfare certified egg was the highest score of 71.0% for 'I think it is likely to be high in food safety', and 38.1% for 'I think the price is high' for lack of intention to purchase. In the sensory evaluation of animal welfare eggs, egg color and skin texture of conventional eggs were significantly higher than those of certified welfare eggs (P<0.05), and boiled eggs showed that egg whites of animal welfare certified eggs were more (P<0.05). As a result, the results of this study will contribute to the activation of the animal welfare certification system for laying hens by providing basic data on consumer awareness to animal welfare certified farmers.

An Exploratory Study on Channel Equity of Electronic Goods (가전제품 소비자의 Channel Equity에 관한 탐색적 연구)

  • Suh, Yong-Gu;Lee, Eun-Kyung
    • Journal of Global Scholars of Marketing Science
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    • v.18 no.3
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    • pp.1-25
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    • 2008
  • Ⅰ. Introduction Retailers in the 21st century are being told that future retailers are those who can execute seamless multi-channel access. The reason is that retailers should be where shoppers want them, when they want them anytime, anywhere and in multiple formats. Multi-channel access is considered one of the top 10 trends of all business in the next decade (Patricia T. Warrington, et al., 2007) And most firms use both direct and indirect channels in their markets. Given this trend, we need to evaluate a channel equity more systematically than before as this issue is expected to get more attention to consumers as well as to brand managers. Consumers are becoming very much confused concerning the choice of place where they shop for durable goods as there are at least 6-7 retail options. On the other hand, manufacturers have to deal with category killers, their dealers network, Internet shopping malls, and other avenue of distribution channels and they hope their retail channel behave like extensions of their own companies. They would like their products to be foremost in the retailer's mind-the first to be proposed and effectively communicated to potential customers. To enable this hope to come reality, they should know each channel's advantages and disadvantages from consumer perspectives. In addition, customer satisfaction is the key determinant of retail customer loyalty. However, there are only a few researches regarding the effects of shopping satisfaction and perceptions on consumers' channel choices and channels. The purpose of this study was to assess Korean consumers' channel choice and satisfaction towards channels they prefer to use in the case of electronic goods shopping. Korean electronic goods retail market is one of good example of multi-channel shopping environments. As the Korea retail market has been undergoing significant structural changes since it had opened to global retailers in 1996, new formats such as hypermarkets, Internet shopping malls and category killers have arrived for the last decade. Korean electronic goods shoppers have seven major channels : (1)category killers (2) hypermarket (3) manufacturer dealer shop (4) Internet shopping malls (5) department store (6) TV home-shopping (7) speciality shopping arcade. Korean retail sector has been modernized with amazing speed for the last decade. Overall summary of major retail channels is as follows: Hypermarket has been number 1 retailer type in sales volume from 2003 ; non-store retailing has been number 2 from 2007 ; department store is now number 3 ; small scale category killers are growing rapidly in the area of electronics and office products in particular. We try to evaluate each channel's equity using a consumer survey. The survey was done by telephone interview with 1000 housewife who lives nationwide. Sampling was done according to 2005 national census and average interview time was 10 to 15 minutes. Ⅱ. Research Summary We have found that seven major retail channels compete with each other within Korean consumers' minds in terms of price and service. Each channel seem to have its unique selling points. Department stores were perceived as the best electronic goods shopping destinations due to after service. Internet shopping malls were perceived as the convenient channel owing to price checking. Category killers and hypermarkets were more attractive in both price merits and location conveniences. On the other hand, manufacturers dealer networks were pulling customers mainly by location and after service. Category killers and hypermarkets were most beloved retail channel for Korean consumers. However category killers compete mainly with department stores and shopping arcades while hypermarkets tend to compete with Internet and TV home shopping channels. Regarding channel satisfaction, the top 3 channels were service-driven retailers: department stores (4.27); dealer shop (4.21); and Internet shopping malls (4.21). Speciality shopping arcade(3.98) were the least satisfied channels among Korean consumers. Ⅲ. Implications We try to identify the whole picture of multi-channel retail shopping environments and its implications in the context of Korean electronic goods. From manufacturers' perspectives, multi-channel may cause channel conflicts. Furthermore, inter-channel competition draws much more attention as hypermarkets and category killers have grown rapidly in recent years. At the same time, from consumers' perspectives, 'buy where' is becoming an important buying decision as it would decide the level of shopping satisfaction. We need to develop the concept of 'channel equity' to manage multi-channel distribution effectively. Firms should measure and monitor their prime channel equity in regular basis to maximize their channel potentials. Prototype channel equity positioning map has been developed as follows. We expect more studies to develop the concept of 'channel equity' in the future.

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A Study on the Market Structure Analysis for Durable Goods Using Consideration Set:An Exploratory Approach for Automotive Market (고려상표군을 이용한 내구재 시장구조 분석에 관한 연구: 자동차 시장에 대한 탐색적 분석방법)

  • Lee, Seokoo
    • Asia Marketing Journal
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    • v.14 no.2
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    • pp.157-176
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    • 2012
  • Brand switching data frequently used in market structure analysis is adequate to analyze non- durable goods, because it can capture competition between specific two brands. But brand switching data sometimes can not be used to analyze goods like automobiles having long term duration because one of main assumptions that consumer preference toward brand attributes is not changed against time can be violated. Therefore a new type of data which can precisely capture competition among durable goods is needed. Another problem of using brand switching data collected from actual purchase behavior is short of explanation why consumers consider different set of brands. Considering above problems, main purpose of this study is to analyze market structure for durable goods with consideration set. The author uses exploratory approach and latent class clustering to identify market structure based on heterogeneous consideration set among consumers. Then the relationship between some factors and consideration set formation is analyzed. Some benefits and two demographic variables - age and income - are selected as factors based on consumer behavior theory. The author analyzed USA automotive market with top 11 brands using exploratory approach and latent class clustering. 2,500 respondents are randomly selected from the total sample and used for analysis. Six models concerning market structure are established to test. Model 1 means non-structured market and model 6 means market structure composed of six sub-markets. It is exploratory approach because any hypothetical market structure is not defined. The result showed that model 1 is insufficient to fit data. It implies that USA automotive market is a structured market. Model 3 with three market structures is significant and identified as the optimal market structure in USA automotive market. Three sub markets are named as USA brands, Asian Brands, and European Brands. And it implies that country of origin effect may exist in USA automotive market. Comparison between modal classification by derived market structures and probabilistic classification by research model was conducted to test how model 3 can correctly classify respondents. The model classify 97% of respondents exactly. The result of this study is different from those of previous research. Previous research used confirmatory approach. Car type and price were chosen as criteria for market structuring and car type-price structure was revealed as the optimal structure for USA automotive market. But this research used exploratory approach without hypothetical market structures. It is not concluded yet which approach is superior. For confirmatory approach, hypothetical market structures should be established exhaustively, because the optimal market structure is selected among hypothetical structures. On the other hand, exploratory approach has a potential problem that validity for derived optimal market structure is somewhat difficult to verify. There also exist market boundary difference between this research and previous research. While previous research analyzed seven car brands, this research analyzed eleven car brands. Both researches seemed to represent entire car market, because cumulative market shares for analyzed brands exceeds 50%. But market boundary difference might affect the different results. Though both researches showed different results, it is obvious that country of origin effect among brands should be considered as important criteria to analyze USA automotive market structure. This research tried to explain heterogeneity of consideration sets among consumers using benefits and two demographic factors, sex and income. Benefit works as a key variable for consumer decision process, and also works as an important criterion in market segmentation. Three factors - trust/safety, image/fun to drive, and economy - are identified among nine benefit related measure. Then the relationship between market structures and independent variables is analyzed using multinomial regression. Independent variables are three benefit factors and two demographic factors. The result showed that all independent variables can be used to explain why there exist different market structures in USA automotive market. For example, a male consumer who perceives all benefits important and has lower income tends to consider domestic brands more than European brands. And the result also showed benefits, sex, and income have an effect to consideration set formation. Though it is generally perceived that a consumer who has higher income is likely to purchase a high priced car, it is notable that American consumers perceived benefits of domestic brands much positive regardless of income. Male consumers especially showed higher loyalty for domestic brands. Managerial implications of this research are as follow. Though implication may be confined to the USA automotive market, the effect of sex on automotive buying behavior should be analyzed. The automotive market is traditionally conceived as male consumers oriented market. But the proportion of female consumers has grown over the years in the automotive market. It is natural outcome that Volvo and Hyundai motors recently developed new cars which are targeted for women market. Secondly, the model used in this research can be applied easier than that of previous researches. Exploratory approach has many advantages except difficulty to apply for practice, because it tends to accompany with complicated model and to require various types of data. The data needed for the model in this research are a few items such as purchased brands, consideration set, some benefits, and some demographic factors and easy to collect from consumers.

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Typology of Korean Eco-sumers: Based on Clothing Disposal Behaviors (관우한국생태학적일개예설(关于韩国生态学的一个预设): 기우복장탑배적행위(基于服装搭配的行为))

  • Sung, Hee-Won;Kincade, Doris H.
    • Journal of Global Scholars of Marketing Science
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    • v.20 no.1
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    • pp.59-69
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    • 2010
  • Green or an environmental consciousness has been a major issue for businesses and government offices, as well as consumers, worldwide. In response to this movement, the Korean government announced, in the early 2000s, the era of "Green Growth" as a way to encourage green-related business activities. The Korean fashion industry, in various levels of involvement, presents diverse eco-friendly products as a part of the green movement. These apparel products include organic products and recycled clothing. For these companies to be successful, they need information about who are the consumers who consider green issues (e.g., environmental sustainability) as part of their personal values when making a decision for product purchase, use, and disposal. These consumers can be considered as eco-sumers. Previous studies have examined consumers' purchase intention for or with eco-friendly products. In addition, studies have examined influential factors used to identify the eco-sumers or green consumers. However, limited attention was paid to eco-sumers' disposal or recycling behavior of clothes in comparison with their green product purchases. Clothing disposal behaviors are ways that consumer can get rid of unused clothing and in clue temporarily lending the item or permanently eliminating the item by "handing down" (e.g., giving it to a younger sibling), donating, exchanging, selling, or simply throwing it away. Accordingly, examining purchasing behaviors of eco-friendly fashion items in conjunction with clothing disposal behaviors should improve understanding of a consumer's clothing consumption behavior from the environmental perspective. The purpose of this exploratory study is to provide descriptive information about Korean eco-sumers who have ecologically-favorable lifestyles and behaviors when buying and disposing of clothes. The objectives of this study are to (a) categorize Koreans on the basis of clothing disposal behaviors; (b) investigate the differences in demographics, lifestyles, and clothing consumption values among segments; and (c) compare the purchase intention of eco-friendly fashion items and influential factors among segments. A self-administered questionnaire was developed based on previous studies. The questionnaire included 10 items of clothing disposal behavior, 22 items of LOHAS (Lifestyles of Health and Sustainability) characteristics, and 19 items of consumption values, measured by five-point Likert-type scales. In addition, the purchase intention of two eco-friendly fashion items and 11 attributes of each item were measured by seven-point Likert type scales. Two polyester fleece pullovers, made from fabric created from recycled bottles with the PET identification code, were selected from one Korean brand and one US imported brand among outdoor sportswear brands. A brief description of each product with a color picture was provided in the survey. Demographic variables (i.e., gender, age, marital status, education level, income, occupation) were also included. The data were collected through a professional web survey agency during May 2009. A total of 600 final usable questionnaires were analyzed. The age of respondents ranged from 20 to 49 years old with a mean age of 34 years. Fifty percent of the respondents were males and about 58% were married, and 62% reported having earned university degrees. Principal components factor analysis with varimax rotation was used to identify the underlying dimensions of the clothing disposal behavior scale, and three factors were generated (i.e., reselling behavior, donating behavior, non-recycling behavior). To categorize the respondents on the basis of clothing disposal behaviors, k-mean cluster analysis was used, and three segments were obtained. These consumer segments were labeled as 'Resale Group', 'Donation Group', and 'Non-Recycling Group.' The classification results indicated approximately 98 percent of the original cases were correctly classified. With respect to demographic characteristics among the three segments, significant differences were found in gender, marital status, occupation, and age. LOHAS characteristics were reduced into the following five factors: self-satisfaction, family orientation, health concern, environmental concern, and voluntary service. Significant differences were found in the LOHAS factors among the three clusters. Resale Group and Donation Group showed a similar predisposition to LOHAS issues while the Non-Recycling Group presented the lowest mean scores on the LOHAS factors compared to the other segments. The Resale and Donation Groups described themselves as enjoying or being satisfied with their lives and spending spare-time with family. In addition, these two groups cared about health and organic foods, and tried to conserve energy and resources. Principal components factor analysis generated clothing consumption values into the following three factors: personal values, social value, and practical value. The ANOVA test with the factors showed differences primarily between the Resale Group and the other two groups. The Resale Group was more concerned about personal value and social value than the other segments. In contrast, the Non-Recycling Group presented the higher level of social value than did Donation Group. In a comparison of the intention to purchase eco-friendly products, the Resale Group showed the highest mean score on intent to purchase Product A. On the other hand, the Donation Group presented the highest intention to purchase for Product B among segments. In addition, the mean scores indicated that the Korean product (Product B) was more preferable for purchase than the U.S. product (Product A). Stepwise regression analysis was used to identify the influence of product attributes on the purchase intention of eco product. With respect to Product A, design, price and contribution to environmental preservation were significant to predict purchase intention for the Resale Group, while price and compatibility with my image factors were significant for the Donation Group. For the Non-Recycling Group, design, price compatibility with the factors of my image, participation to eco campaign, and contribution to environmental preservation were significant. Price appropriateness was significant for each of the three clusters. With respect to Product B, design, price and compatibility with my image factors were important, but different attributes were associated significantly with purchase intention for each of the three groups. The influence of LOHAS characteristics and clothing consumption values on intention to purchase Products A and B were also examined. The LOHAS factor of health concern and the personal value factor were significant in the relationships with the purchase intention; however, the explanatory powers were low in the three segments. Findings showed that each group as classified by clothing disposal behaviors showed differences in the attributes of a product, personal values, and the LOHAS characteristics that influenced their purchase intention of eco-friendly products. Findings would enable organizations to understand eco-friendly behavior and to design appropriate strategic decisions to appeal eco-sumers.