• Journal of Intelligence and Information Systems
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• v.26 no.3
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• pp.51-69
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• 2020

Now, it is a stylized fact that a small number of technology firms such as Apple, Alphabet, Microsoft, Amazon, Facebook and a few others have become larger and dominant players in an industry. Coupled with the rise of these leading firms, we have also observed that a large number of young firms have become an acquisition target in their early IPO stages. This indeed results in a sharp decline in the number of new entries in public exchanges although a series of policy reforms have been promulgated to foster competition through an increase in new entries. Given the observed industry trend in recent decades, a number of studies have reported increased concentration in most developed countries. However, it is less understood as to what caused an increase in industry concentration. In this paper, we uncover the mechanisms by which industries have become concentrated over the last decades by tracing the changes in industry concentration associated with a firm's status change in its early IPO stages. To this end, we put emphasis on the case in which firms are acquired shortly after they went public. Especially, with the transition to digital-based economies, it is imperative for incumbent firms to adapt and keep pace with new ICT and related intelligent systems. For instance, after the acquisition of a young firm equipped with AI-based solutions, an incumbent firm may better respond to a change in customer taste and preference by integrating acquired AI solutions and analytics skills into multiple business processes. Accordingly, it is not unusual for young ICT firms become an attractive acquisition target. To examine the role of M&As involved with young firms in reshaping the level of industry concentration, we identify a firm's status in early post-IPO stages over the sample periods spanning from 1990 to 2016 as follows: i) being delisted, ii) being standalone firms and iii) being acquired. According to our analysis, firms that have conducted IPO since 2000s have been acquired by incumbent firms at a relatively quicker time than those that did IPO in previous generations. We also show a greater acquisition rate for IPO firms in the ICT sector compared with their counterparts in other sectors. Our results based on multinomial logit models suggest that a large number of IPO firms have been acquired in their early post-IPO lives despite their financial soundness. Specifically, we show that IPO firms are likely to be acquired rather than be delisted due to financial distress in early IPO stages when they are more profitable, more mature or less leveraged. For those IPO firms with venture capital backup have also become an acquisition target more frequently. As a larger number of firms are acquired shortly after their IPO, our results show increased concentration. While providing limited evidence on the impact of large incumbent firms in explaining the change in industry concentration, our results show that the large firms' effect on industry concentration are pronounced in the ICT sector. This result possibly captures the current trend that a few tech giants such as Alphabet, Apple and Facebook continue to increase their market share. In addition, compared with the acquisitions of non-ICT firms, the concentration impact of IPO firms in early stages becomes larger when ICT firms are acquired as a target. Our study makes new contributions. To our best knowledge, this is one of a few studies that link a firm's post-IPO status to associated changes in industry concentration. Although some studies have addressed concentration issues, their primary focus was on market power or proprietary software. Contrast to earlier studies, we are able to uncover the mechanism by which industries have become concentrated by placing emphasis on M&As involving young IPO firms. Interestingly, the concentration impact of IPO firm acquisitions are magnified when a large incumbent firms are involved as an acquirer. This leads us to infer the underlying reasons as to why industries have become more concentrated with a favor of large firms in recent decades. Overall, our study sheds new light on the literature by providing a plausible explanation as to why industries have become concentrated.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.1 no.2
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• pp.193-224
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• 2006

When we look into the market economy of our country recently, we learn that the mind of consumption after IMF crisis is very shrunk and the market is led into a serious slump of consumption. For an approach to survive the contraction of the market and the market competition, enterprises command a variety of sales promotion strategy, out of which presentation is a sales promotion strategy to give the same product. The price-discounted strategy through the provision of donation commodity may induce the temporarily-discounted commodity not to be sold to the consumers or make a damage of the images of the brand, or arouse the price war against other companies, or lower the sense of the quality of the commodity. Therefore, it is necessary for a company to meet the end users' demand and also maintain the evaluation of the quality on the consumers' products highly. Therefore, in this study, we have attempted to study and analyze the consumers' satisfaction level and reliability on the donation goods in order to suggest the orientation of the presentation promotion strategy in accordance with the changes of the sales market. In addition, we tried to understand how the recognition, consumers' satisfaction level and reliability on the presentation goods had on the repurchase. With such objectives in this study, we could make an analogy of the following significance and suggestion of study. Firstly, in order to survive a serious competition market, enterprises must execute the product presentation along with diverse events instead of commanding the sales promotion strategy through a simple product presentation. This strategy can be an alternative to lower the danger a person-to-person product presentation may bring about. That is to say, we shall not lower the quality and value of the products but enhance a new image to customers through a product donation occasion together with an event as a new marketing pioneering method. Secondly, during the period of the current economic depression, if a company provides the consumers with an opportunity free of charge through the present special event period and the practical events, it will affect the advertising effect of the goods, the introduction of the customers and customers' repurchase. For this purpose, the company has to heighten customers' preferences by selecting the items customers are liable to prefer and closely analyze the consumers' response and market for such an objective. Thirdly, with the internet age, as the market has a tendency to increase In the number of consumers who do shopping in the internet, the marketing strategy has to build up the strategy of the presentation product instead of a simple offline strategy. For example, a company shall have to draw attention or attraction from end users who intend to do shopping through the online by a product planning expo or a presentation product corner. Fourthly, the excessive sale promotion strategy of presentation products may bring about even a reverse effect on the value of the goods or consumers' attitude as seen above. Therefore, a company has to relay' the value as to the price' to the consumers instead of the sales promotion strategy of donation products just for a temporary sales volume. Conclusively, even if we put the value with a reasonable price through the presentation product strategy in the past, we shall have construct the strategy by providing some plus factors in the price such as the provision of the upgraded products or services instead of just presentation, or the invitation of the events related to diverse events or culture arts from now on.

• Journal of Intelligence and Information Systems
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• v.18 no.4
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• pp.1-17
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• 2012

Personalized smart devices such as smartphones and smart pads are widely used. Unlike traditional feature phones, theses smart devices allow users to choose a variety of functions, which support not only daily experiences but also business operations. Actually, there exist a huge number of applications accessible by smart device users in online and mobile application markets. Users can choose apps that fit their own tastes and needs, which is impossible for conventional phone users. With the increase in app demand, the tastes and needs of app users are becoming more diverse. To meet these requirements, numerous apps with diverse functions are being released on the market, which leads to fierce competition. Unlike offline markets, online markets have a limitation in that purchasing decisions should be made without experiencing the items. Therefore, online customers rely more on item-related information that can be seen on the item page in which online markets commonly provide details about each item. Customers can feel confident about the quality of an item through the online information and decide whether to purchase it. The same is true of online app markets. To win the sales competition against other apps that perform similar functions, app developers need to focus on writing app descriptions to attract the attention of customers. If we can measure the effect of app descriptions on sales without regard to the app's price and quality, app descriptions that facilitate the sale of apps can be identified. This study intends to provide such a quantitative result for app developers who want to promote the sales of their apps. For this purpose, we collected app details including the descriptions written in Korean from one of the largest app markets in Korea, and then extracted keywords from the descriptions. Next, the impact of the keywords on sales performance was measured through our econometric model. Through this analysis, we were able to analyze the impact of each keyword itself, apart from that of the design or quality. The keywords, comprised of the attribute and evaluation of each app, are extracted by a morpheme analyzer. Our model with the keywords as its input variables was established to analyze their impact on sales performance. A regression analysis was conducted for each category in which apps are included. This analysis was required because we found the keywords, which are emphasized in app descriptions, different category-by-category. The analysis conducted not only for free apps but also for paid apps showed which keywords have more impact on sales performance for each type of app. In the analysis of paid apps in the education category, keywords such as 'search+easy' and 'words+abundant' showed higher effectiveness. In the same category, free apps whose keywords emphasize the quality of apps showed higher sales performance. One interesting fact is that keywords describing not only the app but also the need for the app have asignificant impact. Language learning apps, regardless of whether they are sold free or paid, showed higher sales performance by including the keywords 'foreign language study+important'. This result shows that motivation for the purchase affected sales. While item reviews are widely researched in online markets, item descriptions are not very actively studied. In the case of the mobile app markets, newly introduced apps may not have many item reviews because of the low quantity sold. In such cases, item descriptions can be regarded more important when customers make a decision about purchasing items. This study is the first trial to quantitatively analyze the relationship between an item description and its impact on sales performance. The results show that our research framework successfully provides a list of the most effective sales key terms with the estimates of their effectiveness. Although this study is performed for a specified type of item (i.e., mobile apps), our model can be applied to almost all of the items traded in online markets.

• Korean Journal of Medicinal Crop Science
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• v.7 no.2
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• pp.121-128
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• 1999

This experiment was carried out to establish effective weed control system in the cultivation of Coix lachryma-jobi L. The effect of annual weeds artificially transplanted on the growth of Coix lachryma-jobi L. were that the higher the density of weeds, the lower the yield considerably by reducing number of grains and tillers per plant. Among four weeds of Echinochloa crusgalli galli P. BEAUV., Digitaria sanguinalis $S_{COPOL}$., Chenopodium album L., and Portulaca oleracea L., weed of Portulaca oleracea L. reduced adlay yield most by 182.6kg/10a and it was judged to be the most injurious weed to adlay production. Among four weed control systems, which are one herbicide treatment, one herbicide treatment + one cultivating work with cultivator, two times cultivating work with cultivator and two times hand-weeding, the control system of 'one herbicide treatment + one cultivating work with cultivator' showed the lowest amount of weed growth by 7.34 weeds per $m^2$ in comparison with control plot of 35.00 weeds per $m^2$. Among four weed control systems, the system of 'two times hand-weeding' had much more amount of light penetration in adlay canopy with 791.9 mol than any other systems.

• KDI Journal of Economic Policy
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• v.12 no.1
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• pp.93-110
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• 1990

The basic purpose behind the Korean government's policy toward the Korean deep sea fishing industry is to limit growth of the industry. Therefore, the regulations on the industry are generally restrictive and interventionist. The policy is intended to maintain high domestic fish prices in order to protect the domestic coastal fishing industry. Some regulations have also been introduced to maintain "industrial order." Each fishing vessel must obtain a government permit for operation. The permit specifies the kind of fish it can catch, the area of sea in which it can operate, and the port at which it can unload its catches. The number of permits government issues each year is based on the estimates of the demand increase calculated by government officials, and the government traditionally has been fairly conservative in its estimation, reflecting its concern for fish price stabilization, which actually implies a gradual increase of the prices. There is also a restriction on importing vessels from abroad. This regulation is intended to protect the domestic shipbuilding industry. However, this regulation has resulted in an unusually high average age of Korean fishing vessels, causing fishing costs to rise. These regulations and the inflexible response of the regulators to changing circumstances have resulted in many problems: i) high domestic fish prices, which are, to some extent deliberately, inflated to three or four times the level of international prices, resulting in huge consumer welfare losses; ii) over-exploitation of coastal fish resources; iii) provision of a hospitable environment for inefficient firms to survive, which is especially evident from the fact that, despite the high fish prices in Korea, most of the firms in the industry do not enjoy high profitability. It also must be pointed out that the actual beneficiaries of the high fish prices are the large operators, who are protected from competition and provide most of the fish for domestic consumption, rather than the low-income fishing households and small coastal operators whom the policy was originally designed to help. This study proposes a set of regulatory reforms and policy changes which could Promote competition and equity within the industry and allow firms to reduce costs and increase productivity. Such changes can make the industry more efficient and internationally competitive. Major proposals are, among others: minimization of bureaucratic discretion in issuing fishing permits and maintaining transparency in the governments' decision-making processes; reduction of the government permit specifications and simplification of the operational categories within the industry; and removal of the restrictions on importing foreign fishing vessels.

• Journal of Korean Society of Forest Science
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• v.96 no.3
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• pp.307-316
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• 2007

Yellow poplar (Liriodendron tulipifera L.) has low germination rate relatively other species, so the seedling production of Yellow poplar is a hard task. Accordingly this study was conducted to determine the optimal germination conditions for healthy seedling production and to promote survival rate after afforestation. Gemination percentage was examined at different media and seed covering materials using planting flats in the greenhouse. The best germination percentage was observed in sand for media and compound soil for covering materials. But it was time to transplant, seedlings became a poor character (i.e. height, root length, number of root, dry weight) in sand for media. In order to produce healthy seedlings, each different medium was compounded with TKS-2 (this is a gardening bed soil.) in the ratio 1:1 (v/v.), and compared two conditions. Quality of seedling was better than not mixed TKS-2 into each medium. Transplanting seedlings from greenhouse to nursery grew up rapidly 2 months later (early in August~early in October). Growth amount during two months corresponded to 85.6% and 71.3% in total growth amount of height and diameter at root collar, respectively. In the case of the competition-density effect on yellow-poplar seedlings, direct seedling produced the maximum 35 standard seedlings above 8 mm of root collar diameter per $m^2$, while transplanting seedling produced the maximum 64 standard seedlings per $m^2$. And produced seedlings of two way were significantly different rootlet while axial root and lateral root was not significantly different.

• 한국벤처창업학회:학술대회논문집
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• 2007.04a
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• pp.375-404
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• 2007

When we look into the market economy of our country recently, we learn that the mind of consumption after IMF crisis is very shrunk and the market is led into a serious slump of consumption. For an approach to survive the contraction of the market and the market competition, enterprises command a variety of sales promotion strategy, out of which presentation is a sales promotion strategy to give the same product. The price-discounted strategy through the provision of donation commodity may induce the temporarily-discounted commodity not to be sold to the consumers or make a damage of the images of the brand, or arouse the price war against other companies, or lower the sense of the quality of the commodity. Therefore, it is necessary for a company to meet the end users' demand and also maintain the evaluation of the quality on the consumers' products highly. Therefore, in this study, we have attempted to study and analyze the consumers' satisfaction level and reliability on the donation goods in order to suggest the orientation of the presentation promotion strategy in accordance with the changes of the sales market. In addition, we tried to understand how the recognition, consumers' satisfaction level and reliability on the presentation goods had on the repurchase. With such objectives in this study, we could make an analogy of the following significance and suggestion of study. Firstly, in order to survive a serious competition market, enterprises must execute the product presentation along with diverse events instead of commanding the sales promotion strategy through a simple product presentation. This strategy can be an alternative to lower the danger a person-to-person product presentation may bring about. That is to say, we shall not lower the quality and value of the products but enhance a new image to customers through a product donation occasion together with an event as a new marketing pioneering method. Secondly, during the period of the current economic depression, if a company provides the consumers with an opportunity free of charge through the present special event period and the practical events, it will affect the advertising effect of the goods, the introduction of the customers and customers' repurchase. For this purpose, the company has to heighten customers' preferences by selecting the items customers are liable to prefer and closely analyze the consumer's response and market for such an objective. Thirdly, with the internet age, as the market has a tendency to increase in the number of consumers who do shopping in the internet, the marketing strategy has to build up the strategy of the presentation product instead of a simple offline strategy. For example, a company shall have to draw attention or attraction from end users who intend to do shopping through the online by a product planning expo or a presentation product corner. Fourthly, the excessive sale promotion strategy of presentation products may bring about even a reverse effect on the value of the goods or consumers' attitude as seen above. Therefore, a company has to relay 'the value as to the price' to the consumers instead of the sales promotion strategy of donation products just for a temporary sales volume. Conclusively, even if we put the value with a reasonable price through the presentation product strategy in the past, we shall have construct the strategy by providing some plus factors in the price such as the provision of the upgraded products or services instead of just presentation, or the invitation of the events related to diverse events or culture arts from now on.

• The Journal of Korean Institute of Communications and Information Sciences
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• v.13 no.6
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• pp.521-528
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• 1988

Into the telecommunications industry, which had been monopolistic, a few advanced countries introduced competition through 70's and 80's. And this trend is going on worldwide. The introduction of competition into the industry is made mainly in the long distance, international and enhanced market. This liberalisation results from the fundamental change of the cost function. Suggesting that the cost comprises of that of the facility sector and that of the operation sector there exists the economies of scale in the facility sector in general. The major ground for the monopolistic industrial structure in the past was the natural monopoly depending on the economies of scale. But the rapid advance of the technology by a large margin. This decrease has resulted in the change of the cost function. That is while there exists the economies of scale in the smaller production scale, the average cost increases beyond a certain scale. This means that the natural monopoly collapsed, and that the competitive structure is more efficient than the monopolistic structure. But, because there exists economies of scale in the smaller scale, the desirable number of players, which could result in efficient industry structure depends on the market size. Such correlation between technological level market size and the degree of regulation is found in the case of U.S.A., Japan and U.K., where deregulation policy of the telecommunications market has already been carried out. In U.S.A., which has the largest market and the highest technological level the degree of regulation is lowest. Also in the order of Japan and U.K. the regulation is severer. Japan and U.K. are likely to liberalize still more, as the technology advances and the market grows. This article is just the beginning of the research, and this hypothesis requires more detailed research.

• Journal of Global Scholars of Marketing Science
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• v.18 no.1
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• pp.141-156
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• 2008

Market structure analysis is a very useful tool to analyze the competition boundary of the brand or the company. But most of the studies in market structure analysis, the concern lies in nondurable goods such as candies, soft drink and etc. because of the their availability of the data. In the field of durable goods, the limitation of the data availability and the repurchase time period constrain the study. In the analysis of the automobile market, those of views might be more persuasive. The purpose of this study is to analyze the structure of automobile market based on some idea suggested by prior studies. Usually the buyers of the automobile tend to buy upper tier when they buy in the next time. That kind of behavior make it impossible to analyze the structure of automobile market under the level of automobile model. For that reason I tried to analyze the market structure in the brand or company level. In this study, consideration data was used for market structure analysis. The reasons why we used the consideration data are summarized as following. Firstly, as the repurchase time cycle is too long, brand switching data which is used for the market analysis of nondurable good is not avaliable. Secondly, as we mentioned, the buyers of the automobile tend to buy upper tier when they buy in the next time. We used survey data collected in the U.S.A. market in the year of 2005 through questionaire. The sample size was 8,291. The number of brand analyzed in this study was 9 among 37 which was being sold in U.S.A. market. Their market share was around 50%. The brands considered were BMW, Chevrolet, Chrysler, Dodge, Ford, Honda, Mercedes, and Toyota. �� ratio was derived from frequency of the consideration set. Actually the frequency is different from the brand switch concept. In this study to compute the �� ratio, the frequency of the consideration set was used like a frequency of brand switch for convenience. The study can be divided into 2 steps. The first step is to build hypothetical market structures. The second step is to choose the best structure based on the hypothetical market structures, Usually logit analysis is used for the choice best structure. In this study we built 3 hypothetical market structure. They are type-cost, cost-type, and unstructured. We classified the automobile into 5 types, sedan, SUV(Sport Utility Vehicle), Pickup, Mini Van, and Full-size Van. As for purchasing cost, we classified it 2 groups based on the median value. The median value was $28,800. To decide best structure among them, maximum likelihood test was used. Resulting from market structure analysis, we find that the automobile market of USA is hierarchically structured in the form of 'automobile type - purchasing cost'. That is, result showed that automobile buyers considered function or usage first and purchasing cost next. This study has some limitations in the analysis level and variable selection. First, in this study only type of the automobile and purchasing cost were as attributes considered for purchase. Considering other attributes is very needful. Because of the attributes considered, only 3 hypothetical structure could be analyzed. Second, due to the data, brand level analysis was tried. But model level analysis would be better because automobile buyers consider model not brand. To conduct model level study more cases should be obtained. That is for acquiring the better practical meaning, brand level analysis should be conducted when we consider the actual competition which occurred in the real market. Third, the variable selection for building nested logit model was very limited to some avaliable data. In spite of those limitations, the importance of this study lies in the trial of market structure analysis of durable good.

• KOREAN JOURNAL OF CROP SCIENCE
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• v.25 no.1
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• pp.77-86
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• 1980

Asking to change the cropping patterns to save the labor and capitals in paddy rice cultivation, the study was intended to know the weed problems under the various possible cultural systems; namely, direct seeding (in broadcast and row), machine transplanting and hand transplanting. Under the conditions as weedy check plots, paddy yields were significantly variated among cropping systems, and the functions of panicle No. and spikelet No. to the yield were neglected, among others. However, the yield and yield components were narrowed among cropping systems, and the function of spikelets number per area was comparatively improved to the others.