• Journal of Navigation and Port Research
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• v.44 no.4
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• pp.326-337
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• 2020

Shipping companies have suffered additional losses because of irrational shipping finance decisions. This paper analyses the cases according to the behavioral finance theories. The theories of behavioral finance used in the analysis and research of this paper are the anchoring effect and sunk cost effect. The backgrounds and reasons for the decisions regarding ship financing are analysed based on the questionnaire responses and case studies. As a result of the analysis, it is found that the behavioral finance theories, anchoring effect, and sunk cost effect, have effects on the ship financing decisions, that errors related to behavioral finance can result in irrational decisions, and that shipping companies suffered additional losses because of the behavioral finance errors.

• International Journal of Contents
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• v.5 no.1
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• pp.37-45
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• 2009

This paper empirically tests pecking order theory. Korean listed firms are used as the samples. On the whole we find supportive results for pecking order theory. The fixed effect model on the whole period shows that as pecking order theory suggests that debt ratio decreases as cash flow. ROA, physical assets, and firm size increase. Again, it is shown that corporate debt ratio significantly decreases as cash flow or ROA increases in every sub-sample, which coincides with the prediction of pecking order theory. Corporate debt ratio significantly decreases as physical assets or jinn size increases in case of the whole sample, pre-financial crisis period, and the sub-samples by q-ratio, which also supports the prediction of pecking order theory. Statistical significance of the coefficients of physical assets or firm size completely disappears after Korean financial crisis. Perhaps it is because the role of physical assets or firm size as a mitigator of information asymmetry significantly weakens after the financial crisis as Korean financial market becomes more transparent. For small firms only size variable is negatively and significantly related with debt to assets. It seems that size is an important factor for smaller firms in making financing decision.

• Journal of Information Technology Services
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• v.20 no.3
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• pp.87-101
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• 2021

Since the introduction of block chain technology, its potential use in financial service area have been increasing, and financial firms are seeking ways to take advantage of the benefits of it. The purpose of this study is to present an approach to prioritize block chain-based services for bank. Toward this, we picked out potential financial services through focus group interview and derived the criteria that can be used in evaluating the priorities of block chain-based banking services in the same way. Then, we propose an analytic hierarchy process model to help decision makers prioritize the banking services while considering multiple criteria of technology issues, governmental regulations in the financial industry, cost, managerial issues, customers' needs, and the business opportunity for the bank. By using the analytic hierarchy process model, we can estimate the weighting coefficients to be assigned to each criteria and determine the order of priority in determining the best block chain-based service for the case study bank. The results show that banking login authentication would be forefront service, followed by money transfer, document notarization, and trade financing service in the order, and the trade financing could be most important service in terms of the business profitability for the bank in the future.

• Asia-Pacific Journal of Business
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• v.8 no.1
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• pp.45-65
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• 2017

This study which focused on factors and challenges affecting the decision-making of indigenous corn farmers ascertained the determinants that make farmers decide to engage in and continue corn farming activities in Paracelis, Mountain Province, in Northern Philippines. Determinants of decision and motivational factors of corn farmers were examined based on survey responses of 120 indigenous corn farmers by applying chi-square test analysis. Results showed that there were some decision and motivational factors that were significantly related to specific characteristics of corn farmers and there were also similarities of factors that affected the decision making of farmers in terms of engaging in and sustaining corn farming activities. Among the identified driving forces, financing capability and availability of land area were highly related with farm size and with a farmer's educational attainment. Knowledge or experience and interest in corn farming were also related with educational attainment. All the identified driving forces were found to be unrelated to farmers' age. The motivational factor identified as "personally satisfying" was found to be related with age, educational attainment and years in the farming business. Factors which affected a farmer's decision to sustain corn farming activities ("sustaining" factors) such as availability of different networks is highly related to educational attainment, years in the farming business and farm size while high market price of corn was the only "sustaining" factor linked to educational attainment. Based on these factors and cited problems in corn farming, recommendations were offered to address the issues raised by farmers.

• Journal of Distribution Science
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• v.12 no.10
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• pp.75-84
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• 2014

Purpose - This article aims to examine whether the stock issuance of firms in the retail industry follows Myers' (1984) pecking order theory, which is based on information asymmetry. According to the pecking order model, firms have a sequence of financing decisions, of which the first choice is to use retained earnings, the second one is to get into safe debt, the next involves risky debt, and the last involves finance with outside equity. Since the 2000s, the polarization of the LEs (Large enterprises) and SMEs (Small and Medium Enterprises) arose in the retail industry. The LEs exhibited an improvement in growth and profitability, whereas SMEs had a tendency to degenerate. This study contributes to corroborating the features of financing decisions in the retail industry distinguished from the other industries. Research design, data, and methodology - This study considers the stocks listed on the KOSPI and KOSDAQ markets from 1991 to 2013, and is more concentrated on the stocks in the retail industry. The data were collected from the financial information company, WISEfn. The empirical analysis is conducted by employing two measures of net equity issues (and), which were introduced in Fama and French (2005), and can be calculated from firms' accounting information. All variables are generated as the aggregate value of the numerator divided by aggregate assets, which, in effect, treats the entire sample as a single firm. Substantially, the financing decisions of the firms were analyzed by examining how often and under what circumstances firms issue and repurchase equity. Then, this study compares the features of the retail industry with those of the other industries. Results - The proportion of sample firms that show annual net stock issues reaching the level of the year's average was 54.33% for the 1990s, and fell to 39.93% per year for the 2000s. In detail, the fraction of the small firms actually increases from 45.08% to 51.04%, whereas that of large firms shows a dramatic decline from 58.94% to 24.76%. Considering the fact that the large firms' rapid increase in growth after the 2000s may lead to an increase in equity issues, this result is rather surprising. Meanwhile, net stock repurchases of assets are considerably disproportionate between the large (-50.11%) and the small firms (-15.66%) for the 2000s. Conclusions - Stock issuance of retail firms is not in line with the traditional seasoned equity offering based on information asymmetry. The net stock issuance of the small firms in the retail industry can be interpreted as part of an effort to reorganize business and solicit new investment to resolve degenerating business performance. For large firms, on the other hand, the net repurchase can be regarded as part of an effort to rearrange business for efficiency and amplifying synergy across business sections through spin-off. These results can help the government establish a support policy on retail industry according to size.

• Korean Journal of Construction Engineering and Management
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• v.17 no.2
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• pp.21-30
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• 2016

The current PF project is entirely relying on construction company's credibility. As such, it has increased a negative and bad recognition in domestic real estate economy. In addition, PF experts has a perception that a project's safety of future cash flow profitability is more important than the construction company's credibility. So many PF experts make an effort in order to set aside safe project structure of PF and analyse systematically the risks of the project. In common feasibility study of the PF Project, financial specialists and real estate specialists are forecasting and evaluating the suitability of the project through reviewing the development profit from the project of sales. However, cash flow analysis and evaluation from the perspective of mid-sized construction companies are still in the primary level. Therefore, this study has analysed the current feasibility study and go/no go decision making procedures. Then the authors have a new cash flow analysis method from the perspective of mid-sized construction companies, by improving the feasibility study and go/no go decision making procedures.

• KDI Journal of Economic Policy
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• v.28 no.1
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• pp.117-144
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• 2006

This study is to analyze the existence of the real buffer effect that reflects the effect of beginning-of-period inventory stocks effect on the demand for fixed investment, and the financial buffer effect indicates the substitution effect between end-of-period inventory stock and the source of financing for fixed investment. I use panel data of 361 Korean listed non-financial firms during 1990-2003. After the crisis, it also observed whether the relationship between inventory stocks and fixed investment has altered or not. I review the theoretical connection between inventory stock and fixed investment through the paper by Bo(2004) and estimate the investment model by the method of GMM-SYS. The results show negative relation between end-of-period inventory stock and fixed investment in the whole period and each period classified, also it confirms that the relation between fixed investment and end-of-period investment is significantly negative. It can be interpreted through two aspects that firms not only use inventory stock as a buffer in response to unexpectedly high demand, but also utilize inventory stock as a source of financing for fixed investment. The results imply that firm's decision-making is much correlated with production-and-inventory stock adjustment, decision-making about fixed investment, and decision-making about financial affairs.

• IE interfaces
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• v.15 no.2
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• pp.159-171
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• 2002

Data Warehouses integrate data from multiple heterogeneous information sources and transform them into a multidimensional representation for decision support applications. Data warehousing has emerged as one of the most powerful tools in delivering information to users. Most previous researches have focused on marketing, customer service, financing, and insurance industry. Further, relatively less research has been done on data warehouse systems in the complex manufacturing industry such as ship production, which is characterized complex product structures and production processes. In the ship production, data warehouse systems is a requisite for effective cost analysis because collecting and analysis of diverse and large of cost-related(material/production cost, productivity) data in its operational systems, was becoming increasingly cumbersome and time consuming. This paper proposes architecture of the data warehouse systems to support cost analysis in the ship production. Also, in order to illustrate the usefulness of the proposed architecture, the prototype system is designed and implemented with the object of the enterprise of producing a large-scale ship.

• The KIPS Transactions:PartD
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• v.12D no.2 s.98
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• pp.211-218
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• 2005

This study presents an integrated data mining model for the credit evaluation of the customers of a capital company. Based on customer information and financing processes in capital market, we derived individual models from multi-layered perceptrons(MLP), multivariate discrimination analysis(MDA), and decision tree. Further, the results from the existing models were compared with the results from the integrated model using genetic algorithm. The integrated model presented by this study turned out to be superior to the existing models. This study contributes not only to verifying the existing individual models but also to overcoming the limitations of the existing approaches.

• International conference on construction engineering and project management
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• 2015.10a
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• pp.527-531
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• 2015

With the mounting concerns over environmental issues, green construction is gaining a place in the global construction industry. However, rare research has been conducted to analyze green construction projects, especially in the aspect of project schedule performance. As a result, this study aims to investigate the degree of project delay in green building construction, analyze the factors affecting schedule delay of green building projects, and finally provide recommendations to improve schedule performance of green building project. To achieve the objectives, a comprehensive literature review was carried out, followed by a survey conducted with 30 companies that provided data from 220 traditional and 96 green building projects. The analysis of the responses identified that 15.9% of the traditional building projects were delayed while 32.3% of the green building projects were completed behind schedule. Furthermore, the amount of the delays in green building projects was an average of 4.8% of their planned schedule. The top 5 critical factors that can cause delay in green building projects were identified as: (1) speed of decision-making by clients; (2) speed of decision-making involving all project teams; (3) communication/coordination between key parties; (4) level of experience of consultants; and (5) difficulties in contractors' project financing. Lastly, a list of recommendations was introduced, aiming to reduce schedule delay in green building construction projects based on the observations. This study will serve as s a base for further research on the enhancement of green building project schedule performance.