• Asia pacific journal of information systems
• /
• v.23 no.4
• /
• pp.129-149
• /
• 2013

According to the development of new Information Technologies, firms consistently invest a significant amount of money in IT activities, such as establishing internal and external information systems. However, several anti-Information activities-such as hacking, leakage of information and system destruction-are also rapidly increasing, thus many firms are exposed to direct and indirect threats. Therefore, firms try to establish information security systems and manage these systems more effectively via an enterprise perspective. However, stakeholders or some managers have negative opinions about information security systems. Therefore, in this research, we study the relationship between multibusiness firms' performance and information security systems. Information security indicates physical and logical correspondence of information system department against threats and disaster. Studies on information security systems suggested frameworks such as IT Governance Cube and COBIT Framework to identify information security systems. Thus, this study define that information security systems is a controlled system on enterprise IT process and resource on IT Governance perspective rather than independent domain of IT. Thus, Information Security Systems should be understood as a subordinate concept of IT and business processes. In addition, this study incorporates information capability to information security system literature to show the positive relationship between Information Security Systems and Corporate Performance. The concept of information capability suggested that an interaction of human, information, technical and an effect on corporate performance using three types of capability (IT Practice, Information Management Practice, Information Behaviors and Values). Information capability is about firms' capability to manage IT infrastructure and information as well as individual employees who use IT infrastructure and information. Thus, this study uses information capability as a mediating variable for the relationship between information security systems and firms' performance. To investigate the relationship between Information Security Systems and multibusiness firms' performance, this study extends the IT relatedness concept into Information Security Systems. IT relatedness provides understanding of how corporations cope with conflicts between headquarters and business units to create a synergy effect and achieve high performance using IT resources. Based on the previous literature, this study develops the IT Security Relatedness model. IT Security Relatedness is our main independent variable, while Information Capability and Information Security Performance are mediating variables. To control for the common method bias, we collect each multibusiness firm's financial performance and use it as our dependent variable. We find that Information Security Systems influence Information Capability and Information Security Performance positively, and these two variables consequently influence Corporate Performance positively. In addition, this result indirectly shows that corporations under a multibusiness environment can obtain synergy effects using the integrated Information Security Systems. This positive impact of Information Security Systems on multibusiness firms' performance has an important implication to various stakeholders. Therefore, multibusiness firms need to establish Information Security Systems to achieve better financial performance.

• Journal of the Korea Convergence Society
• /
• v.9 no.4
• /
• pp.189-199
• /
• 2018

The purpose of this study is to investigate the effect of consultant 's competence on consulting satisfaction, consulting service quality, and understanding of client firm consulting. In summary, the results of this study suggest that the competency of a consultant influences the satisfaction of consulting and affects the satisfaction of consulting through service quality. Responsiveness, empathy, type, assurance and reliability have a significant impact on the hypothesis. Also, the higher the understanding of client firm consulting, the higher the satisfaction of consulting. In order to further improve the satisfaction of such consulting, it is necessary to enhance client firm consulting understanding. In order to improve the satisfaction of consulting, it is suggested that not only the consultant capacity but also the efforts to improve the consulting understanding of the customer can achieve the intended satisfaction. Further research is needed on how to improve understanding of how to improve consulting satisfaction in the future.

• Journal of Distribution Science
• /
• v.11 no.4
• /
• pp.61-72
• /
• 2013

Purpose - It is widely accepted that the process of developing marketing strategy is composed of three steps: market segmentation, target market selection and positioning. However, mass marketing strategy based on cost reduction through economies of scale and standardized products, can be also an effective strategic option. Many marketing scholars including Theodore Levitt emphasize the importance of applying the mass production concept to various industries including service industries. Especially, in times of economic downturn, the capability of providing consumers with low-priced, value products can be an important source of competitive advantage, as well as the ability of providing high-priced premium products. Marketers should decide whether they will implement mass marketing strategy or target marketing strategy. The present study theoretically shows that firms should understand the target customers' price elasticity as well as the firm's cost structure in order to make such a strategic decision. Research design, data, and methodology - Instead of implementing an empirical study, this study provides a theoretical(mathematical) investigation on the effect of consumers' price elasticity on a firm's optimal price level, profit, sales volume, revenue, and cost. The results are mostly deduced from derivative calculations and several graphs are utilized to represent the results on the relationships between the variables under study. Results - The analytical results suggest that it is more profitable for a firm to adopt the segment/target marketing strategy (more specifically the differentiation strategy) when the degree of consumers' heterogeneity is high and the proportion of the fixed cost in the total cost is low. On the other hand, if the degree of consumers' heterogeneity is low and the fixed cost is high, it is better to adopt the mass marketing strategy or the cost leadership strategy. The strategy of concentrating on a single target market will be effective when consumers' needs are highly heterogeneous but the fixed cost is high. Any of the three types of generic strategies proposed my Porter(1980, 1985) can be applied when both the consumers' heterogeneity and the fixed cost are low. This study also proposes the contribution-margin-based method for developing the optimal pricing strategy. Conclusions - One of the primary roles of marketers is to find a proper compromise between the two conflicting goals of maximizing customer satisfaction and minimizing cost. In order to do so, he or she should understand the characteristics of the target customers as well as the cost structure of the firm. In addition to the theoretical analyses, this study discusses several business cases and explains how superior companies find the optimal compromise position between these two goals and dominate the market. One of the radical changes recently taking place in business arena is the reduction of production and distribution costs of both physical goods and information due to the advancement and the wide diffusion of information technology. The cost reduction combined with lowered priced elasticity incurred by customized products and services, will enable many firms to adopt the mass customization strategy.

• Information Systems Review
• /
• v.18 no.2
• /
• pp.79-106
• /
• 2016

Service innovation is one means of gaining an advantage in a highly competitive environment. Although numerous studies have stressed the importance of service innovation, traditional good-dominant logic is still used in service innovation literature. Furthermore, few studies have been conducted on the link between service innovation and its antecedents in terms of service-oriented approach. To fill the gap, this article theoretically and empirically examines service innovation and its antecedents and consequences. Based on service-dominant logic and resource advantage theory, the current study aims to understand the effect of antecedents on service innovation as well as to identify the effect of service innovation on firm performance (i.e., non-financial and financial performance). Three service innovation activities, namely service creation-focused innovation, service delivery-focused innovation, and customer interaction-focused innovation, and four antecedents of service innovation, including human resource management capability, collaboration capability, marketing capability, and information technology capability, are identified based on Den Hertog (2000)'s service innovation framework. By using the empirical data collected from 189 service firms in Korea, this study explores the causal relationship among antecedents, service innovation and firm performance. Findings indicate that human resource management and marketing capabilities influence the three types of service innovation, whereas collaboration and information technology capabilities have a significant effect on both service creation-focused innovation and service delivery-focused innovation. In particular, human resource management capability is strongly related to customer interaction-focused innovation. The three types of service innovation have a positive influence on non-financial performance, whereas service delivery-focused innovation and customer interaction-focused innovation positively influence financial performance. These results support the crucial effects of antecedents, such as human resource management, collaboration, marketing and information technology capabilities, on service innovation.

• Journal of Technology Innovation
• /
• v.22 no.4
• /
• pp.235-259
• /
• 2014

New product or new technology developments are directly linked to a firm's survival and thus their performance and improvement are gaining attention in the midst of rapidly changing business environment and aggravating competition. However, despite SMEs' significance in the national economy, they are limited in terms of size and resources in possession, so the government provides a variety of supports as a policy. According to a study on the organizational life cycle, a firm's limits and difficulties differ by growth stage, so the supports need to be tailored. Based on the data from 2,575 firms that responded to the "2011 SMEs Technological Statistics," how technological capability level and deviation in the R&D process affect the R&D sales performance was studied. The result of analysis revealed that the technological capability has a positive impact on the R&D sales performance. It was also learned that the relationship between deviation in the technological capability and R&D sales performance was moderated by the government support. For the hypothesis that the government support would have a different moderating effect by growth stage for the impact the technology level has on the R&D sales performance, the empirical analysis showed a different meaningful moderating effect for each growth stage. The theoretical implications of the study are that, instead of a simple relation of dynamics that does not take the growth stages into account, it suggested a more realistic causal relationship model that reflects the complex environment the SMEs are in and that the need for measuring and using the deviation in technological capability as a research variable has been justified. The practical implications are that the government policy for supports can be tailored to a growth stage and that the guidelines have been suggested to effectively use the government funding by encouraging the SMEs in a different growth stage to adapt to the customized policy.

• International Area Studies Review
• /
• v.16 no.1
• /
• pp.197-220
• /
• 2012

This study is to understand those determinants of performance differences of Korean small and medium firm's subsidiaries in Vietnam based on the resource based view. We have visited 21 Korean SME's subsidiaries in Hochiminh city area in Vietnam and interviewed CEO of those subsidiaries for 1-2 hours to make each case. Based on case content analysis, we can get those results that eight management capabilities such as securing competent local managers, clear and smooth communication with local employees, establishing good labor-management relations, raising the rate of factory operation and subcontracting, firm specific quality control system, timely financing, establishing good relationships with local communities, and fostering friendly relations with local public officers are major determinants of performance differences. Also we can know that various factors including local experiences in Vietnam have influenced those management capabilities. To be a high performer in Vietnam, foreign subsidiaries of Korean SMEs have to build and develop major management capabilities continuously.

• Management & Information Systems Review
• /
• v.37 no.1
• /
• pp.19-40
• /
• 2018

The purpose of this study is to analyze the effects of a firm's dynamic capabilities measured by sensing, seizing, transforming, coordinating, and learning capabilities on its competitive capabilities, such as product quality, process flexibility, delivery speed, and low cost. The relationship among dynamic capabilities, competitive capabilities, and export firm performance is set up as a research model based on empirical studies related to the existing dynamic capability perspective and competitive capabilities. To test this research model, this study collected 102 samples of data using a questionnaire survey on both manufacturing and exporting firms. The partial least squares method is used and the following results are derived from an empirical analysis. First, dynamic capabilities have a positive effect on competitive capabilities, such as product quality, process flexibility, delivery speed, and low cost. Second, product quality and process flexibility have a positive effect on export firm performance. Third, unlike previous research results, this study finds that the competitive capabilities of a firm in the areas of delivery speed and low cost do not significantly affect its performance. These findings provide meaningful implications for export venture firms that need to acquire and maintain competitive advantage in a rapidly changing environment.

• Journal of Convergence for Information Technology
• /
• v.8 no.4
• /
• pp.237-245
• /
• 2018

The purpose of this study is to suggest the improvement plan for an effective benefit sharing support policy through empirical analysis on the benefit sharing operation of government as well as the benefit sharing support policy of government affecting firm performance. Therefore, this study analyzed current problems on benefit sharing operation of government as well as performed a survey for 225 participating and cooperation firms regarding firm performance. This study found some improvements such as insufficient diverse incentive measures leading to the difficulty of participating firm's increase and spread, insufficient substantial benefit sharing such a cash allocation between consignment firms, the increase of biz management system model failing to induce innovation of new technology or product, and difficult spread into 2nd, 3rd cooperative firms besides 1st ones, meanwhile, verifying the positive influence of government benefit sharing support policy on both participating and cooperation firms, especially on the performance of cooperation firms. As a further study, it is necessary to increase the objectiveness and accuracy of a research through verification of the interrelationships between firm statue and performance on the basis of more objective and quantitative data such a sales increase or R&D capability of cooperation firms.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.19 no.4
• /
• pp.243-254
• /
• 2024

In recent years, as support for venture companies and performance increase, investment scale increases. To support them goverment operates venture firm confirmation system as a part of a variety of policies. Many studies suggest venture confirmation system offer the practical assistance on performance of venture companies. However, simply venture firm confirmation system affects on performance of venture companies. This study sought to develop a theoretical research model about the impact of innovation capabilities and industrial property rights on venture companies' financial performance and technological capabilities through the venture company confirmation system. The following hypotheses were tested. First, the innovation capabilities of venture companies such as development capability, manufacturing capability, marketing capability, level of cost leadership, level of high added value, degree of clarity of business model, and degree of innovation of business model have a significant impact on the venture company confirmation system. Second, the industrial property rights of venture companies, such as the number of domestic industrial property rights, foreign industrial property rights, industrial property rights in domestic applications, and industrial property rights in overseas applications, do not have a significant impact on the venture business confirmation system. Third, the benefits of the venture business confirmation system, such as promotion of technology development, advertising effects, tax benefits, securing excellent human resources, financing and investment incentives, advantageous participation in government support systems, and deregulation, are related to the financial performance of venture businesses such as sales and operating profit., net profit and technological level. Lastly, it was confirmed that, except for research and development type venture companies, innovation capabilities and industrial property rights do not have a significant impact on financial performance and technological capabilities through the venture confirmation system. The implications of this study mean that in situations where a company's innovation capabilities are lacking, the supply and demand of the venture business confirmation system is weak. Therefore, in order to improve the benefits of the venture business verification system, it is necessary to operate the venture business verification system benefits mainly for companies with high corporate capabilities. Next, it means that industrial property rights are not related to the venture business confirmation system. Therefore, there will be no need to consider industrial property rights as an important matter in the certification of the venture business verification system. Lastly, the higher the level of benefits from the venture business confirmation system, the greater the company's performance and technological capabilities. Therefore, efforts should be made to utilize the venture business verification system in a way that can improve performance or technology through the benefits of the venture business verification system.

• Journal of the Economic Geographical Society of Korea
• /
• v.13 no.4
• /
• pp.623-640
• /
• 2010

The aim of this paper is to explore opportunities and limitations of the top-down approach to build institutional performance by analyzing the process of local government-led cluster's initiatives. In doing so, this paper investigates processes of the design and implementation of cluster's policy as well as firms' innovative capacities. As the result, it reveals the fallacy of the local government's policy in planning industrial clusters, the inconsistence of cluster initiatives due to changes of regional vision providers, weakness of innovative performance of IT firms supported by the local government in the region. It should be concluded that Chun-cheon City did not succeed in accumulating institutional capabilities which were crucial to implement a cluster initiative.