• Asia Marketing Journal
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• v.14 no.2
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• pp.209-237
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• 2012

1. Research Purpose Consumers rely on various clues to evaluate their decision to patronize a retail store, and store brand is one of them (Dodds 1991; Grewal et al. 1998). As consumers find ever increasing variety of contact points connecting them to specific store, the value of experiential shopping as a means of increasing store's brand equity warrants greater attention from scholars of retail management. Retail shopping values are credited for creating not only cognitive experiences like brand knowledge but also emotional experiences such as shopping pleasure and pride (Schmitt 1999). This may be because today's consumers place emphasis on emotional values associated with shopping pleasure, lifestyle brought to life, brand relationship, and store atmosphere more than utilitarian values such as product quality and price. Many previous literature found this to be true (Ahn and Lee 2011; Mathwick et al. 2001). This brings forth important research issues and questions regarding the roles of shopping experiential values and brand equity with regard to consumer's retail patronage choice. However, despite this importance, research on this area remains quite inadequate (Hwang 2010). For this reason, this study aims to verify the relationships among experiential shopping values, retail store brand equity and tries to link that with customer loyalty by surveying large-scale discount store shoppers in Korea and China. 2. Research Contents In order to carry out the research objective, this study conducted comprehensive literature survey on previous literature by discussing major findings and implications with regard to shopping values and retail brand equity and store loyalty. For data collection, researcher employed survey-based research method where data were collected in two major cities of Korea (Seoul) and China (Bejing) and sampling frame was based on patrons of large discount stores in both countries. Specific research questions raised in this study are as follows; RQ1: How do Korean and Chinese consumers differently perceive of shopping values regarding shopping at large-sclae discount stores? RQ2: Are there differences in consumers' emotional consumption propensities? RQ3: Do Korean and Chinese consumers display different perceptions of brand equity towards large-scale discount stores? RQ4: Are there differences in relationships between shopping values and brand equity for Korean and Chinese consumers? For statistical analysis, SPSS17.0, AMOS17.0 and SmartPLS were employed. 3. Research Results The data collected through face-to-face survey conducted in Seoul and Bejing revealed appropriate data validity and reliability as a result of exploratory/confirmatory factor analysis and reliability tests, andh SEM model yielding satisfactory model fitness. The result of the study may be summarized by three main points. First, as a result of testing differences in consumption dispositions, Chinese consumers showed higher scores in aesthetic and symbolic dispositions, whereas Korean consumers scored higher in hedonic disposition. Second, testing on perceptions toward brand equity of large discount stores showed that Korean consumers exhibited more positive perceptions of brand awareness and brand image than Chinese counterparts. Third, the result of exploratory factor analysis on the experiential shopping values revealed different factors for each country. On Korean side, consumer interest value, aesthetic value, and hedonic value were prominent, whereas on Chinese side, hedonic value, aesthetic value, consumer interest value, and service excellence value were found salient. 4. Research Implications While many previous studies on inter-country differences in retailing area mainly focused on cultural dispositions or orientations to explain the differences, this study sets itself apart by specifically targeting individual consumer's shopping values from an experiential viewpoint. The study result provides important theoretical as well as practical implications for large-scale discount store, especially the impotance of fully exploring the linkage between shopping values and brand equity, which has significant influence on loyalty. Therefore, the specific implications deriving from the result shed some important insights upon the consumption values based on shopping experiences and brand equity. The differences found in store shoppers between the two countries may also provide useful insights for Korean and Chinese retailers who plan to expand their operations globally. Related strategic implications derived from this study is the importance of localizing retail strategy which is based on the differences found in experiential shopping values between the two country groups. Especially the finding that Chinese consumers value consumer interest and service excellence, whereas Koreans place importance on hedonic or aesthetic values indicates the need to differentiate the consumer's psychographical profiles when it comes to expanding retail operations globally. Particularly important will be to pursue price-orienated strategy in China in consideration of the high emphasis on consumer interests and service excellence, but to emphasize the symbolic aspects of brand equity in Korea by maximizing the brand equity associated with aesthetic values and hedonic orientations. 5. Recommendations This study focused on generic retail branded discount stores in both countries, thus making it difficult to tease out store-specific strategies based on specific retail brands. Future studies may benefit fro employing actual brand names in survey questionnaire to verify relationship between shopping values and brand-based store strategy. As with other studies of this nature, this study needs to strengthen the result's generalizability by selecting respondents from a wider spectrum of respondents.

• Journal of the Korean Geographical Society
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• v.35 no.4
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• pp.585-598
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• 2000

본 연구를 통하여 대형할인점 이용자, 재래시장 이용자, 그리고 수퍼마켓 이용자들의 각 쇼핑장소를 중심으로 한 거주지역 공간적 분포 및 쇼핑패턴의 차이를 비교한 결과. 이 세종류의 쇼핑장소 이용자들간의 각 쇼핑장소들 중심으로 한 거주지역 분포의 공간적 패턴 및 쇼핑통행 패턴은 상당한 차이를 나타내고 있다. 또한 대형할인점을 이용자를 제외한 재래시장 이용자와 슈퍼마켓 이용자들을 대상으로 그들이 이용하기를 원하는 대형할인점의 이용을 제한하는 주요 요인을 분석한 결과 통행거리, 운전면허 미소지, 자가용 승용차 미보유 등 대형할인점으로의 접근을 위한 과정에서 발생하는 제약 요인들이 가장 큰 비중을 차지하고 있는 것으로 나타난다. 이러한 점들을 볼 때, 재래시장 및 수퍼마켓이 주민들의 일상적인 쇼핑장소의 역할을 할 때와는 달리 대형할인점의 등장은 이곳으로의 주민들의 접근능력의 차이에 따라 주민들간 일상적 소비장소의 차별화가 진행될 수 있음을 시사한다. 특히 최근 대형할인점의 입지가 가속화되고 이에 따라 재래시장 및 수퍼마켓의 기능이 쇠퇴하고 있음을 고려할 때, 신체적 그리고 사회경제적 특성의 차이에 따라 대형할인점으로의 접근에 제한을 받는 주민들의 일상적 소비공간은 더욱 위축되고 고립될 가능성이 있다.

• Journal of Korean Society for Quality Management
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• v.26 no.2
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• pp.93-105
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• 1998

Many large scale discount stores try to enter the market in newly developed city areas. In order to sucessfully increase the market share, it is essential for them to understand customers' needs. In doing so, various forms of survey methods are often used and survey forms can influence respondents' decision. The main objective of this paper is to check consistency of different survey methods in terms of deriving the expected market share. In this paper, we a, pp.y two survey forms for both AHP and conjoint analyses using a randomized complete block design. Using AHP, we compare Kim's club, Carf, E-mart and Macro in terms of the following four customer attributes: parking facility, size of store, business hours, and special pricing policy. In conjoint analysis, we estimate the part-worth of each level of the customer's attribute so that one can design the best store which would optimizethe customer's attribute so that one can design the best store which would optimize the customer's utility. Empirical comparison results indicate very low consistency between the two methods. It implies the importance of verification methods of survey. We also analyze the impact of special pricing policy using a meta analysis. It turns out that older customers are a, pp.rently more sensitive to pricing policy.

• Asian Journal of Business Environment
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• v.7 no.4
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• pp.35-41
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• 2017

Purpose - This paper aims to examine several time series models to predict sales of department stores and discount store markets in South Korea, while other previous trial has performed sales of convenience stores and supermarkets. In addition, optimal predicted values on the underlying model can be got and be applied to distribution industry. Research design, data, and methodology - Two retailing types, under investigation, are homogeneous and comparable in size based on 86 realizations sampled from January 2010 to February in 2017. To accomplish the purpose of this research, both ARIMA model and exponential smoothing methods are, simultaneously, utilized. Furthermore, model-fit measures may be exploited as important tools of the optimal model-building. Results - By applying Holt-Winters' additive seasonality method to sales of two large-scale retailing types, persisting increasing trend and fluctuation around the constant level with seasonal pattern, respectively, will be predicted from May in 2017 to February in 2018. Conclusions - Considering 2017-2018 forecasts for sales of two large-scale retailing types, it is important to predict future sales magnitude and to produce the useful information for reforming financial conditions and related policies, so that the impacts of any marketing or management scheme can be compared against the do-nothing scenario.

• Korean Institute of Interior Design Journal
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• no.41
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• pp.137-145
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• 2003

This research analyzed the space scheme in connection with complexity, one of the new changes in the discount stores, and has a goal of predicting the direction of space scheme in the upcoming complexity era. The research was conducted in the following way. Firstly, this researcher tried to grasp what kinds of changes were required in the overall distribution industry socially and economically. Secondly, the characteristic and situation of discount stores were scrutinized. Thirdly, the domestic stores' complexity status was classified and types of those were elicited. Fourthly, the time-series change and use were analyzed. The result of this analysis reveals that the types of complexity can be divided by location and adjustment to environmental changes. The time-series analysis shows that total operating area, the number of parked cars and the tenant ratio have increased dramatically in 2000 and 2003. And, according to the correlation analysis between factors, the tenant ratio has, a strong correlation with other two factors. Self-complexity takes the basic form of living facilities and complexity with other facilities is combined with other cultural, sales, educational and administrative ones. Mass-complexity is merged with the stadiums, parks or station sites. As you've seen, the concept of complex shopping mall for the realization of one stop shopping and convenience will continue in the days to come. It is desirable that the study on the large-scale shopping spaces will be conducted continually for the preparedness of future life style.

• Journal of Distribution Science
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• v.10 no.5
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• pp.37-44
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• 2012

In this paper, we investigate several factors that affect the locational decision of discount stores by using previous studies on the marketing area and the location of commercial facilities. We selected 21 primary variables that are expected to influence the decision of store location and, by factor analysis, grouped them into five underlying factors. Among these, the demographic factor, which shows the potential purchasing power level, had the greatest impact on the locational decision for the store. However, we found individual stores positioned according to unique locational characteristics in addition to the demographic factor. It means that we have to additionally consider if the vicinity of the market is based on any physical properties. Many previous studies proposed four decision factors for store location: the economic factor, the demographic factor, the land utilization factor, and traffic factor. However, the fivefold factors-our distinctive contribution-are more concrete and persuasive according to Korean reality. We show that location preference is based on the following criteria: (1) the area is densely populated, (2) houses stand close together, (3) residents have a high income level, (4) road traffic is developed and easy to access, and (5) public transportation is well developed. The demographic factor has the greatest impact on the location of a discount store. The number of households has a greater relevance to the demographic factor than does the individual consumer. Second, discount stores relatively prefer places where houses are located close together because such places offer easy access to the market. Third, a place whose residents have a high income level will be preferred, with its large cars and excellent traffic conditions. Fourth, a location would be highly rated if the roads around commercial facilities are well developed and their accessibility is good. Finally, discount stores must be located close to bus stops because female consumers, including housewives-the most important customers-evaluate stores based on distance. In this research, the variable of consumer attitude and preference was excluded, and the location factors of discount stores were analyzed according to a microscopic view through physical spatial data. In the future, the opening of new discount stores based on the five factors indicated above will require a comparatively shorter time from the first project feasibility analysis. In addition, the result of our study can be applied to the field of public policy for constructing and attracting large-scale distribution facilities.

• Journal of Environmental Science International
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• v.19 no.6
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• pp.787-797
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• 2010

Nowadays meteorological information is systemized as a useful knowledge which has a significant effect on the overall industrial domains over the simple data. The distribution industry, which has the short life cycle, depends on the meteorological information at the strategic level. However, it is necessary to pay attention to the continuous investment in meteorological information because there is a hostility to paying for a service, particularly it does not provide accurate and reliable information. Therefore, the purpose of this study is to increase the usefulness of meteorological information in the distribution industry for its economic effectiveness from the core meteorological factors. We found significant meteorological factors (temperature, precipitation, disaster) that have a critical influence on the distribution industry through the hierarchical analysis process, and their importance according to the type of distribution channels, such as department store, large-scale discount store, convenience store, and home shopping. We performed the AHP analysis with 103 survey samples by middle managers from the various distribution channels. We found that precipitation is the critical meteorological factor across the distribution industry. Based on this result, we stress the difference in the level of the meteorological information in order for the effectiveness of each type of distribution channels.

• Journal of the Korean Geographical Society
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• v.39 no.4
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• pp.602-619
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• 2004

The purposes of this study are to describe the changes of retail environment and general merchandise retail structure in Daejeon Metropolitan City since e distribution market open. At the interval of five years (1996～2001) the rapid increase of large-scale discount stores have had a profound impacts on the retail structure and the spatial retail structure. The results of this study are summarized as follows. First, the proportion of general merchandise retail has increased in the retail structure. Second, each business type of general merchandise retail has taken different growth pattern, which has been distributed differently. Third, the establishment of general merchandise retail is on the decrease, the annual sale of general merchandise retail is one increase. Moreover the hightest sale region is changed from old-town to new-town. Many more variables like assortment of goods according to the locality should be reflected in the following spatial retail structure research.

• Proceedings of the Korea Information Processing Society Conference
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• 2007.05a
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• pp.443-446
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• 2007

A new association rule mining algorithm, which reflects the strategic importance of associative relationships between items, was developed and presented in this paper. This algorithm exploits the basic framework of Apriori procedures and TSAA(transitive support association Apriori) procedure developed by Hyun and Choi in evaluating non-frequent itemsets. The algorithm considers the strategic importance(weight) of feature variables in the association rule mining process. Sample feature variables of strategic importance include: profitability, marketing value, customer satisfaction, and frequency. A database with 730 transaction data set of a large scale discount store was used to compare and verify the performance of the presented algorithm against the existing Apriori and TSAA algorithms. The result clearly indicated that the new algorithm produced substantially different association itemsets according to the weights assigned to the strategic feature variables.

• Journal of Distribution Science
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• v.9 no.3
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• pp.25-36
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• 2011

Owing to the rapid growth of hypermarket/discount store formats since 1996, Korean retailing has suddenly attracted the significant attention from researchers. Before the emergence of large scale retailers such as E-Mart, Lotte Mart and Tesco Korea, there were the two retail formats who led the Korean retailing in the modern retailing history: department store and supermarket formats. Nevertheless, there has been little literature concerned about the two retail formats as a case study, while some authors have paid their attention to hypermarket/discount store formats. In addition, when mentioning the development process of retailing history, it is less likely that authors have made an effort to illustrate supermarket retailing history. In order to regard supermarket retailing as part of the Korean retailing, it is interesting to look at a representative supermarket retailer, Haitai, who was one of the subsidiaries of Haitai chaebol. Based on supermarket retailing, the company which was established as a joint venture in 1974 led a supermarket retailing in the Korean modernised retailing history. Before analysing whether Haitai failed or not, the definition of failure should be illustrated. With regard to the term, failure, in the academic world, authors have interchangeably used the following terms: failure, divestment, closure, organisational restructuring, and exit. To collect research data as a case study, the author adopted an in-depth interview method. The research is based on research interviews with 13 ex-staff who left after Haitai went bankruptcy, from store management department to merchandise department. By investigating Haitai's experiences through field interviews, the research found that Haitai restructured organisational decision-making process at the early stage when companies started to modernise organisational charts, benchmarking sophisticated retailing knowledge through the strategic alliance with a Japanese retailer. In respect of buying system, the company established firmly buying functions by adopting central buying system, and further, outstandingly allocated considerable marketing resources to the development of retailer brands with the dedicated team of retailer brand development. In the grocery retailing, abandoning a 'no-frill' packaging concept, the introduction of retailer brand packaging equal to, or better than national brand packaging design, encouraged other retailers to change their retailer brand development strategies. In product sourcing ways, Haitai organised for the first time the overseas sourcing team with the aim of improving the profit margins of foreign products and providing exotic products for customers, followed by other retailers. Regarding distribution system, the company introduced the innovative idea which delivered products ordered by stores directly to each store withboth its own vehicles and its own warehouse in which could deal with dry foods, chilly foods, frozen food, and non-foods, and even, process produce. In addition, Haitai developed many promotional methods to attract more customers like 'the guarantee of the lowest price', and expanded its own business to US in 1996, although withdrew, because of bankruptcy in 1997. Together with POS introduction in 1994, Haitai made a significant contribution to the development of the Korean retailing, influencing other retailers in many aspects. As a case study, the study has provided a number of lessons from Haitai's experiences for academicians and practitioners, suggesting that its history should be involved in the Korean modernised retailing.