• 유통과학연구
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• 제16권12호
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• pp.13-21
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• 2018

Purpose - Because it is not possible to assess the quality of service products before experiencing them, one feature of a service product is quality uncertainty; hence consumers may react sensitively to pricing. It is necessary to investigate how different pricing strategies affect consumer purchase intention depending on the level of service quality uncertainty. Research design, data, and methodology - The authors have investigated the potential impact of the level of service quality uncertainty, price discount rate and presentation method on consumer purchase intention. A play was selected as an experimental stimulus, and Vietnamese consumers were surveyed to verify the hypotheses. Results - When uncertainty regarding service quality is low, consumer purchase intention is higher when the price discount rate is high or when the price is low. When uncertainty regarding service quality is high, if the normal price, discount rate, and discounted price are presented simultaneously, consumer purchase intention is higher when the price discount rate is low, but when only the discounted price is presented, purchase intention is higher when the price discount rate is high. Conclusions - The results of this study can provide valuable practical implications for pricing for service products with quality uncertainty.

• Industrial Engineering and Management Systems
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• 제7권3호
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• pp.257-265
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• 2008

This paper deals with the joint decisions on pricing and ordering for a monopolistic retailer who sells perishable goods with a fixed lifetime or demand period. The newsvendor-typed problem is formulated as a two-period inventory system where the first period represents the inventory of fresh or new-arrival items and the second period represents the inventory of items that are older but still usable. Demand may be for either fresh items or for somewhat older items that exhibit physical decay or deterioration. The retailer is allowed to adjust the selling price of the deteriorated items in the second period, which stimulates demand and reduces excess season-end or stale inventory. This paper develops a stochastic dynamic programming model that solves the problem of preseason decisions on ordering-pricing and a within-season decision on markdown pricing. We also develop a fixed-price model as a benchmark against the dual-price dynamic model. To illustrate the effect of the dual-price policy on expected profit, we conduct a comparative study between the two models. Extension to a generalized multi-period model is also discussed.

• 유통과학연구
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• 제17권6호
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• pp.25-32
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• 2019

Purpose - Pricing strategy is a very effective marketing activity and has a significant impact on consumer purchasing decisions. Numerous studies have investigated the effects of various pricing strategies. However, tensile price claims have received little attention in the literature. It is thus necessary to investigate how different forms of tensile price claims affect consumer response. This study uses the consumer self-confidence level as a moderator of consumer behavior. Research Research design, data, and methodology - This study investigates the effect of four different tensile price claims (i.e., maximum discount, minimum discount, average discount, and range discount advertisements) on consumers' perceived savings. A survey was conducted to collect data for testing hypotheses. Results - The results show that consumers with high levels of self-confidence perceive more savings for maximum discount advertisements than minimum discount advertisements, for range discount advertisements than average discount advertisements. On the other hand, consumers with low self-confidence feel more perceived savings for average discount advertisements than range discount advertisement. Conclusions - The results of this study provide a new insight into the effectiveness of tensile pricing based on consumer self-confidence levels, which may provide valuable theoretical and practical applications.

• Architectural research
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• 제19권3호
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• pp.71-77
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• 2017

Dynamic pricing refers to a system in which a tariff varies, according to a level of charging and applied time depending on time change. The power billing system used in the Korean Electric Power Corporation (KEPCO) is based on time of use (TOU) pricing, which is one of the dynamic pricing systems. This paper aimed to determine the operational results of a variable refrigerant flow system, to which a new control algorithm was applied, in order to respond to dynamic pricing, in summer and the utility of the new control. To do this, real measured data was acquired from a VRF system installed in a building for educational purposes, where dynamic pricing was applied for about 100 days during summer time. At the maximum load operation time period in TOU, the new control minimized operation within the indoor comfort range, an increase in refrigerant evaporation temperature in the indoor unit and the number of revolutions in a compressor in the outdoor unit was limited. As a result, power usage was decreased by 11%, and the operational cost by 14.6%. Furthermore, measurement results using the Predicted Mean Vote (PMV) model, that represented satisfaction of thermal environment, showed that 82.8% to 90.4% of the occupants of the building were satisfied during operation when the new control was applied.

• 한국경영과학회:학술대회논문집
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• 한국경영과학회 1998년도 추계학술대회 논문집
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• pp.36-39
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• 1998

It is very difficult for the large-scale retailers, who deal with tens of thousands of items, to price all the items dynamically reflecting all the constraints and policies. In spite of its importance, the prices are determined by human experts because the process of setting the prices of all the items is not established yet. To solve this problem, we adopt a mixed model that combines three typical pricing models: cost-plus model, competition-oriented model, and demand-oriented model. Since each model an be converted to a set of constraints in point and interval forms, solving the pricing problem with the three groups of models requires an algorithm which can solve the problem with weighted constraints of intervals and points. So we have devised an algorithm named “Point Determination Algorithm”. From the rules that represents tile models, the constraints are extracted to be solvable by tile Point Determination Algorithm. A prototype KAPA (Knowledge Assisted pricing Advisor) is developed with this idea using the expert system environment UNIK - a tool developed by KAIST. According to the experiment with 76 items in comparison with 53 human pricing experts we confirmed that the KAPA can perform highly consistent with human experts. This implies KAPA system is applicable to pricing millions of items dynamically.

• 한국IT서비스학회지
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• 제12권3호
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• pp.111-126
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• 2013

As the gaps become narrower in interconnection fee and volume rate, the MNOs began to introduce flat pricing for unlimited voice traffic competitively in Korea wireless telecommunication market : 'unlimited talks within intra-network' by the 1st operator, followed by the 3rd operator's 'unlimited talks over all networks'. As a result, subscribers tip in toward the third ranked operator and could bring a substantial change to steadfast market structure over the last decade in Korea. This paper aims to develop a simple economic model to analyze competition with flat pricing for unlimited voice traffic, and to check whether the pricing can be appropriate for the MNOs. The results show that MNOs already step in the necessary conditions to launch flat pricing for voice traffic. It also predicts that the MNOs compete with unlimited talk over all networks and set a single fee in an equilibrium. At present, the MNOs run virtually identical pricing for unlimited talk over all networks, considering their differentiation with respect to service quality, coverage and brand preference.

• 산경연구논집
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• 제11권3호
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• pp.7-17
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• 2020

Purpose: This study reexamines the test on the pricing of accruals quality. Theory suggests that information risk is a priced risk factor. Using accruals quality as the proxy for information risk, researchers have tested the pricing of information risk. The results are inconsistent potentially because of the information shock in the realized returns that are used as the proxy for expected returns. Based on this argument, this study revisits this issue excluding information-shock-free measure of expected returns. Research design, data and methodology: This study estimates expected returns using the vector autoregression model. This method extracts information shocks more thoroughly than the methods in prior studies; therefore, the concern regarding information shock is minimized. As risk premiums are larger in recession periods than in expansion periods, recession and expansion subsamples were used to confirm the robustness of the main findings. For the pricing test, this study uses two-stage cross-sectional regression. Results: Empirical results find evidence that accruals quality is a priced risk factor. Furthermore, this study finds that the pricing of accruals quality is observed only in recession periods. Conclusions: This study supports the argument that accruals quality, as well as the pricing of information risk, is a priced risk factor.

• 경영과학
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• 제32권3호
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• pp.55-70
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• 2015

The main objective of this study is to investigate the moderating roles of the competitor's pricing strategy and the degree of consumer's risk-aversion on perceived risk and perceived benefit in responding to price increases and package downsizing. Based on Prospect Theory, several prior researches find that consumers perceive increased price as more loss than package downsizing and perceive package downsizing as more benefit than increased price. We extend these behavioral economics approach using the reference effect of competitor's pricing strategy. We focus on consumer heterogeneity on risk-aversion, measure the degree of consumer's risk-aversion, and divide the consumers into two groups of high levels of risk-aversion vs. low levels of risk-aversion. We find that the firm's pricing strategies of both price increases and package downsizing do not significantly influence the perceived benefit for relatively low risk-aversion consumers. We find that when the firm reduce the package size, relatively high risk-aversion consumers perceived more benefit and had higher purchase intention compared to price increases. We also find that the competitor's pricing strategies do not significantly influence the consumer's response for relatively low risk-aversion consumers. For relatively high risk-aversion consumers, they perceived more loss when the firm has different pricing strategy from the competitor's.

• 한국경영과학회지
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• 제25권2호
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• pp.23-31
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• 2000

Many studies in marketing and economics have attempted to model price and sales path under the dynamic diffusion process. Most of these models have been based on a fixed product lifetime. The current business climate requiring intensive development of new products however affects the diffusion of new products and their lifetime. Many products have not enjoyed the expected life cycle at the launching stage due to intense technical development competitive reactions, and financial problems. Most diffusion models however have not taken account of the lifetime uncertainty of new product. If the products do not last over the planning horizon set by those models. the optimal price derived from them could be futile. Therefore we had better take such lifetime uncertainty into consideration when developing diffusion models, In this paper we study the impact of uncertain product lifetime on its optimal pricing path in non-competitive market. We develop an optimal pricing model under uncertain product lifetimes and conduct a simulation study to investigate their effects on the optimal pricing and corresponding sales paths. The simulation study provides some interesting findings on optimal pricing policy under uncertain product lifetime. This study could be a stepping stone for the further extended study of optimal pricing strategy with uncertain product lifetime.

• 한국항만경제학회지
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• 제28권4호
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• pp.257-274
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• 2012

글로벌공급사슬간 경쟁이 격화됨에 따라 항만서비스도 항만의 존속과 경쟁력제고를 위한 시장지향적인 가격산정이 크게 필요하다. 협조적 게임이론의 오웬밸류는 선사주체의 시장지향적 항만서비스가격 산정에 활용될 수 있다. 이를 우리나라 광양항의 사례에 적용하여 그 유용성을 확인해보았다. 본 연구결과 부두용 특성함수를 사용하여 선석별 비용배분 문제를 해결하고, Budescu(1993)방법을 통해 안벽사용지수를 구하기 위한 관련요인의 상대적 가중치를 합리적으로 산정하였다. 또한 주요 선사에 대한 사용료 우대방안과 선사간 전략적 제휴에 의한 항만서비스 가격할인방안을 구축하였다. 본 연구를 결과를 활용하여 대형선박을 자주 운항하는 주요 선사에 대한 체계적인 요금할인을 통해 항만서비스요금을 전략적으로 책정 할 수 있을 것이다.