• Journal of Distribution Research
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• v.17 no.1
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• pp.65-86
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• 2012

The $20^{th}$ century was the era of manufacturer brands which built higher brand equity for consumers. Consumers moved from generic products of inconsistent quality produced by local factories in the $19^{th}$ century to branded products from global manufacturers and manufacturer brands reached consumers through distributors and retailers. Retailers were relatively small compared to their largest suppliers. However, sometime in the 1970s, things began to slowly change as retailers started to develop their own national chains and began international expansion, and consolidation of the retail industry from mom-and-pop stores to global players was well under way (Kumar and Steenkamp 2007, p.2) In South Korea, since the middle of the 1990s, the bulking up of retailers that started then has changed the balance of power between manufacturers and retailers. Retailer private labels, generally referred to as own labels, store brands, distributors own private-label, home brand or own label brand have also been performing strongly in every single local market (Bushman 1993; De Wulf et al. 2005). Private labels now account for one out of every five items sold every day in U.S. supermarkets, drug chains, and mass merchandisers (Kumar and Steenkamp 2007), and the market share in Western Europe is even larger (Euromonitor 2007). In the UK, grocery market share of private labels grew from 39% of sales in 2008 to 41% in 2010 (Marian 2010). Planet Retail (2007, p.1) recently concluded that "[PLs] are set for accelerated growth, with the majority of the world's leading grocers increasing their own label penetration." Private labels have gained wide attention both in the academic literature and popular business press and there is a glowing academic research to the perspective of manufacturers and retailers. Empirical research on private labels has mainly studies the factors explaining private labels market shares across product categories and/or retail chains (Dahr and Hoch 1997; Hoch and Banerji, 1993), factors influencing the private labels proneness of consumers (Baltas and Doyle 1998; Burton et al. 1998; Richardson et al. 1996) and factors how to react brand manufacturers towards PLs (Dunne and Narasimhan 1999; Hoch 1996; Quelch and Harding 1996; Verhoef et al. 2000). Nevertheless, empirical research on factors influencing the production in terms of a manufacturer-retailer is rather anecdotal than theory-based. The objective of this paper is to bridge the gap in these two types of research and explore the factors which influence on manufacturer's private label production based on two competing theories: S-C-P (Structure - Conduct - Performance) paradigm and resource-based theory. In order to do so, the authors used in-depth interview with marketing managers, reviewed retail press and research and presents the conceptual framework that integrates the major determinants of private labels production. From a manufacturer's perspective, supplying private labels often starts on a strategic basis. When a manufacturer engages in private labels, the manufacturer does not have to spend on advertising, retailer promotions or maintain a dedicated sales force. Moreover, if a manufacturer has weak marketing capabilities, the manufacturer can make use of retailer's marketing capability to produce private labels and lessen its marketing cost and increases its profit margin. Figure 1. is the theoretical framework based on a strategic market management perspective, integrated concept of both S-C-P paradigm and resource-based theory. The model includes one mediate variable, marketing capabilities, and the other moderate variable, competitive intensity. Manufacturer's national brand reputation, firm's marketing investment, and product portfolio, which are hypothesized to positively affected manufacturer's marketing capabilities. Then, marketing capabilities has negatively effected on private label production. Moderating effects of competitive intensity are hypothesized on the relationship between marketing capabilities and private label production. To verify the proposed research model and hypotheses, data were collected from 192 manufacturers (212 responses) who are producing private labels in South Korea. Cronbach's alpha test, explanatory / comfirmatory factor analysis, and correlation analysis were employed to validate hypotheses. The following results were drawing using structural equation modeling and all hypotheses are supported. Findings indicate that manufacturer's private label production is strongly related to its marketing capabilities. Consumer marketing capabilities, in turn, is directly connected with the 3 strategic factors (e.g., marketing investment, manufacturer's national brand reputation, and product portfolio). It is moderated by competitive intensity between marketing capabilities and private label production. In conclusion, this research may be the first study to investigate the reasons manufacturers engage in private labels based on two competing theoretic views, S-C-P paradigm and resource-based theory. The private label phenomenon has received growing attention by marketing scholars. In many industries, private labels represent formidable competition to manufacturer brands and manufacturers have a dilemma with selling to as well as competing with their retailers. The current study suggests key factors when manufacturers consider engaging in private label production.

• Proceedings of the Korean DIstribution Association Conference
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• 2003.02a
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• pp.123-166
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• 2003

Marketing channel is recognized as one of the society systems which have the character of functional organization. These organizations are related to each other for specialized and cooperative work. Channel members in distribution channel are striving to accomplish exchange through reciprocal action. Thus channel members exercise their power to take better position in exchange. There will be struggling between members about satisfaction and conflict during this power exercise. Now a days, buyers use more harsh power as large retail firms are increasing. This phenomenon is occurring in the distribution channel. However, there will be different phenomenon in case of agricultural products. Not like industrial product suppliers, agricultural product suppliers have various supply channels and many agricultural products are seasonal. It has also unstable amount supplies. There should be differentiated marketing in agricultural products. Relatively weaker powered suppliers have to strengthen comparative factors and also have to be technically specialized through assessed experience in order to establish strong product sales chain. Making a brand of agricultural product would be also a good idea to increase the product comparability. Channel members need to be recognized their specialized functions in order to make balanced distribution channel. There have to be conversion of concept of relation between suppliers and buyers from subordinate relationship to cooperative relationship.

• Journal of Distribution Research
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• v.15 no.2
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• pp.71-99
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• 2010

Most of studies on patriotism in the marketing area have focused on ethnocentric tendencies observed in consumption behaviors. On the contrary, there have been few empirical studies on how patriotism in the general sense, indicating affection for, attachment to, and pride in the country, influences consumers' evaluation of domestic and foreign products. Given the current situation that marketing activities appealing to people's patriotism is increasing, this is somewhat surprising. Thus, this study examined empirically how patriotism influences people's evaluation of domestic and foreign products. In addition, we tested whether consumer ethnocentrism works as an intervening variable in the relation between patriotism and product evaluation. The empirical analysis was conducted through a questionnaire survey of undergraduate and graduate students at universities in Seoul. The survey asked about the respondents' patriotism, consumer ethnocentrism, domestic product evaluation, foreign product evaluation, and demographical characteristics. In foreign product evaluation, the respondents were requested to evaluate Chinese and Japanese products. Email was used to send and recover the questionnaires, and 135 replies were used in the analysis. Major findings from the empirical analysis are as follows. First, a significant relationship was observed between patriotism and domestic product evaluation. That is, patriotic participants evaluated domestic products more favorably. On the other hand, no significant relationship was observed between patriotism and foreign product evaluation(See Table 1-1 and 1-2). Next, the effect of patriotism on domestic product evaluation was mediated by consumer ethnocentrism. However, whether the effect of patriotism on domestic product evaluation is mediated by consumer ethnocentrism partially or fully was different according to product(See Table 2-1 and 2-2). Lastly, we tried to analyze the relation between consumer ethnocentrism and product evaluation and comparing the results with findings of previous researches. According to the results, a significant relationship was observed between consumer ethnocentrism and domestic product evaluation but not between consumer ethnocentrism and foreign product evaluation. The meanings of this study are as follows. First, there have been few marketing studies that investigated the relation between patriotism and product evaluation. Thus, this study is meaningful in that it supplemented the limitation of previous research. Second, consumer ethnocentrism was found to mediate the relation between patriotism and domestic product evaluation. Considering the absence of previous research that examined the role of consumer ethnocentrism as an intervening variable, this study is significant in that it expanded the scope of research on consumer ethnocentrism. Third, from the practical aspect, the results of this study suggest that marketing appealing to patriotism is effective in stimulating consumers' purchase and consumption of domestic products. Accordingly, such a marketing strategy is expected to be effective in protecting domestic markets from imported goods and overseas brands and to increase demands for domestic products and brands. However, there is the question of whether the effect of patriotism based marketing strategies in promoting demand for domestic products would persist. That is, this study could not find a significant relation between patriotism and foreign product evaluation, and this means that the increase in patriotism for the home country does not damage people's view to the quality of foreign products negatively. Accordingly, without change in people's perception of foreign products, it is highly likely that the increase in demand for domestic products or brands induced by patriotism elevated at a specific time or situation may not last long. Fourth, the results of this study suggest that the patriotism level may influence consumers' choice behavior toward retailers strongly connected to a specific country or region. That is, consumers with high level patriotism may hesitate or avoid using a retailer associated with some foreign country. Fifth, according to the results of this study, when people's patriotism is stimulated by a specific social situation or event, it can be an opportunity for domestic franchise brands to increase their market performance such as sales and market share and, at the same time, for foreign franchise brands to experience adversities. Therefore, during a period like the Olympic Games or the World Cup when people's sense of belonging or attachment to their country is heightened, domestic franchise brands need to make marketing activities that may lead market opportunities to substantial results and foreign franchise brands to cope with such adversities. Sixth, consumers' brand choice is often made in retail stores. It has been demonstrated by numerous studies that in store stimuli such as point of purchase display can affect consumers' behavior. Considering this, domestic brands facing competition with foreign brands should make continuous efforts to enhance the market performance of their products through developing in store stimuli that can stimulate consumers' patriotism. Finally, based on the major findings of this study, both academic and practical issues were discussed. Suggestions for future studies were provided.

• Archives of design research
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• v.20 no.3 s.71
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• pp.85-96
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• 2007

In Korea, with a dramatic growth of Super Supermarket (SSM) in the wake of opening up the retail market and diversifying distribution, the consumer's purchase behavior about food and consumer goods changed. In order to investigate this change, this study was carried out through collecting and analyzing questionnaires from 190 men and women consumers at ages between twenties and sixties, living in Ulsan and Pusan. The result suggested that in overall features, men were mainly affected by design factors such as packaging design, color, and product design, whereas women were mainly affected by cost factors such as price and configuration. As for product properties, it was suggested that women put importance on the price concerning ail products, but men didn't. In addition, it was identified that women were impressed by advertisements on TV, and men and women both often purchased the product after confirming its information among the displayed products. Considering these results, we concluded that for a product whose main target is men in particular, the product development should focus on design. Moreover, as the packaging design and display affect on both men and women as important factors, hereafter a complementary study on the effects of the packaging design and display of manufacturers related to the products in this study is to be proceeded with greater interest.

• Journal of Distribution Research
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• v.10 no.2
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• pp.73-97
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• 2005

The importance of emotional factors like as product aesthetics, branding strategies and service quality is increasing in today's marketplace. At the point of fashion product purchases, emotional factor is mainly related to personal selling. Rasearches related to job aptitudity of fashion salesperson are necessary as their role becoming more serious. This study was designed (1) to determine factors of job aptitudity of fashion salesperson; and (2) to examine relations between job aptitudity of fashion salesperson and other variables: demographics, job statistics, fashion involvement fashion innovativeness, ongoing information searching and job satisfaction. As a result, job aptitudty of fashion salesperson was determined into six dimensions by factor analysis: product knowledge, professionalism, involvement to the present profession, marketing cooperator, customer orientation and self management. Marketing cooperator and product knowledge was relatively !ow compared to other aptitudity factors. This finding suggests that the special education programs including textile/fashion product knowledge and value of field information for fashion salesperson is needed to enhance the integrated fashion marketing. The job aptitudity of salesperson was correlated with fashion involvement, fashion innovativeness, ongoing information searching, and job satisfaction. The job aptitudity-related scales which showed significant relation to job aptitudity in this study could be used as the index to examine the job aptitudity of potential employees of fashion retail company.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.13 no.6
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• pp.2540-2550
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• 2012

The purpose of this study to analysis influence commitment and post-purchase satisfaction on VMD components within SPA stores. VMD Components are consist of product directing and space directing as independent variables, we are empirical study on affective commitment and post product purchasing satisfaction. To validate the hypothesis by path analysis conducted between variables using SPSS 12.0 and LISREL8.7, the results are as follows : First, product directing and space directing have significant effect on commitment and post-purchase satisfaction. Second, commitment have significant effect on post-purchase satisfaction. Third, we found commitment have mediate effects from analysis direct affect and indirect affect of path coefficients. Contribution of this study to found VMD components consist of product directing and space directing are both important factors SPA stores, among them space directing is more important role commitment and after purchasing satisfaction. And that is based on emotion-cognitive theory by revalidation, these results are used on developing VMD strategy that is required at the time of practical and theoretical guidance of SPA stores.

• Science of Emotion and Sensibility
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• v.24 no.3
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• pp.41-60
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• 2021

The purpose of this research was to determine whether multimodal cues in an online shopping environment could enhance tactile consumer mental imagery, purchase intentions, and attitudes towards an apparel product. One limitation of online retail is that consumers are unable to physically touch the items. However, as tactile information plays an important role in consumer decisions especially for apparel products, this study investigated the effects of multimodal cues on overcoming the lack of tactile stimuli. In experiment 1, to explore the product, the participants were randomly assigned to four conditions; picture only, video without sound, video with corresponding sound, and video with discordant sound; after which tactile mental imagery vividness, ease of imagination, attitude, and purchase intentions were measured. It was found that the video with discordant sound had the lowest average scores of all dependent variables. A within-participants design was used in experiment 2, in which all participants explored the same product in the four conditions in a random order. They were told that they were visiting four different brands on a price comparison web site. After the same variables as in experiment 1, including the need for touch, were measured, the repeated measures ANCOVA results revealed that compared to the other conditions, the video with the corresponding sound significantly enhanced tactile mental imagery vividness, attitude, and purchase intentions. However, the discordant condition had significantly lower attitudes and purchase intentions. The dual mediation analysis also revealed that the multimodal cue conditions significantly predicted attitudes and purchase intentions by sequentially mediating the imagery vividness and ease of imagination. In sum, vivid tactile mental imagery triggered using audio-visual stimuli could have a positive effect on consumer decision making by making it easier to imagine a situation where consumers could touch and use the product.

• Journal of Service Research and Studies
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• v.13 no.3
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• pp.57-69
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• 2023

Early morning delivery possesses distinct characteristics that differentiate it from standard delivery services. This service typically involves delivering products to customers during the early morning hours, primarily before 7 AM. While online early morning delivery offers various advantages from a customer perspective, it also presents challenges that sellers and online shopping companies need to overcome. The early morning delivery market is experiencing significant growth in the online food retail sector, incorporating both PC-based online shopping and mobile shopping. The objective of this research is to identify the factors influencing customer satisfaction and the intention to reuse in the context of early morning delivery for online shopping. To model the online shopping environment with early morning delivery, independent factors were categorized into three types: System Properties, Product Characteristics, and Delivery Characteristics. This study examined the relationships among these three independent factors, the mediating factor of customer satisfaction, and the dependent variable of the intention to reuse. To conduct this research, empirical validation of the research hypotheses was carried out using the final dataset for analysis. Within this study, the previously explored System Properties, Product Characteristics, and Delivery Characteristics were established. Summarizing the findings of the analysis, it was discovered that System Properties and Product Characteristics played a significant role in determining the quality of early morning delivery services for online shopping. While product diversity and convenience had a positive impact, it is noteworthy that Delivery Characteristics did not influence customer satisfaction. Consequently, it can be concluded that there is no effect on the intention to reuse.

• Asia Marketing Journal
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• v.14 no.3
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• pp.27-48
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• 2012

Temperature and weather are all around us, quite literally. Furthermore, temperature and weather not only permeate our atmosphere, constantly affecting our visceral states of warmth and coldness, but they metaphorically permeate our language. People, products, and ideas can all be "hot" or "cold." Given this ubiquity, it is perhaps surprising that relatively little research has systematically examined the influence of temperature on choice and judgment. Temperature-related words such as "hot" and "cold" are often used to describe impulsive and calculated behaviors, respectively. These metaphoric connotations of thermal concepts raise the question as to whether temperature, psychological states and decision making are related to each other, and if so, how. The current research examines these questions and finds support for a relationship. Across one field study and one laboratory experiment, I demonstrate that both hot ambient room temperature (Spa) and hot temperature primes (words) trigger decision outcomes in line with the metaphoric association between hot temperature and impulsivity. In the field study, participants were recruited in hot (40-50 degrees Celsius) and cold (10 degrees Celsius) rooms at a spa. Participants were simply asked to indicate their willingness-to-pay (WTP) for three product categories (travel package, birthday dinner, and cell phone). The results showed that participants in the hot room in comparison to those in the cold room were willing to pay more for the same products. Next, I tested if our results would go beyond ambient temperature and would hold if I were to prime temperature concepts by using a different priming method (i.e., subliminal vs. supraliminal). In line with the previous findings in the spa, participants in the hot priming condition were more likely to choose the wrong answer for the bat and baseball question than those in the cold priming condition. In addition, product type (e.g., pleasure vs. necessity) can moderate the effect of hot temperature on impulsivity. Mood and arousal did not mediate participants' responses. My findings seem to suggest that the effects of temperature on decision outcomes can be attributed to metaphoric associations rather than incidental mood or arousal. The current research applies a novel perspective in understanding the relationship between temperature and judgment and decision making. Also, the results have practical implications for packaging, advertising, merchandising, and pricing of goods and services, as well as for public policy and awareness. One of the most natural implications of my findings would be that retailers would be better off carrying more impulse purchase items on hot days. Furthermore, point-of-purchase promotions encouraging impulse purchase is more likely to be effective in retail environments with higher temperature than with lower temperature. In addition, advertisements and product packages evoking hot temperature associations (e.g., beach, sunshine, summer) might lead consumers to pay higher price for the advertised product than those with cold temperature associations.

• Journal of the Korean Society of Clothing and Textiles
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• v.38 no.6
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• pp.783-795
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• 2014

This study investigates how the physical attractiveness of salespeople and other customers and self-image congruence influence customer perception and brand attitude. As a result of a pretest, four types of pictorial stimuli were developed: physical attractiveness of salespeople (high/low) ${\times}$ that of other customers (high/low). Stimuli were developed using Photoshop CS. A total of 550 samples in two experiments were used and all respondents were women in their 20s and 30s. Data were analyzed using ANOVA and SEM. The result of analysis shows that the physical attractiveness of salesperson had a significant impact on perceived quality, but that of other customers did not. However, self-image congruence with other customers shows a significant effect on perceived quality; however, salespeople did not. The impact of the perceived product quality on brand attitude is higher than perceived service quality. This study adds to fashion retailing literature by demonstrating that physical attractiveness and self-image congruence can influence a customers' perception of product or service quality and brand attitude. It provides interesting insight into how retailers can use social factors as a strategic tool in a retail setting.