• The Journal of Industrial Distribution & Business
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• v.12 no.3
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• pp.43-49
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• 2021

Purpose: This study attempted to examine the risk of stock price plunge according to the firm's management strategy. Prospector firms value innovation and have high uncertainties due to rapid growth. There is a possibility of lowering the quality of financial reporting in order to meet market expectations while withstanding the uncertainty of the results. In addition, managers of prospector firms enter into compensation contracts based on stock prices, thus creating an incentive to withhold negative information disclosure to the market. Prospector firms' information opacity and delays in disclosure of negative information are likely to cause a sharp decline in share prices in the future. Research design, data and methodology: This study performed logistic analysis of KOSPI listed firms from 2014 to 2017. The independent variable is the strategic index, and is calculated by considering the six characteristics (R&D investment, efficiency, growth potential, marketing, organizational stability, capital intensity) of the firm. The higher the total score, the more it is a firm that takes a prospector strategy, and the lower the total score, the more it is a firm that pursues a defender strategy. In the case of the dependent variable, a value of 1 was assigned when there was a week that experienced a sharp decline in stock prices, and 0 when it was not. Results: It was found that the more firms adopting the prospector strategy, the higher the risk of a sharp decline in the stock price. This is interpreted as the reason that firms pursuing a prospector strategy do not disclose negative information by being conscious of market investors while carrying out venture projects. In other words, compensation contracts based on uncertainty in the outcome of prospector firms and stock prices increase the opacity of information and are likely to cause a sharp decline in share prices. Conclusions: This study's analysis of the impact of management strategy on the stock price plunge suggests that investors need to consider the strategy that firms take in allocating resources. Firms need to be cautious in examining the impact of a particular strategy on the capital markets and implementing that strategy.

• Journal of Korea Trade
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• v.24 no.6
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• pp.37-60
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• 2020

Purpose - The purpose of this study is to investigate the direct and indirect impact of innovation space factors on the growth of semiconductor enterprises. Design/methodology - This empirical study uses the financial statements of 83 semiconductor listed companies in 23 provinces from 2004 to 2019 approved by CSRC (2019). A stepwise regression and backward regression are employed in order to examine the role of innovation space to expand technology investment in promoting business growth and uses South Korean Samsung's investment in China as a test case. Findings - Results indicate that innovation space, technology input, geographical area, owner's background, operating years and financing liabilities all contribute to a boost in business growth. Factors such as carbon emission, financial liberalization, government efficiency, technology input, and financing liabilities further influence management growth. Innovation space follows a nonlinear pattern, and this plays a positive role in magnifying the influence of technology on management growth. Additionally, operations of the state-owned companies and expansionary financing enterprises are influenced by the external economy. Regarding the spatial distribution, the Samsung investment in 24 companies in China shows that Samsung focuses on the acquisition of scarce resources for semiconductor production as a component of its investment and innovation strategy. Originality/value - Even though prior research has considered the concepts studied here, this study contributes to empirically evaluate the direct impact of innovation space on business growth, and the indirect impact of innovation space on business growth through technology investment. This study includes an in-depth discussion of the practical effects that innovation space has on China's economy, using a case of South Korean Samsung's investment in China as a test the empirical findings.

• Land and Housing Review
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• v.2 no.4
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• pp.491-501
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• 2011

This study estimated economic value and benefits of Yongsan National Park, which will be constructed by financial investment of the government and objectively estimated the real value of it by understanding the value of the park from a user's view of the park. For this, the value of Yongsan National Park is divided into using value such as carbon reduction and the function of relieving urban heat island as an environmental material and non-using value based on willingness to pay of the public according to the construction of the park. As a result of the analysis, it was found out that the using value of Yongsan National Park would reach 130 million won up to maximum level of 450 million won per year, and the non-using value was analyzed to be worthy of 2,344 won per capita every month. Besides, economic ripple effect that can be expected in the process of the park construction project was analyzed to be a national policy that creates effect on production inducement of 2.6 trillion won and value added of 809.6 billion won and new jobs for 25,620 persons. Considering the value of Yongsan National Park and the effect of the project based on the result of this study, it was found that it could sufficiently secure the validity of implementing the project compared to the financial investment by the government. Therefore, it must be emphasized that diffusion strategy is necessary for national understanding and for a nation to make it understood its appropriateness widely in respect to the construction of Yongsan National Park for the successful construction of Yongsan National Park and to raise its using value in the future.

• Journal of the Korea Convergence Society
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• v.7 no.6
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• pp.205-212
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• 2016

This study attempts to empirically investigate if value strategy and momentum strategy could be improved by using past financial data such as ROE and PER in the Korean stock market. The study observes that both strategies which are refined by the portfolios consisting of companies with higher ROE/PER ratio show higher positive excessive returns than the traditional value strategy and momentum strategy. The study discusses that the excessive returns could be due to investors' behavioral biases such as conservatism, anchoring, confirmation, and herding by using convergent approach based on psychology theory. The results are not consistent with the efficient market hypothesis insisting investors' rational behavior.

• Journal of the Korean Institute of Illuminating and Electrical Installation Engineers
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• v.23 no.9
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• pp.31-39
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• 2009

This paper shows prioritization process for equipment investment plans considering reliability indices and economical efficiency. To decide prioritization of distribution investment projects, we made a distribution system model using system configuration, it's component and load information and designed several investment alternatives to improve reliability of present system. Lastly, we proposed a evaluation model of economical efficiency assessment on distribution investment alternative projects. To analyze influence by reliability and economical efficiency, we produced economical effects with applying time-varying failure rate of KEPCO's main equipments of distribution system and interruption cost of electric power affected by investment. Finally, in order to insure the validity of this proposed methodology, we compared investment prioritization by economical evaluation with that of real investment alternatives of KEPCO's branch office. In conclusion, this paper shows what and how to interpret the reliability effects of distribution system investments into financial indicators beneficial for power utilities's managers to make decision on the perspective of corporate value.

• Journal of Global Scholars of Marketing Science
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• v.16 no.2
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• pp.55-75
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• 2006

This study aims to identify the unknown essential condition to form the blue ocean market, in addition to the innovation of customer value which does not become a sufficient condition though it is one of the essential conditions to form a blue ocean market, and induce companies to take a firm foothold in the blue ocean market after going to the blue ocean market by segmenting the market after setting up appropriate strategies. On the basis of those goals of this study, we dealt with subjects like the problem of approaching the market that possesses factors of differentiated value innovation, the segmentation of value innovative market, the problem about the major variables that shed light on the character of blue ocean optical illusion market, the strategy for following companies to enter the market, which we applied to the actual analysis based on the investigation into the literature related to value innovation and blue ocean strategy, investigation into the actual cases and objective data. We analysed a domestic refrigerator market and a domestic chewing gum market as representative examples of durables and nondurables and segmented each market on a value innovation market. We discovered the blue ocean and the blue ocean's illusive market of the two markets. I've mentioned and studied the characters of those positively.

• Journal of Korean Society of Rural Planning
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• v.12 no.2 s.31
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• pp.11-16
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• 2006

Value of rural amenity resources scattered in rural area is difficult to be assessed isolatedly. Rural Amenity Resources Map (RARM) is developed for assessing rural resources based on specific territory. In the developing process, knowledge based system is oriented because rural amenity is differed from personal feeling. Possible decision trees in RARM are developed in reviewing process of previous GIS based decision support systems, and information strategy planning is constructed for achieving goals such as rural tourism, down shifting, and rural investment.

• IE interfaces
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• v.16 no.3
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• pp.291-299
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• 2003

The managerial environment of automobile industry has been rapidly changing, mainly with the tighter standard of legal and environmental regulations, the pressure of cost reduction from the end-user, the various functional improvements of vehicles, and the globalization management. In order to survive in this complicate circumstances, the automakers have strongly pursued the mutual collaboration with the suppliers, especially tier-1, for the optimal selection of parts/materials and the assembly manufacturing processes of the new model development. They prepare the early involvement program for the suppliers during the conceptual design stage, and implement the win-win strategy of technology development activity, in order to improve the value creation. This study considers the strategic technology management of automotive steel sheets makers on the aspects of strategy, processes, human & physical resources, and organization structure. It also suggests the corporate strategies of steel mills, in order to obtain the technology competence.

• The Journal of the Korea Contents Association
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• v.21 no.1
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• pp.12-23
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• 2021

Due to high proportion of exports, Korea has a higher dependence on the global value chain (GVC) than other major developed countries. This reason, Korea has a structure that is sensitive to GVC changes. This is because Korean exports are concentrated on specific countries and items, and most of the materials for export tend to depend on imports. Currently, export restrictions resulting from trade disputes with Japan can affect the industry of Korea as a whole due to the supply of core materials. Therefore, in order to minimize economic damage caused by export regulations in the current situation, it is necessary to reorganize the GVC, through efforts to rapidly diversify imports and localize imports that depend on Japan. To this end, it is necessary to derive and classify imported goods that depend on Japan, and to localize items that are difficult to diversify imports, and prompt R&D investment is required for this. This study aims to support R&D investment policy through quantitative analysis based on big data rather than a decision-making method based on expert-centered qualitative analysis.

• Management & Information Systems Review
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• v.32 no.4
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• pp.127-153
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• 2013

The trend of China's industry has been changed from manufacturing industry based on cheap labor market to service industries gradually as a whole. The investment of Korean corporations toward Chines service industry is gradually being increased. The importance of Chinese service industry related taxations such as business tax and value-added tax are growing. This study, therefore, examines the changes of investment environment and does the business tax and VAT of growing importance in China. From the point of view that the taxation on services is mainly related to the business tax or VAT, this study, also, examines the changes of present condition of investment and corresponding trends of the Korean corporations, in accordance with the domestic investment environment changes tied to the business tax and the VAT in China. With regard to the business tax and the VAT, this study looks into their features and tax requisition and also makes comparison between them and VAT of Korea. This study examines the problems and situations from the cases of separation, integration and trial integration of the business tax and VAT, and also does the development direction of the above two taxation and the corresponding strategy of Korea and her companies The purpose of this study is to provide information about the changing trends of investment environment and the business tax and VAT and to present corresponding plan for the corporations advancing into China.