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Spatial effect on the diffusion of discount stores (대형할인점 확산에 대한 공간적 영향)

  • Joo, Young-Jin;Kim, Mi-Ae
    • Journal of Distribution Research
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    • v.15 no.4
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    • pp.61-85
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    • 2010
  • Introduction: Diffusion is process by which an innovation is communicated through certain channel overtime among the members of a social system(Rogers 1983). Bass(1969) suggested the Bass model describing diffusion process. The Bass model assumes potential adopters of innovation are influenced by mass-media and word-of-mouth from communication with previous adopters. Various expansions of the Bass model have been conducted. Some of them proposed a third factor affecting diffusion. Others proposed multinational diffusion model and it stressed interactive effect on diffusion among several countries. We add a spatial factor in the Bass model as a third communication factor. Because of situation where we can not control the interaction between markets, we need to consider that diffusion within certain market can be influenced by diffusion in contiguous market. The process that certain type of retail extends is a result that particular market can be described by the retail life cycle. Diffusion of retail has pattern following three phases of spatial diffusion: adoption of innovation happens in near the diffusion center first, spreads to the vicinity of the diffusing center and then adoption of innovation is completed in peripheral areas in saturation stage. So we expect spatial effect to be important to describe diffusion of domestic discount store. We define a spatial diffusion model using multinational diffusion model and apply it to the diffusion of discount store. Modeling: In this paper, we define a spatial diffusion model and apply it to the diffusion of discount store. To define a spatial diffusion model, we expand learning model(Kumar and Krishnan 2002) and separate diffusion process in diffusion center(market A) from diffusion process in the vicinity of the diffusing center(market B). The proposed spatial diffusion model is shown in equation (1a) and (1b). Equation (1a) is the diffusion process in diffusion center and equation (1b) is one in the vicinity of the diffusing center. $$\array{{S_{i,t}=(p_i+q_i{\frac{Y_{i,t-1}}{m_i}})(m_i-Y_{i,t-1})\;i{\in}\{1,{\cdots},I\}\;(1a)}\\{S_{j,t}=(p_j+q_j{\frac{Y_{j,t-1}}{m_i}}+{\sum\limits_{i=1}^I}{\gamma}_{ij}{\frac{Y_{i,t-1}}{m_i}})(m_j-Y_{j,t-1})\;i{\in}\{1,{\cdots},I\},\;j{\in}\{I+1,{\cdots},I+J\}\;(1b)}}$$ We rise two research questions. (1) The proposed spatial diffusion model is more effective than the Bass model to describe the diffusion of discount stores. (2) The more similar retail environment of diffusing center with that of the vicinity of the contiguous market is, the larger spatial effect of diffusing center on diffusion of the vicinity of the contiguous market is. To examine above two questions, we adopt the Bass model to estimate diffusion of discount store first. Next spatial diffusion model where spatial factor is added to the Bass model is used to estimate it. Finally by comparing Bass model with spatial diffusion model, we try to find out which model describes diffusion of discount store better. In addition, we investigate the relationship between similarity of retail environment(conceptual distance) and spatial factor impact with correlation analysis. Result and Implication: We suggest spatial diffusion model to describe diffusion of discount stores. To examine the proposed spatial diffusion model, 347 domestic discount stores are used and we divide nation into 5 districts, Seoul-Gyeongin(SG), Busan-Gyeongnam(BG), Daegu-Gyeongbuk(DG), Gwan- gju-Jeonla(GJ), Daejeon-Chungcheong(DC), and the result is shown

    . In a result of the Bass model(I), the estimates of innovation coefficient(p) and imitation coefficient(q) are 0.017 and 0.323 respectively. While the estimate of market potential is 384. A result of the Bass model(II) for each district shows the estimates of innovation coefficient(p) in SG is 0.019 and the lowest among 5 areas. This is because SG is the diffusion center. The estimates of imitation coefficient(q) in BG is 0.353 and the highest. The imitation coefficient in the vicinity of the diffusing center such as BG is higher than that in the diffusing center because much information flows through various paths more as diffusion is progressing. A result of the Bass model(II) shows the estimates of innovation coefficient(p) in SG is 0.019 and the lowest among 5 areas. This is because SG is the diffusion center. The estimates of imitation coefficient(q) in BG is 0.353 and the highest. The imitation coefficient in the vicinity of the diffusing center such as BG is higher than that in the diffusing center because much information flows through various paths more as diffusion is progressing. In a result of spatial diffusion model(IV), we can notice the changes between coefficients of the bass model and those of the spatial diffusion model. Except for GJ, the estimates of innovation and imitation coefficients in Model IV are lower than those in Model II. The changes of innovation and imitation coefficients are reflected to spatial coefficient(${\gamma}$). From spatial coefficient(${\gamma}$) we can infer that when the diffusion in the vicinity of the diffusing center occurs, the diffusion is influenced by one in the diffusing center. The difference between the Bass model(II) and the spatial diffusion model(IV) is statistically significant with the ${\chi}^2$-distributed likelihood ratio statistic is 16.598(p=0.0023). Which implies that the spatial diffusion model is more effective than the Bass model to describe diffusion of discount stores. So the research question (1) is supported. In addition, we found that there are statistically significant relationship between similarity of retail environment and spatial effect by using correlation analysis. So the research question (2) is also supported.

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  • A Study on the Emotional Reaction to the Interior Design - Focusing on the Worship Space in the Church Buildings - (실내공간 구성요소에 의한 감성반응 연구 - 기독교 예배공간 강단부를 중심으로 -)

    • Lee, Hyun-Jeong;Lee, Gyoo-Baek
      • Archives of design research
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      • v.18 no.4 s.62
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      • pp.257-266
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      • 2005
    • The purpose of this study is to investigate the psychological reaction to the image of the worship space in the church buildings and to quantify its contribution of the stimulation elements causing such reaction, and finally to suggest basic data for realizing emotional worship space of the church architecture. For this, 143 christians were surveyed to analyze the relationship between 23 emotional expressions extracted from the worship space and 32 images of the worship space. The combined data was described with the two dimensional dispersion using the quantification theory III. The analysis found out that 'simplicity-complexity' of the image consisted of the horizontal axis (the x-axis) and 'creativity' of the image the vertical axis(the y-axis). In addition, to extract the causal relationship between the value of emotional reaction and its stimulation elements quantitatively, the author indicated 4 emotional word groups such as simple, sublime for x-axis and typical creative for y-axis based on its similarity by the cluster analysis, The quantification theory I was also used with total value of equivalent emotional words as the standard variance and the emotional stimulation elements of the worship space as the independent variance. 9 specific examples of the emotional stimulation elements were selected including colors and shapes of the wall and the ceiling, shapes and finish of the floor materials, window shapes, and the use of the symbolic elements. Furthermore, 31 subcategories were also chosen to analyse their contribution on the emotional reaction. As a result, the color and finish of the wall found to be the most effective element on the subjects' emotional reaction, while the symbolic elements and the color of the wall found to be the least effective. It is estimated that the present study would be helpful to increase the emotional satisfaction of the users and to approach a spatial design through satisfying the types and purposes of the space.

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    Color-related Query Processing for Intelligent E-Commerce Search (지능형 검색엔진을 위한 색상 질의 처리 방안)

    • Hong, Jung A;Koo, Kyo Jung;Cha, Ji Won;Seo, Ah Jeong;Yeo, Un Yeong;Kim, Jong Woo
      • Journal of Intelligence and Information Systems
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      • v.25 no.1
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      • pp.109-125
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      • 2019
    • As interest on intelligent search engines increases, various studies have been conducted to extract and utilize the features related to products intelligencely. In particular, when users search for goods in e-commerce search engines, the 'color' of a product is an important feature that describes the product. Therefore, it is necessary to deal with the synonyms of color terms in order to produce accurate results to user's color-related queries. Previous studies have suggested dictionary-based approach to process synonyms for color features. However, the dictionary-based approach has a limitation that it cannot handle unregistered color-related terms in user queries. In order to overcome the limitation of the conventional methods, this research proposes a model which extracts RGB values from an internet search engine in real time, and outputs similar color names based on designated color information. At first, a color term dictionary was constructed which includes color names and R, G, B values of each color from Korean color standard digital palette program and the Wikipedia color list for the basic color search. The dictionary has been made more robust by adding 138 color names converted from English color names to foreign words in Korean, and with corresponding RGB values. Therefore, the fininal color dictionary includes a total of 671 color names and corresponding RGB values. The method proposed in this research starts by searching for a specific color which a user searched for. Then, the presence of the searched color in the built-in color dictionary is checked. If there exists the color in the dictionary, the RGB values of the color in the dictioanry are used as reference values of the retrieved color. If the searched color does not exist in the dictionary, the top-5 Google image search results of the searched color are crawled and average RGB values are extracted in certain middle area of each image. To extract the RGB values in images, a variety of different ways was attempted since there are limits to simply obtain the average of the RGB values of the center area of images. As a result, clustering RGB values in image's certain area and making average value of the cluster with the highest density as the reference values showed the best performance. Based on the reference RGB values of the searched color, the RGB values of all the colors in the color dictionary constructed aforetime are compared. Then a color list is created with colors within the range of ${\pm}50$ for each R value, G value, and B value. Finally, using the Euclidean distance between the above results and the reference RGB values of the searched color, the color with the highest similarity from up to five colors becomes the final outcome. In order to evaluate the usefulness of the proposed method, we performed an experiment. In the experiment, 300 color names and corresponding color RGB values by the questionnaires were obtained. They are used to compare the RGB values obtained from four different methods including the proposed method. The average euclidean distance of CIE-Lab using our method was about 13.85, which showed a relatively low distance compared to 3088 for the case using synonym dictionary only and 30.38 for the case using the dictionary with Korean synonym website WordNet. The case which didn't use clustering method of the proposed method showed 13.88 of average euclidean distance, which implies the DBSCAN clustering of the proposed method can reduce the Euclidean distance. This research suggests a new color synonym processing method based on RGB values that combines the dictionary method with the real time synonym processing method for new color names. This method enables to get rid of the limit of the dictionary-based approach which is a conventional synonym processing method. This research can contribute to improve the intelligence of e-commerce search systems especially on the color searching feature.

    The Melodic Structure of the Bulmosan Youngsanjae, Ongho-ge (불모산 영산재 범패 옹호게의 선율구조)

    • Choi, Heon
      • (The) Research of the performance art and culture
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      • no.34
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      • pp.383-421
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      • 2017
    • Because the Jitsori and the Hotsori of the Beompae(the Korean Budhhist chant) has no meter and no Jangdan(a Rhythmic cycle of the Korean Music), so it is hard to analyze the melody of the Beompae. Also the melody of the Beompae is different from that of the other Korean traditional music, so studying of the Beompae has been out of the limelight of many scholars, studying the Korean music. But the melody of Beompae had been handed down for thousands of years in Korea, it and other Korean trditional music, had exchanged the impacts each other for a longtime. So I thinks that the Korean Beomapae have shared the similarity of the musical features with the other Korean traditional music. Because the Beompae of the Bulmosan Yeongsanjae on the Geongsangnamdo province has also no meters and no Jangdan, it is difficult to understand, too. But because the Onghoge of Bulmosan Yeongsanjae have a well-regulated melodic structure in comparison with the Beompae of the Seoul province, so called Geongjae Beompae, it seem to be easy to analyze its melody. So I will analyze the melody of Bulmosan Yeongsanjae Onghoge. This analyze should be contribute to investigate the rule of the melodic progress method on the convoluted Beompae melody. Onghoge has been sung on the procedure for Siryeon, Samsiniun(Goebuliun), Jojeonjeoman, Sinjungjakbeop. And the monk for the ritual has sung the chant first to purify the ritual place and to protect the soul. They has called the song, Onghoge a Jitsori at the Bulmosan Yeongsanjae preservation society of the Gyeongnam province. Commonly, there were Jitsori and Hotsori in the Beompae melody, and the melody of Jitsori is longer than that of the Hotsori. So, the melody of Onghoge is lengthened. In other word, the melody of the Onghoge show the lengthened and curved melodic feture of the Beompae very well. Hahn Manyeong, who had studied on the Beompae, Budhhist chant, said that the Hotsori has five letters in a phrase, and there were 4 phrases in a song. And he had insisted that the form of the song, Hotsori, is ABAB. I analyze the melody of the Onghoge by the Hahn's method. I will extract the Wonjeom(a primary tone of a skeletal melodic structure) from the melody of Onghoge, and in the progress of the Wonjeom of Onghoge melodies, I will arrange the repeat of the Wonjeom melody. It is a structural melody of Onghoge. The first phrase of Bulmosan Yeongsanjae Onghoge, 'Pal bu geum gang ho do ryang(八部金剛護道場)' have 4 structural melodies, the second phrase 'Gong sin sog bu bo cheon wang(空神速赴報天王)', the third phrase 'Sam gye je cheon ham le jip(三界諸天咸來集)', the firth phrase 'Yeo geum bul chal bo jeong sang(如今佛刹補禎祥)' have 2 structural melodies each. The structural melodies of Onghoge are 10 in total. And the structural melody of the Onghoge is formed the shape of 'Mi - La - do - La - Mi'. All of the Onghoge melodies is repeated 10 times by the melodic shape. The form of the Onghoge is not ABAB by Hahn, but is 10 times repeat of the shape.

    Research Framework for International Franchising (국제프랜차이징 연구요소 및 연구방향)

    • Kim, Ju-Young;Lim, Young-Kyun;Shim, Jae-Duck
      • Journal of Global Scholars of Marketing Science
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      • v.18 no.4
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      • pp.61-118
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      • 2008
    • The purpose of this research is to construct research framework for international franchising based on existing literature and to identify research components in the framework. Franchise can be defined as management styles that allow franchisee use various management assets of franchisor in order to make or sell product or service. It can be divided into product distribution franchise that is designed to sell products and business format franchise that is designed for running it as business whatever its form is. International franchising can be defined as a way of internationalization of franchisor to foreign country by providing its business format or package to franchisee of host country. International franchising is growing fast for last four decades but academic research on this is quite limited. Especially in Korea, research about international franchising is carried out on by case study format with single case or empirical study format with survey based on domestic franchise theory. Therefore, this paper tries to review existing literature on international franchising research, providing research framework, and then stimulating new research on this field. International franchising research components include motives and environmental factors for decision of expanding to international franchising, entrance modes and development plan for international franchising, contracts and management strategy of international franchising, and various performance measures from different perspectives. First, motives of international franchising are fee collection from franchisee. Also it provides easier way to expanding to foreign country. The other motives including increase total sales volume, occupying better strategic position, getting quality resources, and improving efficiency. Environmental factors that facilitating international franchising encompasses economic condition, trend, and legal or political factors in host and/or home countries. In addition, control power and risk management capability of franchisor plays critical role in successful franchising contract. Final decision to enter foreign country via franchising is determined by numerous factors like history, size, growth, competitiveness, management system, bonding capability, industry characteristics of franchisor. After deciding to enter into foreign country, franchisor needs to set entrance modes of international franchising. Within contractual mode, there are master franchising and area developing franchising, licensing, direct franchising, and joint venture. Theories about entrance mode selection contain concepts of efficiency, knowledge-based approach, competence-based approach, agent theory, and governance cost. The next step after entrance decision is operation strategy. Operation strategy starts with selecting a target city and a target country for franchising. In order to finding, screening targets, franchisor needs to collect information about candidates. Critical information includes brand patent, commercial laws, regulations, market conditions, country risk, and industry analysis. After selecting a target city in target country, franchisor needs to select franchisee, in other word, partner. The first important criteria for selecting partners are financial credibility and capability, possession of real estate. And cultural similarity and knowledge about franchisor and/or home country are also recognized as critical criteria. The most important element in operating strategy is legal document between franchisor and franchisee with home and host countries. Terms and conditions in legal documents give objective information about characteristics of franchising agreement for academic research. Legal documents have definitions of terminology, territory and exclusivity, agreement of term, initial fee, continuing fees, clearing currency, and rights about sub-franchising. Also, legal documents could have terms about softer elements like training program and operation manual. And harder elements like law competent court and terms of expiration. Next element in operating strategy is about product and service. Especially for business format franchising, product/service deliverable, benefit communicators, system identifiers (architectural features), and format facilitators are listed for product/service strategic elements. Another important decision on product/service is standardization vs. customization. The rationale behind standardization is cost reduction, efficiency, consistency, image congruence, brand awareness, and competitiveness on price. Also standardization enables large scale R&D and innovative change in management style. Another element in operating strategy is control management. The simple way to control franchise contract is relying on legal terms, contractual control system. There are other control systems, administrative control system and ethical control system. Contractual control system is a coercive source of power, but franchisor usually doesn't want to use legal power since it doesn't help to build up positive relationship. Instead, self-regulation is widely used. Administrative control system uses control mechanism from ordinary work relationship. Its main component is supporting activities to franchisee and communication method. For example, franchisor provides advertising, training, manual, and delivery, then franchisee follows franchisor's direction. Another component is building franchisor's brand power. The last research element is performance factor of international franchising. Performance elements can be divided into franchisor's performance and franchisee's performance. The conceptual performance measures of franchisor are simple but not easy to obtain objectively. They are profit, sale, cost, experience, and brand power. The performance measures of franchisee are mostly about benefits of host country. They contain small business development, promotion of employment, introduction of new business model, and level up technology status. There are indirect benefits, like increase of tax, refinement of corporate citizenship, regional economic clustering, and improvement of international balance. In addition to those, host country gets socio-cultural change other than economic effects. It includes demographic change, social trend, customer value change, social communication, and social globalization. Sometimes it is called as westernization or McDonaldization of society. In addition, the paper reviews on theories that have been frequently applied to international franchising research, such as agent theory, resource-based view, transaction cost theory, organizational learning theory, and international expansion theories. Resource based theory is used in strategic decision based on resources, like decision about entrance and cooperation depending on resources of franchisee and franchisor. Transaction cost theory can be applied in determination of mutual trust or satisfaction of franchising players. Agent theory tries to explain strategic decision for reducing problem caused by utilizing agent, for example research on control system in franchising agreements. Organizational Learning theory is relatively new in franchising research. It assumes organization tries to maximize performance and learning of organization. In addition, Internalization theory advocates strategic decision of direct investment for removing inefficiency of market transaction and is applied in research on terms of contract. And oligopolistic competition theory is used to explain various entry modes for international expansion. Competency theory support strategic decision of utilizing key competitive advantage. Furthermore, research methodologies including qualitative and quantitative methodologies are suggested for more rigorous international franchising research. Quantitative research needs more real data other than survey data which is usually respondent's judgment. In order to verify theory more rigorously, research based on real data is essential. However, real quantitative data is quite hard to get. The qualitative research other than single case study is also highly recommended. Since international franchising has limited number of applications, scientific research based on grounded theory and ethnography study can be used. Scientific case study is differentiated with single case study on its data collection method and analysis method. The key concept is triangulation in measurement, logical coding and comparison. Finally, it provides overall research direction for international franchising after summarizing research trend in Korea. International franchising research in Korea has two different types, one is for studying Korean franchisor going overseas and the other is for Korean franchisee of foreign franchisor. Among research on Korean franchisor, two common patterns are observed. First of all, they usually deal with success story of one franchisor. The other common pattern is that they focus on same industry and country. Therefore, international franchise research needs to extend their focus to broader subjects with scientific research methodology as well as development of new theory.

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