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Vol.13 No.6

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Purpose - Conspicuous consumption is the public display of wealth to impress others. In this study, consumption patterns by social class and economic development of countries were theoretically examined. Research design, Data, and Methodology - A qualitative approach of historical investigation and literature review was employed to identify current trends and emerging phenomena in the areas of consumer behavior and conspicuous consumption. Result - The main participants of conspicuous consumption have changed from the upper class in developing countries to the middle class in developed countries. While the main purpose of conspicuous consumption, that is, achieving higher status, remains unchanged, a leisure upper class has emerged as a new consumer group for conspicuous consumption in developed countries. Conclusions - To satisfy consumers'demands for new conspicuous consumption, marketers are encouraged to offer luxury experience and hybrid products.

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Purpose - Robot path planning, a constrained optimization problem, has been an active research area with many methods developed to tackle it. This study proposes the use of a Rapidly-exploring Random Tree and Particle Swarm Optimizer algorithm for path planning. Research design, data, and methodology - The grid method is built to describe the working space of the mobile robot, then the Rapidly-exploring Random Tree algorithm is applied to obtain the global navigation path and the Particle Swarm Optimizer algorithm is adopted to obtain the best path. Results - Computer experiment results demonstrate that this novel algorithm can rapidly plan an optimal path in a cluttered environment. Successful obstacle avoidance is achieved, the model is robust, and performs reliably. The effectiveness and efficiency of the proposed algorithm is demonstrated through simulation studies. Conclusions - The findings could provide insights to the validity and practicability of the method. This method makes it is easy to build a model and meet real-time demand for mobile robot navigation with a simple algorithm, which results in a certain practical value for distribution environments.

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Purpose - Transnational corporations (TNCs) have influenced drastic changes (financial services, manufacturing, labor, technology transfer) in Central Eastern Europe (CEE). This paper examines the indirect changes in the CEE pattern of industrial development and market distribution. Research design, data, and methodology - Over 25 years, neighboring (or rival) countries competed to attract TNCs as a double-edged strategy for privatization and debt reduction. Through their experience attracting foreign direct investment (FDI), many countries started to reflect aspects of national capitalism. Countries also began to realize in 2010 that TNCs sought to enter markets with more favorable conditions for export-oriented manufacturing. Results - The analysis reveals that TNC investment strategies were aimed at eliminating local competition to acquire industrial "brown fields" to convert into "green fields." CEE countries have since strengthened their national systems and the support of large-scale state-owned enterprises and small and medium-sized start-up enterprises. Conclusions - CEE has changed based on industrial development and a regional structure of TNC market distribution and associated government policies. The pattern toward flexible markets gives countries the ability to further their economies.

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Purpose - This paper's goal is to assess and promote several good teaching product designs and several learning environments. The paper discusses research product design learning and management. Research design, data, and methodology - As part of information science and technology, a school uses several teaching networks for auxiliary teaching, taking several designs as the teaching foundation, and creating multimedia curricula. Results - The results indicate that in the best learning designs and environments, the learner can maintain a high interest, which not only attracts all levels in the schools, but also has a pivotal influence on teaching around the world. The research study answers the question, was the atmosphere already luxurious? Conclusions - This study introduces several methodologies that are widely used for experimental processes. Using multi-criterion decision-making technology in studies of language product evaluation systems, the language teaching quality and space design is developed, and the language classroom learning system, the machine operation, the classroom environment design method, etc., conform to specifics of the study, the best choices, the most effective utilization, and are the most efficient.

Lee, Jae-Sung ; Park, Young-Tae pp.35-44 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.35
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Purpose - To accelerate economic cooperation, this study investigates trade structures of Korea and the United States and identifies trade discrepancies. Such discoveries can lead to increases in trade volume by improving policies, eventually uncovering ways for trade expansion. Research design, data, and methodology - The Index of trade intensity, from trade intensity theory, is used to analyze the trade decision factors. Even though specific factors should materialize in the analysis, realistically, concrete explanations are difficult as there are so many unsolved factors and diversifications. Results - First, the Index of A value/ B value positions Korean against the United States in terms of market share and Korea against world market share, which thereby reveals comparative market intensity. Second, Korea is taking comparative advantage of export specialization. Third, real comparative advantage indices are considerably improved since early 2000. Conclusions - This study uses quantitative measurements and trade intensity theory and trade specialization to come up with a comparative advantage index to see how inter-trade relations between Korea and the United States have changed over the past 10 years.

Asgari, Omid ; Hosseini, Mehri Sadat pp.45-70 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.45
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Purpose - This study's purpose is to examine the effects of the country-of-origin antecedents on overall attitudes and the impact of overall attitudes on satisfaction and loyalty. Research design, data, and methodology - This study provides useful insights into international female purchasing behavior in the cosmetic industry in South Korea. This study explores the elements of country-of-origin antecedents, (cultural interest, perception of brand image, perception of fashion, perception of product quality, perception of price, and perception of advertising), on overall attitudes as well as the effect of overall attitudes on satisfaction and loyalty. Results - The results show that the effects of such antecedents are significant. Additionally, the effect of overall attitudes on satisfaction and of satisfaction on loyalty were significant. Conclusions - The findings of this study provide some important practical implications. First, with customer brand awareness growing along with products standards, considering the concepts points of parities and points of differences, the Korean cosmetic industry should try to establish brand associations with natural organic ingredients in its cosmetic items, distinguishing them from the majority of non-Korean brands.

Kim, Je-Keum ; Hwang, Hee-Joong ; Song, In-Am pp.71-78 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.71
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Purpose - This study attempts to analyze whether or not there are characteristics among the top management of companies that promote corporate performance at venture companies. It investigates the characteristics of the human and social capital that are inherent in top management at a venture company and conducts an empirical analysis of hypotheses examining if these characteristics will affect utilization of the governmental R&D support system as well as affect the firm's initial success. Research design, data, and methodology - This study conducted theoretical and empirical research together to accomplish the goal of the study. The pilot study researched human capital and social capital as the independent variables; the governmental R&D support system as the parameter; and, the initial success as the dependent variable. The empirical study carried out research on the model, establishment of hypotheses, and the statistical treatment. A survey was conducted targeting top management of high-tech venture companies in Daedeok Innopolis; 500 questionnaires were distributed; and, 222 were collected. Results - The human and social capital inherent in top management at venture companies in the early stages of their existence become good evaluation data for those who are invested in similar resources. If top management includes strong human and social capital, access to external resources will be easier; these will have a positive influence on the selection of overnmental support systems; and, this proper support will also have a positive influence on the initial success of the venture company. The results revealed the following. First, it was found that when the educational level and functional background, (the top management human capital), are the output function, top management human capital had a significant influence on selection of governmental R&D support funds. Second, it was found that the internal social capital and external social capital, (the top management social capital), had a significant influence on selection of governmental R&D support tasks. Third, it was found that selection of the governmental R&D support tasks at the start of the venture company had a positive influence on the corporate financial performance such as sales, business profits, and the increase in workers; and, had a significant influence on nonfinancial performance such as market share, competitive position, product competitiveness, and the future product development. Conclusions - Selection of the governmental R&D support system is not recognized as part of the direct sales of a venture company in its early stages, but as it can reduce costs for technical development and helps significantly in creating test products and mass production, it has a positive influence on the company's financial performance and nonfinancial performance as a result. Therefore, companies should take great efforts to frequently be selected as a candidate in the governmental R&D support system, as it can help facilitate R&D that requires extensive funds. As a result, companies can expect effects such as job creation and patent applications and they can advance future product sales.

Park, Soo-Hong ; Yang, Hoe-Chang ; Sun, Il-Suck pp.79-86 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.79
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Purpose - The cosmetics industry is a traditional high value-added industry in terms of the domestic demand, small batch production systems, exclusive competition, and raw materials highly dependent on overseas countries as well as an oligopolistic market structure. However, new foreign brands and growing consumer awareness of inexpensive products, has triggered a shift. In line with changing lifestyles and the polarization of consumption, the industry faces a new market structure. Among its key characteristics is the cosmetics industry's numerous distribution channels (i.e., department stores, door-to-door sales, online shopping malls, brand shops, and discount stores). Therefore, the study of its distribution channels is essential. Research design, data, and methodology - The study analyzed channel distribution power divided into coercive and non-coercive power. The factors of coercive power included: unilateral request of an increase in commissions, interference in sales by taking advantage of a superior status, unilateral buck-passing at the time of a problem, unilateral request to stop sales activities, and a unilateral business contract; the factors of non-coercive power included favorable payment conditions, offers of various kinds of information, policy on commission reduction, pride in market entrance, and promotion support. In addition, the mediating variable "interdependence" was applied to the execution of department store (or mart) power and their shop conflicts and satisfaction to examine direct and indirect influential power. The methodology was a survey of managers of cosmetics shops in department stores (or marts). The questionnaire, based on a five-point Likert scale, included questions about basic personal information, execution of power, interdependence, conflict, and satisfaction. The study distributed 198 questionnaires and collected 131. Ten questionnaires with missing or hard to analyze data were excluded. Thus, 121 copies were analyzed. Results - According to the analysis, the execution of coercive power by department stores (or marts) did not affect interdependence, but the execution of non-coercive power did. Interdependence did not influence conflict, but did affect satisfaction. Additionally, the analysis revealed direct influential power: the execution of coercive power positively affected conflict and negatively influenced satisfaction; the execution of non-coercive power positively affected satisfaction. Conclusions - To offer suggestions for distribution business relations in the cosmetics industry, this study investigated how the execution of power by department stores (or marts) affected their shops. More specifically, it examined how much the execution of both coercive power and non-coercive power influenced conflict and satisfaction, and analyzed the mediating role of interdependence. In line with previous study results in various areas, coercive power was shown to be the source of conflict, leading to a decrease in satisfaction, whereas non-coercive power significantly positively influenced satisfaction. Moreover, non-coercive power increased interdependence, which led to greater satisfaction. As a result, interdependence had a mediating effect on non-coercive power and satisfaction. Based on the results, department stores (or marts) should look for improvements plans that increase interdependence. Such plans could alleviate conflict with the shops, increasing their satisfaction.

Jung, Gap-Jin ; Hwang, Hee-Joong ; Song, In-Am pp.87-96 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.87
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Purpose - Several domestic telecommunication companies have made a considerable effort to continuously grow and survive, and they have strived to thrive in the midst of mature market competition. To overcome this challenging situation and to grow continuously, while still meeting customer needs that are becoming more diverse and complicated with the passage of time, extensive support for internal marketing is essential. Without such internal support, companies face serious limitations and market roadblocks. The communication industry is a high-level service industry and a basic communications industry characteristic is its significant dependence on the employees delivering the services. Therefore, entrepreneurs in the information/communications industry, as well as existing competitors, should look to satisfy external customers through critical investment in internal customers (employees). Therefore, it is important for research to examine how internal factors influence technology innovation and service quality, which are the key drivers for companies that are seeking leading market positions. Research design, data, and methodology - The purpose of this study is to analyze the relationship of technology innovation and perceived service quality with the internal marketing factors in the communication industry and to offer suitable and effective internal marketing suggestions. The independent variables of this study are internal communication, education and training, the support of the executives, reward systems, and empowerment. The dependent variables are technology innovation and perceived service quality. Utilizing these, this paper studies the influence of internal marketing factors on technology innovation and perceived service quality. Results - The study results revealed the following. First, the identified internal marketing factors have a positive effect on technology innovation. Among the five internal marketing factors, three had a significant effect on product innovation, empowerment, the support of executives, and education and training, in this order. Second, the internal marketing factors also had a positive effect on the process innovation of technology innovation. The marketing factors, the support of executives, empowerment, internal communication, and education and training, in this order, significantly affect process innovation. Third, technology innovation had a positive effect on perceived service quality. All of the five service quality factors, namely, tangibles, reliability, assurance, responsibility, and empathy, in this order, significantly affect product innovation. Additionally, tangibles, reliability, responsibility, empathy, and assurance, in this order, significantly affect process innovation. Fourth, product and process innovation significantly affect tangibles and reliability in technology innovation. To enhance tangibles and reliability, process innovation should first be enhanced. Fifth, product and process innovation significantly affect responsibility and empathy in technology innovation. To enhance the responsibility and empathy, process innovation should first be enhanced. Sixth, product and process innovation significantly affect assurance in technology innovation. To enhance the assurance, product innovation should first be enhanced. Conclusions - According to the results, a company's internal marketing factors have a positive and significant effect on technology innovation and, further, product and process innovation have a positive and significant effect on the perceived serviced quality.

Kim, Chang-Hwan ; Park, Seong-Ho pp.97-104 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.97
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Purpose - The distribution of agricultural products is changing due to recent shifts in environmental free trade. Specifically, the competitiveness of domestic agricultural products has weakened as a result of the Korea-China Financial Trade Agreement. Agricultural producers are faced with increasing difficulties and organized production centers are growing in importance daily. To overcome this crisis, agricultural producer organizations are vying for environment-friendly agricultural certifications, Good Agriculture Practices (GAP) and Hazard Analysis and Critical Control Point (HACCP). In particular, as consumer demand for higher safety grows, farmers are increasing their certification rates. Therefore, this certification system is expected to help strengthen the competitiveness of agricultural producer organizations. Research design/data/methodology - Organized production centers are classified by certification. A survey was conducted with 91 organizations using factor analysis and logistic regression analysis for the examination. The factor analysis results are as follows. Raw material procurement, education·specialization, marketing, joint business, organizing ability, business management, effectiveness, certification, and larger organizations were classified as the nine types of factors. These factors affect the organized production centers and are used in the logistic regression analysis. The purpose of such research and analysis is to suggest a direction for future production center policies. Results - The basic statistical results are as follows: analysis of the producer organizations of 91 sites, average number of members per site of 1,624, and average sales of 25,961 million won. Additionally, the average income per farmer is 175 million won, and the pooling system rate is 53.5%. The factor analysis results are as follows. Factor 1 consists of contract cultivation, ongoing shipment, selection subdivision, traceability, and major retailer management. Factor 2 consists of manual cultivation, specialty selection, education program, and R&D. Factor 3 consists of advertising, various dealers, various sales strategies, and a unified sales counter. Factor 4 consists of agricultural materials co-purchase, policy support, co-shipment, and incentives. Factor 5 consists of the co-selection and pooling system. Factor 6 consists of co-branding and operating by the organization's article. Factor 7 consists of the buy-sell ratio and rate of operation of the agriculture promotion center. Factor 8 consists of bargaining power in volume and participation rate of farmer certification. Factor 9 consists of increasing new subscribers. The logistic regression analysis results are as follows. Considering the results by type of certification, the environment-friendly agricultural certification type and the GAP certification type have a (+) influence. GAP and HACCP certification types affecting the education·specialization factor have a (+) influence. Considering the results for each type of certification, the environment-friendly agricultural certification types on the effectiveness factor have (-) influence; the HACCP certification types on the organizing ability and effectiveness factor have a (-) influence. Conclusions - Agricultural producer organizations should develop plans as follows: The organizations need to secure education for agricultural production; increase the pooling system ratio for sustainable organizational development; and, finally, expand the number of agricultural producer organizations.

Park, Soo-Yong ; Hawang, Moon-Young ; Chol, Eun-Soo pp.105-118 https://doi.org/https://doi.org/10.15722/jds.13.6.201506.105
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Purpose - Currently, strengthening small and medium-sized enterprises (SME) in terms of competitiveness is a key economic issue. However, the problem is that many SMEs lack the internal competence required to cope with a rapidly changing market structure. Such problems can act as an obstacle to economic development, yet most SMEs in Korea are dealing with this problem today. A company's source of competitive advantage is changing from quantity to quality, facility to knowledge, and hardwork to creativity. Under such circumstances, a company should place learning and sharing of knowledge and continuously creating new knowledge as its priority. This study aims to identify the effect of a chief executive officer's (CEO) compassion and forgiveness - positive factors in organizational emotion - on learning organization activities and organizational performance, through a theoretical comparison. Research design, data, and methodology - For this study, SMEs based in Daejeon and Chungcheong area were selected. To secure credibility of the data, the subjects were selected among those who have been working at the business for six months or longer. The survey was conducted for 30 days from March 5, 2015 to April 5, 2015. Both offline and online surveys were conducted. Fifty companies were chosen and 700 questionnaires were distributed, with 506 used for analysis. Fifty subject companies (25 from Daejeon, 10 from Chungnam, 10 from Chungbuk, and five from Sejong) were selected and the objective, target, and survey content were explained to a manager at each company either face-to-face or on the phone. Of the total of 700 questionnaires distributed via mail or e-mail, 78.6% or 550 copies were returned. Excluding 44 insufficient questionnaires, the remainder, 506 questionnaires, were used for analysis. Results - This study analyzed how the CEO's compassion and forgiveness affects learning organization activities and organizational performance. First, compassion of the CEO at the SMEs directly affected the learning organization activities and indirectly affected the organizational performance. Second, forgiveness of the CEO at the SMEs did not affect the learning organization activities and organizational performance directly or indirectly. Conclusions - The study conclusions are as follows. First, CEO compassionate behavior at the SMEs was a significant variable that directly and indirectly affected learning organization activities and organizational performance. Therefore, the CEO of an SME can create a positive organizational atmosphere through compassionate behaviors in the organization. Second, the forgiving behavior of the CEO did not have direct or indirect effects on learning organization activities and organizational performance. However, the reason for a CEO to continue his or her forgiving behavior is because it strengthens employee resilience, commitment, and self-efficacy to protect the organization from negative influences such as layoffs, risks, and wrongdoings. The action of forgiveness does not have direct or indirect effects. However, the CEO shall continue such behavior to strengthen members' physiological resilience, commitment, and self - effectiveness, and to protect the organization from risks including layoff and external negative factors.

The Journal of Distribution Science