Estimating Willingness to Pay for Improved Drinking Water Quality Using Averting Behavior Method with Perception Measure

This paper suggests an application of an averting behaviormethod to reconcile inconsistent public activity with objectiveenvironmental risk. In Korea, an historically polluted watersupply has created citizen resistance to using tap water. Koreansperceive low quality levels for tap water, although objectivelymeasured data show that the pollution levels are lower than theacceptable risk. We hypothesized that the irrational aversion tousing tap water is a consequence of inconsistencies between theobjectively measured and perceived pollution levels. We introducethe perception averting behavior method, in which we add aperception measure unit to the conventional averting behaviormethod. We found that the perception measure provided a validexplanation for citizens' aversion to using tap water in Korea.     

Perceived Restorativeness of Visits to Cultural Heritage Sites

This study aimed to examine whether a causal relationship exists between perceived restorativeness and emotional healing, visitor satisfaction, and intention to revisit with respect to a visit to the Seooreung Shrine in South Korea. Attention restorativeness theory claims that four factors (being away, fascination, extent, and compatibility) induce a restorative environment. The results of the conducted survey support the four factors of attention restorativeness theory. Two distinct groups were identified and differences were discovered between the groups with respect to satisfaction and perceived restorativeness. Emotional healing exerted more influence on intention to revisit than visitor satisfaction. This study delivers a significant outcome as pioneer research on healing tourism by discovering emotional healing as a precedent variable to visitor satisfaction and intention to revisit in the area of cultural heritage tourism.     

Effects of Negative Brand Information: Measuring Impact of Celebrity Identification and Brand Commitment

ABSTRACT

This study investigates the relationship between negative brand publicity and a celebrity endorser. First, it explores whether identification with a celebrity moderates the relationship between negative brand publicity and evaluation of a celebrity endorser and a brand. Second, it delves into whether consumers’ brand commitment moderates the relationship between negative brand publicity and evaluation of a celebrity endorser and a brand. And the study poses the research question, “Does negative brand information impact consumer evaluation of a celebrity endorser, a brand, and purchase intention?” A 2 × 2 between-subject factorial design was used to test the proposed hypotheses. The two factors are level of identification with a celebrity endorser (low or high identification) and level of brand commitment (low vs. high brand commitment). The study found that negative brand publicity had negative impacts on the celebrity endorser, brand evaluation, and purchase intention.     

Antecedents and consequences of consumers' attribution style: Measuring the impact of negative celebrity information

This study investigates the antecedents and consequences of consumers' attribution styles in the evaluation of negative celebrity information. In its evaluation of negative celebrity information, this study examines the effects of consumers' different attribution styles, level of identification with a celebrity endorser, and level of brand commitment. To test its hypotheses, the study employs a 2 × 2 × 2 between-subject factorial design. The three factors are attribution style, level of identification with a celebrity endorser, and level of brand commitment. Conducted through the Internet, the experiment recruited a total of 229 students from a southwestern university in the USA. The study found that people making dispositional attributions judged the endorsed brand more negatively than those making situational attributions. Confronted with negative celebrity information, consumers who identified highly with the celebrity were likely to maintain a positive attitude toward a brand and continue purchasing it. In the same conditions, people with high brand commitment showed more positive brand evaluation as well as higher purchase intention than people with low brand commitment. The research findings contribute to a better understanding of the effects of negative celebrity information on consumer attitudes and beliefs.     

The mediation of information technology on visitors’ experience at a cultural heritage site

This study identifies perceptual differences between the experiences of using an interactive ubiquitous access tourism service (U-tourism service) at a cultural heritage site and on-site participation-driven services. An interactive U-tourism service, “Hwaseong Haenggung Histour”, a smart phone application, was developed and implemented for this study. The study found (a) visitors who experienced the U-tourism service showed higher recognition on such dimensions as education, novelty, entertainment and fellowships, regarded as important components of on-site experiences, than those who joined on-site participation-driven services and (b) young visitors who used the interactive U-tourism service recorded higher in the dimensions of both education and novelty than those who joined on-site participation-driven services and showed higher satisfaction. These findings provide strong justification for the introduction of U-tourism services, particularly for young visitors. This study contributes to the understanding of a fast-growing and influential electronic tool for cultural heritage sites.     

Firm diversification and equilibrium risk pooling: The Korean financial crisis as a natural experiment

We use the Korean Financial Crisis as a natural laboratory for examining interactions among firm diversification, equilibrium capital structure and tail probability events. When the crisis hit in 1997, several major firms, including a large number of highly leveraged conglomerates (Chaebols), experienced bankruptcies. We show how diversified Chaebols obtain higher equilibrium leverage than non-Chaebols (a “cosigner effect”). In the event of a low probability macro-economic shock, the model predicts a systematic change in relative bankruptcy risks of Chaebol firms. To examine this implication, we introduce an empirical methodology that decomposes equilibrium debt into demand, supply and Chaebol-specific factors, for use in a bankruptcy prediction model. We find that the primary cause of Chaebol firm bankruptcies was not idiosyncratic leverage, but leverage systematically related to greater equilibrium access to debt during normal times.     

Korean Advertising Practitioners’ Perspectives on Celebrity Endorsement

Practitioners’ perspectives have been neglected to some extent. Research on practitioners’ perspectives is important because it will provide valuable information, especially on how theories have been reflected in practice. The study investigates Korean advertising practitioners’ perspectives on celebrity endorsement in advertising campaigns. By comparing the perspective between advertising practitioners and that from their counterparts on the client side, this study may provide insights into their respective roles in advertising campaigns. This study finding suggests that Korean advertising practitioners consider a celebrity's likeability as the most important criterion when selecting a celebrity endorser. The most important reason why they employ a celebrity endorser is that celebrity endorsement helps generate awareness of the brand. In addition, concerns over celebrity endorsement as well as limitations and suggestions for future research have been discussed.     

Antecedents and Consequences of Consumers' Attitude toward Social Commerce Sites

Drawing upon technology acceptance model (TAM), this study investigates the antecedents and consequences of consumers' attitude toward social commerce sites. In addition to the antecedents of perceived usefulness and perceived ease of use from TAM, the study includes such factors as perceived trust, perceived shopping enjoyment, perceived shopping risk, and perceived social presence. The study results suggest that consumers' attitudes toward social commerce sites are significantly impacted by perceived usefulness, perceived ease of use, perceived shopping enjoyment, and perceived shopping risk. The study also finds that consumers' attitudes toward social commerce sites significantly influence the effects of e-word-of-mouth (eWOM) intention, intention to return, and e-purchase intention. This study provides an integrative approach to evaluating antecedents and consequences of consumers' attitude toward social commerce sites. Limitations and future research are discussed.     

Actual Dove versus ideal L’Oréal: Impact of self-related brand image on advertising persuasiveness

This study examines how self-related brand images impact the effectiveness of advertising messages framed by different construal levels. In Study 1 (cosmetics/beauty brands: Dove and L’Oréal), data from undergraduate students demonstrated that for an actual image brand (Dove), participants responded positively toward the ad framed with low-level construal terms, whereas they did not react differently to either the high- or low-level construal ads of an ideal brand (L’Oréal). Study 2 that replicated Study 1 to confirm the findings with a different product category (apparel: Gap vs. Gucci) among the general population sample also found consistent findings with Study 1.     

The Role of Culture in Creative Execution in Celebrity Endorsement: The Cross-Cultural Study

ABSTRACT

In advertising literature, an area rarely explored is cross-cultural studies on celebrity endorsements. A good deal may be learned from understanding how a culture's communication style can shape the type of advertising most effective for that culture. This study examines the creative styles (creative executional factors) found in the advertising of Korea and America. The two countries represent two distinct cultures—Korea being a collectivistic culture and the United States being individualistic. Both cultures affect the norms and rules that guide their inhabitants’ behavior, directly affecting communication styles. The study finds that embedded in the use of celebrity endorsement are cross-cultural characteristics. The details of these findings will be useful to international advertisers executing celebrity endorsement campaigns in different cultural settings.