Appeals in Korean Magazine Advertising: A Content Analysis and Cross-Cultural Comparison

This paper examines the economic, advertising industry, cultural, and product factors influencing the use of emotional and rational appeals in advertising for South Korea and the U.S. Content analysis of 600 Korean magazine advertisements shows that emotional appeals predominate in headlines, but rational appeals are more common overall and in the illustrations. Compared to results from 403 U.S. advertisements, Korean magazine advertising uses more emotional appeals, though differences vary across product types and executional method. Implications for advertising practice and future research are discussed.     

The effect of pre-flight attendants’ emotional intelligence,emotional labor,and emotional exhaustion on commitment to customer service

Previous studies have shown that the success of airlines depends heavily on the quality of in-flight services provided by flight attendants. The performance of flight attendants is primarily based on their emotional intelligence (EI). Thus, airlines endeavor to recruit flight attendants with high EI and also conduct continuous EI training even after their recruitment. To meet the demand of excellent flight attendants, a number of universities and colleges have established airline service programs. This study examines the relationships among EI, emotional labor (EL), emotional exhaustion (EE), and commitment to customer service (CCS) among pre-flight attendants in the undergraduate airline service programs. The results of the study revealed that the better pre-flight attendants understand their emotions and use them appropriately, the more they display their true emotions and modify their bad feelings to desirable emotions required for effective in-flight customer services. Also, the more pre-flight attendants employ EL, the more exhausted they are emotionally. As the first study on pre-flight attendants’ EI, this study contributes to the existing body of knowledge on EI, EL, EE, and CCS. The findings of the study also provide practical implications that effective assessment and education of EI by university-based airline service programs can contribute to service excellence of airlines.     

Developing new smart services using integrated morphological analysis: integration of the market-pull and technology-push approach

With the rise of smart services, new services are no longer generated via the traditional linear models of innovation. Rather, smart-service innovations require new frameworks to integrate the market-pull and technology-push models, which focus on both user-centric considerations and technological developments. However, current streams of research continue to merely suggest a conceptual framework. Therefore, it appears to be difficult to apply this framework into practice, due to a lack of systematic methodologies. In response, this study employs morphological analysis, a powerful tool for the systematic generation of ideas. Since the morphological analysis employs several dimensions for explaining new services and combines them to generate new ideas, it is easy to integrate the different approaches to innovations, such as market pull and technology push. A case study of smartphone application services is also conducted.     

Multinational banking and the international transmission of financial shocks: Evidence from foreign bank subsidiaries

Using bank-level data on 368 foreign subsidiaries of 68 multinational banks in 47 emerging economies during 1994–2008, we present consistent evidence that internal capital markets in multinational banking contribute to the transmission of financial shocks from parent banks to foreign subsidiaries. We find that internal capital markets transmit favorable and adverse shocks by affecting subsidiaries’ reliance on their own internal funds for lending. We also find that the transmission of financial shocks varies across types of shocks; is strongest among subsidiaries in Central and Eastern Europe, followed by Asia and Latin America; is global rather than regional; and becomes more conspicuous in recent years. We also explore various conditions under which the international transmission of financial shocks via internal capital markets in multinational banking is stronger, including the subsidiaries’ reliance on funds from their parent bank, the subsidiaries’ entry mode, and the capital account openness and banking market structure in host countries.     

Implementing technology roadmapping with supplier selection for semiconductor manufacturing companies

The rapid pace of technological innovation in the semiconductor manufacturing industry has necessitated the acquisition of competitive advantage from strategic technology planning. The vital requisite for this is well-timed investment including the replacement of old equipment with advanced new equipment. In such investment, selecting the appropriate semiconductor manufacturing equipment from the appropriate supplier is a key factor for successful technology planning. Therefore, equipment supplier selection should be taken into account in the technology planning of semiconductor manufacturing companies. One of the most widely used tools for technology planning is the technology roadmap (TRM). However, conventional TRMs have not considered the task of supplier selection. To address this limitation, this study proposes an extended, four-layered TRM that adds the layer of equipment supplier to the conventional layers of market, product, and technology. The equipment suppliers to be included in the new layer are selected from the supplier portfolio matrix composed of two performance axes: supplier performance and equipment performance. The candidates of equipment suppliers are placed on the supplier portfolio matrix according to the values of two axes determined by evaluation using the analytic hierarchy process (AHP). The proposed TRM is expected to be useful for technology planning by adding a consideration for equipment supplier selection in semiconductor manufacturing companies.     

Performance of Domestic and Foreign Banks: The Case of Korea and the Asian Financial Crisis

Abstract

This paper examines the performance of banks, domestic and foreign, in Korea before and after the Asian financial crisis, examining how the profitability of those banks differed and identifying factors that explain why those differences existed. The performance of Korean banks deteriorated dramatically in 1998 with most banks recovering somewhat in 1999. Foreign banks did not experience the same negative effect on their performance as a rule. Overall, the domestic Korean banks suffered more severely from the Asian financial crisis than foreign banks. Several possible explanations exist. First, foreign banks, unlike domestic Korean banks, were not subject to credit allocation directives from the Korean government to selected, favoured industries. Second, foreign banks, since they relied for governance on the mother bank in the home country, achieved higher efficiency and better asset and liability management. Finally, foreign banks rely more heavily on fee-for-service income rather than loan revenue.     

A computational framework for analyzing dynamic auctions: The market impact of information sharing

This article develops a computational framework to analyze dynamic auctions and uses it to investigate the impact of information sharing among bidders. We show that allowing for the dynamics implicit in many auction environments enables the emergence of equilibrium states that can only be reached when firms are responding to dynamic incentives. The impact of information sharing depends on the extent of dynamics and provides support for the claim that information sharing, even of strategically important data, need not be welfare reducing. Our methodological contribution is to show how to adapt the experience-based equilibrium concept to a dynamic auction environment and to provide an implementable boundary-consistency condition that mitigates the extent of multiple equilibria.     

International R&D Spillovers: Trade,FDI, and Information Technology as Spillover Channels*

With the rapid pace of economic integration, the productivity of a country depends not only on domestic R&D, but also on foreign R&D through technology diffusion across countries. The advancement of information technology (IT) has made the international transmission of knowledge faster and more efficient, providing an important channel for international R&D spillovers. This paper investigates three channels of international R&D spillovers: trade, FDI, and information technology. Applying panel cointegration and dynamic OLS analysis to the data for 21 OECD countries plus Israel during the period from 1981 to 1998, we find that bilateral trade remains an important conduit for international R&D spillovers. Although bilateral FDI is found to be positively related to international R&D spillovers, their impact on productivity growth is relatively small. We also find that the development of information technology has played a more important role in international R&D spillovers and productivity growth in recent years.     

Credit rating industry: A helicopter tour of stylized facts and recent theories

The recent subprime crisis and the ongoing Euro zone crisis have generated an enormous interest in the credit rating industry not only among economists but also among average citizens. As a consequence, we have seen an explosion of the economic literature on the industry. The objective of this survey is to introduce readers to the key stylized facts of the credit rating industry and to the recent theoretical economic literature on this industry.