1. Introduction

2. Methods

3. Results

4. Discussion

Acknowledgments

References

Abstract

Purpose: The purpose of this study was to evaluate differences in stigma, disclosure management of epilepsy, and knowledge about epilepsy between patients with epilepsy who recognized and did not recognize the new Korean term for epilepsy.

Methods: This was a cross-sectional, multicenter study. The Stigma Scale-Revised, the Disclosure Management Scale, the Patient Health Questionnaire-9, and a questionnaire assessing knowledge about epilepsy were used. The set of questionnaires had two versions, using either the old or new name for epilepsy. Multivariate logistic regression analyses were used.

Results: A total of 341 patients with epilepsy and 509 family members were recruited. Approximately 62% of patients felt some degree of epilepsy-related stigma. Mild stigma, severe concealment of epilepsy diagnosis, and increased knowledge about epilepsy were independently identified as factors associated with recognition of the new term in patients. Recognition of the new term was more prevalent in patients and family members with higher education, female family members, and family members having patients with younger age at seizure onset and shorter duration of epilepsy. There were no significant differences between the two types of questionnaires. About 81% of patients and 93% of family members had a positive attitude about renaming epilepsy

Conclusion: The use of the new Korean term for epilepsy (cerebroelectric disorder) increased knowledge about epilepsy but did not reduce stigma and concealment of epilepsy diagnosis in Korean adults with epilepsy. Higher education may be an important factor for knowing the new term in patients and family members.

Introduction

Epilepsy is one of the first described neurological diseases and is considered a stigmatizing condition [1]. In spite of the teachings of Hippocrates (460–370 BC) that epilepsy is a physical illness, misconceptions regarding the cause of epilepsy became predominant in the Middle Ages [2]. Currently, misconceptions regarding epilepsy have nearly disappeared or are rapidly declining worldwide [3]. However, patients with epilepsy continue to suffer from stigma, as well as social restriction and discrimination, in everyday activities, such as going to school, driving, working, and obtaining insurance [4–6], not only in the developing world but also in the West [4]. In a large European study, half of patients with epilepsy experienced feelings of stigma associated with epilepsy diagnosis [7]. This perception significantly impacts the quality of life of patients with epilepsy [4,7,8].

We construct a measure of human capital using micro datasets on labor composition of age, gender, education, and wage rate and analyze its role in economic growth for the Korean economy. Over the past three decades, human capital has grown steadily at about 1% per year, contrasting to a continuously declining trend of total work-hours. This growth has been driven by the rise of better-educated baby-boom cohorts. A growth accounting exercise shows that human capital contributes significantly to economic growth; it accounted for 0.5% points of annual GDP growth over the period. Human capital is projected to remain a major growth factor over the next two decades as the increase in educational attainment continues. Increased employment rate of elderly or female workers reduces the aggregate human capital growth while increasing the available labor. Polices to improve human capital of female or elderly workers help to increase aggregate human capital growth.

Introduction

The Republic of Korea (henceforth, Korea) is known for its economic accomplishments. It grew at an average rate of 7.6% each year from 1965 to 2015,1 making it one of the fastest growing economies in the world. Numerous studies on the backdrop of Korea’s economic achievement have pointed out the improvement in human resources, alongside higher savings and investment ratios, greater trade openness, and improvements in rule of law, as significant factors for this growth (Lee, 2016). The expansion and upgradation of the workforce have played a critical role in helping Korea catch up with the economic development of advanced economies. In the early stages, Korea enjoyed a large demographic dividend as large baby boom cohorts reached working age, boosting the nations productive capacity. The nation has also accumulated a stock of educated workforce at an unprecedented rate, backed by a strong household demand for higher education, and high public investment in the education sector. The abundant supply of welleducated labor force has allowed Korea to improve the competitiveness of its industries, transforming the economy into one of the worlds’ top exporters. In this paper, we present a measure of aggregate human capital stock in Korea and evaluate the contribution of human capital to GDP growth rate from 1986 to 2017. In addition to analyzing the past human capital development, we construct projections of human capital growth over 2020–2040, considering changes in population structure, educational attainment, and main labor market variables, such as employment and wage rate, with diff ;erent sets of scenarios.

1- Introduction

2- Methods

3- Results

4- Discussion and conclusions

References

Abstract

The valuation of urban parks using hedonic pricing has been thoroughly documented in a number of studies set in many cities. Just as the value of existing parks can be estimated by investigating the relationship between housing prices and parks, the value of future parks can also be estimated using this approach. This study recognized that a series of planning processes and land use transitions to create urban parks not only influences the perceptions of real estate buyers but also the quality of the local environment. From the apartment sales data for the Busan metropolitan region of Korea, data on 11,498 sales of apartments within walking distance to planned parks (as well as existing parks) were collected. These data were applied in an analysis comprising three categories describing different planning contexts for the parks: “comprehensive plans,” “implementation plans,” and “completed parks.” A set of explanatory variables representing housing, park, and neighborhood characteristics was selected, with additional remarks regarding the planning specifications that might influence apartment buyers’ perceptions, such as the park type and the age of a plan, as defined in the official plans of the city. The results showed that smaller park types in residential settings were preferred throughout the processes of park planning, while all types were preferred once the processes were completed. The preference in park types is likely associated with the quality of the planning guidelines as well as the size of the project and the duration of planning.

Introduction

The urban park system is a crucial element of the urban fabric that enhances quality of life by promoting a healthy lifestyle, relaxation, and social engagement. Beyond the traditional value of a park space, urban park systems contribute to the larger urban objective of improving the quality of urban living. The broader view of the urban park system emphasizes the social benefits of reducing disorder and crime and strengthening ties among community members (Choi, 1999; Kuo, Sullivan, Coley, & Brunson, 1998; Kweon, Sullivan, & Wiley, 1998; Payne, Orsega-Smith, Godbey, & Roy, 1998; Sampson, Raudenbush, & Earls, 1997; Sturm & Cohen, 2014; Walker, 2004). Furthermore, vegetation, water bodies, and green spaces are valued components of the regional ecosystem and can also act as buffers against common urban nuisances, such as noise, air pollution, and congestion (Bayer, Keohane, & Timmins, 2009; Chiesura, 2004; Harnik & Welle, 2009; Kim, Park, & Kweon, 2007; Luttik, 2000). In the past few decades, a number of studies set in multiple cities have found that urban parks have a positive impact on real estate prices. These studies have used various empirical methodologies to determine the valuation of parks. Hedonic pricing allows us to capture the value of environmental amenities by estimating the marginal price included in the price of real estate. Assisted by the improved capability of dealing with spatial data and more sophisticated tools, the recent body of research has advanced the use of the hedonic price method, especially in an investigation into the proximity effect and a more detailed and diverse characterization of environmental amenities. An overview of the previous literature, with a focus on the proximity effect and the different characterizations of parks in urban settings, lays the groundwork for the valuation of urban parks in different planning contexts.

The panic wrought by the 1997 Asian financial crisis spurred different mitigative measures. Some states assented to IMF bailout and restructuring, while others enforced capital control. Since then, despite intense academic and regulatory scrutiny of the nuances of the recession, empiric focus on recovery trajectory of affected countries centred chiefly around traditional GDP metrics; an approach that disregards economic performance in a manner congruent with Sustainable Development Goals (SDG). In this paper, we adopt a broader SDG-compatible approach by tracking two affected countries’ (Korea and Malaysia) recovery via operationalizing an alternative growth indicator GPI (Genuine Progress Indicator). First, we construct a 35-year long GPI index from 1980 to 2014 and employ the Solow Growth Model to measure the impact of the two remedial measures on GDP and GPI of both countries. Employing an ARDL approach, we find external debt to impact significantly the GDP and GPI of Korea. Meanwhile for Malaysia, the controversial capital control failed to register significant impact. Moreover, unemployment rates, trade openness, fixed capital formation and the history of previous crises are found to be influential determinants of GDP and GPI, with credit and exchange rate variables showing ambiguous results.

Introduction

In the mid-1990s, a collapse of Thai Baht precipitated a cascade of currency collapses, culminating in a full-blown economic crisis in the South-East and East Asian regions. Ever since, this crisis has remained significant for academics and policymakers owing to its sudden trigger, rapid percolation, and varied consequences. For economists concentrating on crises, the 1997 crisis also serves as an epicentre for tracking crisis management schemes and recovery trajectories. In this regard, two economiesdMalaysia and Koreadstand out as candidates for deeper investigation due to disparate recovery paths undertaken. The former imposed hard capital controls, while the latter acceded to IMF bail-out and restructuring. Since then, both economies performed impressively. Measurements of recovery over these periods have largely centred around economic growth metricsdmost specifically medium-term rates of GDP growth within a decade (Corden, 2007; Zumkehr and Andriesse, 2008). This traditional usage of GDP as the chief marker of economic growth and success has come under criticisms lately. Scholars concerned with Sustainable Development Goals (SDG) criticize the GDP approach arguing that a policy of targeting GDP-centred growth leads to degradation of the environment, broadens wealth inequality, and results in distorted social dynamics (Philipsen, 2015; Pintner et al., 2012; Van den Bergh, 2009).

This experimental study explores how governments should respond to rumors about nationallevel risk issues. Informed by research in rumor psychology and risk/crisis communication, it investigates whether type of rumor and rumor response strategy have main and interaction effects on reducing rumor beliefs and intention to disseminate rumor. The two featured rumor types are the bogie rumor, which highlights feared outcomes, and the wedge rumor, which aims to reinforce differences between rival groups. Derived from Situational Crisis Communication Theory, the three response strategies examined are refuting the rumor, denying it, and attacking its source. Data were drawn from part of a large-scale online experiment, and the sample of the analysis was 942 South Korean adults. The experiment had a between-subjects design of 2 rumor type (wedge vs. bogie) x 3 government response strategies (refutation, denial, attack the attacker). Results show that all three rumor response strategies significantly reduced rumor beliefs, but only the refutation strategy significantly reduced intention to disseminate the rumor. Rumor type (bogie) and response strategies (refutation) had main, but not interaction, effects on reduction of intention to disseminate the rumor.

Introduction

Contemporary risk situations have an inherent uncertainty (Paek & Hove, 2017). In response to this uncertainty, people often produce and spread rumors (DiFonzo & Bordia, 2000, 2007). Rumors can be defined as messages that convey information which could be important or relevant but has not yet been verified (Allport & Postman, 1946). During government efforts to protect the public from risks, the spread of unreliable information can create serious problems. Now that so many people get their information from social media, risk experts and government officials worry that the increased dissemination of rumors could worsen public trust in government risk management efforts. Although most rumors that spread during outbreaks of national-level risks are inaccurate, people tend to believe them. To prevent the public panic that sometimes results, governments try to publicly refute or deny the rumors, or even threaten legal punishments for people who create and spread them. Several government rumor response strategies have been proposed by institutions such as the World Health Organization and the U.S. Centers for Disease Control. However, we still do not know which of these strategies are most effective and why. In the related field of crisis communication, studies tend to focus on how, when crises occur, organizations that are perceived to be responsible for risks might protect their reputations (Coombs & Holladay, 2004; Coombs, 2000). But in research on situations of national-level risks, few studies have investigated which rumor response strategies are effective and what makes them effective.

This research provides empirical evidence on the employment effect of both process and product innovations under different market structures, using data from 1999 to 2009 on 11,369 manufacturing firms in Korea. Consistent to the literature, it first finds that the overall employment effect of innovations is positive, since process innovations do not have any significant effect but product innovations have positive and significant effects on employment. Then, our contribution is to estimate the employment effect of innovations in different market structure by adding interaction terms between proxies for market structure and each type of innovation. We find that process innovation has a greater negative effect in more monopolistic markets, and confirm no significant differences in the employment effect of product innovations across different market structure. Overall, we show that innovations have different effects on employment across different market structures, which implies that a competitive market is important for increasing employment through innovation.

Introduction

The impact of innovation on employment has long been a debated issue. While innovation is known to have a strong positive relationship with long term economic growth in general, the relationship between innovation and employment has not been clearly identified. This is because innovation has two distinctive effects on employment (Harrison et al., 2008; Vivarelli, 2014). On the one hand, innovation has a displacement effect, which displaces workers by capital, and has a negative influence on jobs. On the other hand, innovation has a compensation effect, which increases demand for workers in the production process. Thus, the overall employment effect of innovation cannot be predetermined. Given that economic theory does not ascribe an exact net effect of innovation, it has become a matter of empirical analyses. Empirical analysis has largely been conducted at the firm-level, and typically categorizes innovations as process innovations and product innovations (Entorf and Pohlmeier, 1990; Doms et al., 1995; Van Reenen, 1997; Klette and Førre, 1998, Piva and Vivarelli, 2005; Coad and Rao, 2008. In particular, Harrison et al. (2008, 2014) argue that distinguishing the innovation type facilitates understanding the employment effect of innovations, and that each type of innovation has a different purpose and can have different employment effects. Firms introduce process innovation for cost-saving, but introduce product innovation for demand expansion. Thus, the former is expected to have a negative influence on jobs and the latter, a positive influence (Harrison et al., 2008, 2014). While a large volume of literature verifies the above reasoning, fewer studies consider the impacts of innovation in different market structures, namely when markets are more or less competitive or close to oligopoly. This paper is an attempt to fill this gap and show how the impacts of innovation are determined differently by the type of market structure.

1- Introduction

2- The trans-log cost function model

3- Data

4- Results and discussion

5- Conclusion and policy implications

References

Abstract

This study suggests a simple economic model to analyze electricity grid that consists of different power sources. The substitutability of renewable energy for nuclear power in Korean electricity transmission network is investigated by suggested model. The monthly data from January 2006 to December 2013 reported by Electricity Power Statistics Information System (EPSIS) of Korea Power EXchange (KPX) are used. To estimate the elasticities of substitution among four power sources (i.e. coal, natural gas, nuclear power, and renewable energy), this paper uses the trans-log cost function model on which local concavity restrictions are imposed. The estimated Hicks-Allen and Morishima elasticity of substitution shows that renewable electricity and nuclear power are complementary. The results also evidenced that renewable electricity and fossil fueled thermal power generation are substitutes.

Background

Nuclear power has been a controversial issue worldwide. Specifically, there are many questions whether nuclear power plants can be continuously used in the future and, if not, whether renewable energy can substitute nuclear power. In Korea, the Moon Jae-in administration, established in 2017, is in favor of renewable energy and proposed the Korean government’s new long-term plan of electricity supply, which recommends the suspension of two nuclear power plants under construction [1]. After serious debate, the Committee for Public Debate of Sin-Gori Units No. 5$6 finally allowed continuing construction of those plants. The debate reflects Korea’s increasing fear of the risk of nuclear power since the Fukushima Daiichi accident in Japan, followed by the great earthquake in 2011 [2]. Fear of nuclear power is a global phenomenon. Global electricity generation from nuclear power plants in 2013 was less than its average between 2001 and 2010. The main driver of this decline was the shutdown of nuclear power plants in Japan, Germany, and the US [3]. The IAEA [4] reports that the rapid shutdown of nuclear power plants, beginning in the 2010s, has affected the current capacity of global nuclear power. Yet, the same report states that nuclear power still accounts for one-third of the total low carbon power generation and renewable energy cannot easily substitute nuclear power because of its intermittent characteristic. The IAEA projects that increasing global demand for electricity, especially in emerging economies, may lead to the expansion of nuclear power use, which presents a paradox concerning nuclear power [4]. Although nuclear power is inexpensive and a massive electricity supplier with low carbon emissions, simultaneously, it could bring about a fatal accident. CO2 emission from fossil fuel use is a common problem and seen as a significant cause of global climate change. In the electricity industry, however, the reduction of fossil fuel-based thermal power generation creates instability in the power supply. Nuclear power generation is a strong alternative as a substitute for thermal power generation [4]. As mentioned, however, nuclear power generation faces strong opposition as it has latent risks. Facing these two problems, CO2 emission and nuclear power’s risk, renewable energy is being discussed as an effective solution. However, as the IAEA report [4] points out, the technological and economic problems associated with renewable energy are still the basis of argument whether renewable energy is unsuitable for the base-load of the electricity system. Moreover, Madrigal and Stoft pointed out that intermittency of renewable energy such as wind power and photovoltaic affects grid stability [5].

1- Introduction

2- Government organization of Korea’s shipping and shipbuilding

3- Research design

4- AHP analysis

5- Conclusion

References

Abstract

This study aims to explore the optimal model for the Korean government’s organization (KGO) of the maritime industry using the analytical hierarchy process (AHP). The result of the AHP analysis revealed that most respondents of the survey firstly weighted realistic possibility (0.473), and goal orientation (0.316) and institutional stability (0.221) were secondly and thirdly evaluated. The sub-criteria were systematically classified as suitability (0.279), competency (0.139), reliability (0.125), efficiency (0.115), political coordination (0.098), feasibility (0.095), equity (0.076), independence (0.044), and cooperation (0.041). Finally, shipbuilding and offshore plants under the unification with the Ministry of Ocean and Fisheries should be considered as the optimal KGO of the maritime industry in terms of the evaluation of AHP alternatives.

Introduction

We first provide an overview of the history of the collapse of Hanjin Shipping (HJS). The so-called China effect, influenced by China’s special procurement demand to cope with several constructions for the 2008 Beijing Olympic Games, brought not only a boom in the construction economy but also a boom in the shipping economy (BSE). The Baltic Dry Index (BDI) rose to 10,844 points in May 2008. Most Korean ship owners (KSO) chartered vessels during the irrational boom from 2007 to mid2008 at higher prices than normal. However, since May 2008, the shipping market situation has worsened, due to the global financial crisis. There has been an oversupply vessels stage ever since. The BDI fell to 747 in December 2008. This dramatic change in the shipping economy occurred in only 7 months. In addition, the BDI reached its lowest ever level in February 2016. If we look back to 1997, we can understand why KSO had to charter vessels at higher prices. In 1997, most KSO sold their vessels because the Korean government asked them to decrease their debt by 200% in response to the IMF financial crisis (Ha, 2012; Ha and Chung, 2003; Lee, 1999). Unfortunately, after the Korean Chaebol group restructuring was complete, the shipping boom began. Korea’s shipping lines therefore had to charter vessels at higher prices.

This study assessed whether a celebrity writer endorsement affects festival brand equity and attachment to a festival destination. Subjects were non-residents who attended a local literary festival. Among celebrity attributes, expertise was revealed to be most related to brand equity and destination attachment. Additionally, loyalty to the festival was found to affect attachment to the festival destination, while festival brand awareness had a positive impact on festival brand loyalty. Results provide theoretical implications related to how celebrity endorsements influence destination brand, and festival community attachment. The results of this study also have practical implications related to how festival organizers can more efficiently promote visitation to the host destination. It is also believed results significantly contribute to understanding the efficacy of endorsements in an event context.

Introduction

Successful festivals contribute to the local economy and create job opportunities. The revenue from hosting festivals can overflow to neighboring regions and across an entire country (Kim, Han, & Chon, 2008; Kim, Prideaux, & Chon, 2010). More specifically, festivals can generate a range of non-market benefits, including positive images of the host community, community pride, and enhancement of the community’s quality of life (Kim & Morrison, 2005). Festivals may also help to preserve local heritage resources through the income they generate (Prentice & Andersen, 2003). Therefore, local festivals/events have been suggested as tools to enhance local brand values and images (Jago, Chalip, Brown, Mules, & Ali, 2003; Manthiou, Kang, & Schrier, 2014). This study interweaves multiple concepts including literary festival tourism, celebrity, brand equity, and destination attachment. The literary festival examined in this study is held annually in a small mountain town. The event features a variety of literary presentations in memory of a famous author, and the venue offers a good opportunity for visitors to enjoy countryside scenery and agricultural tourism activities. For example, festivals related to William Shakespeare are globally prominent. His birth town, Stratford-upon-Avon in the UK, is inundated with literary tourists attending poetry or literary festivals as well as visiting his birthplace. These local festivals have been found to: be educational, inspire imaginations, motivate literary activities, and communicate with contemporary writers. Beyond festivals in his birth town, numerous Shakespeare-related festivals have been hosted by local governments and educational institutions in other British regions, Commonwealth countries, and the US (Geigner, 2015; Shevtsova, 2014). This study focuses on the ‘Hyo-seok Literary Festival’ in Bongpyung, Korea, which is dedicated to the writer Hyo-seok Lee (1907–1942), a literary genius who died young. Since the festival is situated in Hyoseok’s mountainous highlands (altitude 800 m), non-locals are unlikely to visit without a special reason. Since 1999, the Hyo-seok Literary Festival has been held for 10 days in September, when buckwheat flowers cover the village and countryside. This arts festival is held both in honor of the writer and to promote the village’s agricultural products. In 2014, the festival attracted 743,823 people, motivated mainly by interest in Hyo-seok Lee and the attraction of the pastoral region (Hyo-seok Lee Literary Festival Association, 2015). Since the area is very isolated (surrounded by mountains), it was not well known to Koreans beyond the festival. Even though the importance to understand literary festivals from a tourism attraction development perspective has been addressed (Driscoll, 2015; Robertson & Yeoman, 2014; Weber, 2015), few studies have examined either the role of brand equity or celebrity endorsement in festival tourism.

This study aims to investigate organizational characteristics and develop a framework relating to corporate social responsibility (CSR) practices of international joint ventures (IJVs) established in the South Korean market. Based on institutional and stakeholder theories, regression analyses produced a framework facilitating a better understanding and identification of factors that drive CSR in local markets. Consumers, competitors, and non-governmental organizations (NGOs) were discovered to be primary determinants of responsible behaviors. Additionally, some significant differences were found with respect to CSR related to IJV’s formative characteristics. This study contributes to furthering knowledge of IJVs and CSR, as well by providing some practical implications for organizations pursuing international markets.

Introduction

International joint ventures (IJVs) have been pursued as an essential strategic option for multinational enterprises (MNEs) in terms of effectively entering foreign markets through a more collaborative strategy and to partially confront the liabilities of foreignness encountered in an unknown environment (Chang, Bai, & Li, 2015; Huang, Hsiung, & Lu, 2015). IJVs, generally, are regarded as crucial in the internationalization aspect of organizations and are a dominant option in pursuit of market expansion strategies (Park, Giroud, Mirza, & Whitelock, 2008). Oftentimes, by virtue of establishing a new entity with a local firm, IJVs are cited as the most viable option in terms of acquiring local knowledge and mitigating potential market uncertainties (Mohr, Wang, & Fastoso, 2016; Triki & Mayrhofer, 2016; Yeniyurt & Carnovale, 2017). The integration of both host and home stakeholders, in an attempt to reduce uncertainties and liabilities of foreignness, also entails a focus on an MNEs local operations due to reports of corruption, unethical practices and other negative aspects, thus leading to a more involved and vocal response to organizational practices at home and abroad. As a result, corporate social responsibility (CSR) has become a rallying point for stakeholders and researchers alike in determining the ethical actions and responsibilities of organizations that operate abroad (Ambec, Cohen, Elgie, & Lanoie, 2013; Egri & Ralston, 2008). Academic interest and literature related to CSR has also developed and grown over time, from a simple examination of how to act ethically within a foreign environment, to an analysis of how to provide positive impacts locally. This ultimately contributes to local economic development by simultaneously improving the quality of life of the workforce, the local community, society at large, considerations that have become an integral part of the strategic vision characterizing many firms worldwide (Lockett, Moon, & Visser, 2006; Russo & Perrini, 2010). CSR and IJVs have both been proposed as means by which organizations can become embedded in local communities or alleviate negative attitudes towards foreign organizations as a response to stakeholder concerns (Galbreath, 2009). With the rise of CSR awareness and the demand for companies both foreign and domestic to pursue CSR initiatives, the focus for foreign members of IJVs should be upon what triggers the implementation of local CSR practices. However, specifically for IJVs, it is unclear which of its stakeholders play prominent roles in determining the enactment and incentives leading to the managerial choices to pursue CSR activities in local markets. To reiterate, as IJVs represent an interaction between the foreign and local firms, it remains uncertain if it is the foreign parent that brings CSR initiatives into the IJV or if local pressure forces the adoption of CSR measures. Research on this question, outside of a few studies that have mentioned the need for further analysis in the understanding of the manipulation and development of CSR strategies in host countries, is currently very sparse (Galbreath, 2009; Qu, 2007; Tokoro, 2007).

Purpose – The purpose of the research is to examine the process of consumer satisfaction formation for e-commerce. The study also predicts that the satisfaction formation model of ecommerce will differ between US and Korean consumers due to differences in cultural background. Design/methodology/approach – The study integrates the expectation disconfirmation theory (EDT) and the technology acceptance model (TAM). The hypotheses are examined by analyzing a structural equation model for consumers in the US and Korea. Findings – The results show that the model demonstrates good fit for both groups. For consumers in both countries, when purchasing fashion products on a new e-commerce site, the performance of the site’s usefulness was found to be a crucial variable in their satisfaction and intention to use the site. While there was no significant difference in the multiple group measurement model invariance test, our findings are meaningful because the slight differences in the standard coefficients of the two groups are considered. Originality/value – It is meaningful to apply EDT and the TAM to the daily deal site environment. The influence of related variables can be reconfirmed and new consumer behaviors can be better understood. The research provides fresh insights into consumer behavior that can benefit managers when they make decisions in the e-commerce field.

Introduction

As the market for smart phones and tablets for mobile entertainment and reading are expanding, a new e-commerce platform is emerging. Connected with social networks and social relationships, this platform is called “social e-commerce.” Social e-commerce differs from existing online shopping in two ways. First, communication among consumers is different since social e-commerce is a consumer participating market where consumers directly use the network effect on, participate in, and create their own markets. It integrates with social networking services (SNSs) to increase consumer participation. Second, most of the prominent social e-commerce business models today are focused on radical price discounts of more than 50% for a limited time. The most common social e-commerce platform is group-buying sites with a daily deal service, as characterized by Groupon. This is also referred to as social shopping because consumers form relationships in the process of sharing shopping information and make purchases based on public opinions formed by those relationships. According to recent surveys, the total transaction value of the online group-buying market in the US reached US$19.7 billion in 2011 and revenue was expected to reach US$41.7 billion in 2015 (Sina, 2011). Online group buying websites are also experiencing rapid growth in Asia (CNN, 2010). In Korea, in 2010, US$45 million was transacted in the market, but by 2011, the market was estimated at US$724 million. Moreover, the market was projected to reach US$4.5 billion in 2014 (Park, 2014). Recently, Coupang, one of the group buying sites in Korea, was listed among the world’s 50 smartest companies for 2016 as selected by the MIT Technology Review, a magazine published by MIT (Massachusetts Institute of Technology) (MIT Technology Review, 2016).

With the Amazon Prime global service, our users who seek overseas for high-quality products will be able to enjoy free, fast delivery and have a better shopping experience. Amazon offers unlimited free cross-border shipping on more than four million authentic overseas products and unlimited free shipping on more than nine million domestic products. (Elaine Chang, Vice President of Amazon China, Jing, 2016) As online retailers begin to capitalize on their extraordinary economic efficiencies, the shape of a massive mountain of choice is emerging that was previously hidden […] that mass of rare niche products, just not visible or easy to find, is becoming a cultural force, and the economics of such distribution is changing radically as the Internet absorbs each industry. (Chris Anderson, Author of The Long Tail, 2006) As the aforementioned quotes indicate, a considerable growth of internet use and digitalization of society has resulted in a noticeable change in consumer preferences and shopping behaviors. Most of all, the accelerated growing similarities in cross-national consumption have been attributed to the rapid spread of the internet, granting consumers increased power and more universal access. As International Post Corporation reported, a majority of consumers in developed countries as well as emerging markets regularly use online shopping for goods and services. One online shopping study found that online shopping is prevalent globally whether in-country or cross-border, and that there is particularly strong growth in cross-border online shopping (Clemes et al., 2014; Global B2C E-commerce Report, 2015). Luckily, technology and the internet are unceasingly making the world a smaller and more connected place; consequently, the digital world has given consumers the ability to obtain almost everything online. According to the concept of the Long Tail suggested by Anderson (2006) in his book, consumers today can find nearly everything online in the endlessly long tail of niche and scarce products. Consumers have been encouraged to buy many rare niche products online due to the variety inherent in an endless aisle strategy (Anderson, 2006). The major factor among the various drivers of cross-border online shopping is that shoppers can obtain items unavailable in their home country due to limited supply or surplus demand. This tendency toward cross-border online shopping is often dependent on the characteristics of the consumer, and it is because consumers believe that they can express their originality through the purchase of unique products (Tian et al., 2001). However, internet shoppers do not always prefer to make purchases on international online sites. Internet shoppers will be reluctant to buy overseas when the overall service quality of online shopping, including billing systems, privacy and security, delivery time and cost, and various aspects of customer service is lowered (Devaraj et al., 2002; Shim et al., 2001).

This paper investigates the impact of business group ownership structure on the quality of earnings reports using data from South Korea. Business groups are dominant players, not only in emerging markets but also in Europe and Japan.1 The same is also true in North Korea, where the assets of the 30 largest business groups were 26.1% larger than the Korean GDP and comprised 95.2% of the Korean GDP in 2011. One of the typical characteristics of group firms is that members within a firm mutually share the ties of both ownership and business operations, which gives rise to an agency conflict between controlling and minority shareholders (Yang et al. 2013; Claessens et al. 2006). Hence, the ownership structure of business groups could affect the quality of financial reports. Theoretical studies provide two competing predictions about the impact of the ownership structure on the quality of financial reporting. On the one hand, the entrenchment effect hypothesis predicts that ownership concentration creates incentives for controlling shareholders to expropriate private benefits from the firm at the cost of minority shareholders. As a result, controlling shareholders report lower earnigs quality reports because they have greater incentives to influence earnings for their private benefit (e.g., Wang 2006; Fama and Jensen 1983; Morck et al. 1988; Shleifer and Vishny 1997). Several empirical studies provide evidence supporting the entrenchment effect hypothesis (e.g., Li and Zaiats 2017; Gopalan and Jayaraman 2012; Fan and Wong 2002; Yang et al. 2013). Based on the entrenchment effect hypothesis, group-controlling owners (family, in most cases) allow managers in business groups report lower earnings quality than those in nongroups because the complex organizational structure and self-dealing internal market in group firms may create private benefit incentives for controlling owners to do so. Conversely, some studies predict that group-controlling owners will abstain from extracting private benefit from the firm at the cost of minority shareholders to build a longterm reputation, maximize firm value and impose fewer contractual constraints on the firm (Jensen and Meckling 1976). This suggests that group firms’ owners are expected to have a strong incentive to protect their investment and reputation by actively monitoring managers’ opportunistic attempts to influence earnings. Empirical studies by War- field et al. (1995), Wang (2006), and Jung and Kwon (2002) document evidence supporting this prediction. Overall, two competing theories of the impact of business group ownership structure on earnings quality reporting raise an empirical question. Using a large sample of firms listed in the South Korean stock exchange over a period from 1993 to 2007, we investigated the impact of the business group ownership structure on earnings quality reporting. We further investigated the impact of group firm characteristics (disparity in ownership between cash flow rights and control rights in group firms and family ownership in group firms) on earnings quality reporting.