In the context of Sunday brunch evaluation, this research found that US participants perceived a menu price with 15% customary tipping as less expensive than the same price with a 15% mandatory service gratuity. In addition, they expressed greater intent to patronize a restaurant when it is under voluntary tipping than when it is under a corresponding mandatory service gratuity. More importantly, the results showed that participants’ use of surcharge information and perceived surcharge fairness acted in parallel and with similar strengths as mediators of the relationship between surcharge policy and menu price perception. However, the relationship between surcharge policy and patronage intent was fully mediated by participants’ perceived surcharge fairness. The findings of the present research have important implications for the US food service industry as a growing number of restaurants have adopted mandatory service gratuity in place of voluntary tipping in recent years. Although the decision to switch to mandatory service gratuity is mostly driven by concerns about internal customers such as employee compensation, this research suggests that it may have a negative impact on external customers in terms of menu price perception and patronage intent. Consequently, restaurants, especially those targeting price-sensitive clientele, should think twice before jumping on the mandatory gratuity bandwagon.

In the last decade, several sellers have experimented with participative pricing, i.e., pricing mechanisms in which the buyers directly influence the price of a transaction. Pay What You Want (PWYW) is the most rigorous participative pricing model. The buyer can set any price, including zero, and the seller cannot refuse to serve the buyer for that price (Kim, Natter, & Spann, 2009). For the seller, PWYW can be advantageous if the buyers pay differentiated prices that are higher than posted prices. However, the profitability of the pricing model is limited to specific situations (Gerpott, 2017). We introduce a modification of PWYW labeled Multi-Tier Pay What You Want (MTPWYW). In MTPWYW, the seller offers different quality levels of a good. The lower-quality version is available under pure PWYW conditions. The higher-quality versions are only available to customers who pay at least a predefined threshold price. Nonetheless, customers can still pay more than the threshold price for the higher-quality good. Therefore, MTPWYW allows the seller to exclude customers who pay low prices for the higher-quality good. We run a field experiment comparing MTPWYW to PWYW by setting up a waffle stand with two quality levels: the basic version consisted of plain waffles only, the higher-quality version included waffles with toppings. In the case of PWYW, the buyers could choose any price they wanted to for both quality levels. In the case of MTPWYW, waffles with toppings were only available after paying at least the threshold price. The results indicate that MTPWYW can be more profitable than PWYW and that it can achieve two forms of price discrimination: endogenous price discrimination and second-degree price discrimination (i.e., self-selection into different quality levels).

This research was conducted in order to examine the effect of comparative price on consumers’ reactions to service failure in the loyalty program. The current study finds that under condition of lower level of persuasion knowledge, compared to single retail price, comparative price would mitigate consumers’ negative emotion in the context of service failure, which in turn improves customers’ tolerance. The authors test this prediction in two experiments. Experiment 1 aimed to provide an initial exploration of hypothesis by employing a between-subjects design. This experiment recruited undergraduate students at Suzhou University to complete an online survey. After reading the scenario of service failure, participants were asked to answer a series of questions about their intension of spreading negative word of mouth (NWOM). A one-way ANOVA on intention of spreading NWOM suggested that the NWOM activity was significantly lower in the group of comparative prices than in the group of single retail price. In experiment 2, the authors measured angry and intension to complain when participants finished reading the scenario of service failure. Furthermore, one week later the authors measured price tactic persuasion knowledge of participants. The bootstrap method (number of bootstrap samples = 5000, level of confidence = .95) was used. The results showed that customers’ angry level mediated the effect of comparative price on intension of complaint. The authors further conducted a mediated moderation analysis with the participants in the high- and low-persuasive-knowledge conditions. The results indicated the indirect effect of the comparative price on intention to complain was mediated by customers’ angry when they have low persuasive knowledge, whereas the mediation effect of customer’s angry level was no longer significant in the higher persuasive-knowledge condition. To summarize, this research suggested that comparative price would exert a marked impact on the tolerance of members of loyalty program in the context of service failure. The present paper adds to the existing comparative price literatures by confirming its impact on consumers’ judgment in the context of service failure even if they are all members of loyalty program and informed with information of discounted size in advance. Given the special meaning of NWOM and complaint, current paper provides implications for marketing practices.

Introduction Marketing research habitually claims that customers are willing to pay a price premium for fair-trade products, for environmental-friendly production and other environmental or social matters. We question this paradigm by asking for contextual variables. We identify under which circumstances consumers perceive price increases caused by social reasons as more fair. In particular, we examine the role of individualism as a key trait influencing price fairness perception. Our empirical study (n>400) shows that the subdimensions of individualism differently impact perceptions of price increase fairness: consumer competition decreases fairness perception for social price increase reasons, uniqueness increases fairness perception caused by environmental-friendly production and consumer independence has a neutral effect. Theoretical Development In our study, we reason that different types of individualism differently influence fairness perception of price increase reason because of different social reasons. First, independence reflects an individual’s value of autonomy in judgment, decision making, and actions (e.g., Markus & Kitayama, 1991). We expect that people who feel independent put more emphasis on their person’s freedom and do not feel strong connections to others. Consumer competition represents an interpersonal comparison between the self and others and the individual’s desire to get ahead of others and striving for individual achievements (e.g., Triandis & Gelfand, 1998). Consumers also compete for the costs and benefits of higher prices. Thus, we expect that consumer competition reduces fairness perception for all subdimensions of individualism. Uniqueness is the perceived importance of developing the self’s unique identity and expressing characteristics that are different from others (e.g., Markus & Kitayama, 1991). People who feel unique typically strive for lifestyles to show their uniqueness by purchasing items, which are socially visible and symbolic of identity (Berger & Heath, 2007). They might also be willing to pay more for products and services, which support this uniqueness such as a more environmental-friendly production of products. Research Design We test the hypotheses using a paper-and-pencil survey approach in Germany because in Germany, price increases for CSR topics were very common in many industries in the past few years. We measured the three dimensions of individualism using the scale by Chen and West (2008). The fairness measurement of three types of price increase justifications follows the study by Homburg, Hoyer and Koschate (2005) using established 7-point Likert scales. The sample consists of more than 400 respondents. Results and Conclusion As assumed, results show no significant impact of consumer independence on fairness perception of price increases caused by higher payments for suppliers and environmental-friendly production. Furthermore, the effect for price increases caused by better employee payment is positive, but only small and marginally significant. These results support our hypotheses, assuming a neutral effect of independence. As expected, consumer competition decreases price fairness perception for all price increase reasons, which supports our hypotheses. Perceived uniqueness has no influence on fairness perceptions of price increases caused by higher payment for suppliers and better payment for employees, but increases fairness perception of price increases caused by environmental-friendly production. Age and gender as control variables have mainly no influence on price fairness perception. Our work contributes to marketing theory by originally showing that differences in cultural orientations within a country can explain fairness perceptions of socially justified price increases. Simple country comparisons often neglect heterogeneity in the population. Nevertheless, our results should also be generalizable for country comparisons. Secondly, consumer competition has a negative impact on price fairness for all price increase justifications, while independence has mostly neutral influences and, uniqueness partly even positive effects. This suggests to differentiate dimensions of individualism. Thirdly, the effects differ across social price increase justifications. Thus, consumers seem to evaluate carefully what benefits they personally get from a specific price increase reason. For example, uniqueness increases fairness perceptions if the company refers to an environmental-friendly production, but not for better payment of suppliers and employees. Hence, customers might perceive a higher signaling benefit from buying and consuming environmental-friendly produced products. These findings deepen our knowledge on effects of price increase justifications.

Firms, especially retailers try to attract consumers by convincing them that its price is lower than the competitors’ by offering price-matching guarantees (henceforth PMGs). Walmart has offered a price-matching guarantee for years, and Target and Best Buy have also introduced their own policies. Not only brick and mortar retailers but also online retailers such as e-Bay, Amazon use this policy. Recently, offline retailers decided to match prices against online retailers as well. Many studies have analyzed the effect of PMGs in the areas of economics and marketing. These studies focus on four effects: price collusion, price war, price discrimination and signaling. First, it has been claimed that guarantees facilitate price collusion by reducing the incentive to cut prices (Salop 1986; Hviid and Shaffer 1999). Meanwhile some authors argue that PMGs has not only anti-competitive but also pro-competitive effects (Cort 1996; Chen, Narasimhan and Zhang 2001). PMGs may be useful for a low-cost firm to signal low prices to uninformed consumers (Moorthy and Winter 2006; Moorthy and Zhang 2006). Finally, PMGs can be used as a means of price discrimination in the sense that firms charge different prices to each segment of consumers differentiated by their information about rivals’ prices (Png and Hirshleifer 1987). Usually firms pay just as much as the price difference, which is called 100% PMGs. However, there are several types of PMGs depending on the refund amount. For example, in case of 200% PMGs, a firm pays twice the price difference when the rival’s price is lower. I compare the effects of 100% vs. 200% PMGs using a two-stage game model where two identical firms decide whether to offer a PMGs in the first stage and prices in the second stage. First, whether or not to offer a PMGs depends on the number of loyal consumers relative to price-sensitive consumers. Both firms offer a 100% PMGs and charge a high price when the number is moderate. When it is large, neither firm offers a PMGs and when it is small, there are two asymmetric equilibria where one firm offers a PMGs. Firms enjoy the same or a higher profit by PMGs. Second, the difference between 100% and 200% PMGs occurs when the number of loyal consumers is small. When it is very small, neither firm offers a 200% PMGs, when it is moderately small, both firms offer a PMGs. Further, when the demand of price-sensitive consumers is price elastic, profits decrease by PMGs. Finally, when firms can choose between 100% and 200% PMGs, it is more likely that 100% PMGs will be chosen.

2016년 중국으로 우리나라의 6개 RPC에서 쌀 수출을 개시 하면서 얻어진 우리쌀의 품질대비 가격경쟁력의 우수성과 수출 초기에 발생하였던 문제점 등의 해결 사례는 다음과 같다. 중국내 수입하여 유통중인 중단립종의 가격경쟁력은 일본산과 대만산이 우리 수출쌀에 비해서 2~3배 가격이 높게 유통 되고 있어 우리쌀의 품질관리 여부에 따라 수출가능성은 매우 높다고 할 수 있다. 쌀의 백도는 우리나라 수출쌀이 35내외로 낮은 편이나, 중국의 흑룡강성 최고급쌀인 우창쌀의 백도는 40이상으로 높은 편이다. 배아잔존율은 우리나라 수출쌀이 24% 정도이고 중국의 흑룡강성 최고급쌀인 우창쌀은 5%내외이다. 백도는 40이 상으로, 배아잔존율은 하계 3%이하, 동계 5%이하로 가공하였을 때 중국의 소비자 선호도가 증가 할것으로 사료된다. 진공포장이 풀리는 것을 방지하기 위해서는 쌀 사이에 충진재를 넣거나, 포장시 2중접착을 하거나, 열 접착시에 시간을 1~1.5초, 온도를 130~150oC, 진공압력을 270~300 mmHg로 하고, 이동시 편리성을 도모하기 위해 포장지 상부에 손잡이를 만드는 것도 중요하다. 훈증소독은 메틸브로마이드 보다는 인화수소를 이용하는 것과 중국 남방지역으로의 하계 수출시에는 고온 다습한 것을 감안하여 수분함량을 13%내외로 조절하는 것을 추천한다.

This study analyzed the impact of FTA tariff elimination on the export prices for Norwegian fresh and chilled salmon, of which Korean import has significantly increased since the Korea-EFTA FTA implementation. Korea's fresh and chilled salmon market is almost monopolized by Norway, and Korea's price level is higher than other countries, so it is highly likely that price discrimination occurs. This study theoretically explained that exporters could adjust their prices by market power when tariffs are eliminated in imperfectly competitive markets. And the empirical analysis provided evidence that the exporters have made price adjustments since the FTA took effect, and similar results were found in the relative price comparison with trade statistics and Nasdaq Salmon Index. Therefore, in order to increase consumer welfare in Korean salmon market, it is required to transform the monopolistic market structure into a competitive one.

Squid is a popular seafood in Korea. However, since the 2000s, the squid production has been declining. The unstable supply of the squid products may cause price fluctuations of fresh and chilled squid. These price fluctuations may be relatively more severe than them of other commodities, because the fresh and chilled squid can not be stored for a long period of time. Thus, this study analyzes the structural characteristics of price volatility and price asymmetry of fresh squid based on off-diagonal GARCH model. Data used to analysis of this study are daily wholesale and retail prices of fresh squid from January 1, 2006 to December 31, 2016 provided in the KAMIS. As theoretical approaches of this study, first of all, the stability of the time series is confirmed by the unit root test. Secondly, the causality between distribution channels is checked by the Granger causality test. Thirdly, the VAR model and the off-diagonal GARCH model are adopted to estimate asymmetry effect and price volatility spillover between distribution channels. Finally, the stability of the model is confirmed by multivariate Q-statistic and ARCH-LM test. In conclusion, fresh squid is found to have shock and volatility spillover between wholesale and retail prices as well as its own price. Also, volatility asymmetry effect is shown in own wholesale or retail price of fresh squid. Finally, this study shows that the decrease in the fresh squid retail price of t-1 period than the increase in the t-1 period has a greater impact on the volatility of the fresh squid wholesale price in t period.

The purpose of this paper is to find out how each districts(Gu) of Seoul are related based on the apartment price trends. All the data used in this paper comes from a public data sources, Seoul apartments transaction data provided by ‘Ministry of Land Infrastructure and Transport Korea’ and the apartments properties from NAVER’s real estate service. To analyze the similarities between the price trends of each apartments, this study uses FastDTW algorithm which is quite popular in time series analysis domain. After figured out the distance matrix from FastDTW, this study uses Hierarchical Clustering algorithm and Chi-squared test to compare each districts’ relationship. The analysis result shows that which districts in Seoul are similar and which districts are not.

Recently, Korean companies have become more interested in overseas market, and semi-finished goods have become more and more active. In addition, most of Korean companies are in the form of Complete Knock Down, which is produced in low-wage countries in accordance with glottalization. As a result of the logistics movement between countries, there are many controversies such as tax problems and transfer of added value. Therefore, most companies set Transfer Price with the support of external organizations. In this paper, we propose a practical method for the proper transfer price setting using the cost-plus pricing method.

In this study, the effects of anticipated regret and perceived uncertainty on price sensitivity or purchase hesitation in overseas purchasing are analyzed along with the effects of price sensitivity on purchase hesitation. The survey was conducted among internet fashion consumers with experience in overseas purchasing and 480 responses were used in the data analysis. The results showed the psychosocial anticipated regret positively influenced the price importance, and the service, product and psychosocial anticipated regret positively influenced the price search. The preference and psychology uncertainty positively influenced the price importance, and the information and psychology uncertainty positively influenced the price search. The price importance positively influenced payment stage hesitation and shopping cart abandonment, and the price search positively influenced purchase hesitation in overseas purchasing. The functional, service and psychosocial anticipated regret positively influenced payment stage hesitation, and the service and psychosocial anticipated regret positively influenced shopping cart abandonment and overall purchase hesitation. In addition, the perceived uncertainty positively influenced the payment stage hesitation, and the information and psychology uncertainty positively influenced the shopping cart abandonment and overall purchase hesitation. The results of this study will be helpful for developing the marketing strategy for customer relationship management for overseas internet shopping web-sites.

Recent approaches and opinions support that shipping companies must take precautionary measures against financial risks and design steadier steps for financial management. The key to developing, implementing, and managing a successful hedging strategy is to use effective forecasting systems and appropriate financial derivative products. The key objective of this study is to control risks from bunker cost fluctuations using financial derivative products. To do so, a time-series analysis is conducted using a dataset derived from a bunker index system. The artificial neural network method is used for time-series analysis with a mean absolute percentage error of 0.9182105. Next, progress predictions of bunker costs and hedging strategies are determined to use financial derivative products against their risks. Finally, this study concludes that forward agreements can serve as the perfect protection mechanism against bunker risks in tramp shipping.

As many companies are performing brand management as a marketing strategy to establish long-term relationships with their customers, consumers decide the actual purchasing behavior by understanding the brand attributes of the relevant company based on an evaluation standard of the products. This paper provides the basic data for improving the competitiveness of the coffee shop market continuously, and analyzes the influential relationships between each variable by limiting the brand attributes of the coffee shop and the price fairness factor that would be expected to affect the consumers' purchasing behavior as the cause variables. The results showed that the-out of brand attribute factors of the coffee shop, the brand awareness and perceived quality had significant effects on the price fairness while the influence of the shop image on the price fairness was not verified. In addition, all the brand awareness, shop image, and perceived quality had significant effects on the purchasing behavior while the statistical significance between price fairness and purchasing behavior was verified. The rationality of the price presented by the coffee shop could be judged depending on the quality perceived by the consumers. Similarly, once consumers classified the propriety of price and then perceived that a suitable price had been set up regarding the quality and service provided by the coffee shop, it was highly possible for them to include it in their actual purchasing behavior, despite the higher price than other brands'. Further research on the psychological variables affecting the purchasing behavior by securing more diverse consumers to understand their purchasing behavior for a wide range of research subjects and the generalization of research results, will provide useful data for establishing marketing measures necessary to form strong relationships between consumers and brand in the currently-saturated coffee shop market.

본 연구는 한우가격에 미치는 도체형질의 기여도 변화추세에 대해 조사하기 위해 실시하였다. 연구에 이용된 재료는 한우 거세우 35,247두의 도축자료를 이용하여, 자료의 구조분석과 일반성적, 분산분석 및 유의성검정, 가격에 대한 도체형질의 기여도분석을 실시하였다. 효과검정을 위해 등지방두께, 배최 장근단면적, 도체중, 근내지방도, 경락가격, 전체가격 등 6개의 형질을 이용하였고, 분석한 도축년도의 효과검정에서 조사된 모든 형질이 고도의 유의적인 차이(p<0.01)를 나타내었다. 한우가격에 미치는 도 체형질의 기여도 분석을 위해 다중회귀분석을 실시하여 각 독립변수의 준부분상관자승값(squared semi-partial correlation)을 이용하였다. 경락가격의 R2 값(결정계수)은 0.5422로 나타났고 전체가격 의 R2 값은 0.7141로 나타났다. 경락가격에 대한 준부분상관자승값 결과는 등지방두께가 0.0235, 배최 장근단면적이 0.0072, 도체중이 0.0001, 근내지방도가 0.3821로 나타났고, 전체가격에 대한 준부분상 관자승값은 등지방두께가 0.0161, 배최장근단면적이 0.0047, 도체중이 0.1691, 근내지방도가 0.2341로 나타났다. 가격에 미치는 도체형질의 기여도 변화추세는 2011년 이후 육질의 기여도가 꾸준하게 떨어지 는 추세를 보이고 있었고, 육량형질의 기여도는 높아지는 추세를 나타내고 있었다. 근내지방도의 가격 기여도가 낮아지는 것은 가격의 변화, 1등급 이상 출현율 상승, 도축물량증가로 인해 변별력이 떨어진 이유라고 보여지며 이러한 결과는 장기적인 관점을 가지고 지켜볼 필요가 있으며, 한우 산업이 경쟁력 을 갖기 위해서는 추가적인 연구가 진행되어야 할 것으로 사료된다.

The 1960s in Britain was the period of rapid economic and social change. Under this circumstance, the visionary architect Cedric Price designed the Fun Palace, of which idea came from the theatre producer, Joan Littlewood. They hoped this place to be an improvisational learning space, so Price proposed the building as ‘kit of parts’ which can respond to programmatic indeterminacy. Cybernetics was introduced to control this flexibility dramatically changed the character of the project from ‘theatre of people’ to ‘interactive machine’. That resulted in the change of the status of user from subjective human beings to abstract data in the cybernetic algorithm as well, and led the project to a completely opposite direction from that Price intended. After Fun Palace, cybernetics technology could still be found in his other projects, and it can be assumed that this was because the algorithmic system of cybernetics were on the same line of thought of Price’s idea ― anti-building or ‘kit of parts’. The effects of cybernetics varied in projects; Similar negative effect in Fun Palace can be found in Generator project, but on the other hand, in Potteries Thinkbelt project, cybernetics showed a positive aspect by contribution to the development of project on the formal analogy of algorithmic network.

기존 연구들은 확증적 데이터 분석을 통하여 거시경제지표, 주택정책 등의 영향이 시/도 사이에 상이함을 증명하였지만 해당 지역 내의 주택가격 변동의 역동성을 보여주지는 못하였다. 본 연구는 탐색적 공간 데이터 분석을 통하여 보다 상세한 공간 단위에서 아파트 매매가격의 시공간적 역동성을 탐색하고자 한다. 주요한 분석 결과는 다음과 같다. 첫째, 가격 급등시기, 2008년 세계금융위기의 영향 등에서 시/도별로 큰 차이가 나타났다. 둘째, 2006년 1월부터 2016년 6월까지 실거래 가격 변화를 주택정책과 함께 살펴본 결과 주거안정 정책은 가격 하락을, 시장 활성화 정책은 가격 상승을 가져왔다. 정책효과는 대체로 3~5개월 지속되었다. 셋째, 가격변동이 심한 10개 시기별로 시/구 수준에서 단위가격과 변동률 및 변동액의 관계를 살펴본 결과 시기별로 가격 변동을 주도한 시/구들이 상이하였다. 마지막으로 군집분석 결과 시기별로 공간 군집의 위치와 범위가 상이하게 나타났다. 또한 몇몇 시/구에서는 이웃한 행정구역 사이에 상반된 연관성 유형을 보이는 등 국지적 역동성이 나타났다.

Today, consumers are becoming more sensitive to price since price have been an essential motivation for them to choose the electronic retail venue. Recently, it is recognized that social commerce, with higher rate of daily active users, is ahead of traditional electronic mobile commerce in Korea. One of strengths in social commerce is attractive price deals for fashion brands, which positively lead to purchase probabilities. Therefore, fashion retailers should understand consumers’ price perception and their responses toward sales promotions on the social commerce. The purpose of this study is to examine the effect of consumer price perception and choice heuristics on impulse buying behavior for sales promotion of fashion brands and to examine the moderating effect of an engagement level in the social commerce. A self-administered questionnaire was developed, and mainly included consumer price perception (e.g., price consciousness, sales proneness), choice heuristics (e.g., affect referral, price referral), engagement, impulse buying and demographics. An online survey was undertaken by a research agency. A total of 235 usable responses were obtained from Korean consumers who had purchased fashion brands from social commerce sites (e.g., Coupang, Wemakeprice, Ticketmonster, etc.) using mobile devices. Respondents represent more females (n=129, 54.9%) than males (n=106, 45.1%). They are aged from 19 to 39 years old (Means=29). Results showed that consumers’ sales proneness had a positive effect on affect referral and price referral heuristics, which positively lead to impulse buying behavior. However, consumer price consciousness had a negative effect on impulse buying at the social commerce sites. Also, the mediating effect of the engagement was significant in the relationship among sales proneness, choice heuristics, and impulse buying behavior for sales promotion of fashion brands in the social commerce sites. This study discussed marketing implications for social commerce to effectively manage promotional program in the social commerce market.

Price has always had a key role in the luxury fashion market, because high prices are linked to the prestige of luxury products. Because of this, scholars have neglected the possible existence of unintuitive and controversial pricing strategies followed by luxury firms. This article deals with this literature gap, analysing the odd even price strategy. With the direct observation of physical and digital store windows of 20 luxury brands, this research examines the relationship between odd even price strategy and the luxury level of fashion brands considering both offline and online channels

We explore each of the three major domestic fishery product markets in South Korea- Frozen Squid, Frozen Hair tail and Dried Anchovy- to assess whether we can find evidence for Law of One Price (LOP) across the five major cities- Seoul, Dae-Jeon, Dae-Gu, Gwang-Ju and Busan. To achieve our aim, we utilize two different types of unit root tests: Augmented Dickey-Fuller (ADF) and Kwiatkowski-Phillips-Schmidt- Shin (KPSS) unit root test. In each of the three fishery product markets, we find evidence in support of LOP among several cities, which confirms that these markets are integrated to a certain extent. In particular, we find stronger evidence of LOP for Dried Anchovy market relative to the other two fishery product markets. Based on our findings, we argue that the Dried Anchovy market exhibits a greater degree of market integration across the five major cities in South Korea compared to the other two fishery product markets. The greater degree of market integration in the Dry Anchovy market is facilitated by its higher substitutability across cities; taken together these findings show that the market for Dried Anchovy in South Korea is more efficient than the markets for Frozen Squid and Frozen Hair tail.