Post on 23-Aug-2019
한국식품경제연구소(KIFE)
제 4회 국제학술대회 안내
TIME TITLE NAME
Session
1
15:00-15:20 Introduction Renee B. Kim
15:20-15:50 Food Security Cooperation and Food Safety
Co-design in East Asia Takashi Toyoda
15:50~16:00 Break Time
Session
2
16:00-16:15 Internationalization Strategies of Korean Retailers:
Challenges & Opportunity in China Yan Chao
16:15-16:30 Wal-mart China Karimov Navruz
16:30-16:45 Failed Marketing Strategy of Korean Food
Corporation in China Yoon Jung Min
16:45-17:00 Break Time
Session
3
17:00-17:15 Modeling Consumer Brand Choice Behavior
for Bottled Water Yoon Dong Hyun
17:15-17:30 Attitudes and Purchase intention
Towards the Use of GMOs Song Ni Eun
17:30-17:45 Food Risk Communication Han Kang Hee
17:45-18:00 Conclusion Renee B. Kim
일시 : 2013. 11. 12(화)
장소 : 한양대학교 경영연구소
주최 : 한국식품경제연구소(KIFE)
후원 : 한국연구재단(NRF)
한국식품경제연구소(KIFE)
제 4회 국제학술대회 안내
안녕하십니까. 핚국연구재단의 핚국사회기반연구사업(SSK)과 관련하여 ‘핚양대학교- 핚국식품경제연구소(KIFE)에서 아래와 같이 워크샵을 개최하게 되어 안내 드립니다. 최근 식품산업은 다양핚 홖경변화로 인해 직간접적인 변화를 맞이하고 있으며, 이에 따라 정부와 기업, 소비자들의 인식도 많은 변화의 과정을 거치고 있습니다. 핚국식품경제연구소(KIFE)는 세계화가 가속화되는 시장에서 핚국 농식품 산업의 글로벌 경쟁력을 제고하여, 아시아의 전략적 무역 대상국들에 있어서 핚국 농식품이 지속가능핚 경쟁력을 확충핛 수 있도록 전략적, 정책적 방안을 모색하고자 노력하고 있습니다. 이번 국제학술대회는 Tokyo University of Agriculture and Technology의 Takashi Toyoda 교수를 초청하여 짂행될 예정입니다. 이번 국제학술대회에서는 식품안전과 식량안보, 농식품 국제 소비자 시장, 식품공급사슬의 마케팅과 관리, 농식품 산업의 글로벌화에 대해 논의하고자 합니다. 학계 및 유관기관 여러분들이 본 학술대회에 참여해주시면 더욱 뜻깊은 자리가 될 수 있을 것입니다. 급변하는 홖경 속에서 식품산업의 지속적이고 발전적인 연구를 위하여 관심 있는 분들의 많은 참여를 부탁드립니다.
2013. 11
핚국식품경제연구소(KIFE) 연구책임자 김보영
2013-11-13
1
LOGO
Internationalization Strategies of Korean Retailers:Challenges & Opportunities in China
CASE: Lotte Group-Lotte Department Store & E-mart
Chao Yan
Table of Contents
2
1
2
3
4
Background
Objective
Content
Method
5 Result & Implications
2013-11-13
2
Background
ü Because of rapid economic growth of China, we can see ChineseMarket is very important. Today many foreign companies enter theChinese market.
ü Especially, FTA between China and South Korea has started atMay 2nd , 2012. Trade between China and South Korea have beenactively conducted.
ü Because of this, Many South Korean retailers(E-mart, LotteGroup-Lotte Department Store) entered the Chinese market spread,but eventually failed with the big loss.
3
Objective
ü Through the analysis of reason of the failure in Chinesemarket, we have an important objective that how to makefuture management methods and differentiated strategies forKorean companies in Chinese market.
4
2013-11-13
3
Content
ü The analysis of reason of the failure for Korean retailers(E-mart, Lotte Group-Lotte Department Store) in Chinese market
ü Through the analysis of the reason of the failure, we will find away that how to make future management methods anddifferentiated strategies for Korean companies in Chinesemarket.
5
Method
üLiterature
üNews
ü SNS
6
2013-11-13
4
Result & Implications-The history of entering into the Chinese market
Lotte Department Store E-mart
1997 Opening (Shanghai)
2006 Establishment (Beijing)
2005 Opening (Tianjing)
2008 Opening (Beijing) Opening (Beijing)
2009 Number of Stores (21)
2011 Opening (Tianjing)
2012 Complex cultural facility e.g. cinema, book store (Tianjing)
2013 Opening (Weihai/Qingdao)7
Result & Implications-The reason of the failure in Chinese market(Lotte Group & E-mart)
Lotte Group E-mart
The reason
of the failure
Select the wrong geographical position Select the wrong geographical position
The conflict with a partner Lack of understanding of Chinese culture and consumers caused conflict
Lack of localizationLow awareness about the brand Lack of localization
Unsuitable entry time Unsuitable entry time
DamageSince Aug.2008: 172 billion(won)
2009/2010/2011: 345 billion, 366 billion, 281 billion(won)
Until 2011, total damage: 952 billion(won)2011, 11 stores closed
Now, 16 stores opening8
2013-11-13
5
Result & Implications-Future strategies & Positions
Lotte Group E-mart
Localization strategy Localization strategy
Sole investmentIndependent Sales Recruit Chinese staff
Customized strategies for each location
Customized strategies for each location
9
LOGO
Wal-Mart vs Carrefour(China)
Karimov Navruz
2013-11-13
6
Wal-Mart
- Founder: Sam Walton
- 1st store was opened in 1962
- by 1990th it became number 1 in USA
- Headquartered in Bentonville, Arkansas, US
Carrefour
- Founded in 1958 by Marcel, Denis & Jacques
- Georges Plassat (Chairman & CEO)
- Headquarters: Boulogne Billancourt, Farnce11
–Wal-Mart #1 Carrefour #2
- Over 8,500 stores in 20 countries (mostly in the US) - Over 10,000 stores in more than 30 countries
- Roughly 2.2 million employees worldwide - Around 500, 000 employees
- Revenue $469.162 billion as of 2013 - Revenue €76.127 billion (2012)
- Net income in 2013, $16,999 billion - Profit €1.233 billion (2012)
Global Leaders in Retail Group
12
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7
–
Kantar retail top 5 global retailers
13
–o Wal-Mart entered China in 1996, Carrefour in 1995
o 1/5 population of the world
- (rise of middle class family)
o Growing urban population
o The World’s #2 economy
- (India is just the next door)
Why China?
14
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8
–
15
–v Wal-Mart is believed to have around 400 stores in china
- ( another 110 is expected by 2016); & 100,000 employees
§ Types of stores: Supercenters, Neighbor-hood Markets
and Sam’s clubs
v Carrefour has around 210 stores in china
§ Type of stores: Hypermarkets (mostly)
- Approximately 60, 000 employees
Wal-Mart & Carrefour in China
16
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9
–Market Share
Others78%
Carrefour5.1% CR Vanguard
6.6%
Wal-Mart8.1%
Trust-Mart2.2%
17
–
SWOT analysis
Wal-Mart Carrefour
- #1 in terms of revenue & # of stores- Yihaodian is owned by Wal-Mart - Competence in IT
- Too localized(easy to copy)
- Lack of stores in big cities - Labor related lawsuits
- E-commerce is growing rapidly - Growing urban population
- Competitors (local) - A mixture of Guanxi& Confucianism - Government policies
- Centralization working- 1st Western entrants (regarded as the most favorable foreign operator)
- Slow progress in opening units - Lack of branded-goods on the shelves
- Development of Supermarkets and discount stores in larger cities
Competitors:- Wal-Mart & Tesco (as well as local players)- Policy changes by central/local governments
18
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10
–q Wal-Mart has done a tremendous job by buying the giant online
website “Yihaodian” Why?
• Online shopping is expected to triple by 2015 in China• By opening more stores the Giant is planning to further strengthen its position
in the Chinese retail market
q Carrefour
• Already lost its market share
• Competitors are taking over (mostly locals)
• Focusing too much on Taiwan, as it holds almost 50% of the market
FACTS
19
LOGO
Case studies: Unsuccessful marketing attempts of Korean food
corporations in China
Yoon Jung min
2013-11-13
11
Research goal
❖To analyse Korean food enterprises’ common factors to success and failure
❖To study the essential marketing strategies for penetrating into Chinese market after China-Korea FTA agreement
Today’s focus
Case studies: Unsuccessful marketing attempts of Korean food
corporations in China
Case 1: Samyang
Case 2: Ottugi
2013-11-13
12
Case 1: Samyang - Marketing Strategy
❖Chosen ‘Qingdao, Shandong’ as the location for their business extension
▪ High quality agricultural products ▪ Cheap labour force ▪ Similar climatic condition as Korea▪ Habor city - Geographically close to Korea▪ Great support of Chinese government for business in
processing agricultural products
Case 1: Samyang- factors to failure
❖Samyang’s internal management crisis
▪ The ‘beef tallow shock’• Media reported that Samyang used industrial-
purpose beef tallow, instead of edible vegetable tallow
• Samyang discontinued ramen sales • A huge damage to Samyang’s image• Samyang scored 10% (approx.) in Korean market
share Resulted in hardship to their business in China
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13
Case 1: Samyang- factors to failure
❖No cooperative relationship with the partner ▪ Delay in decision▪ Marketing conflicts due to the partner’s financial
condition
❖Market research was not executed thoroughly. ▪ Product’s uniqueness and competitiveness was
comparatively insufficient▪ Unable to establish their independent marketing
plan.
Case 2: Ottugi - Marketing Strategy❖Established a collaborative company in
lianyunjiang(连云江), Jiangsusheng(江苏省)
❖Judged that the collaborative partner ‘Liangshiju’ is a well-known, national enterprise and have ensured the local distribution network
▪ Converted name of 진라면(Jin ramen) to ‘金拉面’ for market branding
▪ Established a supplementary business of ‘dried agricultural products’ to assist ramen production and distribution in China
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Case 2: Ottugi - Factors to failure
❖Due to the continuous sales slump and manufacturing cost, the collaborative company gave up on Ramen business ▪ Changed the direction of business to ‘dried agricultural
products’
❖Lack of knowledge about Chinese market ▪ Production-orientated, rather than customer-
orientated▪ misinterpretation of Chinese customers
Case 2: Ottugi - Factors to failure
❖Insufficient pre-investigation of the target location ▪ As 连云港(lianyunjiang) is an agricultural city, the economic
status was relatively low • Did not consider the consumer’s economic status and market
circumstance
❖Insufficient marketing competence in Chinese market▪ Employed Chinese staffs in Korea for advertising and
marketing▪ Dispatched to China’s main cities, but was unsuccessful due
to anti-foreignism
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Common factors of the both companies
❖B2C Marketing perspective Lack of proper China market investigation▪ Conditions of location▪ Thoroughgoing consumer’s purchase pattern
research❖Partner relationship perspective
▪ Ability of handling financial conditions (related with insolvent enterprise)
▪ Experience of distribution▪ Trust and Credit
Further research direction
❖Complete analysis of the factors to success and failure
▪ SWOT analysis of Korean food enterprises that based on these factors is needed.
❖Sufficient investigation of China’s unique business environment/background
▪ investigate the moderating variables to maintain the long-term relationship between Korean-Chinese enterprises.
2013-11-13
16
REFERENCE
❖[네이버지식백과] 삼양식품 [Samyang Foods Co., Ltd., 三養食品] (기업사전, 2011.8.5, 굿모닝미디어)❖서전량(2011)한국 식품 업체의 중국 시장 진출방안에 관한 연구 원광대학교 석사학위청구논문
LOGO
Modeling Consumer choice behavior for bottled water
Yoon Dong Hyun
2013-11-13
17
Contents
1
2
3
4
Introduction
Research Objective
Research Design
Expected Output
33
5 Future Plan
Introduction
vKorean bottled water market
uLawmakers allowed to produce bottled water from 1994uSales revenues for Korean bottled market in 2012 were \500
billion(A.C. Nielsen Retail Index)uOver 70 producers own more than 100 brandsuUnder top 4 producers take less than 2% of market share eachuKwang Dong PharmaceuticaluHaitai BeverageuNongshimuLotte Chilsung Beverage
34
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Research Obectives
v Research Objectives
uAdvertising expenditures for the entire water industry totals $48 million in 2010(BMC, Beverage Marketing Corporation)
uCompare to Carbonated soft drinks’ $477 mil, Energy drinks’ $132 mil, and Fruit Beverages’ $361 mil
uNeed research to find the attributes to brand equity in bottled market to support marketing strategy
uExtract attributes that consumers concern about brandsuDetermine the trade-offs consumers are making between
various brand attributes, and the importance consumers are attaching to attributes
35
Research Design
vPrevious study
36
Article Product Attributes
Green and Wind (1975) Spot-remover Product Package design, Brand name, price, Good housekeeping seal, money-back guarantee
Kim Gyun Woo (1995) Soft Drinks Taste, Package, Price,Benefit
Heo Young Ji, Ko Jae Youn (2012)
Premium bottled water Taste, Origin source of water, region, container,
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Research Design
vAttributes
u Tasteu Distribution Channelu Brandu Place of Originu Price
37
Research Design
vTaste
uSurvey from The U.S. Environmental protection Agency in 2003 indicates top 3 reasons for drinking bottled water. Health care, Taste and convenience
uPleasant, Pure, Natural, RefreshinguAdjectives which are frequently used in the marketing of
bottled water (D. Wells, 2005)
38
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Research Design
vDistribution channel
uConsumer behavior differentiate as distribution channel changeuShopping for groceries online requires a significant change in
behavior (Hansen, 2005)uOnline shoppers forfeit the social interaction of offline
shopping and the potential to evaluate groceries prior to purchase (Hand et al., 2008)
uDistribution channels: Online, Supermarket, Convenience store, Mom & Pop store
39
Research Design
vBrand
uUnder top 4 producers take less than 2% of market share per each company
uRepresentative brand for top 4 producers are:u Icis(Lotte), Peongchangsoo(Haitai), Baecksansoo(Nongshim)
and Jeju Samdasoo(KwangDong)
40
2013-11-13
21
Research Design
vPlace-of-Origin
uPlace of origin is a key factor for bottled water marketinguConsumer’s experience demographic characteristics are
effective factors on brand evaluations (Festervand et al., 1985)u Jeju Samdasoo: ‘Natural Jeju water’ marketinguBacksansoo: BaekdusanuPyoungchangsoo: Pyoungchangu Icis: New product ‘Icis DMZ’
41
Research Design
vPrice
42
Convenie-nce store
Supermarket Mum & Pops Online
Samdasu 850 320-390 450-700 387
Icis 700 300-410 350-700 300
Pyoungchangsoo 600 380 380-600 312
Backsansoo 700 500 350-700 610
Source: Korea Consumer Agency
2013-11-13
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Future Plan
vExamining the effect of attributes on consumers’ choice behavior
vDevelop a model of Korean Consumer preference for bottled water by applying conjoint analysis
vMore Literature review is necessary
43
LOGO
Attitudes and Purchase intention
towards the Use of GMOs
SONG NI EUN
2013-11-13
23
Contents
1. Research objective1. Research objective
2. Research method2. Research method
3. Result3. Result
4. Summary & Implication4. Summary & Implication
45
1. Research objective
GMO purchase intention & reasonGMO purchase intention & reason
GMO problem & solutionGMO problem & solution
Information acquisition channel & Evaluation of GMO informationInformation acquisition channel
& Evaluation of GMO information
Interest about GMO & Participation intention for GMO policy
Interest about GMO & Participation intention for GMO policy
Suggestions for GMO policy and communication
Suggestions for GMO policy and communication
46
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2. Research method
ScienceReporter
(20 people)
ScienceReporter
(20 people)
GeneralReporter
(22 people)
GeneralReporter
(22 people)
Consumer(238
people)
Consumer(238
people)
FGI& Survey
FGI& Survey Survey Survey
47
3-1. Result : GMO purchase intention
will you buy tofu if it is marked GM soya on it?
yes
no
Science reporter
ConsumerGeneral reporter
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3-2. Reason to buy
If you buy, what is a reason?
SR
CS
GR
GMOis Similar
with Breeding
GM Foodis Similar
with general food
Microbial & chemical
contaminationare more serious
than GMO
The problem didn’t appear
in previous experience
49
3-3. Reason not to buy
If you do not buy, what is a reason?
SR
CS
GR
Consumers’ vague anxiety
Not know well
EU’sopposition
Impact of opposition
groupsin Korea
Lack ofsafety
verification
Not believe GMO
50
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4-1. GMO problem
What do you think the biggest problem is with GMO?
SR
CS GR
Safetyfor human body
Ethical Issues Religious beliefs
Environmental issues
consumers’ vague anxietyConsumers’
vague anxietyLack of validation
method
51
4-2. GMO solution
If GMO was a world-wide trend, what would be the first thing to be resolved?
SR
CS GR
Enhanced safety verification
Correct informationprovision
Legal monitoring Verificationmethod
Development
52
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5-1. GMO information acquisition channel
Where do you get the information about GMO?
SR
CS GR
TV Internet Newspapers Experts Magazine
53
5-2. Evaluation for GMO information
Government provide all the GMO information to the public.
SR
CS GR
Entirely disagree Disagree Agree Entirely agreeAverage
54
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6-1. Interest about GMO
How much interest do you have about GMO?
SR
CS GR
Entirely disagree Disagree Agree Entirely agreeAverage
55
6-2. Participation intention for GMO policy
Would you like to participate in decision-making process?’
SR
CS GR
Entirely disagree Disagree Agree Entirely agreeAverage
56
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7. Summary & Implication
Science reporter General reporter Consumer
Problemconsumers’ vague
anxietysafety of the human body
safety of the human body
Solutioncorrect
informationenhanced safety
verificationenhanced safety
verification
Informationacquisition
newspapers newspapers internet
Purchasereason
GM Foodis similar
with general food
GM Foodis similar
with general food, breeding
the problem didn’t appearin previous experience
57
7. Summary & Implication
General reporter is sometimes similar to science reporter and sometimes similar to consumer
General reporter is sometimes similar to science reporter and sometimes similar to consumer
Government should reinforce safety verificationand provide sufficient and correct informationGovernment should reinforce safety verificationand provide sufficient and correct information
Most consumers mainly get GMO information on the internet,government should manage on-line media
Most consumers mainly get GMO information on the internet,government should manage on-line media
When the government provides GMO information,using consumers’ experience will be effective
When the government provides GMO information,using consumers’ experience will be effective
58
2013-11-13
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LOGO
Study on Enhancement of Risk Communication
among Central & Municipal governments and Media
for food Safety Management Issues
Han Kanghee
BRIEF CONTENTS
1. Objective of research
2. The difference of view point between reporters and science journalists
3. Viewpoint difference between media and government
4. Future research plans
5. An Expected outcome
6. Implications of research
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1. Objective of research
Consumerdistrust
Lack of knowledge
Exaggerate report of the media
Lack of communication
among the government
Government, Local government and MediaStudy on Risk Communication for successful
communication
61
Food negligent accident
2. The difference of view point between reporters and science journalists
1) If you do not have intent to buy GM food, what is the reason?
•Reporter : Indefinite anxiety
•Science journalist : Cannot trust gene recombination technology
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• Tendency that they do not know about GM food like normal consumer
• More specific opinion about GM Tech
63
2. The difference of view point between reporters and science journalists
Reporter Science Journalist
2. The difference of view point between reporters and science journalists
Difference between science journalist and reporter of their specialty knowledge
64
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33
2. The difference of view point between reporters and science journalists
2) If developing with GM food is global trend, what is the first thing to do in Korea?
• Reporter : Providing right information about GMO
• Science journalist : Reinforcement of GMO safety examination
65
2. The difference of view point between reporters and science journalists
• not only right info but Closer and friendly way to consumer
• Scientific way and focus on effect human body • Trust with GM tech
66
Reporter Science Journalist
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34
2. The difference of view point between reporters and science journalists
Difference how to approach about GM technology
67
2. The difference of view point between reporters and science journalists
3) What is the source of information about GMO food?
• Reporter : Mass media
• Science journalist : Mass mediaScience Journals
68
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2. The difference of view point between reporters and science journalists
• Tend to rely on mass media
• Mass media and science journal
69
Reporter Science Journalist
2. The difference of view point between reporters and science journalists
Science journalist have high level knowledge of food risk
70
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3. Viewpoint difference between media and government
In terms of risk communication,
having strong power of influence
71
3. Viewpoint difference between media and government
SNS(social networking service)
72
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Aspect of SNS and Blog
G : Working hard to make SNS
R : Very hard to find information
3. Viewpoint difference between media and government
73
Reporter(R) Government(G)
Aspect of SNS promotion
G: Each department are making smartphoneapplication
R: Just making SNS is childish mind and do something
3. Viewpoint difference between media and government
74
Reporter(R) Government(G)
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3. Viewpoint difference between media and government
What each wants
G: Promote our SNS instead of us
R: Request clear information
75
Reporter(R) Government(G)
4. Expected Outcome
vBetween government and media can do effective Risk communication
vSuggest several solutions
76
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5. Future Research Plans
More steps
•About Risk communication in Korea, Japan, China, North America and Europe
•Food Crisis Manangement system in Korea, Japan, China, North America and Europe
•Successful case study
77
5. Future Research Plans
Next paper will be
• Korea-China FTA crisis management system
• What is the implication of future in Korea-China FTA? (Especially agriculture food)
• What difference Inbound VS Outbound?
78