장기지향성에 대한 시장반응

김경태,노희천 대한경영학회 2019 大韓經營學會誌 Vol.32 No.3

This study demonstrates how long-term orientation of firm is valued in the capital market. The long-term orientation is a tendency to focus on the effectiveness of strategies in terms of sustainability, and long-term-oriented firms are either interested in establishing relationships among their partner companies or have a lot of R&D investment. Although long-term orientation is related to the stable and sustained growth pursued by the entity, it can be said to be subject to empirical analysis of how long-term orientation will be assessed in the market in that it shows short-term basis orientation due to a given management environment. This study introduces four long-term orientation variables. First, this paper introduces capital expenditures(LTO_A) as the long-term orientation. The increase in tangible assets and intangible assets is divided by total assets. Second, this study introduces R&D intensity(LTO_R) as the long-term orientation. R&D expense is divided by total assets. Third, this study introduces the increase of employee(LTO_R) as the long-term orientation. This study subtracts the last year’s number of employees(employees numbert-1) from the current year’s number of employees(employees numbert) and scales by the last year’s number of employees(employees numbert-1). fourth, this study introduces the owner-managed firm(LTO_O) as the long-term orientation. If the firms is restricted on mutual investment, dummy variable set to 1, and 0 otherwise. In this study, market response is measured as Tobin’s Q. The results of this study are as follows. First, the long-term orientation measured in four ways positively correlated with firm value. It also showed that the relationship between the long-term orientation of the current term and the next firm value is positive. Thus, it can be interpreted that long-term orientation is assessed on average positively in the capital market. Second, the market assessment of long-term orientation has been structurally modified because of the effect of introducing K-IFRS. As K-IFRS increase the reliability of accounting information, the long-term orientation of the measured facility investment and research and development views were assessed more positively in the capital market, particularly after the introduction of K-IFRS. This study contributes to the direct empirical analysis of long-term orientation in conjunction with the firm value that it is assessed in the capital market. It is also differentiated from previous research in that it shows that time differences may exist when assessing long-term orientation in the capital market. It is believed that long-term orientation is an attribute pursued by the firm, but because there exists a risk of information asymmetry, it reacts immediately to long-term orientation in the market and reflects additional time lag in the firm value. In addition, this study suggested that the pattern evaluated in the capital market may change structurally depending on how long-term orientation is measured. There is a contribution to demonstrate indirectly the positive effects of introducing K-IFRS by analyzing that the measurement of accounting long-term orientation is more important in the equity market. 본 연구는 기업의 장기지향성(long-term orientation)이 자본시장에서 어떻게 평가되는지를 실증분석 한다. 기업의 장기지향성은 지속가능성 측면에서 전략의 효과성에 초점을 두는 성향으로, 장기지향적인 기업은 협력기업 간의 관계 구축에 관심이 많거나 연구개발 투자를 많이 한다. 장기지향성은 기업이 추구하는 안정적이고지속적인 성장과 연관성이 있지만, 실제 의사결정 시에는 많은 경우에 주어진 경영환경으로 인하여 단기지향성을 보이기도 한다. 이러한 면에서 장기지향성이 시장에서 어떻게 평가될지는 실증분석의 대상이라고 할 수있다. 본 연구의 결과를 다음과 같다. 첫째 4가지 방식으로 측정한 장기지향성은 기업가치와 양(+)의 상관성을나타냈다. 또한 당기 장기지향성과 차기 기업가치 간에도 양(+)의 관계를 보여주었다. 따라서 장기지향성은자본시장에서 평균적으로는 긍정적으로 평가된다고 해석할 수 있다. 둘째 장기지향성의 시장평가는 구조적으로 변화된 양상을 보이는데 그 이유는 한국채택국제회계기준 도입의 효과로 판단된다. 한국채택국제회계기준은 회계정보의 신뢰성을 증대시키므로 특히 회계적으로 측정한 설비투자관점과 연구개발관점의 장기지향성이한국채택국제회계기준 도입 후에 자본시장에서 더 긍정적으로 평가되는 결과를 보여주었다. 본 연구는 장기지향성이 자본시장에서 평가됨을 기업가치와 연계하여 직접적으로 실증분석하고, 장기지향성의 자본시장 평가에 있어서 시차가 존재할 수 있음을 보여준다는 점에서 선행연구와 차별성을 가진다. 장기지향성은 기업이 추구하는 속성이지만 정보비대칭의 위험성이 존재하기 때문에 시장에서 장기지향성에 대하여즉각적으로 반응함과 동시에 시차를 두고 추가적으로 기업가치에 반영한다고 판단된다. 또한 본 연구는 장기지향성을 측정하는 방식에 따라 자본시장에서 평가되는 양상이 구조적으로 변할 수 있음을 제시하였다. 한국채택국제회계기준 도입으로 인하여 회계적으로 측정한 장기지향성 정보가 자본시장에서 더 중요하게 반영된다는점을 실증 분석하여 한국채택국제회계기준 도입의 긍정적인 효과를 간접적으로 입증한다는 면에서 공헌점이있다.

장기지향성에 대한 시장반응과 소유지배괴리도

김경태,노희천 한국세무학회 2020 세무와 회계저널 Vol.21 No.4

The purpose of this study is to suggest that uncertainties inherent in long-term orientation(LTO) may be assessed differently in the capital market depending on corporate governance. In particular, we would like to see how the nature of management protection that may exist in the ownership governance structure can affect long-term orientation. LTO refers to the tendency of an entity to pursue strategically in order to continue to grow. A long-term oriented entity cannot be determined to be highly valued in the capital market. Since there may be differences in the extent to which long-term orientation is reflected in corporate value due to the uncertainty that exists in LTOs, it is necessary to empirically identify how differences arise depending on the degree of corporate governance in the process of long-term orientation being evaluated in the capital market. In the preceding study, corporate governance is a measure used in terms of agency costs. In this study, a hypothesis is established by considering the nature of dual class stock in which corporate governance is utilized to protect management rights. Differential voting rights holders have priority rights in their voting rights, so management rights can be considered protected. The results of this study are summarized as follows. As a result of the market response to long-term orientation, the entity's business value for the facility investment perspective(LTO_A) and research and development perspective(LTO_R) was assessed higher than that for the entities in the large business group. This can be interpreted as a result of the greater protection of managerial control of large business groups in respect of uncertainties in facility investment and research and development. Next, a separate empirical analysis of cases in which the nature of the agency’s cost of ownership is severe showed that there is no difference in the effectiveness of the market response to LTO, even if the ownership governance is large, compared to the other cases. These results can be interpreted that the nature of management protection plays a greater role than the problem of agent costs that may exist in the ownership governance structure. It also demonstrated that the market response to LTO is assessed in the capital market from a long-term perspective rather than a short-term assessment, while also providing a supplement to the uncertainty that management rights protection due to ownership governance may exist in long-term orientation. This study has the following additional contributions relative to the preceding study:First, it can be confirmed that the long-term orientation required for an entity to continue to grow is assessed differently in the capital market by its ownership governance. Second, unlike prior research, it empirically suggests that ownership governance is understood in the capital market as a management protection perspective. Third, sensitivity analysis shows that market responses to long-term orientation can be reflected in the long-term capital market. 본 연구의 목적은 장기지향성에 내재된 불확실성이 소유지배괴리도에 따라 자본시장에서 다르게 평가될 수 있음을 제시하는데 있다. 장기지향성에 존재하는 불확실성으로 기업가치에 반영되는 정도에 차이가 존재하므로, 장기지향적인 기업이 자본시장에서 기업가치가 높게 평가받는다고 단정할 수 없다. 따라서 장기지향성이 자본시장에서 평가받는 과정에서 소유지배괴리도에 따라 어떤 차이가 나타나는지 실증적으로 확인할 필요가 있다. 선행연구에서 소유지배괴리도는 대리인비용 관점에서 활용되는 측정치이다. 본 연구에서는 소유지배괴리도가 차등의결권주(dual class stock)의 속성으로 인하여 경영권보호에 활용되는 속성도 함께 고려하여 가설을 설정한다. 차등의결권주는 의결권에 있어서 우선적인 권리를 갖게 되므로 경영권이 보호된다고 볼 수 있다. 본 연구의 결과를 요약하면 다음과 같다. 장기지향성에 대한 시장반응과 관련한 실증결과, 설비투자관점(LTO_A)과 연구개발관점(LTO_R)에 대해서 대규모기업집단에 속한 기업에서 그렇지 않은 경우보다 더 높게 기업가치가 평가되었다. 다음으로 소유지배괴리도의 대리인비용 속성이 심각한 경우를 구분하여 실증분석한 결과, 장기지향성에 대한 시장반응에 있어서 소유지배괴리도가 크더라도 그렇지 않은 경우와 비교할 때, 효과는 차이가 없음을 보여주었다. 또한 장기지향성에 대한 시장반응이 단기간에 걸친 평가가 아니라 장기적인 관점에서 자본시장에서 평가됨을 보여줌과 동시에 소유지배괴리도로 인한 경영권보호가 장기지향성에 존재할 수 있는 불확실성을 보완해 주는 결과를 제시하였다. 본 연구는 다음과 같은 추가적인 공헌점이 있다. 첫째, 기업이 장기지향성이 소유지배괴리도에 의하여 자본시장에서 다르게 평가됨을 확인할 수 있다. 둘째, 선행연구와 달리, 소유지배괴리도가 자본시장에서 경영권보호 관점으로 이해되고 있음을 실증적으로 제시한다. 셋째, 장기지향성에 대한 시장반응이 자본시장에서 장기적으로 반영될 수 있음을 보여준다.

The Relation among Brand Value, Relationship Value, Market Orientation and Performance in B2B

Seung-Hwan Park,Sang-Seol Han 한국유통과학회 2018 The Journal of Industrial Distribution & Business( Vol.9 No.9

Purpose - The focus of this study is to investigate the structural influences such as brand value, relationship value, market orientation, long-term orientation, and performance. The effects of brand value and relationship value on the differences on transaction performance in b2b was investigated. Research design, data, and methodology - The subject of this study was a liquor and beverage distribution company that deals in b2b. The research hypothesis is based on literature of the preceding research analysis of brand value, relationship value, market orientation and long-term orientation. This study has constructs that was defined operationally by referencing previous studies. Operational questionnaire was used to investigate the target key staff who work in the liquor and beverage distribution company. 178 survey data were used for empirical analysis to prove the hypothesis. This study used structural equation techniques(AMOS) to prove the research hypothesis. Results – The main results of this empirical study were as follows. First, supplier’s brand awareness has a positive effect on market orientation, but did not affect long-term orientation. Brand awareness of suppliers indicates that they are not directly related to long-term orientation. Second, supplier’s brand image has a positive effect on market orientation and long-term orientation in b2b transaction. So, the brand image and reputation of the supplier suggest that it is important for the b2b transaction to have a market orientation tendency or a long-term orientation. Third, supplier’s relationship value has a positive effect on long-term orientation, but does not affect market orientation. Relationship value indicates that they are not directly related to market orientations of the buyer. Fourth, Market orientation has a positive effect on long-term orientation and marketing performance and long-term orientation has a positive effect on marketing performance in b2b. Additionally, the buyers market and long term orientation are important factors in marketing performance in b2b. ’ Conclusions – Based on empirical results, this study confirmed that brand image rather than brand awareness positively influenced long-term orientation as well as market orientation in b2b. Relationship value can be found in transactions, which is important for long-term orientation. Especially, these findings are suggestive in the consumer goods distribution market.

경쟁 시장 환경이 장기적 성과 지향 전략의 수익 극대화에 미치는 영향

송태호(Song, Tae Ho),김상용(Kim, Sang Yong) 한국마케팅학회 2019 마케팅연구 Vol.34 No.1

본 연구는 게임 이론적 모형의 분석을 통해 장기적 성과 지향 전략과 단기적 성과 지향 전략의 경쟁 우위 관계와 그 원인에 대해 조사하였다. 이를 위해 본 연구에서는 동일한 시장(잠재 고객을 포함한 동일 고객 집단)을 대상으로 복점 기업들(기업 1과 기업2)이 연속하는 두 기간 동안의 고객 획득 노력과 고객 유지 노력의 경쟁을 동시에 모형화 하였다. 분석 결과 단기적 성과 지향 전략의 장기 수익은 경쟁 상황에서 역설적으로 장기적 성과 지향전략의 장기 수익보다 더 클 수 있음을 보여 주었다. 본 연구는 이 역설적 상황의 원인으로 장기적 성과 지향 전략의 밑바탕이라 할 수 있는 고객관계가 발전되는 상황, 특히 고객 수익성이나 고객 선호도의 증가가 큰 상황에서 역설적으로 발생할 수 있는 장기적 성과 지향 전략의 장기 수익의 악화 가능성을 지목하였다. 따라서, 기업들은 장기적 성과 지향 전략의 경쟁 상황에서는 고객 수익성의 증가가 크거나 고객 선호도의 향상이 클 경우, 미래고객의 수익성을 지나치게 긍정적으로 예측하여 과도한 고객 획득 비용을 투자하게 되어, 결국에는 기업의 장기 수익성을 악화시킬 가능성이 높다. 본 연구는 고객관계관리를 고려한 장기적 성과 지향 전략과 단기적 성과 지향 전략의 비교를 통해, 장기적 성과 지향 전략이 미래에 대한 낙관적 예측으로 인한 과잉 투자의 가능성과 그로 인한 수익 악화의 가능성을 제시하였고, 동시에 장기적 성과 지향 전략의 단점과 그 원인을 게임 이론적 모형을 통해 구체적으로 조사하였다는데 그 의의가 있다. This study investigates the competitiveness of long-term orientation strategy compared to short-term orientation strategy, and its causes by analyzing game theoretical model. For this purpose, this study simultaneously modeled the competition between customer acquisition efforts and customer retention efforts for two consecutive periods of duopoly firms (firm 1 and firm 2) in the same market (same customer group including potential customers). The results show that the long-term profits of short-term orientation strategies can be paradoxically greater than those of long-term orientation strategies. This study pointed out that the long-term profits of the long-term orientation strategy could be worsen paradoxically when customer relationship was developed and customer profitability increased or customer preference increased. Therefore, in the competitive situation if the increase of customer profitability and the improvement of customer"s preference are large, the profitability of future customers in the customer relationship is excessively optimistically predicted, acquiring customers are overly invested, and finally the long-term profitability is likely to deteriorate. This study suggests that the long orientation strategy tends to invest heavily in customer relationship management and diminish of long-term profit of long-term orientation strategy due to the optimistic prediction of the future profitability through the comparison of long-term orientation strategy with short-term orientation strategy considering customer relationship management. It is meaningful that this study investigated the disadvantages of the long-term orientation strategy and its causes through the game theoretical model.

B2B 거래에서 공정성 인식, 브랜드자산 가치, 신뢰, 관계몰입과 장기지향성의 관계

임덕순 한국유통과학회 2017 유통과학연구 Vol.15 No.1

Purpose - This study focuses on long-term orientation that can lead long-term partnership. A long-term orientation needs a trust and relation commitment between company. So in this study, the researcher conducts a dependent variable as a justice recognition and brand asset value to research model to find out casual relationship among quoted factors. Research design, data, and methodology - The focus of this study was employees who work in a liquor distribution company to figure out factors that effect on long-term relationship in b2b transaction. The development of the research model is based on the literature of the preceding research analysis of justice recognition, brand asset value, trust, relation commitment and long-term orientation. This study have constructs that defined operationally by previous studies, research model design that to figuring casual relationships among the quoted factors. From 2016 Sep. 1st to Oct. 30th, a questionnaire survey was conducted targeting employees who work in liquor distribution company. 176 survey data were used for empirical analysis to prove the research hypotheses. Results – The main results of this study’s empirical methodology were as follows. First, procedural justice and interactive justice has a positive significant effect on trust and relation commitment. Also brand image, brand awareness and perceived quality has a positive significant effect on trust and relation commitment. Second, trust and relation commitment has a positive significant effect on long-term orientation. Every hypothesis adopted as the researcher designed for empirical study. Conclusions – Based on empirical results, this study confirmed that trust and relation commitment has empirical relationship with long-term orientation. Based on the analysis, the researcher provided managerial implication by setting 2 way path for making long-term orientation with business company. First path is procedural justice to relation commitment. It contains that procedural justice recognised while business transaction execution, consideration intension and relation development will happen in b2b. Second path is perceived quality to trust. It contains that the perceived quality recognised while business transaction execution, trust will increase rapidly. So when a business company wants to make a partnership, they have to consider procedural justice and perceived quality to make a long-term relationship.

대학생들의 경험적 가치가 브랜드이미지와 고객만족을 매개로 장기지향성에 미치는 영향

김선아,박지은,박송춘 한국상업교육학회 2019 상업교육연구 Vol.33 No.3

본 연구에서는 브랜드 커피전문점을 이용하는 대학생들의 커피전문점을 이용하는 경험적 가치가 무엇이며, 커피전문점과의 관계지향적 측면에서 장기지향성에 어떠한 영향을 미치는지 그 인과관계 를 파악하는데 주목적을 두었다. 본 연구에서는 전남지역의 대학생 356명을 대상으로 설문조사를 실시하고 선행연구를 바탕으로 구조방정식 모형을 도출하여 실증분석하였다. 분석결과 첫째, 경험적 가치 중 유희성, 유익성, 서비스우수성은 브랜드이미지에 유의한 영향을 주는 것으로 나타났다. 둘째, 경험적 가치 중 유희성과 서비스우수성이 고객만족에 유의한 영향을 주는 것으로 나타났다. 셋째, 경험적 가치 중 유희성과 유익성이 장기지향성에 유의한 영향을 미치 는 것으로 나타났다. 넷째, 브랜드 이미지는 장기지향성에 영향을 주지 않는 것으로 나타났다. 다섯 째, 고객만족은 장기지향성에 영향을 주는 것으로 나타났다. 여섯 번째 브랜드이미지는 고객만족에 유의한 영향을 주는 것으로 나타났다. 그리고, 매개효과를 살펴보았을 때, 브랜드 이미지가 장기지향성에 영향을 주지 않아 경험적 가 치와 장기지향성 사이에 브랜드 이미지는 매개효과가 없는 것으로 나타난 반면 고객만족은 고객의 경험적 가치와 장기지향성 사이에 유의한 영향을 주는 것으로 나타나 매개효과가 있음이 실증되었 다. 본 연구는 커피전문점을 이용하는 대학생들의 경험적 가치가 브랜드이미지와 고객만족을 통하여 장기지향성에 어떤 영향을 미치는지를 체계적으로 분석하여 그 관계를 검증하고자 하였다. 그리고 이러한 분석결과를 토대로 이론적 구조로 체계화하여 장기지향성에 영향을 미치는 요인들에 대한 이해를 넓히는 것에 의의가 있다. The main purpose of this study was to understand experiential values of university students who go to branded coffee shops and to grasp cause-and-effect relationships about how their experiential values had impacts on the long-term orientation of students who continuously want to go to them in relationship-oriented aspects. This study conducted surveys of 356 university students in Jeonnam region and analyzed the Structural Equation Modeling based on the previous study. The results of analysis were as follows. First, three experiential values, enjoyment and benefit and service excellence had a positive impact on the brand image. Second, enjoyment and service excellence had a positive impact on the customer satisfaction. Third, enjoyment and benefit had a positive impact on the long-term orientation. Fourth, the brand image hadn’t an impact on the long-term orientation. Fifth, the customer satisfaction had an impact on the long-term orientation. Sixth, the brand image had a positive impact on the customer satisfaction. Further, when mediating effects were examined, the brand image didn’t affect the long-term orientation. the study showed that the brand image between experiential values and long-term orientation didn’t have mediating effects. However, the study showed that the customer satisfaction had a positive impact on customers’ experiential values and long-term orientation. It was proven that there were mediating effects. This study systematically analyzed concepts on factors that experiential values affected the brand image and customer satisfaction and long-term orientation and verified their relationships and systematized theoretical structures. This study was significant because it contributed to the expansion of understanding on factors having impacts on the long-term orientation.

LONG-TERM STRATEGIC ORIENTATION IN MARKETING-DRIVEN ORGANIZATIONS: THE ROLE OF MARKETING ANALYTICS

Zabkar Vesna,Arslanagic-Kalajdzic Maja 글로벌지식마케팅경영학회 2014 Global Marketing Conference Vol.2014 No.7

The strategic orientation of a firm contributes positively to its business performance. However, there are still many unexplored facets of strategic orientation of a firm and its antecedents, thus preventing researchers and practitioners from fully understanding how this contribution takes place. Strategic orientation assumes corporate-level perspective, where differences in perspective can be expected between marketing-driven and finance-driven organizations. If strategic orientation is placed in the context of today’s Big Data era, marketing analytics becomes an increasingly important tool in shaping strategic orientation. Hence, this paper has two objectives: (1) to investigate how marketing-driven and finance-driven organizations achieve long-term strategic orientation and (2) to examine the role of marketing analytics for long-term strategic orientation. The participants in a quantitative survey were managers responsible for marketing from a cross-industry sample. The results indicate that marketing-driven organizations achieve long-term strategic orientation indirectly through marketing analytics. Finance-driven organizations are not significantly related to long-term strategic orientation. Authors confirm a positive relationship between long-term strategic orientation and business performance.

Analysis on Cultural Environment on Distributors Influence Strategies and Long-Term Orientation

Jong-Young Kim(김종영),Sang-Gu Kim(김상구),Chun-Su Lee(이춘수) 한국관세학회 2014 관세학회지 Vol.15 No.4

Long-term cooperative relationship between manufacturer and distributor is a source of competitiveness for firms striving to sustain corporate activities in an uncertain corporate environment and is of essential concept in distribution strategy. Since influence strategy is a core concept in study on coordination scheme in distribution channel, in-depth study on influence strategy is important not only for academic purposes but also for practical purposes. The purposes of this research are as follows. First, find out what influence strategy is used as level of uncertainty avoidance tendency gets higher. Second, what influence does higher level of uncertainty avoidance exert on long-term orientation. Third, what effect influence has on long-term orientation. Fourth, whether there are differences among Korea, U.S. and Japan in terms of uncertainty avoidance, influence strategy and long-term orientation. The study results propose following implications. Distributor’s non-coercive influence strategy had positive effect on long-term orientation in all three countries. In terms of channel relationship between manufacturer and distributor in Korea, higher the uncertainty avoidance tendency, distributor solved problems more promptly for the manufacturer. Korea’s distributors should be subject to non-coercive influence strategy of strategy suggestion, information service, discussions and others that will lead to long-term orientation.

Analysis on Cultural Environment on Distributors Influence Strategies and Long -Term Orientation - Focused on manufacturers in Korea, U.S., Japan -

김종영,김상구,이춘수 한국관세학회 2014 관세학회지 Vol.15 No.4

Long-term cooperative relationship between manufacturer and distributor is a source of competitivenessfor firms striving to sustain corporate activities in an uncertain corporate environment and is of essentialconcept in distribution strategy. Since influence strategy is a core concept in study on coordinationscheme in distribution channel, in-depth study on influence strategy is important not only for academicpurposes but also for practical purposes. The purposes of this research are as follows. First, find out whatinfluence strategy is used as level of uncertainty avoidance tendency gets higher. Second, what influencedoes higher level of uncertainty avoidance exert on long-term orientation. Third, what effect influence hason long-term orientation. Fourth, whether there are differences among Korea, U.S. and Japan in terms ofuncertainty avoidance, influence strategy and long-term orientation. The study results propose followingimplications. Distributor’s non-coercive influence strategy had positive effect on long-term orientation inall three countries. In terms of channel relationship between manufacturer and distributor in Korea,higher the uncertainty avoidance tendency, distributor solved problems more promptly for themanufacturer. Korea’s distributors should be subject to non-coercive influence strategy of strategysuggestion, information service, discussions and others that will lead to long-term orientation.

Determinant Factors of Service Orientation for Human Resources of Long Term Care Facility

Seong-Duck Lee,Yong-Cheol Hwang 한국유통과학회 2018 The Journal of Industrial Distribution & Business( Vol.9 No.10

Purpose - This study is to propose discriminative management strategies to long-term care facilities based on the empirical analysis after reviewing the effects of social support, perceived by long-term care facility employees, to service orientation. Research design, data, and Methodology - The research model designed social support, job stress, organizational commitment, and service orientation. The survey collected data from 453 customers in a long-term care facility in jeju. The SPSS 18.0 package was used for analysis. Results - First, social support for long-term care facility employees has a negative(-) effect to job stress. Test results, social support factors except appraisal support had a negative impact on job stress. Second, social support has a positive(+) effect to organizational commitment. Test results, informational support, tangible support and appraisal support had significant effects on organizational commitment. However, emotional support had a positive impact on affective commitment and normative commitment. Third, social support has a positive(+) effect to service orientation. Test results had a positive impact. Fourth, job stress has a negative(-) effect to organizational commitment. In the test results, employee's continuance commitment and normative commitment had significant negative effects in job stress. However, affective commitment had no significant impact. Fifth, job stress has a negative(-) effect to service orientation. Test results showed a negative impact. Conclusions - The study implies the following. First, that there should be a change in the social perception of long-term care facilities. 'Long-Term Care Insurance for The Elderly' was enacted to emphasize this responsibility for the elderly problems as a new system. Enactment of this Act was expected to improve the quality of life of the people by stabilizing the elderly life and reducing the burden of families. Therefore, long-term care facility system should be as efficient as possible for making plans for systematic and organizational support. Second, the efforts of facility managers to minimize job stress of employees is necessary. Accordingly, performing spontaneous work is required for a comfortable working environment and management. Third, the systematic education and training to employees for service oriented behavior of the facility will be required in the long term.