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오희장 ( O Hui Jang ),남병탁 ( Nam Byeong Tag ),박승동 ( Park Seung Dong ) 한국경제학회 2003 經濟學硏究 Vol.51 No.2
In the viepoints that corporate name is related to the business strategy, this study is to analyze the business performance associated with corporate name changes and to determine the factors that explain this relationship. The sample used in this research consists of 137 firms, during ten years from 1990 to 1999. The event study methodology is used for the research. The results of this study can be summarized as follows: First, the corporate name changes had a significant effect on the increasing rate of sales after one year. Second, the firm that changed corporate name as Korean language had higher rate of exports than the firm named as foreign language. Third, the business performance of the firm with corporate name changes was responded differently by the characteristics of the firms. Namely, the higher the increasing rate of advertising expense was, the higher increasing rate of sales. And the higher dabt ratio was, the lower increasing rate of sales. Corporate strategists we hope find the findings of this study useful.