Total Factor Productivity of the Korean Firms and Catching up with the Japanese Firms

Moosup Jung,Keun Lee,Kyoji Fukao 서울대학교 경제연구소 2008 Seoul journal of economics Vol.21 No.1

This paper measured the Total Factor Productivity (TFP) of all listed firms in Korea from 1984 to 2005 and compared this TFP of Korean firms with that of Japanese firms. This study used the chain-linked index number method developed by Good et al. (1999) to find that the average TFP of Korean firms grew about 44.1% between 1984 and 2005, with 2.1% annual growth rates. The catch-up index of Korean firms with Japanese firms is defined at an individual firm level for the first time among existing literature. Through this comparison analysis, the researchers found that there were four patterns of catching up methods practiced by Korean firms in closing in on the Japanese firms. These patterns were over catch-up, just catchup, under catch-up, and reverse catch-up." Furthermore, the researchers found that the number of under catch-up and reverse catch-up industries was more than 40% of the firms subjected in the study. In contrast, only 10.1% of all the Korean listed firms and 8.7% of total sales of all the listed firms surpassed Japanese firms in terms of TFP in 2004. Also, the catch-up performance was quite better in bigger firms, which is indicative of polarization in TFP catch-up performance.

A Study on the Global Start-ups/Employment Support Model Using ODA Projects

Moosup JUNG,Jin-Sup JUNG 한국유통과학회 2019 The Journal of Industrial Distribution & Business( Vol.10 No.10

Purpose – The purpose of this study was to explore the model that supports the recipient country by using the ODA (Official Development Assistance) project and at the same time fits the global start-up/employment support of donor country with CSV business model. Specifically, we wanted to examine the feasibility of the project based on the existing ODA projects. Research design, data, and methodology – As the methodology, case studies and interview were conducted as well as literature studies. The case analysis is based on a press release of the entire KOICA's ODA project, which has been implemented for one year, based on 2017. After consideration, the actual results and future feasibility were analyzed. The interviews were conducted on senior Korean officials and Indian officials involved in Vietnam's ODA project. Results - As a result, some of the project cases applied and analyzed according to the model of this study were judged to be highly potential. Based on the results of this analysis, as the model derived from this study pursues, the global business model is developed under the CSV (Creating Shared Value) strategy through ODA projects to support recipient countries and global start-up/employment support of donor country. The possibility of simultaneously pursuing this model based on CSV business model was also confirmed. Conclusions – In the past, free aid agencies like KOICA focused solely on supporting recipient countries, but in terms of sustainability, they could discover the potential of supporting the global start-up/employment of the donor country using CSV business model in ODA project. In this study, we tried to find the theoretical background and potential possibilities in some ODA projects based on CSV business model. As a result of the analysis of KOICA ODA projects in 2017 and interviews, some ODA projects could be used to improve the economic development of the recipient country as well as the global start-up/employment of the donor country. Therefore, it is necessary for the ministries of the government to promote ODA projects to understand the framework that achieves these two objectives simultaneously and to promote ODA projects based on various strategic considerations.

CSV를 활용한 신흥국 진출 전략

정무섭(Moosup Jung),표민찬(Min-Chan Pyo),정창영(ChangYoung Chung) 연세대학교 경영연구소 2013 연세경영연구 Vol.50 No.2

최근 양극화 문제가 심각해지면서 기업의 사회적 책임에 대한 관심과 요구가 높아지고 있다. 기업의 사회적 책임(CSR)은 단순히 국내시장의 사안만은 아니며, 저개발국이나 신흥국에 투자하는 외국기업들에게도 높은 수준의 CSR이 요구된다. 그러나 기업의 자선적책임 활동은 기업의 이익을 사회로 이전하는 선행에 불과해 지속가능성을 담보할 수 없다는 단점을 안고 있다. Porter and Kramer(2011)는 CSR의 단점을 극복하고, 사회와 기업이 진정으로 공생할 수 있는‘공유가치 창출(CSV)’이라는 새로운 모델을 제시했다. 본고는 CSV모델을 CSR의 기존연구와 비교하는 방법으로 CSV의 의미를 분석했다. 또 미국과 일본 등 선진기업의 신흥국 인프라 산업 진출을 CSV관점에서 분석함으로써, Porter and Kramer(2011)의 연구를 뒷받침할 수 있는 사례를 제시했다. 미국과 일본 기업의 CSV 사례는 한국기업들이 신흥국 진출에 활용할 수 있는 새로운 전략방향을 제시하고 있다. 국내기업들도 신흥국에서 발주하는 프로젝트 입찰에 참가하는 수동적인 방식에서 벗어나, 신흥국의 사회·경제 발전에 도움이 되는 개발계획을 구상해 선제적으로 신흥국 정부에 제시하는 전략을 활용할 필요가 있다. 또 한국 정부는 국내기업의 신흥국 투자 타당성 조사비용 지원, ODA를 활용한 금융지원, 외교력을 통해 신흥국에 우호적 투자환경 조성 등의 방법으로 국내기업의 CSV를 활용한 신흥국 진출을 지원할 필요가 있다. As the polarization of wealth has become serious, the public concerns for Corporate Social Responsibility(CSR) are increasing. The CSR is not just an issue in the domestic market but foreign firms investing in emerging markets are also asked to take the high level of CSR. However, philanthropic responsibilities are mostly about redistribution of value, transferring from firms to society. Porter and Kramer(2011) developed a conceptual model of Creating Shared Value(CSV) that is defined as “policies and operating practices that enhance the competitiveness of a company while simultaneously advancing the economic and social conditions in the communities in which it operates.” This paper definitizes the concept of CSV by comparing it with CSR. This paper also examines cases of the US and Japanese firms investing in emerging markets in the perspective of CSV in order to support Porter and Kramer(2011)’s research. According to case analysis, it can be efficient for MNEs to preemptively offer a development plan to an emerging market government rather than to simply submit bids for the contract offered by the local government. In order to stimulate MNEs to create Shared Value in emerging markets, the home country government is required to support the project feasibility study, to offer financial support with ODA funds, and to foster favorable business environments in the emerging market through diplomatic efforts.

한국수력원자력의 해외진출 관련 ESG 경영 사례 연구

정무섭 ( Moosup Jung ),황승호 ( Seungho Hwang ),이다헌 ( Dahon Lee ),조아라 ( A-ra Jo ),이규환 ( Kyuhwan Lee ),전영태 ( Youngtae Jeon ),서환승 ( Hwanseung Suh ) 한국국제경영학회 2022 國際經營硏究 Vol.33 No.1

Unlike voluntary ethical management of companies such as CSR management and CSV management, ESG management can be said to be a major shift in the management paradigm in that it affects financial investment based on mandatory disclosure such as financial statements. In this situation, this study defined ESG management as “global ESG management” and divided it into global ESG management in overseas businesses centered on developing countries and global ESG management in global supply chain management. From the perspective of global ESG management, annual sustainability management reports and related data released by Korea Hydro & Nuclear Power were analyzed, and in-depth interviews were conducted with KHNP executives and employees to analyze Korea Hydro & Nuclear Power's global ESG management cases. As a result of the analysis, it was confirmed that Nepal's Chamehliya hydroelectric project provided infrastructure such as transportation, communication, and water to local residents and that efforts to improve the human rights and working environment of technical and functional personnel could be a model for global ESG management. In addition, Korea Hydro & Nuclear Power Co., Ltd., unlike domestic ESG management activities, is mainly concentrated in social fields (S) in overseas ESG activities, confirming the need to promote global management in all ESG fields, including environmental (E) and governance (G).

인도 증권시장의 투자 유형별 성공사례 연구

정무섭 ( Moosup Jung ),표민찬 ( Minchan Pyo ),이지은 ( Jieun Lee ) 아시아.유럽미래학회 2013 유라시아연구 Vol.10 No.2

The purpose of this study is to analyze the financial market environment and the key success factors for entering India securities market by investigating the cases of financial companies in India. There are 4 major regulations that could affect foreign securities firms entering India securities market, which are Depositories Act(enacted in 1996), SEBI Act(1992), Companies Act(1956), and Securities Contracts Act(1956). With the enactment of SEBI Act, SEBI(Securities and Exchange Board of India) was empowered, becoming a major institute of India securities market. Securities companies in India consist of three types: India local firm, foreign firm, and joint venture between foreign and local firms. The three firms out of top five firms in India securities market are joint ventures, and the other two firms are India local firms. For example, the biggest securities company based on operating assets in 2011 was HDFC Asset Management Company, which was a joint venture between the British company(Standard Life Investment) and a India local company(Housing Development Finance Corporation). ICICI Prudential Asset Management Company was number three in the operating assets ranking in India securities market, which was also a joint venture between a Indian commercial bank(ICICI bank) and British firm(Prudential). Even in the joint venture, Indian local firms have much stronger decision power than foreign partners. The India securities market environment is so complex that foreign firms are not easy to successfully penetrate the market single-handed. For such a reason, there is no foreign firm listed in top five securities companies in India and there are only two foreign wholly-owned companies in top 20 securities firms. One of characteristics in India securities market is that the leading companies have strong market power. For example, the total market share of top 5 securities companies is more than 50 percent, which is very high compared to the US securities market where the top 5 firms had only 38% market share in 2009. The total market share of top 10 companies in India securities market was close to 80 percent. In addition, the market dominating power of top 5 companies has an upward tendency. The total market share of top 5 securities companies was 51 percent in 2005, increasing to 58% in 2009. This paper examines major securities companies in India such as HDFC and ICICI Prudential(joint ventures between foreign and local firms), Reliance Capital and UTI(India local firms), and Franklin Templeton(foreign firm). Franklin Templeton is the only foreign company listed in top 10 companies. Most financial companies with high performance are joint ventures between foreign and local firms and/or India local companies. On the contrary, foreign companies have been underperforming by lack of understanding the diverse needs of Indian investors. Even though Franklin Templeton is regarded as a foreign company, but it became a major securities company after taking over an Indian local securities company(Pioneer ITI) in 2003. The findings of this paper suggest that it is proper for foreign financial companies to enter India securities market by setting up a joint venture with local firms rather than building up a wholly-owned company. The India security market has very complicated regulations and complex local investors and, hence, it is not easy for foreign firms to adjust itself to local business environment. A joint venture between a India local firm and a foreign firm could bypass the regulation applied only to foreign wholly-owned company. For example, there is a legal restriction that foreign investing firms cannot hold more than 24 percent of a local firm’s share. However, this restriction is not so for a joint venture between local and foreign firms. The foreign financial firms that plan to have 100% share may use a stepwise strategy in which they set up a joint venture with local partners at first and, afterward, buy back local partner’s share when they accumulate sufficient knowhow of doing business in India securities market.

무엇이 企業의 收益性에 基盤한 持續的 成長을 保障하는가? : 韓國 上場企業과 外國企業 比較 The Comparison of Korean and Foreign Listed Firms

鄭武燮 서울大學校經濟硏究所 2003 經濟論集 Vol.42 No.2

본 고에서는 Chris Zook와 James Allen의 『Profit from the Core: Growth Strategy in an Era of Turbulence』라는 책에서 정의된 收益性에 基盤한 持續的 成長(Profitable Sustained Growth)의 개념을 활용해 국내기업을 대상으로 성과를 분석하였다. 2001년 말 기준으로 현재상장된 523개 중 1986년부터 1996년까지의 충실한 데이터가 존재하는 557개의 한국 제조기업을 대상으로 분석한 결과 1986년부터 1996년까지 한국의 제조기업들은 매우 강한 成長指向性을 나타내었고 收益性과 株主報償性을 경시하는 경영을 하였음을 확인하였다. 또한 본 논문에서는 이러한 成長性, 收益性, 株主補償性과 이들의 복합지표인 收益性에 基盤한 持續成長指標에 대해 영향을 미치는 요인변수들에 대해 정의하고 이들의 영향정도를 살펴보았다. 분석결과 부채비율은 當期純利益率에 대해 부정적인 영향이 있는 것으로 나타났으며 높은 수출비율은 株價收益率을 제외한 모든 성과에 대해 부정적인 영향이 있는 것으로 나타났다. 다음으로 賣出대비 광고판촉비 지출비율과 연구개발비의 영향은 유의미한 결론이 나타나지 않은 반면, 교육훈련비 지출비율은 複合成果와 賣出增加率에 대해 긍정적 영향을 미치는 것으로 나타났다. 다음으로 투자성향은 複合成果와 賣出增加率, 그리고 營業利益 增加率에 대해 긍정적 영향을 미치는 것으로 나타났으며 기업규모를 나타내는 年平均賣出額은 株價收益率을 제외한 모든 지표에 대해 긍정적인 영향을 미치는 것으로 나타났다. 마지막을 대주주 1인의 높은 주식소유비율은 株價收益率과 복합지표에 부정적 영향을 미치는 것으로 나타났으며 當期純利益率에 대해서는 긍정적인 영향이 있는 것으로 나타났다.

A Comparative Analysis of Productivity Growth and Productivity Dispersion : Microeconomic Evidence Based on Listed Firms from Japan, Korea, and China

Keiko Ito,Moosup Jung,YoungGak Kim,Tangjun Yuan 서울대학교 경제연구소 2008 Seoul journal of economics Vol.21 No.1

Utilizing the firm-level dataset, this study aims to explore differences in firm-level productivity and growth between Japan, Korea, and China. Our main results can be summarized as follows. First, although Japanese firms enjoy the highest average TFP level in many industries, their TFP growth rate has been relatively low during the past two decades. Korean firms have achieved considerable TFP growth in certain industries. The average TFP level of Chinese firms is still much lower than that of Japanese and Korean firms in many industries. Second, within-industry dispersion of TFP levels is very small for Japanese firms. Third, in Korea, the TFP levels of lowperforming firms are approaching those of the national frontier firms at a more rapid pace than in Japan.

한국과 일본기업의 산업별 경쟁력 비교 연구

표민찬(Pyo, Min-Chan),정무섭(Jung, Moosup) 계명대학교 산학연구소 2012 經營經濟 Vol.45 No.2

연구목적 - 본고는 한국과 일본 기업의 총요소생산성과 재무성과를 분석해 양국 기업의 경쟁력을 종합적으로 비교분석하는 것을 목적으로 한다. 연구방법 - 본 연구는 종업원 50인 이상 기업체를 대상으로 설문조사한 일본 경제산업성의 기업활동기본조사와 한국 통계청의 기업활동조사 자료를 활용했다. 총요소생산성은 지수를 개발하는 방법을 활용해 양국 간 산업별 총요소생산성을 비교·분석했다. 주요 결과 - 본 연구의 추정 결과 총요소생산성의 경우 2005년 한국이 일본에 비해 4% 뒤지는 것으로 나타났지만, 2006년에는 격차가 1.3%로 축소됐다. 2005년 이전의 데이터를 활용한 기존 연구와 연결해 분석해 볼 때, 한국과 일본의 경쟁력 격차가 줄어들고 있음을 확인할 수 있다. 산업별로는 의류, 신발 등 전통제조업과 비금속 광물제품, 코크스 석유정제품 및 핵연료 산업에서 한국의 총요소생산성이 일본에 비해 다소 높은 것으로 나타났다. 한국의 주력산업인 전자, 1차금속, 자동차 및 운송장비 업종에서 양국 간 격차는 2006년 기준으로 4% 정도에 불과했다. 일본의 경우 대기업과 중소기업 간 생산성 격차가 크지 않은 반면, 한국은 대기업과 중소기업간 생산성 양극화가 매우 큰 것으로 나타났다. 한국의 경우 상위기업들이 해당 산업의 생산성을 이끌고 있는 반면, 일본은 중소기업과 대기업이 비교적 비슷한 수준의 생산성을 유지하고 있는 것으로 볼 수 있다. 기업 규모 면에서 일본 기업들이 평균 약 1.7배 크다는 것을 확인할 수 있다. 그러나 당기순이익과 순이익률 측면에서는 한국 기업들이 일본보다 높아 수익성에서는 한국기업들이 우수한 것으로 나타났다. 기업의 안정성을 나타내는 부채비율에서는 양국이 비슷한 수준을 보였다. 시사점 - 본 연구는 상장기업만을 대상으로 분석한 기존 연구와는 달리 중소기업을 포함한 광범위한 데이터를 활용해 신뢰성 높은 경쟁력 격차를 추정했다는 데 의미가 있다. This paper investigates and compares the competitiveness of firms in Korea and Japan by employing the date from 2005 to 2006. According to the findings, the total factor productivity(TFP) of Japanese firms was also higher than Korean firms, but it was a decreasing tendency of the TFP gap between Korea and Japan. The TFP gap between the two countries was 4 percent in 2005, decreasing to 1.3% in 2006. The TFPs of Korean firms were higher that Japanese firms in the industries of shoes, clothes, nonmetallic mineral products, and petroleum cokes products. In addition, the TFPs of Korean firms in the field of electrics, primary metal, and transportation equipment were very close to those of Japanese firms. The findings also show that the sales volume of Japanese firms were 1.7 times larger than that of Korean firms. However, Korean firms showed better performance in terms of net income ratio. The average net income ratio of Korean firms was 6.1% In 2006, but that of Japanese firms was 3.5%.

중소기업 가입 제고를 통한 퇴직연금서비스 개편 방안

김대환(Kim, Daehwan),김재현(Kim, Jaehyun),성주호(Sung, Joo-Ho),정무섭(Jung, Moosup) 한국서비스경영학회 2016 서비스경영학회지 Vol.17 No.1

Major countries facing population aging have been enlarging the roles of private pensions along with reducing the roles of public pensions. During such alteration in the pension system, however, employees in the small businesses were went by the wayside in the retirement pension markets and related services. This study diagnoses the limits of retirement income security and suggests means of improving the pension system for the small businesses. This study also estimates the financial burden for the government along with the means and their effects on the retirement pension market for small businesses. It would be essential to establish a retirement pension fund for small businesses within the Korea Worker’s Compensation and Welfare Service since it has been already playing roles for retirement pension of small businesses with less than 30 employees. For the financial supports provided by the government to small businesses, it is advisable that the government shares the commission charge and premiums which is payed by the employer. We need to refer the British government which insist that such government’s role inducing self-supporting efforts of employees in small businesses will reduce financial burdens and be better even for economic growth in the long run.