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REFERENCE LINKING PLATFORM OF KOREA S&T JOURNALS
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The Journal of Fisheries Business Administration
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Journal DOI :
The Korean Society of Fisheries Business Adminidtration
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Volume & Issues
Volume 34, Issue 2 - Dec 2003
Volume 34, Issue 1 - Jun 2003
Selecting the target year
A Study on the Industrial Organization Policy for the Market-oriented Fisheries Management
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 1~25
During the past 100 years, Korean fisheries management policies have enforced the license system, it is the most typical regulation system in Korean fisheries. Even now, it has caused resource management failure, it has also invited economic inefficiency and inequity. Accordingly, the Korean government has recently introduced the self-regulatory management system for fishermen with the TAC system. These systems are one of the most market-oriented regulation systems in fisheries management systems. It is defined as regulatory policy tools other than regulations with command and control approach. It is also called “alternatives” which is composed of regulatory alternatives and non-regulatory alternatives. The self-regulatory management system and the ITQ system are cooperative-based co-management between government and fishermen as an alternative management strategy ; it is gaining the increasing attention to improve the effectiveness of fisheries management in Korea. It is expected not only to positively improve function in fisheries regulation, but also to decrease inefficiency in fisheries policies. However, these systems have many problems. The monopolization of rent is one of the typical examples. As solutions for the problem in the aspect of fishery management, fisheries policy is need of approach to industrial organization. For instance, Contestable market theory is one of the good theoretical background, it mean that market is able to free entry and free exit. Thus, fisheries management carry out policies such as revitalization of the used market of capital goods in fisheries, organize of the self-regulatory management group. Conclusively, as the exploiters and managers, fishers and the government should put emphasis on improving economic efficiency so that fishery would grow as an industry that contributes to the increase of social welfare, and the change to that direction will be the only way for our fisheries to preserve its importance.
Comparative Analysis on Fisheries Subsidies between Major Countries and Korea
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 27~52
The object of this paper is to review the fisheries subsidies of the major FFG(Fish Friends Group) which argue the elimination and the phasing-out, to compare with Korea's subsidies category and provide the basic information for planning of fisheries subsidies policy and the negotiation strategy in the future. The result from the comparative analysis of the subsidies between the major FFG showed that WWF(World Wildlife Fund) fisheries subsidies categories, with the exception of Marketing and Price Support Program which is similar to Korea in terms of the supporting type and methods, differ from those of Korea. Also, The unique type of WWF Fisheries Subsidies, which is beyond Korea's subsidies, are Direct Payment for Fishermen and Fishery Wokers, Capital ＆ Infrastructure Support, Fishery Management and Protection, etc. In case of capital support and fisheries fuel, the payment method or other institutional backgrounds is somewhat different from each nation. On the base of this analysis, this paper is suggesting the direction of the Korea's Fisheries subsidies policy as follows ; First, developing new policy methods and supporting ways such as Direct Payment for Fisherman is needed. Second, Converting fisheries subsidies category expected to be classified to Red Amber into another type of non-negative subsidies should be carried out, demonstrating that these kinds of subsidies give no negative effect to the environment and the trade, Third, Reviewing the categorize system of Korea's subsidies and revising it according to international trends is necessary as well. In respect to WTO/DDA, the watchful analysis of Korea's fisheries program must be preceding in ahead of making the negotiation strategy. And Korea firstly need to stress the fact that, while the major FFG can directly pay for fisheries section, other nations have no choice but supporting in preferential tax or loan manner. Using this kind of strategy, it is may enlarge the negotiating power in the WTO/DDA to reflect fully Korea's position.
A Study on the Consumption Pattern of Aquacultured Marine Fishes
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 53~73
This paper is to analyze the past and present consumption pattern of fishes aquacultured in marine waters and thus to draw the policy direction to enhance the competitiveness of marine fish aquaculture in Korea. At present, the volume of meat consumption is surveyed to be more than that of marine fish, but it is revealed that fish consumption will become more increasing in the future according to the rise of the income. The survey shows that the consumption of fish is highest in the fall, and among the various patterns of consumption, live fish, so-called susi, is surveyed to be highly dominant. It is revealed that fish is enjoyed because of the special savor, diverse nutrients, and the prevention of adult diseases. Natural fish Is revealed to be more preferred to aquacultured one due to the sticky flesh quality and the low probability of the remained after the production process antibiotics, so that it is necessary to enhance the taste quality and make a clean cultivation to capture more market demand. Consumption of high-quality fish seems to become high in more than middle class and consumption of fish are estimated to increase in the future, more than that of meat if income level of the people increases. Also, if we try to make our high-quality fish become popular among the public and competible with the imported fish from abroad, it is recommended that they must lower production price by cost reduction and try to differentiate it by taste and environmental safety, etc. It was revealed that the significant factor in demand function for fish is income and it is almost the only factor affecting that demand. Also, it was revealed that the most significant factor affecting preference of fish is income and it Is almost the only factor affecting the preference. Therefore, we can ascertain that if proper goods can be distributed, demand for and preference of fish may increase according to the increase of income in the future
A study on Development Process of Fish Aquaculture in Japan - Case by Seabream Aquaculture -
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 75~90
When we think of fundamental problems of the aquaculture industry, there are several strict conditions, and consequently the aquaculture industry is forced to change. Fish aquaculture has a structural supply surplus in production, aggravation of fishing grounds, stagnant low price due to recent recession, and drastic change of distribution circumstances. It is requested for us to initiate discussion on such issue as “how fish aquaculture establishes its status in the coastal fishery\ulcorner, will fish aquaculture grow in the future\ulcorner, and if so “how it will be restructured\ulcorner” The above issues can be observed in the mariculture of yellow tail, sea scallop and eel. But there have not been studied concerning seabream even though the production is over 30% of the total production of fish aquaculture in resent and it occupied an important status in the fish aquaculture. The objectives of this study is to forecast the future movement of sea bream aquaculture. The first goal of the study is to contribute to managerial and economic studies on the aquaculture industry. The second goal is to identify the factors influencing the competition between production areas and to identify the mechanisms involved. This study will examine the competitive power in individual producing area, its behavior, and its compulsory factors based on case study. Producing areas will be categorized according to following parameters : distance to market and availability of transportation, natural environment, the time of formation of producing areas (leaderㆍfollower), major production items, scale of business and producing areas, degree of organization in production and sales. As a factor in shaping the production area of sea bream aquaculture, natural conditions especially the water temperature is very important. Sea bream shows more active feeding and faster growth in areas located where the water temperature does not go below 13∼14
during the winter. Also fish aquaculture is constrained by the transporting distance. Aquacultured yellowtail is a mass-produced and a mass-distributed item. It is sold a unit of cage and transported by ship. On the other hand, sea bream is sold in small amount in markets and transported by truck; so, the transportation cost is higher than yellow tail. Aquacultured sea bream has different product characteristics due to transport distance. We need to study live fish and fresh fish markets separately. Live fish was the original product form of aquacultured sea bream. Transportation of live fish has more constraints than the transportation of fresh fish. Death rate and distance are highly correlated. In addition, loading capacity of live fish is less than fresh fish. In the case of a 10 ton truck, live fish can only be loaded up to 1.5 tons. But, fresh fish which can be placed in a box can be loaded up to 5 to 6 tons. Because of this characteristics, live fish requires closer location to consumption area than fresh fish. In the consumption markets, the size of fresh fish is mainly 0.8 to 2kg.Live fish usually goes through auction, and quality is graded. Main purchaser comes from many small-sized restaurants, so a relatively small farmer and distributer can sell it. Aquacultured sea bream has been transacted as a fresh fish in GMS ,since 1993 when the price plummeted. Economies of scale works in case of fresh fish. The characteristics of fresh fish is as follows : As a large scale demander, General Merchandise Stores are the main purchasers of sea bream and the size of the fish is around 1.3kg. It mainly goes through negotiation. Aquacultured sea bream has been established as a representative food in General Merchandise Stores. GMS require stable and mass supply, consistent size, and low price. And Distribution of fresh fish is undertook by the large scale distributers, which can satisfy requirements of GMS. The market share in Tokyo Central Wholesale Market shows Mie Pref. is dominating in live fish. And Ehime Pref. is dominating in fresh fish. Ehime Pref. showed remarkable growth in 1990s. At present, the dealings of live fish is decreasing. However, the dealings of fresh fish is increasing in Tokyo Central Wholesale Market. The price of live fish is decreasing more than one of fresh fish. Even though Ehime Pref. has an ideal natural environment for sea bream aquaculture, its entry into sea bream aquaculture was late, because it was located at a further distance to consumers than the competing producing areas. However, Ehime Pref. became the number one producing areas through the sales of fresh fish in the 1990s. The production volume is almost 3 times the production volume of Mie Pref. which is the number two production area. More conversion from yellow tail aquaculture to sea bream aquaculture is taking place in Ehime Pref., because Kagosima Pref. has a better natural environment for yellow tail aquaculture. Transportation is worse than Mie Pref., but this region as a far-flung producing area makes up by increasing the business scale. Ehime Pref. increases the market share for fresh fish by creating demand from GMS. Ehime Pref. has developed market strategies such as a quick return at a small profit, a stable and mass supply and standardization in size. Ehime Pref. increases the market power by the capital of a large scale commission agent. Secondly Mie Pref. is close to markets and composed of small scale farmers. Mie Pref. switched to sea bream aquaculture early, because of the price decrease in aquacultured yellou tail and natural environmental problems. Mie Pref. had not changed until 1993 when the price of the sea bream plummeted. Because it had better natural environment and transportation. Mie Pref. has a suitable water temperature range required for sea bream aquaculture. However, the price of live sea bream continued to decline due to excessive production and economic recession. As a consequence, small scale farmers are faced with a market price below the average production cost in 1993. In such kind of situation, the small-sized and inefficient manager in Mie Pref. was obliged to withdraw from sea bream aquaculture. Kumamoto Pref. is located further from market sites and has an unsuitable nature environmental condition required for sea bream aquaculture. Although Kumamoto Pref. is trying to convert to the puffer fish aquaculture which requires different rearing techniques, aquaculture technique for puffer fish is not established yet.
A Study on the Marketing System Construction and Merchandising of Tongyoung Marine Ranching
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 91~107
Distribution of fish products from Tongyoung Marine ranching can be classified by three routes such as street-stall, live fish transportation vehicles, and wholesale markets neighboring unloading ports. These methods of distribution, however, have been restricted by limited distribution right, difficulties to differentiate fish prices from other surfaces, simple marketing channels. The ratio of cultured live fish circulated in market is increasing while naturally caught live fish is decreasing and the fresh fish shows a little of increasing rate. Consumers purchasing routes mainly depend on the live fish transportation merchants. For fresh fish traditional market plays an important role in trade. Convenience for consumers and quality of products are main factors in making decision of purchases. Bargaining power, however, belongs to the live fish transportation merchants. The demand of special markets for live fish was very strong, and the convenience and quality are relatively important required factors. Catch from Tongyoung Marine ranching has very good reputation as the possibility of being a good brand. Expecting possibility of quality differentiation was higher than price differentiation specially. The possible conclusion of a contract of a supply was suspicious however. Preliminary quality evaluation revealed that the catch is better than the cultured but worse than naturally grown fish. A merchandising is to be in a better position in the formation of prices by giving
to potential consumers. The target markets are retail stores such as restaurants for raw fish and final consumers. The staple markets are retail stores. Possible items of products are live fish, fresh fish for cook, and fresh fish for raw fish. It is necessary for the catch to be informed as new functional products that have been improved in safety and quality, since the product positioning is similar but not well known to consumers. To secure a brand it is required to register a trademark, eco-label product design or packing, use real name in tranction, introduce recall system, and put label. Price higher than naturally grown live fish should be targeted. Establishing broad distribution channel, wholesale market, franchise are required. To secure enough catch and control shipment of products facilities of containing live fish are necessary. Instead of dealing with live fish only, it would be better to. sell fresh fish and live fish simultaneous. Strategically promotion focuses on advertisement of Marin ranching at first and then focuses on the catch from the marine ranching.
Evaluating Managerial Efficiency of Fisheries Cooperatives in Korea : Data Envelopment Analysis
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 109~129
The purpose of this study is to evaluate the managerial efficiency of fisheries cooperatives in Korea by using data envelopment Analysis(DEA). The DEA method is a relative evaluation method on the basis of linear programming. Also, it is known as a useful method for the evaluation of not-for-profit organizations which cannnot be measured by mere monetray units for their performances. The 50 units have been taken for the purpose of analysis. All of the units are homogeneous groups, and the produce multiple services with multiple inputs. Input variables are a number of employee, fixed assets, and business managerial costs. Output variables include a number of deposits, a number of loans, a total deposits, a total loans, and operational income for one year. The empirical results of this study are as follows. First, the average technical efficiency showed 82.35% which revealed about 17.65% of non-efficiency in 2001. Second, in 15 DMUs, the overall inefficiency is mainly attributed to their efficient operations or management. To be opposed, in 18 DMUs, the overall inefficiency is mainly attributed to their scale efficiency. Third, efficiency ranking results by DEA do not agree with the ratio analysis by fisheries cooperatives. Fourth, average efficiency level by year was improving gradually by 0.7408 in 1999, 0.8023 in 2000, and 0.8235 in 2001 at significant 10% level.
Demand Analysis of Quality Certificated Fisheries Products using Double Hurdle Model
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 131~139
The products of the quality certificated fisheries which are protected from environmental pollution, decomposition are hygienically safe and convenient for food. However, consumers have not yet understood the recognition of the system of quality certfication so far because of lack of demand on the quality certification fisheries. Above all, to put the system of the quality QC in place sucessfully, to understand the variation of consumer's inclination efficiently, the empirical study must be carried out by both consumer's take part in the market of the quality certificated fisheries products and how much the amount of consumption is in this market. The purpose of this study, under the preconditions where these have limited fisheries items in consumer's inclination survey, is to analyze the demand of QC though the Double Hurdle Model. Explanatory variables included were household characteristics such as housewives' age and education, her job, household income as well as their health perceptions and food purchase behaviors. Survey from 530 household was collected in Pusan City in 2003, of 502 were actually used for empirical analysis. The Double-hurdle framework proved to a better representation of the factors influencing the separate decision participation and consumption levels. According to the results of this study, whether or not, participating In the market of quality certicipating in the market of qualify certificated fisheries products is affected by how much experience and confidence these have got. housewives' having a job or not. Furthermore, the amount of consumption is mostly affected income. This value is attributed to the safety of QC fisheries products in comparison with regular fisheries. Findings suggest that the consumers put substantially high monetary value on safe food, such as high quality fisheries products. Therefore, first of all, legal and institutional systems should be clearly and strictly identified for the QC products.
An Analysis on the Competitive Structure of Fishery Products Export ＆ Import between Korea and Japan
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 141~164
This study analysis the market status and competitive structure of Korean fishery in Japan import market, and derive policy implications for seeking main causes. Specifically', trade state between Korea and Japan is discovered and theoretical model is also used to analysis competitiveness between two countries. And then real measuring methods of competitive index is Introduced, the status of Korean fishery products in Japan import market is analysed totally through the study of comparative predominance and export competition. The analysis is based on the statistical methods such as RCA, RMI, and CMS. In summary, first, Korean fishery products have the comparative predominance in Japan, China and Thailand, but they have the comparative inferiority in USA, considering research results. Second, competitiveness of fishery products between Korea and in Japan import market extreme, relatively, competitiveness of Korean fishery products for Thailand's fishery products is lowest. Third, Korean fishery products maintain unconstant pattern, but competitive inputs result in increasing export to Japan generally.
HABs Research Project Management Model
The Journal of Fisheries Business Administration, volume 34, issue 2, 2003, Pages 165~183
The effect of red tide on the marine ecological system is so severe that many researches on the diverse subjects related to it have been conducted. Notwithstanding the enormous efforts and inputs the results of the past researches show no clear ways to deal with the HAB problems. As many researches are being conducted, the efficient and appropriate research project management systems as one of the critical factors for successful research are also needed as well as the fund and the capabilities of the researchers. It is assumed that the development of the evaluation and management systems for red tide research projects is so important and critical to enhance the researches and to utilize efficiently the physical and human resources for research. In this respect this study aims to present the evaluation and management scheme for the red tide researches that can not only decide the priority of the research subjects and tell the desirable research directions, but also support to develop the useful managerial policies and guidelines for the policy maker. The main subjects dealt with in this study are as follows : the characteristics of the HAB researches, the basic attributes and criterion of the research evaluation systems, the structure and design of the evaluation systems, and the development of the managerial policies by the type of the evaluation system. The conceptual scheme developed in this study is expected to be applied to the related areas and can suggest to the policy makers so many implications for identifying and setting the proper policy objects and management techniques. This study has a couple of weak points. It suggests only the conceptual scheme but not the applications so that the researches focusing on the applications in practical perspectives are needed to follow.