• Title, Summary, Keyword: business cessation support system

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Assessment & implications of the business cessation support system for farmers: focus on the grape business

  • Han, Sukho;Youm, Jungwon;Jang, Heesoo;Koo, Seungmo
    • Korean Journal of Agricultural Science
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    • v.47 no.3
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    • pp.533-544
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    • 2020
  • In this paper, we conducted a dynamic ex-post assessment on the grape business cessation support System. Based on the analysis results, in the short term, there was an increase in grape price due to a decrease in production and accompanying increases in the prices of consumption substitution items. However, in the long run, grape prices fell again due to an increase in grape production because of the entry of new grape farmers and the growth of adult grape trees. In addition, the analysis showed that the balloon effect caused by the conversion of crops caused indirect damage such as an increase in the production volume of substitution crops and a decrease in prices. When analyzing the social welfare measurement, the results showed that the support system for business cessation increased the overall social welfare due to an increase in producer welfare because of a price increase in the short term, but in the long term, both producer and consumer welfare decreased. In the end, it is necessary to review the system because the government's intervention may cause market distortion and inefficient resource allocation. Above all, it is necessary to minimize the indirect effect of the industry's contraction and balloon effect due to excessive business cessation. For this, conditional support should be provided in parallel with post management rather than unconditional support. In addition, it is necessary to provide a strategic support system that considers substitution items in addition to those items to be supported.

The Business Transformation in Small and Micro Businesses and government's role (소상공인의 업종전환과 정부기관의 역할)

  • Ji, Yong-Ha;Yang, Hae-Sool
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.10 no.12
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    • pp.3804-3814
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    • 2009
  • Because of the stagnancy of business activity and an excessive competition, the number of the people who quitting of one's business is increasing rapidly. Especially, government is further efforts on the upbringing for the small and micro business. But the ratio of cessation of business is increased gradually due to the influence of saturated market, consumer confidence shrinking, lack of funding and appearance of super supermarket. The another characteristic of growth rate for the cessation of business is the increase of the second foundation of business desire to succeed. But government's business transformation policy is inadequate. So, this study is willing to give an improvement of the government's support system through extraction actually and dependable data about business transformation and analysis to found a various gain model that continuous growth in small and micro business.

A Study on the Priority and Evaluation Criteria of Domestic Support Measures according to FTA (FTA 체결에 따른 국내지원대책의 평가기준 및 우선순위 선정)

  • Son, Yong-Jung
    • International Commerce and Information Review
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    • v.14 no.1
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    • pp.301-314
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    • 2012
  • To improve support for damages due to FTA and competitive power to overcome it, direct damages to farming and fisheries are compensated through Direct Payment Policy and Business Cessation Support System. Support plans will be developed to enhance competitive power in industries and income base in rural areas. This study carried an AHP to decide Priority and Evaluation Criteria in respect to domestic support measures according to FTA. For the AHP, the classes were categorized into direct damage conservation, higher competitive power and expansion of income. For the direct damage preservation measures, the classes were categorized into farmers, fishermen, manufactures, service business managers, and workers. In respect to reinforcement of competitive power of each industry, the classes were categorized into farming, fisheries, manufacturing, the drug industry, and service business. In respect to expansion of income, the classes were categorized into farming and fishing. Then 27 national support measures were presented for sub-classes. As a result of the analysis, it was discovered that more weight was given to measures to reinforce competitive power of each industry and expand income than those on direct damage conservation. In respect to higher competitive power in industries, more weight was given to support for farming and manufacturing. In respect to expansion of income, more weight was given on measures on farming than fisheries. For the direct damage preservation measures, more weight was given on support measures on farmers and workers.

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