수직적 통합이 계열기업의 원가구조와 수익성에 미치는 영향에 관한 실증연구

Abstract

Vertical integration, defined as a high degree of internal transfers of goods, can reduce the costs because of avoiding transaction costs and market exchanges, exploiting opportunities for coordinating internal activities, and creating power over buyers and suppliers. However, vertical integration may also raises the costs because of losing flexibility and giving the more difficulty in coordinating the related business. Vertical integration plays the more important role in Korean Business Group, such as automotive industry, chemical industry, iron and steel industry. However, according to the literature review, there are few studies, which examined how vertical integration affects the cost structure and profitability of the affiliated within korean business group. Vertical integration is defined as the sales to other affiliates. Profitability is defined as operating income to sales. Cost structure is defined as cost of goods sales, R&D, promotion and general affairs to sales. The thesis shows the positive relation between vertical integration and profitability in contrast to D'Aveni & Ravenscrft(1994) which shows the no relation. It means that the korean industry structure is much less efficient than USA. Finally, vertical integration in Korea was the meaningful strategy to conquer the market inefficiency.