S-Space College of Business Administration/Business School (경영대학/대학원) Institute of Management Research (경영연구소) 경영논집 경영논집 vol.35 (2001)
기업위험과 경영전략변수와의 관계에 관한 연구
A Study on the Relationship between Business Risk and Strategic Variables
- 이송근; 서정락
- Issue Date
- 서울대학교 경영연구소
- 경영논집, Vol.35 No.2/3, pp. 357-379
- The purpose this study is to analyse the relationship between business risk and important
strategic variables — advertising expenditure, research and development, capital intensity,
inventory and debt — and to apply the results to strategic risk management for firms and
Data were collected from randomly selected 117 Korean firms listed on the Seoul Stock
Exchange during the period of 1992-1997. Regression analysis provided satisfactory test
results to hypotheses of the relationship between risk and strategic variables.
The empirical results indicated that advertising expenditure was negatively and
significantly related to the risk while capital intensity, inventory, debt were positively and
significantly related to the risk. However, the relationship between research and development
and the risk was insignificant.
These results imply that Korean firms should change the strategic priority from expansionoriented
strategy to profit-oriented strategy in order to reduce the business risk by increasing
investment to research and development and reducing the level of capital intensity, inventory,
and especially debt.