Determinants of Successful R&D Performance in Korean Electricity Industry

Abstract

Throughout the history of public policy, liberalization was recalled as a hallmark of transition in electricity industry sector. Before liberalization, pursuing the concept of efficiency was put into private sector's hand. However, more and more governments had been inclined to introduce competition in these markets through the act of liberalization. Then, the effectiveness of liberalization in this sector has gained more attention: is it really efficient? Out of many changes liberalization had brought, there was change in role of public ER&D. Since liberalization, public ER&D had focused on short-term projects which led to increase of in-house research projects. But, in the case of Korea, R&D alliances seem to be growing over the years. Such uniqueness in Korean electricity industry and public ER&D behavior led to study further on this matter. The main objective of this study is to inspect two hypotheses: (1) whether liberalization has positively influenced public ER&D performance of Korea, (2) whether R&D alliances have positively influenced public ER&D performance of Korea. The result shows that R&D alliances positively influenced the ER&D performance of Korean electricity sector

while liberalization was not significantly affect the ER&D