An Era of Fog, an Education That Builds the Compass : MBA Achievements 0f 2025     “The best way to predict the future is to create it.” Widely attributed to Peter Drucker, the father of modern management, this famous quote captures the essence of contemporary education—particularly the fundamental direction that leadership education must pursue. In an era where uncertainty has become the norm, the competencies required of leaders extend far beyond the mere accumulation of knowledge. True leadership lies in creative thinking and the ability to act—qualities that enable one to read the tides of change and build a new order within them.  Over the past year, Korea University has put this philosophy into practice by realizing an education model in which “learning becomes action.” Although each program—Korea MBA, Executive MBA, Finance MBA, KUBS-DBA, Global MBA, and CEMS Global MIM—targets a different audience and serves a distinct purpose, they all move toward a shared mission: to cultivate leaders who design their own futures in a rapidly changing world and drive positive transformation in society.  Here, learning is not simply the acquisition of knowledge; it is the act of creating the future. Students learn in the classroom, test what they have learned in real-world settings, and expand that learning once again in society. This cycle of learning represents the depth of education that Korea University strives for and is the driving force that has positioned the university as a standard-bearer of business education not only in Korea but across Asia.  Under this philosophy, Korea University has demonstrated over the past year—through a wide range of programs—that learning is the force that drives change.      Korea MBA: Building Practical Global Insight  The Korea MBA program offers an education that cultivates practical global insight grounded in management theory. From June 25 to 29, a total of 156 students participated in a global field study in Singapore under the guidance of Academic  Director Professor Kwanghyun Kim. Through visits to government agencies, startups, and global corporations, the students conducted an in-depth examination of Singapore’s developmental model as a city-state where digital transformation and ESG strategies intersect. This experience functioned as a dynamic learning platform—one that allowed students to test and deepen their classroom knowledge within the real global economic system.    Executive MBA: An Educational Laboratory for Practical Leadership  The Executive MBA has continued to deliver field-centered education under a clear mission to cultivate practical managerial leaders, with the ELITE project (Executive Learning & Interactive Team Exercise) at its core. The ELITE presentation event held this past August at Supex Hall in the LG-POSCO Hall marked the culmination of these efforts. Rather than a simple project showcase, the process in which participants identified real corporate challenges and developed actionable solutions functioned as a full-scale “management laboratory.” Participants presented structured strategies—integrating data analysis, interviews, and financial simulations—while addressing realistic topics in rapidly evolving markets such as healthcare, platform businesses, and O2O services. Judges commented, “The ideas are not only innovative but also highly applicable to real-world practice.”  The accompanying International Residency Program (IRP) further strengthened the global distinctiveness of the E-MBA curriculum. The 22nd cohort participated in lectures and institutional visits on ESG and innovation leadership at the Rotterdam School of Management (RSM), Erasmus University, in the Netherlands from July 5 to 12, gaining first-hand insight into Europe’s sustainable management models. The 23rd cohort, from June 21 to 28, explored the role of executives amid global geopolitical dynamics at Georgetown University in the United States, experiencing global leadership that navigates the intersection of policy and business. These programs are not simple study tours; rather, they reflect the core identity of the E-MBA—a process in which leaders think in the field and reflect deeply on the balance between social responsibility and innovation.      Finance MBA: Financial Education That Reads the ‘Flow’ Beyond the Numbers  The Finance MBA program spent the first year of its two-year curriculum engaged in a wide range of meaningful activities. From June 26 to 29, students traveled to Shanghai, China, to gain a comprehensive view of the present and future of the financial industry. Through visits to local investment firms, fintech companies, and global financial institutions, participants explored how technological advances are reshaping financial markets. Experiencing the dynamism of a global financial hub firsthand was regarded as an opportunity to develop “insight that reads the flow beyond the numbers.”  A key pillar of the curriculum, the Independent Study course, enables students to apply theories and methodologies learned in the core curriculum to real-world issues and derive practical solutions. Students work on team projects, receive close guidance from faculty advisors, and gain experience in scientifically analyzing and solving industry problems. Professor Bumjean Sohn noted, “Students may, in fact, learn even more through Independent Study than in regular classes.” Previous cohorts have tackled a wide range of topics, including “bond investment strategies for busy working professionals” and “the current landscape of generative AI–based financial services.”      Global MBA & CEMS Global MIM: The Intersection of Global Leadership  The Global MBA and CEMS Global MIM students participated together in Homecoming Day on Wednesday, August 20. Professor Betty Chung reflected on key programs carried out over the past year, including the Business Practicum, Career Acceleration Program, Global CEO Talk, and various company visits. One of the highlights was the Global CEO Talk, a weekly session featuring distinguished leaders from diverse industries for deep, interactive discussions. This year, the Italian Embassy also visited, providing students with a meaningful opportunity for cultural and professional exchange. During the Homecoming session that followed, alumni took the stage to share the connections they had built and the personal and professional growth they experienced throughout the program. They also offered practical insights, including internship cases facilitated through the Career Office.      KUBS-DBA: A ‘Practice-Oriented Research Platform’ Connecting Academia and Industry  The KUBS-DBA program, newly established this year, is an advanced research-centered program designed to bridge academia and industry by translating management theory into the language of practice. The inaugural cohort spent the first year of the three-year curriculum focusing on career development, practice-based scientific research, and activities aimed at knowledge creation and dissemination.  In particular, the seminar series—centered on emerging management themes such as ESG, AI, and data-driven decision-making—was recognized as a program that clearly demonstrated KUBS’s perspective on “how academia drives industry.” The KUBS-DBA is positioning itself not merely as a doctoral program but as a “managerial intelligence platform” that transforms accumulated knowledge into social value, presenting a new model for cultivating next-generation practical scholars who connect the corporate, academic, and policy spheres.  Korea University is realizing an innovative model of education that integrates theory and practice, domestic and global perspectives, and academia and industry. Every MBA program has evolved into more than simply a place to “learn management”; they have become “journeys in learning the mindset and responsibility of a leader.”  In 2025, Korea University’s MBA continues to ask: “What should a leader learn, and how will they change the world?” And, by proving the answer through action, it continues to create a new future each day. 

Redesigning Volkswagen’s Future… 2025 KUBS Challenge Concludes Successfully    The 2025 KUBS Challenge Business Case Competition, organized by the International Affairs Team of Korea University Business School, was held on Friday, November 7. This year’s case, “Volkswagen: Adapting in the Age of AI,” challenged teams to complete their analysis within just 24 hours, with the entire competition conducted in English. A total of 21 teams participated, 19 of which submitted final reports. After an intense preliminary round, four teams advanced to the final stage, where they delivered presentations and engaged in a Q&A session. Each team proposed strategies for how the Volkswagen Group could realize its post-Dieselgate “Together Strategy 2025,” and further, how the company could transition from a traditional automobile manufacturer into an AI-driven, sustainable mobility enterprise. The final round was judged by Professors Tony C. Garrett, Baek Jung Kim, and Kyuhan Lee, who posed incisive questions and offered constructive feedback on the students’ analyses and strategic recommendations.      Team Barys: Restoring Trust Through AI Predictive Maintenance  The first team to present, Barys, defined Volkswagen’s strategic challenges as “transitioning from a manufacturer to a sustainable mobility provider,” “restoring trust after Dieselgate,” “the full-scale adoption of AI,” and “securing profitability and sustainability.” As a solution, the team proposed an AI-powered Predictive Maintenance System. They suggested collecting vehicle sensor and camera data in the cloud, training models using AWS SageMaker, and creating a system that predicts potential failures before they occur and provides advance alerts to drivers and service centers.    One judge asked, “If vehicle lifespan increases, won’t that eventually reduce sales by lengthening replacement cycles?” The team responded, “Currently, customers visit service centers only after problems have become serious, which leads Volkswagen to bear significant warranty costs,” adding, “Predictive maintenance prevents major failures early, reduces the financial burden, and ultimately, restoring brand trust will drive future purchases.”      Team Crimson Edge: From Manufacturer to Mobility Ecosystem Platform  Crimson Edge argued that Volkswagen must evolve from a “vehicle sales company” into a “mobility ecosystem operator.” Their core strategy included: (1) restructuring ride-sharing, car-sharing, and Truck-as-a-Service; (2) building an AI-based Mobility-as-a-Service (MaaS) system incorporating demand forecasting, route optimization, and fleet optimization; and (3) integrating all services into a central AI hub to enable data-driven decision-making. The team identified Volkswagen’s competitive advantages in its diverse vehicle lineup, the extensive vehicle data accumulated as a manufacturer, and its combined Edge AI–Cloud AI architecture.    When a judge asked, “After Dieselgate, would customers really want to be locked into a brand-specific subscription model?” the team responded, “Advanced driver assistance and autonomous driving features inherently incur additional costs, and including them entirely in the upfront vehicle price increases the burden on consumers. A subscription model actually expands consumer choice.”      Team Visionary: V1 — Volkswagen’s Unified AI Brain  Team Visionary defined the core of Volkswagen’s future competitiveness as “integrating fragmented data across brands, regions, and segments into a single intelligent AI system,” and presented the V1 Unified AI Ecosystem as their central strategy. They proposed four key initiatives.   First, a smart circular manufacturing system. By applying AI and blockchain across the entire supply chain and assigning a “digital material passport” to every component, the team aims for 25% material reuse and 30% waste reduction by 2026. Second, the evolution of Moia into an AI-based smart mobility ecosystem, introducing AI-driven demand and traffic forecasting, along with an “Eco Miles” reward system for eco-friendly choices, to lay the foundation for Volkswagen’s transition from manufacturer to MaaS provider. Third, establishing the VI Platform, which integrates all R&D, production, energy, and financial data across the Volkswagen Group, with targets of reducing development time by 30%, R&D costs by 15%, and energy costs by 20%. Fourth, building a Financial Intelligence Hub to enhance financial forecasting accuracy by 40% and reduce capital costs by 10% through AI-based liquidity forecasting, investment scenario analysis, and linking ESG KPIs to investment outcomes.    During the Q&A, one judge asked, “You’ve assessed external risks thoroughly, but what internal risks might arise when pursuing such a major transformation?” The team identified risks such as △ security issues associated with large-scale data integration △ organizational resistance to unifying multiple brands and departments simultaneously △ a potential decline in group value if the project fails, and acknowledged the need for pilot operations and a robust data governance framework.      Team K-Strategist: ROOM & Blue Cloud — Transforming Inside and Out  K-Strategist proposed a two-track strategy aimed at simultaneously improving external customer experiences (B2C) and internal operational efficiency (B2B). For the external track, they suggested developing a mobility app called “ROOM,” a platform integrating autonomous ride-sharing and rental services for e-bikes, e-scooters, and e-cars based on Volkswagen’s EV and battery technologies. With AI-powered personalized recommendations, 24/7 customer support, real-time pricing, and predictive maintenance capabilities, the platform would offer new experiences to existing customers while providing potential customers with an accessible entry point to the brand.    For the internal track, the team introduced the “VW Blue Cloud,” a platform in which AI analyzes each subsidiary’s performance, issues, and risks, as well as suppliers’ delivery reliability, quality, and innovation capabilities, and then matches them to recommend which suppliers best fit which subsidiaries. The team argued that this would shorten supplier search times, reduce redundant R&D and administrative costs, strengthen cross-subsidiary collaboration, and support strategic decision-making for executives.      Overall Evaluation: Great Ideas, but What Comes Next Is Precision  The judges’ questions centered primarily on four areas: △ financial feasibility △ customer perspective △ strategic consistency △ and risk awareness. In particular, with respect to financial projections, the judges repeatedly pressed for more concrete and empirical evidence, asking questions such as, “You say downtime will decrease by 30%, but what is the current level?” and “What supports your estimates for cost savings and initial investment?” One judge emphasized, “The technology and narrative are excellent, but in a case competition, what ultimately persuades are the numbers.”    This year’s 2025 KUBS Challenge required participants to address AI, mobility, ESG, and financial strategy simultaneously within a single case. They had to design an enterprise-wide strategy for a global manufacturing corporation and complete all analysis, strategy development, and presentations in English within 24 hours—an exceptionally demanding task. The presentations naturally incorporated cutting-edge industry themes such as predictive maintenance, federated learning, AI-based financial simulation, and subscription-based software models. The competition featured internationally diverse teams, and the entire judging, Q&A, and feedback process was conducted in English, effectively demonstrating the global environment KUBS strives to foster.    After the presentations, the judging panel remarked, “It was extremely difficult to select the top four teams out of the 19 solutions because the overall quality was so high,” commending the participants’ capabilities. They added, “Your ideas and strategic directions are outstanding, but what you now need is greater numerical precision, deeper risk definition, and a more explicit rationale for why this strategy is needed now.” Another judge commented, “Your strategies are strong enough to be presented in Volkswagen’s boardroom,” but added, “Yet at that table, final decisions are ultimately driven by data and numbers.”      The final results awarded first place to Visionary, second place to K-Strategist, and third place to Barys. The winning teams will represent Korea University at next year’s Marshall International Case Competition at the University of Southern California. They will receive a range of support, including a pre-networking day, airfare and accommodation coverage, and intensive training with faculty advisors.    A participating student shared, “It was my first competition, so even setting the direction was challenging. It was physically demanding to stay up all night with my teammates, but the process of defining the problem ourselves and deriving solutions was a truly valuable experience.” The student added, “Reaching the finals alone was meaningful, but I want to prepare better and try again.”      The 2025 KUBS Challenge served as a practical learning platform that encouraged participants to explore integrated strategies in AI, mobility, sustainability, and finance, all based on the real-world company Volkswagen. Although each team approached the case differently, their conclusions converged on a single message: “Volkswagen’s future competitiveness no longer depends solely on how well it manufactures cars. It hinges on how intelligently it can connect data and technology to create new value and new customer relationships.” A challenge that began on a small stage is now expected to lead to new opportunities for growth on the global stage. 

The Era of AI Creativity, Questioning Human Originality Again… Art Director Minjeong Seo’s Special Lecture Successfully Concluded     On Tuesday, November 4, a special lecture by Art Director Minjeong Seo was held as part of the “Entrepreneurship Academy Lecture on Demand,” hosted by the Startup Research Institute of Korea University Business School. The lecture, titled “Advertising Creativity and YouTube and Social Media Content,” explored how artificial intelligence is transforming the commercial creative industry and what creativity means in this era.    Art Director Seo studied Visual Arts at the School of Visual Arts (SVA) in New York and began her career as an art director after joining Innocean through open recruitment. She later worked at HS Ad and SM C&C, followed by a role as an associate manager at a global OTT service company. She is currently active as a freelance AI Creative Director. Her notable works include the Korea Tourism Organization’s “Feel the Rhythm of Korea” campaign.     The Essence and Evolution of Advertising  The first chapter explored the question, “What is advertising?” Seo explained that the Chinese characters that form the word for “advertising”—‘broad’ (廣) and ‘inform’ (告)—refer to the act of widely informing the public. She emphasized that “advertising is not merely showing something but the art of persuasion, a form of marketing communication that embeds a brand in consumers’ minds, and a field of commercial art.”    She highlighted Apple as an example, noting that rather than offering technical explanations, the company centers its messaging on “What can you create with this device?” to communicate brand value through emotional persuasion. She added that “even before the emergence of AI, the advertising industry had already been undergoing rapid change.”    Traditional advertising agencies once generated revenue from production margins and media commissions. However, as digital transformation accelerated and a YouTube- and social media–centered ecosystem emerged, this revenue structure collapsed. Data-driven performance marketing rose to prominence, shifting the focus toward highly stimulating, instantly consumable content and placing greater emphasis on short-term results over brand storytelling.     The Emergence of Generative AI and Industry Transformation  Amid this shift, the rise of generative AI has brought yet another major transformation to the advertising industry. As AI makes it possible for anyone to easily produce advertisements, creative production is no longer the exclusive domain of agencies.    Seo presented several recent AI-generated ads and pieces of content that appeared strikingly similar, pointing out that “copy-and-paste, self-replicating content is increasing.” She also noted that the proliferation of synthetic deepfake ads has elevated provocative content, while scam-like ads that rely on shock tactics have also grown.    She emphasized that “AI advertising certainly has its positive aspects,” offering advertisers new options in terms of cost efficiency and production speed. However, she outlined three reasons why AI-based advertising is still not widely adopted. First, achieving consistency and realistic quality is difficult, and low resolution often fails to meet brand standards. Second, AI outputs cannot be edited directly, requiring complete regeneration to make revisions. Third, consumer trust may decline. She added that many AI models are trained on unclear data sources, making them susceptible to copyright issues when outputs replicate existing materials.    Seo referenced the cases of clothing brand Mango and cosmetics brand Innisfree, explaining that “the uncanny valley phenomenon—figures that appear human yet oddly unnatural—has damaged brand image in some instances.” She further noted that unclear training datasets continue to spark copyright disputes, and many global brands are still using AI only at an experimental level.     AI Use in the Industry  Seo explained that “Coca-Cola’s AI-based global campaign, which featured 17 participating artists and used AI throughout the entire production process, initially drew significant attention but later sparked controversy when it was revealed to have replicated an existing advertisement.” She also noted that “under the Basic Act on Artificial Intelligence, which takes effect next January, all AI-generated advertising videos will be required to include production disclosure, prompting deeper legal and ethical discussions within the advertising industry.”   Sharing concrete changes in the field, she explained that “current practitioners actively use AI when writing creative briefs.” AI serves as an efficient tool for preparing documents that outline an advertisement’s purpose, target audience, key message, schedule, and budget, and it also helps generate visual references during the ideation process.    However, she cautioned that “directly using AI-generated outputs is dangerous,” emphasizing the importance of planning grounded in market research. “You need to understand your consumers and the market in order to craft persuasive messages. Rather than simply following trends, you must be clear about why you are creating the advertisement,” she said.     Considerations and Advice for Using AI  Seo offered six key pieces of advice for advertising production: set a clear planning direction based on thorough research; avoid simply copying trending SNS content; maintain visual consistency aligned with brand identity; avoid focusing solely on visual execution; recognize that achieving the desired output requires ample time and repeated attempts; and collaborate with experts when you are still developing your skills. She added, “AI advertising does not come together instantly. It requires countless trials and revisions. When working with designers, synergy can be created only when respect and mutual agreement are the foundation.”    AI Is Not a God, but a Genie  Art Director Seo compared AI to “a genie, not a god.” “AI does not create on its own. It can only produce meaningful results when users clearly articulate what they want,” she explained. She added, “AI is a tool that helps express imagination and planning skills—it cannot replace human creativity. Ultimately, good advertising is born from human judgment and insight.”    “Van Gogh saw light differently, and Picasso saw form differently. The iPhone also presented a new way of living, far beyond a simple phone. In an era where anyone can create videos, human originality becomes even more essential. Ultimately, creativity in the age of AI depends on how differently humans can think,” she said.    The lecture provided an opportunity to explore the future direction of the advertising industry at a time when AI technology is rapidly advancing, and to reflect on the role of human creators. Seo emphasized that “the more AI advances, the more crucial human imagination and critical thinking become,” stating that “it is human ideas—not technology—that must remain at the center of creativity.” Korea University will continue working with industry experts to provide learning opportunities that enable students to develop both practical skills and creative thinking suited to the digital era.

Data Speaks the Language of Management… KUBS DT Day      On Friday, November 7, the 6th KUBS DT Day, hosted by the Center for Digital Transformation & Business (CDTB), was held at the LG-POSCO Hall of Korea University Business School. KUBS DT Day is an event designed to identify and share new business models for the corporate and public sectors in the era of digital transformation. Through this event, KUBS aims to provide members of Korea University with business insights into digital transformation and to establish a virtuous cycle of academia–industry cooperation through mutually beneficial partnerships with corporations.      In the morning, the “DAB (Data Analytics for Business) Competition Finals” took place, followed in the afternoon by the “Capstone Project Midterm Presentations.” The DAB Competition is designed to address real-world social and industrial issues through data analysis. This year, three teams out of eight advanced to the finals and delivered their presentations. Professors Kyung Sam Park (Director) and Jeunghyun Kim served as judges.    The first presenting team, “Ttasum,” proposed an “Integrated Weather and Walking Environment Safety Map” for the elderly. By integrating environmental data such as heat waves, cold waves, and road slopes, the service guides safe walking routes for senior citizens. Simulation results showed that it could reduce accident risk by approximately 5.6%. It was an exemplary case of using data not merely for navigation but to realize the principle that “everyone has the right to move safely.”    The team “HippoKUrates” focused on the issue of re-transfer of emergency patients—commonly known as “emergency room bounce-backs.” By combining medical data with a RAG-LLM (retrieval-augmented large language model), the team implemented an emergency medical resource recommendation system that analyzes patient symptoms and hospital capacity in real time. Designed on the basis of interviews with active paramedics and medical professionals, the model received high praise from the judges for its technological approach to addressing the societal challenge of reducing the golden hour for critically ill patients.    Lastly, the team “TtareungPang” proposed a demand-based redistribution algorithm to address the imbalance in the rental and return of Seoul’s public bicycles, “Seoul Bike.” By incorporating rental failure data along with variables such as weather and time of day to design optimal truck relocation routes, the model enhanced not only operational efficiency but also citizen satisfaction. It served as a strong example of how data can be leveraged to improve the quality of public services.      The judges remarked, “All three teams remained committed to the essential question of not just how to use data, but for what purpose it should be used,” and added, “Their clear problem definition and incorporation of on-the-ground insights were particularly impressive.” The grand prize was awarded to “HippoKUrates,” while “Ttasum” and “TtareungPang” received excellence awards.    The “DAB Competition” is not merely an academic contest but serves as a testbed for addressing social issues through data analysis and as a microcosm of future-oriented business education. Participating students went beyond collecting and analyzing data, embodying the academic mindset of “understanding and transforming the world with data.” This year’s event stood as a vivid illustration of the Korea University Business School’s ideal of “Practical Wisdom.”      In the afternoon, under the theme of analytical thinking that drives digital transformation, the 6th cohort of MSBA students presented the interim results of their corporate collaboration projects.    In his opening remarks, Associate Dean for Planning Byung Cho Kim stated, “DT Day is a process of understanding the world through data and discovering new possibilities within complex challenges.” This year’s presentations featured 20 students working in collaboration with seven organizations: Hyundai Motor Securities, Hyundai Motor Company, LG CNS, Hyundai Home Shopping, Hyundai Department Store, PwC, and LG Household & Health Care Co., Ltd.    ▲ The Hyundai Motor Securities team analyzed the financial characteristics of the second generation of baby boomers and developed a retirement pension product recommendation algorithm.  ▲ The Hyundai Motor Company team designed a promotion-based customer segmentation model to strengthen retention among Blue Members customers.  ▲ The LG CNS team introduced a graph database–based AI modeling tool for consultants, while  ▲ the Hyundai Home Shopping team proposed a new content operation strategy that integrates broadcast identity preservation with data efficiency.  After the break,  ▲ the Hyundai Department Store team presented a store- and product-level demand forecasting model to improve inventory management efficiency,  ▲ the PwC team showcased a model that automatically generates consulting reports using a multi-agent system, and  ▲ the LG Household & Health Care Co., Ltd. team implemented an AI decision-making framework capable of developing brand strategies using consumer review data.      Following the presentations, Professor Jeunghyun Kim, Director of the BA program, remarked, “This year’s projects have clearly advanced in their ability to handle industry data,” adding, “What stood out was the effort to redefine problems through data and to translate insights into real business decision-making.”  Through this process, students experienced firsthand how data is transformed into insight and insight into strategy. Over approximately two and a half hours, each team’s analytical process and practical proposals were delivered in a dense and engaging manner. While students gained direct experience in how data evolves into strategy, partnering organizations and faculty explored the potential for applying these new ideas to real industry settings.  Even after the event concluded, the presenting students and representatives from partner organizations continued to exchange ideas freely and share feedback. On site, participants remarked that “data analysis is becoming the language through which industrial problems are rewritten.” True to its name, DT Day concluded as a day in which data expanded the boundaries of thinking. 

A Closer Look at the 2025 SK Research Award-Winning Papers The 2025 SK Research Award Recipients.  From left: Professors Minjae Koo, Baek Jung Kim, Jeunghyun Kim, In Joon Noh, Kwangtae Park, Gunwoong Lee, Kyuhan Lee and Ju Hyun Pyun.      Riding Attention Spikes: How Analysts Respond to Advertising  Authors: Professor Minjae KOO et al. (co-authors: Annika Wang, Yin Wang, Liandong Zhang)  Journal: Contemporary Accounting Research  This study empirically examines how security analysts strategically respond when product advertising increases investor attention. By combining weekly advertising data with analyst report data, the analysis reveals that analysts tend to issue more optimistic earnings forecasts following periods of intensive advertising. This tendency is particularly pronounced among analysts at brokerage firms whose revenue structures rely on commissions, suggesting that such behavior reflects the strategic use of investor attention rather than mere cognitive bias.  The study also finds that optimistic forecasts increase trading activity among retail investors, thereby amplifying market reactions. These findings demonstrate that analysts are not passive recipients of information distortion but active participants in shaping market sentiment, offering new insights into the interactions among advertising, information flows, and financial decision-making. As an integrative study bridging accounting and finance, it provides important implications for market transparency and regulatory policy.        The Closing-the-Gap Effect: Joint Evaluation Leads Donors to Help Charities Farther from Their Goal  Authors: Professor Baek Jung KIM et al. (co-authors: Rishad Habib, David J. Hardisty, Katherine White)  Journal: Journal of Marketing Research  This study identifies the “Closing-the-Gap Effect,” a phenomenon in which donors contribute more to charities that are farther from meeting their fundraising goals when these organizations are evaluated jointly. Drawing on six preregistered experiments, seven follow-up experiments, and more than 10,000 real crowdfunding observations, the researchers empirically validate this effect. The findings show that when donors assess charities side by side, they perceive greater need salience and therefore tend to allocate more donations to organizations with lower goal-achievement rates. However, this effect disappears when charities are evaluated individually.  The effect also weakens when differences between organizations are small or when for-profit entities are included in the choice set. By illuminating the psychological mechanisms linking social comparison to donation behavior, this study advances theoretical understanding in nonprofit marketing and social psychology. It further offers practical implications for designing platform-based fundraising campaigns and strategies that effectively encourage charitable giving.        Service Operations for Justice-on-Time: A Data-Driven Queueing Approach  Authors: Professor Jeunghyun Kim et al. (co-authors: Nitin Bakshi, Ramandeep Randhawa)  Journal: Manufacturing & Service Operations Management (Vol. 27, Issue 1)  This study offers an innovative attempt to analyze structural delays in judicial systems from an Operations Management perspective. Focusing on the Supreme Court of India, the authors conduct simulations based on real court data and model the judicial process, in which cases are routed through pre-admission and post-admission stages. The analysis identifies judges’ limited processing capacity and rigid scheduling practices as key drivers of delays. The results further show that implementing greater work-hour flexibility and schedule-adjustment policies can reduce average delays by up to 65%.  As the first empirical study to reframe the social value of “Justice-on-Time” as a data-driven operations efficiency problem, this research is recognized as an exemplary convergence study that bridges public service and operations management.        Evaluating Quality Reward and Other Interventions to Mitigate US Drug Shortages  Authors: Professor In Joon Noh et al. (co-authors: Sergey Naumov, Hui Zhao)  Journal: Journal of Operations Management (Vol. 71, Issue 3)  This study quantitatively evaluates policy interventions aimed at addressing drug shortages in the U.S. generic pharmaceutical market. The researchers develop a system dynamics model to compare the long-term effects of traditional policies—such as shortening approval processes and expanding production—with those of the recently highlighted “Quality Reward” incentive system. The simulation results indicate that while traditional policies offer only short-term relief, quality-based incentives provide a sustainable solution that structurally mitigates drug shortages. However, the study also finds that such incentives may induce market monopolization by certain firms, underscoring the need for complementary quality information disclosure mechanisms.  By empirically demonstrating that quality-focused supply chain management can maintain a balance between public health stability and industrial competitiveness, this study offers robust scientific evidence for pharmaceutical policy design and is highly regarded for its contribution.        Are All Generic Drugs Created Equal? An Empirical Analysis of Generic Drug Manufacturing Location and Serious Drug Adverse Events  Authors: Professor In Joon Noh et al. (Gray John, Ball George, Wright Zachary, Hyunwoo Park)  Journal: Production & Operations Management  This study quantitatively evaluates policy interventions aimed at addressing drug shortages in the U.S. generic pharmaceutical market. The researchers develop a system dynamics model to compare the long-term effects of traditional policies—such as shortening approval processes and expanding production—with those of the recently highlighted “Quality Reward” incentive system. The simulation results indicate that while traditional policies offer only short-term relief, quality-based incentives provide a sustainable solution that structurally mitigates drug shortages. However, the study also finds that such incentives may induce market monopolization by certain firms, underscoring the need for complementary quality information disclosure mechanisms.  By empirically demonstrating that quality-focused supply chain management can maintain a balance between public health stability and industrial competitiveness, this study offers robust scientific evidence for pharmaceutical policy design and is highly regarded for its contribution.        Protecting Workers from Rude Customers to Enhance Organizational Identification in Emotional Labor Environments  Authors: Professor Kwangtae Park (co-authors: Hyojeong Kim, Nagesh N Murthy, Anurag Agarwal)  Journal: Production and Operations Management  This study empirically examines how Emotional Dissonance—experienced by workers in call center environments where emotional labor is routine—affects their Organizational Identification (OID). Emotional dissonance arises when employees’ actual feelings do not align with the emotional expressions required by the organization, and over time, it weakens organizational commitment and job satisfaction. Using data from a large sample of call center employees, the study elucidates the mechanism through which emotional dissonance diminishes organizational identification and tests moderating factors that may alleviate this effect.  The analysis shows that, first, the more employees perceive customer-interaction protection policies as genuine and effective, the more the negative impact is reduced; and second, strong supervisor Servant Leadership helps sustain OID levels. Notably, although long-tenured employees experience greater cumulative emotional labor, their sense of organizational attachment can be restored when institutional protection and leadership support are provided together. By demonstrating that psychological protection for emotional laborers and organizational policy design operate complementarily, this study expands scholarly understanding of human-centered leadership in the field of service management.        Consumer Evaluation of Digital Product Innovations: Disentangling Effects of Novelty, Familiarity, and Complementarity  Authors: Professor Gunwoong Lee et al. (co-authors: Nilla Zhang, Wai Fong Boh) Journal: MIS Quarterly  This study empirically examines how consumers’ familiarity and novelty perceptions influence their evaluations when digital product manufacturers pursue innovation. Using data on hardware feature innovations in complex digital devices such as smartphones and laptops, the researchers test the interaction effects of innovation timing and software support on consumer satisfaction. The results indicate that familiar functions receive more favorable evaluations when introduced early in the product cycle, whereas novel functions gain greater acceptance when introduced with some delay. In contrast, simultaneously releasing new features alongside complex software leads to consumer confusion and negative evaluations.  By clarifying the complementarities and timing strategies between hardware and software innovation, the study offers meaningful practical implications for technology marketing and innovation management. It is also academically recognized for explaining the market acceptance of technological innovation through the lens of the consumer learning curve.        Leveraging Large Language Models for Hate Speech Detection: Multi-Agent, Information-Theoretic Prompt Learning for Enhancing Contextual Understanding  Authors: Professor Kyuhan Lee et al. (co-author: Sudha Ram)  Journal: Journal of Management Information Systems  This study proposes a novel approach to enhancing the accuracy and contextual understanding of hate speech detection by designing Large Language Models (LLMs) within a Multi-Agent framework. Whereas single-model detection methods struggle to capture complex linguistic elements such as context, satire, and metaphor, this study develops a system in which multiple AI agents cross-verify and collaborate on their judgments. The authors also introduce an information-theoretic entropy criterion to quantify the efficiency of prompt selection, resulting in significant improvements in detection accuracy compared with existing models.  This approach improves the feasibility of real-time content monitoring on large-scale online platforms and demonstrates that technological interventions can help curb the spread of hate speech, a major source of social conflict. The study is recognized for advancing ethical and public values in the information systems field by illustrating how AI technologies can support societal responsibility. In doing so, it contributes to reducing social tensions and fostering healthier communication environments.        Fear of Appreciation and Current Account Adjustment  Authors: Professor Ju Hyun Pyun et al. (co-corresponding authors: Paul R. Bergin a, Kyunghun Kim b)  Journal: Journal of International Economics  This paper finds that one-sided nominal exchange-rate interventions—specifically, a “fear of appreciation”—delay the adjustment of current account surpluses, offering new evidence for Friedman’s claim that current account adjustment proceeds more rapidly under flexible exchange rates. The study shows that countries with more flexible exchange-rate regimes adjust current account deficits more quickly than those with fixed regimes, but this pattern does not hold in the case of surpluses.  This asymmetry is associated with policies aimed at resisting currency appreciation in some countries. To account for this, the authors develop a multi-country monetary model that incorporates a policy rule representing a “fear of appreciation,” modeled as an occasionally binding constraint. The model illustrates how government capital controls that sustain an exchange-rate regime influence international financial adjustment mechanisms and explains the substantial asymmetries in adjustment speeds depending on the exchange-rate regime and whether a country is in surplus or deficit.  The study empirically extends Friedman’s argument and presents a new theoretical framework that accounts for asymmetries in modern capital control and reserve accumulation policies. 

AI Is Redefining Marketing — KONG Ventures CEO Juhyung Lee says GEO Will Be the Next Standard   On Tuesday, October 28, Juhyung Lee, CEO of Kong Ventures, delivered a lecture titled “The Paradigm Shift in Marketing in the Age of AI” as part of the Entrepreneurship Academy Lecture on Demand, hosted by the Startup Research Institute at Korea University Business School. The session, introduced by Professor JinKyu Park, Director of the Startup Research Institute, focused on practical insights drawn from Lee’s hands-on experience in startup founding and global market expansion, receiving an enthusiastic response from attending students.    Lee shared that he began his entrepreneurial journey with the mission of “delivering the full value of compelling brands to customers.” Recognizing that limited development skills often pose a major barrier for entrepreneurs, he launched Hatchhiker, a no-code, AI-powered platform that enables users to create websites and mobile apps with ease. However, he soon realized a hard truth: “Even with a website, a brand cannot survive without marketing capabilities.” To tackle this challenge, he developed an SEO (Search Engine Optimization) writing solution, expanding into the marketing field. Throughout this process, Lee identified a broader shift—one in which advanced AI delivers brand value by offering users the most optimized answers. While exploring the U.S. market, he came across the concept of GEO (Generative Engine Optimization) and became convinced that the future of brand experience would be shaped by AI. This conviction ultimately evolved into his company’s current business model.    At present, Kong Ventures operates Scope, a GEO diagnostic platform, and NAR Enterprise, a GEO consulting service. The company has also signed an MOU with Innocean to strengthen AI-based search capabilities and has secured major domestic clients—including a leading global cosmetics manufacturer and a global electronics company—as it continues to build practical GEO project cases.      Lee defined GEO as “the process of optimizing AI to serve as a brand’s faithful representative, enabling it to deliver the brand’s intended message to customers accurately and effectively.” He explained, “While traditional SEO focused on improving website rankings for human searchers, GEO represents a fundamental shift—its optimization is directed not primarily at people, but at AI systems themselves.” He continued, “When people stop typing queries into Google and start asking ChatGPT directly, that will mark the beginning of a new era in marketing. In a world where consumers can discover and purchase products entirely through conversations with AI—or engage in real-time interactions with AI through smart glasses as they walk down the street—GEO will demonstrate its true power.” As an example, Lee highlighted Walmart’s collaboration with OpenAI to develop agentic commerce capabilities that allow users to plan meals, discover products, and make purchases seamlessly through natural conversations with AI.    Lee characterized the advancement of AI not as a “problem of replacement,” but as a “problem of design,” emphasizing the importance of individuals who can decide what tasks to assign to AI and how to apply its results effectively. He added, “We are now entering the era of one-person development teams,” noting that Kong Ventures has also achieved rapid growth through an efficient organizational structure.      During the Q&A session, an attendee asked whether GEO would lose its relevance as AI continues to advance. Lee replied, “The importance of GEO has already been demonstrated in a market where AI is evolving at an unprecedented pace,” emphasizing that “the core of AI advancement ultimately lies in data.” He explained, “AI learns from and cites web content to improve its performance. For companies, this means that information intended for customers must be structured into data that AI can recognize and use effectively. As AI continues to evolve, the role of GEO will only become more essential.”    He added, “Conversion rates driven by AI recommendation platforms are steadily rising, and competition in this area will only intensify. Technical and conceptual competence, along with continuous improvement, will become key differentiators.” When asked about how the company attracted its initial clients, Lee said, “At a time when the term GEO wasn’t even defined, our goal was to optimize our clients’ content so that it would be recommended by multiple AIs.” He added, “Rather than relying on aggressive sales, we focused on forming and testing hypotheses about GEO. As we proved the effectiveness of our solutions and strategies, clients began approaching us first.”    Responding to a question about the reliability of AI recommendations, Lee remarked, “Google didn’t become the world’s leading search engine because it delivered 100% factual results.” He continued, “AI recommendation features will also evolve to provide greater value and refinement—and GEO will be part of that process.” He concluded, “Instead of philosophical debates, what truly matters is how well a brand is positioned within AI’s recommendation structures. Companies are already recognizing this value and investing in GEO solutions.”    This lecture provided students interested in marketing, entrepreneurship, content creation, and AI with a structured understanding of how marketing is transforming in the AI era and how to respond strategically. Lee’s insights into structural approaches centered on GEO, learning through failure, and pivoting experiences offered students valuable, practical lessons. He closed by saying, “AI, content, and marketing are not independent domains; they demonstrate true power only when tightly interconnected,” presenting a new direction for marketing in the age of AI.      Meanwhile, the Entrepreneurship Academy Lecture on Demand, hosted by the Startup Research Institute, had previously held successful sessions in September on topics such as “Prompt Design Methods for AI in the World of Design” and “Building a Web App with AI in One Hour.” Those lectures drew high attendance and active participation, reflecting students’ strong enthusiasm to develop skills essential for the AI era. This latest lecture also concluded successfully, and upcoming sessions will feature Art Director Minjung Seo and Wisely CEO Dong-wook Kim. The Startup Research Institute plans to continue hosting high-impact lectures that provide practical knowledge and insights necessary for entrepreneurship, reflecting the needs of both resident startups and students.