The Impact of Korean Tv Dramas on Taiwanese Tourism Demand

touristry Economics, 2009, 15 (4), 867873 search none The impact of Korean TV dramas on Formosan touristry deal for Korea HYUN JEONG KIM School of Hospitality Business Management, Washington State University, Pullman, WA 99164-742, USA. E-mail emailprotected edu. MING-HSIANG CHEN Department of Finance, field Chung Cheng University, Chia-Yi, chinaw be, ROC. E-mail emailprotected edu. tw. HUNG-JEN SU Department of Management, study Chung Cheng University, Chia-Yi, mainland China, ROC. E-mail emailprotected edu. tw. This study examines the effects of papaular Korean TV dramas on Chinese stunnedbound turn to Korea between 1997 and the end of 2005.The universality of Korean TV dramas began with the drama Fireworks, first shown in chinaware from July to phratry 2000. Based on that information, the entropy were divided into two subsamples January 1997 to September 2000 and October 2000 to declination 2005. The cream puff mental hears revealed a significant morphologic miscellanea in the issue forth issuance of Chinese visitors to Korea between the two sample periods. Additional analyses indicated that a significant geomorphological change was attributable mainly to the growing in merriment turn, bring forward demonstrating the strong effects of Korean TV series in Taiwan.Empirical results withstand the concept of film-induced tourism. Keywords TV drama Korea Taiwan outbound get off chow tryouts Traditionally, atomic number 16 Korea has focused on exporting manufactured goods. However, recently, the republic has beat known for exporting entertainment products. In May 1994, the Korean presidential Advisory Board on Science and Technology released its first track regarding the impact of digital technology on frugal development. The report pointed out that the Hollywood film Jurassic Park generated revenue equivalent to contrary sales of 1. million Hyundai cars (Shim, 2002). The comparison between Hyundai cars and 868 TOURISM ECONOMICS Hollywood films drew the countrys attention to the importance of media content to the study economy. Since then, the Korean authorities has declargond the high value-added audiovisual industry as one of the national strategic industries for the next century. In 1995, the brass enacted the effort Picture Promotion Law, with incentives much(prenominal) as tax breaks to encourage corporations to dedicate in the film industry (Shim, 2002).Korean TV dramas did not hold out a good deal beyond the national border until the late 1990s. Along with the Korean governments support for the film industry, Korean TV dramas began to be ventilate in Asia, the Middle East, Eastern Europe and Russia (Lin and Huang, 2006). The minute media coined the slogan Korean Wave in 2001, in response to the phenomenal everydayity of the Korean pop culture in Taiwan (Chang et al, 2005). Not only has Taiwan been engulfed by the Korean Wave, but also Japan, China, Singapore and Malaysia (Lin and Huang, 2006).The usuality of Korean TV dramas in Taiwan began with Fireworks, first aired in 2000. The programme was an wonderful success and it was rerun several times over the years, thereby forming the radix of the Korean Wave in Taiwan (Sung, 2008). Since Fireworks, more than 100 Korean soap operas substantiate been shown in Taiwan (Lin and Huang, 2006). The Korean TV programmes have led to a dramatic change in the nix pic associated with Korea for example, roughness, violence and a lack of cultural refinement (Sung, 2008).minute people are now more willing to purchase Korean consumer goods (Onishi, 2005), join an international trip to Korea (Onishi, 2005) or learn the Korean language (Sung, 2008). Lee (2005) argued that the publicity of Korean TV dramas and movies oversea could launch a second economic nail down for South Korea, particularly benefiting the entertainment and tourism industries. Lee (2005) stated that fit in to the export statistics of South Korean TV dramas, Taiwan was a lede importer (24. 5%), followed by Japan (19%), China (18. 6%) and Hong Kong (3. %). Accordingly, this study tests the bend of the popularity of Korean TV series in Taiwan on the modus operandi of Taiwanese tourists travelling to Korea. Although previous studies have discussed the effect of films on tourism (Tooke and Baker, 1996 Riley et al, 1998), no formal statistical tests have been performed to examine the significant increase in chastening and there has been no focus on a specific overseas audience. Taiwanese tourism hire for Korea from 1980 to 2005 Geographically, South Korea and Taiwan are very close to each otherwise.After World War II, both countries perceived each other as policy-making allies until the advance(prenominal) 1990s. For 12 years (19801992), the number of Taiwanese visitors to Korea increase gradually from 76,995 to 302,184, with an middling annual growth rate of 14. 59% (see Figure 1 for the periodical travel flow from Taiwan to Korea). However, in August 1992, Korea severed diplomatic ties with Taiwan to pursue its relationship with China. In 1993, the travel flow collapsed dramatically, by almost 60%, subsequently the end of the political relationship.The low Taiwanese demand for travel to Korea lasted about eight years (1993 2000), with a negative annual growth rate of 8. 84%. Taiwanese tourism demand for Korea integrality outbound departures 800,000 700,000 600,000 d,000 400,000 300,000 200,000 100,000 0 80 82 84 86 88 90 92 94 96 98 00 02 04 1 869 1 2 3 4 Taiwanese tourist arrivals to Korea 50,000 1 40,000 30,000 20,000 10,000 0 80 82 84 86 88 90 92 94 96 98 00 02 04 2 3 4 Figure 1. Monthly time series of inwardness Taiwanese outbound departures (all countries) and total Taiwanese tourist arrivals in Korea 1/198012/2005.Note dotted draw off 1 end of political relationship between Korea and Taiwan (8/1992). dot line 2 earthquake of 21 September (9/1999). Dotted line 3 start of the popular ity of Korean TV series in Taiwan (10/2000). Dotted line 4 outbreak of SARS in Taiwan (4/2003). Starting in 2001, the number of Taiwanese tourists travelling to Korea increased rapidly, although political ties were not renewed. Experts attribute the sudden travel flow to Korea to the unusual popularity of Korean TV dramas in Taiwan (Onishi, 2005). The growth rate of the travel flow to Korea (28. 9%) in a short period is eye-popping 108,831 in 2000 to 368,205 in 2005. One sharp decrease occurred in 2003 because of the negative effect of the SARS outbreak in Taiwan on Taiwanese overseas departures. However, the number of Taiwanese visitors to Korea rebounded quickly. In 2004, to accommodate the strong tourism demand for Korea, Taiwan signed a new aviation symmetricalness with 870 PLEASURE 40,000 TOURISM ECONOMICS BUSINESS 300 250 30,000 200 20,000 one hundred fifty 100 10,000 50 0 97 98 99 00 01 02 03 04 05 0 97 98 99 00 01 02 03 04 05 OFFICIAL 3,000 2,500 2,000 60 1,500 40 1,000 500 0 97 98 99 00 01 02 03 04 05OTHER 100 80 20 0 97 98 99 00 01 02 03 04 05 Figure 2. Monthly time-series data of Taiwanese tourist arrivals in Korea different purposes for visitation (1/199712/2005). Korea to summarize flights between the two countries, ending a 12-year suspension on weak flight services (Government Information delegacy, 2005). selective information, hypotheses and tests of morphological changes Figure 1 presents periodical time-series data of total Taiwanese overseas travel (all countries) from January 1980 to December 2005 data were obtained from various issues of the annual report on tourism by the Taiwan Tourism Bureau.Figure 1 also plots the monthly data of total Taiwanese outbound travel to Korea over the same period. Data were collected from the Korea National Tourism Organizations (KNTO) Taipei office. Figure 2 illustrates monthly data of Taiwanese arrivals to Korea in terms of purposes for visiting pastime, telephone line, official and other. Dat a from the KNTO Taipei office were available for only nine years, from January 1997 to December 2005. KNTO (2006) describe that in 2005 pleasure trips accounted for 94. 1% of the total Taiwanese travel to Korea in the same year, business, official and other categories accounted for only 0. 23%, 4. 86% and 0. 10%, respectively. To examine whether the popularity of Korean TV dramas in Taiwan has a Taiwanese tourism demand for Korea 871 significant impact on Taiwanese travel to Korea, we hypothesize that there is a morphologic change in the total number of Taiwanese trips to Korea earlierhand and later October 2000. This date is selected because the first popular Korean TV drama, Fireworks, ended in September 2000. To investigate the ffects of the popularity of Korean TV dramas farther, we test if there is a morphologic change in total outbound departures (all countries) before and after October 2000. We expect no structural change in total outbound departures if the significant increase in Taiwanese overseas travel is restricted to South Korea, due to popular Korean TV dramas rather than the overall growth of outbound travel in Taiwan. In addition, we apply the same hypothesis to the different purposes for visitation (business, pleasure, official and other) to see which type of visit is affected more importantly by the popularity of Korean TV series.Accordingly, the following hypotheses are tested theory 1 in that location is a structural change in the total number of Taiwanese visitors to Korea before and after October 2000. Hypothesis 2 There is a structural change in the total Taiwanese outbound departures before and after October 2000. Hypothesis 3 There is a structural change in the number of Taiwanese pleasure trips to Korea before and after October 2000. Hypothesis 4 There is a structural change in the number of Taiwanese business trips to Korea before and after October 2000. Hypothesis 5 There is a structural change in the number of Taiwanese official trips to Korea before and after October 2000. Hypothesis 6 There is a structural change in the number of trips of the other category before and after October 2000. We used two cabbage tests, namely the Chow breakpoint test and the Chow forecast test, to ensure the consistency of structural break test results. To perform the tests, the full sample period is divided into two subsamples January 1997 to September 2000 and October 2000 to December 2005.The results of the Chow breakpoint test (Table 1) show a significant structural change in the total number of Taiwanese visitors to Korea, but no structural change in the total Taiwanese outbound departures before and after October 2000. In addition, structural changes are detected in pleasure travel and official travel, but no significant structural change is found in business and other travel. In conclusion, the Chow breakpoint test results support Hypotheses 1, 3 and 5. Table 1. Tests of a structural change in the number of T aiwanese visitors before and after the popularity of Korean TV series.Tourist arrivals Total outbound departures Total Pleasure Taiwanese visitors to Korea Yes Yes Yes Yes Business Official another(prenominal) Chow breakpoint test Chow forecast test No No No No Yes No No Yes 872 TOURISM ECONOMICS The Chow forecast test produced similar results, with a minor difference in the results of travel purposes (Table 1). Structural changes are detected in the total number of Taiwanese visitors to Korea, pleasure travel and other travel no structural changes are found in the total Taiwanese outbound departures and business and official travel before and after 2000.Therefore, Hypotheses 1, 3 and 6 are supported. Discussion and conclusion This study conducts tests of structure changes to examine the effects of popular Korean TV dramas on Taiwanese outbound travel to Korea from January 1997 to December 2005. The two Chow tests demonstrate a structural change in the total number of Taiwanese vis itors to Korea between two periods before and after October 2000 (before and after the showing of the Korean drama Fireworks).In addition, the fact that there is no structural change in the total number of Taiwanese outbound departures suggests that the significant increase in travel flow to Korea is an independent phenomenon, not associated with the overall growth of outbound departures in Taiwan. Chow tests, victimisation travel purposes, do not show that business travel has a significant structural change, indicating that the number of Taiwanese travellers coming to Korea for business is not changed importantly before nd after 2000. For official and other travel, the results of two Chow tests are mixed therefore, it may be difficult to support the humanity of a structural change. Among four groups, only pleasure travel systematically shows a structural change through both Chow tests. This indicates that pleasure travel most likely drives a structural change in the total number of Taiwanese visitors to Korea before and after 2000, thereby further demonstrating the significant effects of popular Korean dramas in Taiwan.If Korean TV dramas, staged in Taiwan over the past few years, were conjugated to travel motivation, the effect would be seen on pleasure trips rather than other types. Overall, this study presents strong evidence regarding the effects of film on overseas travellers and supports the concept of film-induced tourism (Tooke and Baker, 1996 Kim et al, 2007). After diplomatic ties ended in 1992, South Korea was perceived by the Taiwanese as a violent country and one that overnight traded loyalty and faith for economic gains (Choe, 2001).Although this study does not measure the watch/ detection change, it is reasonable to assume that the popular Korean TV dramas have had a unequivocal influence on the image of Korea, thereby leading to more Taiwanese pleasure trips to Korea. This study, therefore, confirms indirectly that movies, specifically T V dramas, can be an effective vehicle to change the perception of a certain destination country and further ease political conflict between two countries by stimulating social/pleasure travel flow (Kim et al, 2007).The film-induced tourism of this study is therefore in line with earlier notions that tourism is likely to act as a positive force to promote peace by reducing tension and distrust (DAmore, 1988). The great success of Korean TV dramas in neighbouring Asiatic countries such as Taiwan seems to offer an opportunity to consider countries further forward than Asia. Due to globalization, outbound travels from the West to the East (and vice versa) are change magnitude constantly. The West may learn Asian culture, Taiwanese tourism demand for Korea 873 specifically Korean culture, through Korean dramas or movies.Therefore, the Korean government should develop the deeper understanding resulting from film-induced tourism to promote South Korea as a more appealing travel destina tion in the world. Future investigate directions The analysis of the present study is at a general level, severance down Taiwanese arrivals only by total and purpose of visit. It is multipurpose to identify the detailed profile of Taiwanese visitors drawn by popular Korean TV dramas. Hence, it is recommended that future research of this kind includes demographic variables such as gender, age and occupation.In addition to Taiwanese tourists, similar analyses should be performed using visitors from other countries/places where Korean TV programmes are broadcast. 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