Byungyeon Kim - Faculty & Research - Harvard Business School
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Byungyeon Kim


Doctoral Student

Byungyeon Kim is a Doctoral Student in the Marketing Unit at Harvard Business School. He is mainly interested in personal selling and sales management, empirical industrial organization, and microeconomic utility models. Byungyeon received Master of Science in Marketing and Bachelor in Business Administration, both from Korea University Business School. Prior to his studies, Byungyeon worked as a marketing manager at POSCO.
Journal Articles
  1. How Do Sales Efforts Pay Off? Dynamic Panel Data Analysis in the Nerlove-Arrow Framework

    Doug J. Chung, Byungyeon Kim and Byoung G. Park

    This paper evaluates the short- and long-term value of sales representatives’ detailing visits to different types of physicians. By understanding the dynamic effect of sales calls across heterogeneous physicians, we provide guidance on the design of optimal call patterns for route sales. The findings reveal that the long-term persistence effect of detailing is more pronounced for specialist physicians, whereas the contemporaneous marginal effect is higher for generalists. The paper also provides a key methodological insight to the marketing and economics literature. In the Nerlove-Arrow framework, moment conditions that are typically used in conventional dynamic panel data methods become vulnerable to serial correlation in the error structure. We discuss the associated biases and present a robust set of moment conditions for both lagged dependent and predetermined explanatory variables. Furthermore, we show that conventional tests to detect serial correlation have weak power, resulting in the misuse of moment conditions that leads to incorrect inference. Theoretical illustrations and Monte Carlo simulations are provided for validation.

    Keywords: Nerlove-Arrow framework; stock-of-goodwill; dynamic panel data; serial correlation; instrumental variables; sales effectiveness; detailing; pharmaceutical industry; Data and Data Sets; Sales; Analysis; Performance Effectiveness; Pharmaceutical Industry;

    Citation:

    Chung, Doug J., Byungyeon Kim, and Byoung G. Park. "How Do Sales Efforts Pay Off? Dynamic Panel Data Analysis in the Nerlove-Arrow Framework." Management Science (forthcoming).  View Details