IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v16y2024i2p530-d1314923.html
   My bibliography  Save this article

Sales in Commercial Alleys and Their Association with Air Pollution: Case Study in South Korea

Author

Listed:
  • Khadija Ashraf

    (Department of Convergence and Fusion System Engineering, Kyungpook National University, 2559 Gyeongsang-daero, Sangju-si 37224, Gyeongsangbuk-do, Republic of Korea
    These authors contributed equally to this work.)

  • Kangjae Lee

    (Department of Convergence and Fusion System Engineering, Kyungpook National University, 2559 Gyeongsang-daero, Sangju-si 37224, Gyeongsangbuk-do, Republic of Korea
    These authors contributed equally to this work.)

  • Geunhan Kim

    (Department of Environmental Planning, Korea Environment Institute, Sejong 30147, Chungcheongnam-do, Republic of Korea)

  • Jeon-Young Kang

    (Department of Geography, Kyung Hee University, 26 Kyungheedae-ro, Dongdaemun-gu, Seoul 02447, Republic of Korea)

Abstract

We investigate the dynamic interplay between air pollution (PM 10 ) and income and their joint association with quarterly sales in commercial alleys, focusing on the pre-COVID-19 (2018–2019) and COVID-19 (2020–2021) periods in Seoul, South Korea. The objective of this study is to identify how air pollution and income collectively influence consumer spending patterns by looking at the increase and decrease in sales in commercial alleys, with a focus on contrasting these effects before and during the COVID-19 pandemic, utilizing advanced machine learning techniques for deeper insights. Using machine learning techniques, including random forest, extreme gradient boosting, catboost, and lightGBM, and employing explainable artificial intelligence (XAI), this study identifies shifts in the significance of predictor variables, particularly PM 10 , before and during the pandemic. The results show that before the pandemic, PM 10 played a notable role in shaping sales predictions, highlighting the sensitivity of sales to air quality. However, during the pandemic, the importance of PM 10 decreased significantly, highlighting the transformative indirect impact of external events on consumer behavior. This study also examines the joint association of PM 10 and income with sales, revealing distinctive patterns in consumer responses to air quality changes during the pandemic. These findings highlight the need for dynamic modeling to capture evolving consumer behavior and provide valuable insights for businesses and policymakers navigating changing economic and environmental conditions. While this study’s focus is on a specific region and time frame, the findings emphasize the importance of adaptability in predictive models and contribute to understanding the complex interplay between environmental and economic factors in shaping consumer spending behavior.

Suggested Citation

  • Khadija Ashraf & Kangjae Lee & Geunhan Kim & Jeon-Young Kang, 2024. "Sales in Commercial Alleys and Their Association with Air Pollution: Case Study in South Korea," Sustainability, MDPI, vol. 16(2), pages 1-19, January.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:2:p:530-:d:1314923
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/16/2/530/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/16/2/530/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Jung, Haeil & Kim, Jun Hyung & Hong, Gihyeon, 2023. "Impacts of the COVID-19 crisis on single-person households in South Korea," Journal of Asian Economics, Elsevier, vol. 84(C).
    2. Williams, Austin M., 2019. "Understanding the micro-determinants of defensive behaviors against pollution," Ecological Economics, Elsevier, vol. 163(C), pages 42-51.
    3. Bertrand, Jean-Louis & Brusset, Xavier & Fortin, Maxime, 2015. "Assessing and hedging the cost of unseasonal weather: Case of the apparel sector," European Journal of Operational Research, Elsevier, vol. 244(1), pages 261-276.
    4. Timothy J. Bartik, 2008. "Evaluating the Benefits of Non-marginal Reductions in Pollution Using Information on Defensive Expenditures," Book chapters authored by Upjohn Institute researchers, in: Joseph Herriges & Catherine L. Kling (ed.),Revealed Preference Approaches to Environmental Valuation, volume 0, pages 459-475, W.E. Upjohn Institute for Employment Research.
    5. Brenna Ellison & Brandon McFadden & Bradley J. Rickard & Norbert L. W. Wilson, 2021. "Examining Food Purchase Behavior and Food Values During the COVID‐19 Pandemic," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(1), pages 58-72, March.
    6. Shelley A. Phipps & Peter S. Burton, 1998. "What’s Mine is Yours? The Influence of Male and Female Incomes on Patterns of Household Expenditure," Economica, London School of Economics and Political Science, vol. 65(260), pages 599-613, November.
    7. Ng, Peggy M.L. & Lit, Kam Kong & Cheung, Cherry T.Y., 2022. "Remote work as a new normal? The technology-organization-environment (TOE) context," Technology in Society, Elsevier, vol. 70(C).
    8. Stanislav Sobolevsky & Izabela Sitko & Remi Tachet des Combes & Bartosz Hawelka & Juan Murillo Arias & Carlo Ratti, 2016. "Cities through the Prism of People’s Spending Behavior," PLOS ONE, Public Library of Science, vol. 11(2), pages 1-19, February.
    9. Hyunju Kang & Hyunduk Suh & Jongmin Yu, 2019. "Does Air Pollution Affect Consumption Behavior? Evidence from Korean Retail Sales," Asian Economic Journal, East Asian Economic Association, vol. 33(3), pages 235-251, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wei Chen & Jian Chen & Guopeng Yin, 2022. "Exploring side effects of ridesharing services in urban China: role of pollution–averting behavior," Electronic Commerce Research, Springer, vol. 22(4), pages 1007-1034, December.
    2. Kota Ogasawara & Mizuki Komura, 2022. "Consequences of war: Japan’s demographic transition and the marriage market," Journal of Population Economics, Springer;European Society for Population Economics, vol. 35(3), pages 1037-1069, July.
    3. Vital Anderhuba & Dennis A. V. Dittrich & Werner Güth & Nadege Marchandd, "undated". "Interpersonal allocation behavior in a household saving experiment," Papers on Strategic Interaction 2002-02, Max Planck Institute of Economics, Strategic Interaction Group.
    4. Song, L., 1999. "In Search of Gender Bias in Household Resource Allocation in Rural China," Economics Series Working Papers 99212, University of Oxford, Department of Economics.
    5. Susanne Elsas, 2016. "Income Sharing within Households: Evidence from Data on Financial Satisfaction," Social Sciences, MDPI, vol. 5(3), pages 1-16, September.
    6. Matthias Keese, 2011. "Thrifty Wives and Lavish Husbands? – Bargaining Power and Financial Dicisions in Germany," Ruhr Economic Papers 0258, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    7. Xiangdan Piao, 2021. "Marriage Stability and Private Versus Shared Expenditures Within Families: Evidence from Japanese Families," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 153(2), pages 533-559, January.
    8. Lee, Jungmin, 2004. "Observable and Unobservable Household Sharing Rules: Evidence from Young Couples' Pocket Money," IZA Discussion Papers 1250, Institute of Labor Economics (IZA).
    9. Mariapia Mendola & Mengesha Yayo Negasi, 2019. "Nutritional and Schooling Impact of a Cash Transfer Program in Ethiopia: A Retrospective Analysis of Childhood Experience," Development Working Papers 451, Centro Studi Luca d'Agliano, University of Milano.
    10. Zeballos, Eliana & Dong, Xiao & Islamaj, Ergys, 2023. "A Disaggregated View of Market Concentration in the Food Retail Industry," USDA Miscellaneous 333546, United States Department of Agriculture.
    11. Sylvain Charlebois & Mark Juhasz & Janet Music, 2021. "Supply Chain Responsiveness to a (Post)-Pandemic Grocery and Food Service E-Commerce Economy: An Exploratory Canadian Case Study," Businesses, MDPI, vol. 1(2), pages 1-19, July.
    12. Jens Bonke & Hans Uldall-Poulsen, 2007. "Why do families actually pool their income? Evidence from Denmark," Review of Economics of the Household, Springer, vol. 5(2), pages 113-128, June.
    13. Dauphin, Anyck & El Lahga, Abdel-Rahmen & Fortin, Bernard & Lacroix, Guy, 2006. "Choix de consommation des ménages en présence de plusieurs décideurs," L'Actualité Economique, Société Canadienne de Science Economique, vol. 82(1), pages 87-118, mars-juin.
    14. Jean-Louis Bertrand & Xavier Brusset, 2018. "Managing the financial consequences of weather variability," Journal of Asset Management, Palgrave Macmillan, vol. 19(5), pages 301-315, September.
    15. Angelucci Manuela, 2008. "Love on the Rocks: Domestic Violence and Alcohol Abuse in Rural Mexico," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 8(1), pages 1-43, October.
    16. Simon Davies, 2011. "Income, gender, and consumption: a study of Malawian households," Journal of Developing Areas, Tennessee State University, College of Business, vol. 44(2), pages 1-25, January-M.
    17. Linnenluecke, Martina K. & Smith, Tom & McKnight, Brent, 2016. "Environmental finance: A research agenda for interdisciplinary finance research," Economic Modelling, Elsevier, vol. 59(C), pages 124-130.
    18. Lingfei Wang & Yuqin Yang & Guoyan Wang, 2022. "The Clean Your Plate Campaign: Resisting Table Food Waste in an Unstable World," Sustainability, MDPI, vol. 14(8), pages 1-17, April.
    19. Yao, JingJing & Ota, Takahiro, 2024. "A new interpretation of the AISAS model: An empirical analysis of Chinese consumers’ perceptions of the food traceability system for aquatic and edible bird’s nest products," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 15(02), June.
    20. Oasis Kodila-Tedika & Simplice A. Asongu, 2015. "Women in Power and Power of Women: the Liberian Experience," Research Africa Network Working Papers 15/021, Research Africa Network (RAN).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:16:y:2024:i:2:p:530-:d:1314923. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.