¡iAbstract¡j After the end of 2007, the Asus Eee PC first low price computer present to the market that creates the low-priced market of laptop computers which attracts the attention from all of computer manufacturers to launch new products to vie for the market, the Netbook (low price laptop computers) become the next ¡§Red Ocean Strategy Market¡¨ to the computer manufacturers. The Topology Research Institute estimated this kinds of low cost computer will enter the maturity development this year, and may have 680 million sets inquiry in 2010 . With the introduction of low-priced Netbook, Taiwanese manufacturers can extend its advantages of manufacturing technology and product development. Also, it leads to the booming businesses of relevant vendors and the opportunities creation of MIT (Made in Taiwan) brand development in the international market. . The research is based on the analysis of literatures, and focus on further discussions on Taiwan¡¦s current manufacturers of low-priced laptop computers and their future development trend. To understand the current business environment, industry structure, competitive advantages as well as the opportunities and challenges that Taiwan¡¦s manufacturers may face, the research chooses ASUSTeK Computer Inc. as a case study to examine its core capabilities and the strategies of Eee PC which adopts by Five Forces Analysis of Michael E. Porter. Furthermore, the research evaluates the advantages and disadvantages of its competitiveness using SWOT analysis. Finally, the research comes out with some suggestions for Asus Eee PC¡¦s future competitive strategies and development directions.