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The Strategic Study of The Customized Electronic Products - Company A as an ExampleLiu, Kuo-lang 07 June 2009 (has links)
Abstract
While reviewing the global economy in the year 2008, the violent vibration of the raw material cost and the subprime mortgage issue, both resulted in financial Tsunami, and the negative effects are extending gradually.
While facing the severe global financial crisis and the unpredictable economic situation in the future, many companies on one hand, reduce capital expenditure, and decrease inventory to ensure long-term business operation, on the other hand, they also look for new markets, new business model, and new business strategy to create new aspects in a global competition.
While encountering the severest financial Tsunami, the Taiwanese electronics industry worries about their future. Therefore, this thesis is trying to take company A, whose main business is customization products, as a study case; and by studying the business strategies of company A, we expect to provide a successful reference model for Taiwanese electronics industry.
The conclusions of the thesis are as below:
The competitive advantages of company A are:
1. Maintaining long-term companionship and cooperation with the 1st Tier NB customers.
2. the excellent ability of product diversification and customization.
3. Flexibility on manufacturing.
4. Continued creative way of thinking.
5. Big Customers of diversification.
6. diversification of products creates 3 growing S curves.
7. Maintaining long-term cooperation with chipset venders, EMS factories and banks.
Profiting elements of company A on successful business operation:
1. reinforcing the strategic advantage of the diversified products.
2. strategic lowering on profit.
3. Developing more customers of different fields.
4. Continue to maintain long-term cooperation with chipset companies and NB customers.
Business strategy of company A on sustained competitive business model:
1. Products and Markets:
a. strategy: developing products on diversification.
b. Aiming at the target market on diversified operation.
2. Manufacturing: strategy of outsourcing production, the outsourcing factories need to possess the advantages as below: high producing ability, high quality, convenient local service, logistics management and flexibility.
3. Marketing/Service:
a. providing the customer a ¡§total solution¡¨, i.e. one-stop shopping service.
b. Cooperative design, development, and customization with the customer
4. Research and Development:
Proceeding design and R&D, aiming at the future developing trend and demands of the customers and IC companies.
5. Financing the Company
a. never lose money in doing business.
b. Not investing factories.
c. Control on customer¡¦s A/R.
d. Keep cash flow positive.
6. International Expansion:
Following the customers¡¦ steps, aiming at development of globalization.
Key words: customization, business strategy, competitive advantage, diversification
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