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The Study of International Competitive Strategies for Taiwan's IC Card Industry-Taking VStar Electronics Inc. as example

As more and more crimes about credit card appears, and every country¡¦s government pursues the improvement of efficiency, the smart card system has greater and greater market potential. The international credit card organizations forecasts 5 million million dollar-market of smart card relative systems. The IC Card System has been introduced to Taiwan since 20 years ago, but the government has never tried hard to make it popular. Facing the great potential market now, how do Taiwan¡¦s firms of IC Card Industry enter international markets and get competitive advantage? This is just the topic of this thesis.
In recent years, the economy of main countries in world is in recession, and the United States is threatened seriously the terrorism. All the small countries whose economy depends on these dominant ones, such as the Asian four-dragons, are affected. Fortunately, Mainland China who has cheap human resource and enormously large market, takes an innovating open-door policy in recent years, bringing a new hope to the world¡¦s economy. With the trend of globalization and internationalization, and the change of the condition between the Taiwan Strait, what kind of competitive strategies should the firms of Taiwan¡¦s IC Card Industry take to get competitive advantage in national market for survival in future, is just our issue. First of all, we analyze the world¡¦s economy, the IT industry in Taiwan, and the IC Card Industry in Taiwan; then we use Porter¡¦s Diamond Model to find out Taiwan¡¦s national competitive advantage as below:
1. Taiwan has high quality human resource capable of design and complex process work.
2. Taiwan¡¦s enterprises have the advantage of flexibility and mobility.
3. Taiwan has the advantage of expanding business toward Mainland China.
Secondly, we develop several strategies for Taiwan¡¦s IC Card Industry by Ansoff¡¦s and Porter¡¦s theories as follow: 1.Moving manufacturing center to the Mainland China; 2.Targeting the Mainland China as Main Market; 3.Taking good use of the advantage of second generation IC Card System.
Finally, we do case study of Vstar Electronics Inc., the No.1 firm of Taiwan¡¦s IC Card Industry, to know the practical strategy and compare with theoretical ones.
As one member of Taiwan¡¦s IC Card Industry, we hope to do something for the industry, by this study and some suggestion for the government.

Identiferoai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0629102-120939
Date29 June 2002
CreatorsChen, Danny
ContributorsJing Kong Rang, I-heng Chen, Huang Jen-Jsung
PublisherNSYSU
Source SetsNSYSU Electronic Thesis and Dissertation Archive
LanguageCholon
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0629102-120939
Rightsunrestricted, Copyright information available at source archive

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