Analyse Stratégique Michael Porter matrices
AN ANALYSIS OF THE COMPUTER
INDUSTRY IN CHINA AND TAIWAN USING
MICHAEL PORTER’S DETERMINANTS OF
NATIONAL COMPETITIVE ADVANTAGE
Bridwell, Larry and Kuo, Chun-Jui
Pace University lbridwell@pace.edu ABSTRACT
Both China and Taiwan have pursued aggressive investments in the computer industry over the last five years. Using Michael Porter’s Determinants of National Competitive Advantage, the potential of both countries can be analyzed not only separately, but also in terms of the combined resources based on the possibility that Taiwan and China join forces in pursuing a stronger position in the global computer industry. The critical factor in determining the synergies will be the policies of the governments of China and Taiwan.
Although China has a per capita income of less than $1, 000, the Chinese government is aggressively promoting the development of its computer industry. Billions of dollars have already been invested from all over the world with significant participation from Taiwanese companies. The enormous market potential of China combined with the intellectual capital of Taiwan creates a powerful combination that could follow a historic pattern similar to that of the Japanese automobile industry. Taiwan is already a major player in personal computer components; in fact, the 2001 sales of $43 billion in Taiwanese information technology products (CETDC, 2002) make Taiwan number three in the world after the United
States and Japan (Asia Computer Weekly, 2000). Conceivably, China and Taiwan could continually upgrade combined engineering and research capabilities to eventually challenge major areas of the
American information technology industry. Many years would be required for all of this to fully develop, but it is worth noting that the Japanese took approximately twenty years to evolve from exporting low cost economy automobiles in the early 1970’s to becoming a major force in luxury vehicles in the early 1990 's.
Insights into
INDUSTRY IN CHINA AND TAIWAN USING
MICHAEL PORTER’S DETERMINANTS OF
NATIONAL COMPETITIVE ADVANTAGE
Bridwell, Larry and Kuo, Chun-Jui
Pace University lbridwell@pace.edu ABSTRACT
Both China and Taiwan have pursued aggressive investments in the computer industry over the last five years. Using Michael Porter’s Determinants of National Competitive Advantage, the potential of both countries can be analyzed not only separately, but also in terms of the combined resources based on the possibility that Taiwan and China join forces in pursuing a stronger position in the global computer industry. The critical factor in determining the synergies will be the policies of the governments of China and Taiwan.
Although China has a per capita income of less than $1, 000, the Chinese government is aggressively promoting the development of its computer industry. Billions of dollars have already been invested from all over the world with significant participation from Taiwanese companies. The enormous market potential of China combined with the intellectual capital of Taiwan creates a powerful combination that could follow a historic pattern similar to that of the Japanese automobile industry. Taiwan is already a major player in personal computer components; in fact, the 2001 sales of $43 billion in Taiwanese information technology products (CETDC, 2002) make Taiwan number three in the world after the United
States and Japan (Asia Computer Weekly, 2000). Conceivably, China and Taiwan could continually upgrade combined engineering and research capabilities to eventually challenge major areas of the
American information technology industry. Many years would be required for all of this to fully develop, but it is worth noting that the Japanese took approximately twenty years to evolve from exporting low cost economy automobiles in the early 1970’s to becoming a major force in luxury vehicles in the early 1990 's.
Insights into
References: Arensman, Russ, (2002). “China’s in the chips,” Electronic Business, pp. 33-40. Asia Computer Weekly, (2000). “Taiwan ensures investments pay off,” Asia Computer Weekly, December 11, 2000. Bridwell, Larry and Richard, Marc, (1998). “The Semiconductor Industry in the 21st Century: A Global Analysis Using Michael Porter’s Industry Related Clusters,” Competitiveness Review, Volume Eight, CETDC, (2002). “Background of the Taiwan Electronics Industry,” China External Trade Development Council. China Post (2001), “Semiconductor Makers Urge Gov’t to Ease Ban,” China Post, December 6, 2001. Clendenin, Mike (2001), “China’s Silicon Road,” Electronic Engineering Times, p. 1. Detar, James (2002), “Fairchild Sees China as Hotbed for Both Chipmanking and Chip Building and Selling,” Investor’s Business Daily, February 12, 2002 Einhorn, Bruce (2002), “China’s Chip Binge,” Asian Business, January 21, 2002, p. 18. Liu, Sunray (2002), “China’s chip market rebounds from “01 slump,” Electronic Engineering Times, September 23, 2002, p Porter, Michael (1990), “The Competitive Advantage of Nations,” Harvard Business Review, March-April, 1990, pp Ranhoff, David (2002), “Semiconductor Challenges and Opportunities in China,” Electronic News, January 7, 2002, p Shameen, Assif (2002), “Inside Asia: China’s Fab Fabs,” The Edge (Malaysia), May 20, 2002. Wang zhe-feng, (1999). The Information Technology Industry at Taiwan. Taipei: Wealth.