Abstract
Successful new product development equips business with competitive edges and serves one of the strategies that create corporate values. Overlooking the display industry in Taiwan, people anticipate Organic Light Emitting Diodes (OLED), the fastest growing new technology among Flat Panel Display, being esteemed the dream product of next generation that will potentially replace Thin Film Transistor Liquid Crystal Displays (TFT-LCD) since OLED has the strengths of liquid crystal display, affordable large screen plasma applications, less power consumption, faster response rates, high resolutions, and wider viewing angles. OLED industry, quite a capital and technology intensive industry, calls for ample capitals, new product technology development and process capabilities, complete infrastructure, and high technology human resources. This thesis aims to analyze the strategy building for Taiwan OLED industry development and explore the technical capabilities and positioning in global industry value chain for Taiwan OLED industry. Case Study is deployed in terms of research method. We take Taiwan’s leading OLED companies as case studies to process extensive surveys along with Michael Porter’s Five Force Analysis, Diamond Model Analysis, and SWOT analysis to investigate the current status of OLED industry. Through the understanding of the external and internal environments, we expect to comprehend the industry competition, the case company’s competitive edges and its challenges. The successful factors for OLED industry can be concluded from the studied cases. These factors include New Technology Platform Development, Technology Development for Volume Production, Self Dependency for R&D Capabilities, Product and Market Development, Capital Raising Capabilities, Strategic Alliance, and Customer Relationship Building. The TFT-LCD industry is now undergoing the trend that the company’s operation scale is getting bigger and bigger by merge and acquisition to increase market shares drastically, and also by cost reduction and product competitive edge enhancement. The leading momentum shall be sustained through the approaches of key component and material control, high synergy via streamlined collaboration, supply and demand balance, and cost control.