Abstract
As a critical component for LED, price/profit for Sapphire Substrate is dominated by LED demand. Even Sapphire Substrate can be used in various fields of products, but still limits the contribution to price/profit. Following the shortage in 2010, sapphire substrate prices remained high through the first half of 2011; but a less-than-expected demand from LED makers and increasing sapphire capacity combined to quickly bring supply and demand reversed in the second half of 2011. The purpose of this research is to discuss business strategies for T Company, the largest sapphire substrate maker in Taiwan based on 2012 revenue and dedicated in this field for over 12 years. To be the final winner in this very challenging industry, T Company needs different mindset to develop its business strategies: Diversification Strategy: extend the current technique and diversify the range of products to approach a variety of customers and applications to volume revenue and profit. Co-opetition Strategy: cooperate with partners and even competitors to increase competitive advantages.