Chu, P. Y., and Chung-Yuan Liu Liu 1992. An Empirical study of Competitive Strategies and Performance of Taiwan's IC Industry. NTU Management Review, 3 (1): 197-217
Po-Young Chu, Associate Professor, Department of Management Science, National Chiao Tung University
Chung-Yuan Liu Liu, Master Student, Department of Management Science, National Chiao Tung University
Abstract
Since the early 1970s, the concept of Strategic Group has been widely applied to analyze the structure of industries and the relationship between strategies and performance of individual firms. However, still very few researches were conducted in high-tech industries. This empirical research focuses on the study of Taiwan's IC industry. Fifteen firms in Science-Based Industrial Park were selected. Methods of Factor Analysis, Cluster Analysis, ANOVA and Regression Analysis are used to analyze the competitive behavior and the relationship between strategic variables and performance. Results show that 1) the two strategic groups within industry do exist, 2) difference of profitability between strategic groups is statistically significant. It also suggests that firms of two strategic groups have different strategy-performance relationship.
Keywords
Strategic group Performance High-tech industry. Cluster analysis