Subject category:
Strategy and General Management
Published by:
IBS Case Development Center
Length: 19 pages
Data source: Published sources
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Abstract
Liquid crystal display (LCD) technology first hit the consumer market in the 1960s in the form of watches, calculators etc. By the late 1990s it was widely used in notebooks, PCs, cell phones, personal digital devices and so on. LCD TVs with their premium price tag represented a relatively small segment of the overall television market even in 2003. However LCD TV production was expected to go up in 2004. Consequently prices were likely to drop to levels affordable to the average customer by 2005. Since the late 1990s, a vast majority of LCD products such as notebook PCs, cell phones and personal digital devices were made in Asia. As in 2003, Taiwanese manufacturers dominated the notebook computer industry. This gave Taiwanese LCD-makers a competitive advantage in the booming LCD TV business. However Korea and Japan dominated the LCD business. Taiwan trailed Japan in LCD technologies. Besides, Taiwan, with its high cost of land and labour, was losing its competitive advantage as a manufacturing base to China. The case discusses Taiwan''s competitive advantage and the challenges the country faces in liquid crystal displays.
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Abstract
Liquid crystal display (LCD) technology first hit the consumer market in the 1960s in the form of watches, calculators etc. By the late 1990s it was widely used in notebooks, PCs, cell phones, personal digital devices and so on. LCD TVs with their premium price tag represented a relatively small segment of the overall television market even in 2003. However LCD TV production was expected to go up in 2004. Consequently prices were likely to drop to levels affordable to the average customer by 2005. Since the late 1990s, a vast majority of LCD products such as notebook PCs, cell phones and personal digital devices were made in Asia. As in 2003, Taiwanese manufacturers dominated the notebook computer industry. This gave Taiwanese LCD-makers a competitive advantage in the booming LCD TV business. However Korea and Japan dominated the LCD business. Taiwan trailed Japan in LCD technologies. Besides, Taiwan, with its high cost of land and labour, was losing its competitive advantage as a manufacturing base to China. The case discusses Taiwan''s competitive advantage and the challenges the country faces in liquid crystal displays.