Abstract
The electronics industry of Taiwan is a pivotal player along the entire global consumer electronics supply chain, being notable for leading both the capital-intensive segment, such as the production of semiconductor chips and other electronics components, as well as the labor-intensive segment, including final assembly of personal computers and smartphones. In this chapter, we examine Taiwanese electronics industry’s roles in both of these segments by focusing on two Taiwanese giants, Foxconn and Taiwan Semiconductor Manufacturing Company (TSMC), the former being an example for the labor-intensive segment of the supply chain, while the latter being an example of the capital-intensive segment. In particular, we analyze the two focal firms’ respective “playbook” that has led to their enormous success, and explore the emerging challenges they face and their strategic responses to these challenges. The chapter concludes with a brief assessment of the future prospect of these two firms, and by extension, Taiwan’s electronics industry in general.
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Acknowledgments
The completion of this chapter was supported by a special research grant to Bu by the Smith School of Business at Queen’s University. We are very grateful for the insightful and constructive feedback from the two anonymous reviewers and the brilliant advice from the editor, Professor Terry Wu.
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Hao, D., Bu, N. (2022). The Broad and Pivotal Roles of Taiwanese Electronics Industry in the Global Electronics Supply Chain: A Case Study of Foxconn and TSMC. In: Wu, T., Bu, N. (eds) International Business in the New Asia-Pacific. Advances in Theory and Practice of Emerging Markets. Springer, Cham. https://doi.org/10.1007/978-3-030-87621-0_6
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