| dc.description.abstract | After decades of development in the global LCD panel industry, the panel industry has experienced a development process from the United States, Japan, South Korea, Taiwan to China in sequence. The LCD panel industry has a wide range of application markets, including TVs, desktop monitors, notebook computers, mobile phones, etc. The global LCD panel market continues to expand and grow. In 2018, China surpassed South Korea and Taiwan to become the world′s largest LCD panel producer. The global LCD panel industry has undergone tremendous changes, and Taiwan and South Korea are facing continuous challenges from China.
The “Structure-Conduct-Performance” (SCP) framework theory is utilized to analyze the market structure, manufacturers’ conduct, and business performance of the LCD panel industry, and explores the LCD panel industry’s development based on the current development of the consumer electronics industry. This study analyzes the current situation and makes suggestions for the future of the industry.
The results of the study show that the LCD panel industry is an oligopolistic market. In addition to setting up factories to expand production capacity, LCD panel manufacturers have adopted mergers and acquisitions to increase market share and expand economies of scale. It is not easy for new manufacturers to enter the LCD panel industry. The products and markets of the manufacturers overlap with each other, and the competition among them is very fierce. Due to the existence of competing manufacturers, it is impossible to differentiate prices for brand customers. Therefore, the final price of LCD panels in the oligopolistic market is determined by competing manufacturers. However, the past strategy of the LCD panel industry for capacity competition has not worked. Manufacturers should introduce automation to effectively enhance productivity and increase competitiveness, and develop new panel technologies to adjust product strategies toward niche applications. As the new crown pneumonia epidemic has changed people’s lifestyles, the demand for home work, remote learning, and home entertainment has been increasing. This has led to a substantial increase in terminal consumer products such as TVs, desktop monitors, and notebook computers, which indirectly drives LCD panels. Demand has also grown substantially. Comprehensive financial indicators, the profitability of LCD panel manufacturers has changed greatly, because the LCD panel industry is affected by the balance of supply and demand in the LCD panel market. | en_US |