|dc.description.abstract||Nowadays, the LCD TVs replace traditional CRT TVs gradually. At the same time, the Ministry of Economic Affairs is promoting a ＂Two Trillion and Twin Star development＂ program, the LCD TV industry grows rapidly in ten years. The intense competition makes the price of LCD TV reduce gradually. Therefore, most of panel manufacturers take backward integration in order to reduce costs.
To avoid the conflict between customers of panel manufacturers, most of manufacturers separate panels and TV production. This research takes A company for example, because the company is the first one to take the forward integration. Then, this study analysis the environment of LCD TV industry, explore how to take the forward integration to maintain the competitive advantage from the procurement, manufacturing, R&D design and product management respectively.
The results indicated that after integration, the costs of procurement, manufacturing and overall production can be declined. The technological innovation not only reduces design cost, but also makes production efficiently. Besides, the company can get the information earlier than his competitors, and provide customers total solutions.
Although the total efficiency of integration is limited now, we estimated the efficiency will be better when the production reach economies of scale, and it will bring the company more profits in the long run. In addition, to maximize the effectiveness of forward integration, company should do the comprehensive plans and revise the organizational structure completely.