| dc.description.abstract | Taiwan is renowned for its OEM (Original Equipment Manufacture) enterprises, and the products are all labeled MIT (Made in Taiwan), which assures low price and high quality. In the early stages of development, these enterprises mostly played a role of OEM as their main business in the international division of labor. By making use of the abundant and cheap labor, they provided OEM services for the making, assembling and the like of scientific and technological products needed in the international market. But the major disadvantages of this kind of business were its unstable order resource, as well as the benefits lost in the products marketing and designing stage. So with the growth of manufacturing experience and greater investments in exploiting new products, most enterprises later changed its business pattern from OEM to ODM (Own Designing Manufacturing).
The manufacturing industry that Taiwan enterprises have taken pride in has long lost its competitive power due to the low labor costs in mainland China, but the intelligence information and technology industry as well as high-additional-value products offer these enterprises an opportunity that comes around once in a blue moon—the Chinese mainland will become the biggest market for all sorts of products in the world and with the changes in their marketing environment and values, Taiwan enterprises have started another form of development—running brand; but to establish brands requires the support of their own manufacturing industry and a vast market in China. Brand management offers great potential of autonomy. To make more profit, an enterprise can make plans in accordance with the needs of the market. The enterprise is no more running OEM, to which value is not added, but making full use of its creativity and knowledge for value-added products. Managing a brand is managing, creating and adding value.
The enterprise this research was conducted on was not originally a brand enterprise, but one under the support of its powerful OEM manufacturer, after the success of its strategies, such as reduction of cost and diversification of products when its output had reached economy of scale. Although this enterprise has accomplished a lot in running brands in mainland China in recent years, sales of products were growing negatively or just remains retarded, and the profits were decreasing annually. Besides the competition among Taiwan enterprises of the same trade, it was enveloped under the pressure of the combination between local and international enterprises. How to strengthen its current advantages in the rapidly changing environment? How to rethink and adjust its marketing as well as enterprise strategy to meet the challenges of the future? | en_US |