| dc.description.abstract | Taiwan is one of the most important global IT manufacturers, and the IT industry in Taiwan stays in a high-growth phase. The governmental promotion on digital technology, however, causes lack of focus on “analog” IC that is put by Taiwanese IT industry. Consequently, the rate of local manufacture of analog IC is small, and import is the only solution for the surging demand of analog IC. This results in that international, rather than domestic, analog IC brands dominate the Taiwanese market. The global market share that Taiwanese analog IC manufacturers hold is less than one percentage point. However, by investing on R&D and product certificates, as well as collaboration with IT industry, the Taiwanese analog IC industry is still promising.
Based on S-C-P model, this research analyzes the development of Taiwanese analog IC industry, as well as the interaction between firm behavior and market structure. Also, a game-theory model is employed to conduct the equilibrium analysis of the industry.
According to the result of Stackelberg quantitative competition analysis, the current Taiwanese IC designers could benefit from the vertical integration of leading companies. This also provides a new way of thinking for new comers to the industry.
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