A Study on Contingency Theory and Strategies of Setting Technical Standards and Formats in High-Tech Industry

• Main Authors: Li-Yun Liu, 劉麗雲
• Other Authors: 蔡瑤昇
• Format: Others
• Language: en_US
• Published: 2008
• Online Access: http://ndltd.ncl.edu.tw/handle/a759br

碩士 === 國立臺北科技大學 === 工業工程與管理研究所 === 96 === Knowing High-Tech industry was characterized with unique high marketing and technological uncertainty along with the competitive volatility at the same time, importance of setting technical standard or specification in some cases to become industry mainstream of adoption as primary strategy is fully recognized by the industry. Personal computer (PC) industry started in ’80s and ramp in ’90s, the PC form factor, evolving over the decades, now is very diversified to serve various market segment of usage model, performance level and price range. As the processor industry leader that has a relatively good position in driving PC form factor specification adoption, Intel did introduced multiple form factors to the market. Some of them were successful, some not. In the PC arena, ATX (Advanced Technology eXtended) has been widely adopted and now still possesses the leading position for mainstream segment. BTX (Balanced Technology eXtended) was strongly promoted by the same company but ended up with a very disappointed market adoption level. In this research, we like to figure out the factors that influence the result by taking ATX vs. BTX example as the study case. Hopefully, there will be some conclusion and suggestion generated from the learnings of this research. The high tech marketing strategy contingency theory and the continuum of innovation (increamental vs. breakthrough model) are the fundamental theories to start with, other supporting theory or model include market adoption curve and competitive strategy options and benefit-cost-risk analysis of those options. ATX and BTX enabling strategy and execution process will be analyzed in above model and be compared with their common/different area for summarization. In the technical vs. business 2-dimensional coordinate of innovation attribution analysis, ATX and BTX was attributed in first and third quadrant respectively, ATX obviously is technical plus business increamental and BTX, in contrast is technical plus business breakthrough. The marketing strategy for ATX and BTX should be different according to the high tech marketing strategy contingency model. The gap between the success level of ATX and BTX proves the innovation attributing is the basic and important first step of making strategy according to the contingency model. Furthermore, Intel drove market adoption for both ATX and BTX by taking similar strategy – broad enabling which is different from known four options. This broad enabling strategy worked well for ATX but not on BTX, the options should be modified with the industry competitive factors of external and internal environment fully considered. Those factors may include but not limited to the cost competitiveness, customer feedback and new technology superseding. Lastly, the strategy plan making should be well-synergized between marketing and R&D departments for any attribution of innovation in the technical vs. business attribution continuum analysis. The strategy makers should avoid single-sided leading on strategy setting. A biased marketing strategy will not balance between marketing pull and technical push, therefore, implies higher risk in driving the successful market adoption.