Location Choice of Overseas Branches in TFT-LCD and COMPRESSOR Industry

• Main Authors: Chan-Min Chang, 張展銘
• Other Authors: Chun-Ju Wang
• Format: Others
• Language: zh-TW
• Published: 2009
• Online Access: http://ndltd.ncl.edu.tw/handle/j6k8w3

碩士 === 銘傳大學 === 國際企業學系碩士在職專班 === 97 === In order to keep growing and reap profit under a changing environment and resource limitation, companies take the chance of differences in factor costs between nations to lower down production costs through locating their value activities in different countries. In addition, firms may choose locations for the purpose of developing overseas markets or gaining other competitive advantages. There are many potential factors which may influence the overseas location decisions. This study analyze four main factors: key success factors of the industry, conditions of the host country, core capabilities of the firm, and the communications or interactions between value activities. This study suggest that, in addition to the direct effect of the each of the factor, they also influence the location decision in a interactive way. Furthermore, through the comparison of two firms in TFT-LCD and COMPRESSOR industry, this study found that the advantage of host country condition is the most important factor when choosing their overseas location. Key success factors of the industry, core capabilities of the firm, and interaction between value activities are in the next place. Therefore, this study suggest that when deciding their overseas location, firms should consider the characteristics of the industry and products, and use their core capabilities in consideration of the host country conditions and the necessary interaction between value activities, in order to achieve the goal of reducing the costs or satisfying customers.