| Summary: | 碩士 === 國立雲林科技大學 === 企業管理系碩士班 === 102 === With three small and medium sized manufacturers of pumps in Taiwan as the subjects, the study investigates the respective strategies they are adopting in order to hold market share in the competitive market.
The study conducted in-depth interviews with these three manufacturers of different types of pumps to explore their perspectives and applied strategic matrix developed by Dr. Szu-Tu(1995). Each case study was deconstructed into six dimensions to filter out important information on how smaller firms can perform well against much larger competitors or even international ones. Based on the findings of the study, the following observation notes were made:
1. D or H type of pump manufacturers can achieve the economies of scale and cost advantage, low vertical integration by making standardized products.
2. S type pump manufacturers can make customized products and high vertical integration with a flexible manufacturing system that allows the company to react in case of changes to meet customer needs.
3. Pump companies can promote continuous and decisive efforts to improve product quality and provide customers with enhanced maintenance and service support to help build loyalty to the brand, product and the company.
4. The pump industry is not characterized by economies of scale. It is a fragmented industry that is comprised of many small firms. Even a small company can survive. Due to information asymmetry, service usually outweighs price in the industry.
5. If have no economies of scale , most pump manufacturers outsource cast parts as casting involves specific materials, labor, and foundry equipment.
6. Most pump manufacturers market and sell to businesses(B2B). The long term relationship with the suppliers, distributors and customers are extremely important on sustainable development and adopting sustainable business practices.
Keywords: Pump industry、Business strategy、Economies of scale
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