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In recent years, the Taiwanese electronics industry, the semiconductor and display panels of “Two Trillion and Twin Star“ have become familiar to most, but we have not noticed a third that is about to break through the trillion dollar business that is the printed circuit board (PCB) industry. Printed circuit boards are found in all electronic devices we use. It is the most critical component of these electronic devices. Therefore, the electronics industry considers PCB to be "mother of the electronics industry."
This study uses the "five force analysis" and "SWOT analysis" to analyze the manufacturing part of the PCB industry chain, which accounts for about 70% of the total output value.It found that the PCB manufacturing industry follows Michael E. Porter's "Basic Competitive Strategy". However, his model does not allow niche-based PCB manufacturers to maintain a competitive advantage. Therefore, the main questions asked here using case studies of Company A and Company B prepared by the researcher are :
1) Through researching the two cases, Company A and Company B, what are the competitive factors for maintaining the profitability of manufacturers in Taiwan's niche-based PCB industry ?
2) How do Taiwanese niche-based PCB manufacturers maintain high profits and also maintain competitive advantage?
Faced with the threat of a mainland “Red supply chain”, the development of a large-scale production mode is no longer advantageous for Taiwan, and the low-entry threshold for PCB manufacturing must thus be transformed. The main contribution of this research is examining the theoretical framework of the "Innovation Six Strategies" to develop a competitive strategy for niche-based PCB companies, and provide a viable reference for advanced entrepreneurs in Taiwan and want to enter this industry.
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