| Summary: | 碩士 === 淡江大學 === 管理科學學系 === 91 === Abstract:
Taiwan’s entering the World Trade Organization (WTO) improves its international trade status, after experiencing discriminate trade means from other parties for the past two decades. It is also an important milestone for China, who has been seeking for economic development. It is also a meaningful event for the revolution of the foreign affairs of China in recent decades. As the legal system of China becomes more complete, the policies of Chinese government become more transparent, and the overall economic environment improves, the Chinese economy, with enormous size and rapid-growth potential, is fairy attractive to Taiwanese businesses. After Taiwan’s entering WTO, its manufacturing industries keep on accumulating investments in China, and surely this phenomenon will affect the economy in Taiwan.
The plastic products industry in Taiwan has very important role for the manufacturing industries in a whole since the proportion of the product of plastic products industry to the total product of the whole manufacturing industries has been consistently significant, and many of its products rank first in terms of sales in the global market. Due to the recent keener competition in Taiwan, the plastic products industry faces challenges of industrial adjustment as well as industrial transference. This thesis studies the issues of investment in China and proper goals and strategies of those investments by investigating the opportunities and challenges faced by the Taiwanese plastic products firms who decide to invest in China.
The major findings from the cases studied here are summarized as following:
1.After Taiwan entered WTO, the plastic products firms should utilize their competitive advantage and adapt expansion strategy in order to boost their market share in China and improve their profitability.
2.Firms adapting vertical integration strategy or diversification strategy could sustain stable sales growth.
3.For Taiwanese plastic products firms, the total investment in China accounts for 8% to 23% of their total capital in home country. Their capacity in China is about 7.4% of their capacity in Taiwan.
4.For Taiwanese plastic and chemical industry materials firms who invest in China, they should mainly produce ABS in order to maximize profit.
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