The Business Strategy Evolution Model of Multinational Enterprise An Example of S Enterprise in Fastener Industry

• Main Authors: Shueh-Hong Tsai, 蔡雪紅
• Other Authors: Tsuen-Ho Hsu
• Format: Others
• Language: zh-TW
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/75217201790295055092

碩士 === 國立高雄第一科技大學 === 行銷與流通管理所 === 93 === This research has investigated the evolution of S enterprise, a fastener company in Taiwan, since its establishment for almost 20 years. It used Field Research, Evolutional Theory, Dynamic View of Strategy and B-B Processing Model to derive the dynamically evolutional model of business strategy in every period. This research discovered that the business strategy of the case company, S enterprise, presented a continuous revolution and one-way dynamic model in 3 evolutionary periods. This model has 3 periods and bases on the following 3 driving forces: 1) variation, 2) option, 3) retention, to proceed the evolution. Its procedure will be explained as below: 1) The stable orderly period of trading Variation: 1.The fully booked capacity of cooperative manufactures. Option: 1.Establishment of outsourcing system. Retention: 1.Control ability of outsourcing system, 2.Resource complement to satisfy customers’ demand, 3.Extablishment of supply chain. 2) The galloping complicated period of overseas development Variation: 1.Dramatic change of financial market, 2. Anti-dumping accusation on Taiwan’s fasteners. 3.Globalization. Option: 1.Search of overseas low-cost manufacturing base to invest. Retention: 1.Factory set-up in Malaysia, 2.Use of global resource on the production cycle of supply chain to raise competition. 3) New Stable Orderly Period of Strategic Transformation Variation: 1.External pressure to enhance the transformation of business strategy. 2.Internal adjustment and up-grade to find out future trend. Option: 1.Organizational restructuring, 2.Introducing MIS system, 3. Establishing the innovation ability of Marketing and R&D. Retention: Sustainable competitive advantage: 1. process control ability, 2.quick-response ability, 3.image of brand name This Thesis concluded 7 subjects on Field Research: 1. Through the connection of financial and social relationship network, the corporation has kept a close supply-demand relationship with customers, and exchanged complementary resources to build up a good co-operative relation of production and marketing, and hence, to obtain excess profit. 2. In the fastener industry, the trading companies can control the manufacturing cost structure and obtain excess profit by outsourcing the production. 3. Generally, fastener trading companies have the phenomenon of double “Attractors Factors”, one is the clients, and the other is the manufacturers. By utilizing financial and social motives, they cooperate with the manufacturers to strengthen the effect of supplier’s factor, and result in a phenomenon of single attractor factor. 4. The fastener business owners changed their logic of management model from centralization to decentralization due to internationalization. 5. the anti-dumping duty had great impact and affect on enterprise to move out. 6. The purpose of moving-out was to retain the strength of cost competition in production of global supply chain. 7. In order to establish an international brand, the fastener company had to develop high-tech and niche products and introduce international e-commerce platform, new production technique as well as its own technique of R&D team to keep the long-term competitive strength in the global market. Above 7 subjects briefly explained the implication of business strategy in fastener industry and made us understand its developing course as well as the evolution of business strategy. Moreover, they concluded the key successful factors of fasteners and the core value of competition, and this can be an example and/or reference of top management in fastener industry.