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How Taiwan's semiconductor distributors select strategic partners in China

How Taiwan's semiconductor distributors select strategic partners in China Purpose – Taiwan's semiconductor industry continues moving out to China, therefore Taiwan's semiconductor distributors must cooperate with the local distributors in China in order to survive. The purpose of this paper is to discover the key factors considered by Taiwan's semiconductor distributors when selecting partners in China. Design/methodology/approach – This study summarizes the factors from the literatures and the experts' discussion, then develops a hierarchical structure. Using DEMATEL and MMDE to construct the causality of the dimensions, which are then taken as the basis for the development of the analytic network process (ANP) framework. Finally, it gets the weight values of various factors through the results of ANP, which serves as a proposal to discuss how Taiwan's professional semiconductor distributors select partners in China. Findings – According to the weight of the ANP, results show that trust and commitment, scale, market share and corporate culture are factors that increase the possibility of collaboration. Originality/value – China has become a favorite for foreign investments. Taiwan's semiconductor distributors must actively expand the China market in order to maintain their survival. This study focuses on Taiwan semiconductor distributors who want to invest and establish factories in China, and investigates the key factors that are involved in the selection of partners for Taiwan semiconductor distributors. The results can increase the chances of success among cooperative members. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Technology Management in China Emerald Publishing

How Taiwan's semiconductor distributors select strategic partners in China

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Publisher
Emerald Publishing
Copyright
Copyright © 2012 Emerald Group Publishing Limited. All rights reserved.
ISSN
1746-8779
DOI
10.1108/17468771211207330
Publisher site
See Article on Publisher Site

Abstract

Purpose – Taiwan's semiconductor industry continues moving out to China, therefore Taiwan's semiconductor distributors must cooperate with the local distributors in China in order to survive. The purpose of this paper is to discover the key factors considered by Taiwan's semiconductor distributors when selecting partners in China. Design/methodology/approach – This study summarizes the factors from the literatures and the experts' discussion, then develops a hierarchical structure. Using DEMATEL and MMDE to construct the causality of the dimensions, which are then taken as the basis for the development of the analytic network process (ANP) framework. Finally, it gets the weight values of various factors through the results of ANP, which serves as a proposal to discuss how Taiwan's professional semiconductor distributors select partners in China. Findings – According to the weight of the ANP, results show that trust and commitment, scale, market share and corporate culture are factors that increase the possibility of collaboration. Originality/value – China has become a favorite for foreign investments. Taiwan's semiconductor distributors must actively expand the China market in order to maintain their survival. This study focuses on Taiwan semiconductor distributors who want to invest and establish factories in China, and investigates the key factors that are involved in the selection of partners for Taiwan semiconductor distributors. The results can increase the chances of success among cooperative members.

Journal

Journal of Technology Management in ChinaEmerald Publishing

Published: Feb 10, 2012

Keywords: Taiwan; China; International business; Partnership; Decision making; Trust; Strategic partnership; Semiconductor distributors; Analytic network process

References