Abstract
The prosperity of semiconductor industry facilitates the variety of IC design houses in Taiwan. Every IC design house has its own advantages in the market competition & builds its own value & position in the market accordingly. As the competition within the IC design industry becomes more & more intense, how to develop new products, dig out novelty, & explore new niches in the market becomes an important issue for every IC design house. This work is an Exploratory Study with the Data Collection Method to analyze the key points of why the IC design industry in Taiwan could form advantages in the competition according to the Diamond Model. The case study adopts the Five Forces Model to find out the five forces which affect the competitive advantage of a company. Moreover, the Value Supply Chain Model is adopted to analyze the interior environment of the studied company to discover its unique ability which can be used to get higher value & profit in the market & to create greater advantages in competition. Finally, the best competitive strategy of the studied company is derived from the analysis of the gap between execution & operation performance of the studied company & its competitors’ operation performance. The research results show that the following two strategies can be adopted to improve the competitiveness in the IC design industry. 1.In order to accommodate to the trend of the bigger the stronger in the IC design industry, the IC design houses in Taiwan could get greater momentum through mergers or acquisitions. 2.Investment in IC design houses or silicon IP corporations with promising & unique techniques could earn superior techniques which can be integrated into systems. Based on the results of case study, four suggestions are proposed for IC design house of USB IC in Taiwan:1.collaborating in research & development,2.exploiting new niche market,3.reorganizing organizations & strengthening functionalities of every department,4.recruiting professional researchers & designers.
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