Abstract
Due to the severe greenhouse effect and the decreasing reserveof fossil fuels, governments in the world have put more emphasis onthe strategic use of renewable energy. Taiwan also considers the solarphotovoltaic industry to be one of its important industry targets con-cerning effective and efficient renewable energy exploitation. However,the development of solar photovoltaic industry, in comparison to otherhigh-technology innovation developments in this island country, is stillway behind. This research adopts Porter’s diamond model as a theoreti-cal basis and uses the decision-making trial and evaluation laboratory(DEMATEL) to explore how to establish the competitiveness of Taiwan’ssolar photovoltaic industry based on the interactions among factors ofindustrial development. Our empirical results show that demand con-ditions, government support, and related supporting industries arethree factors that mainly affect the country competitiveness of its so-lar photovoltaic industry. Factor conditions and firm strategy, structure,and rivalry are then the affected factors of the establishing of Taiwan’scompetence in solar photovoltaic industry. Moreover, according to prag-matic results, this research provides policy suggestions for the relatedauthorities to refer.
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