Choices of Foreign Market Entry Mode for Taiwanese DTV Manufacturers - Perspective of Transaction Cost Economics Theory

論文摘要 本研究主旨在以台灣數位電視製造商的角度，探討以交易成本理論為觀點，如何選擇國際市場進入模式。交易成本理論自Ronald Coase於1937年提出以來，已被廣泛應用在任何牽涉到 “交易成本” 的商業活動中。任何廠商在選擇進入國際市場之前，必然會遇到 “交易成本” 的發生，進而影響到交易後的效益，因此廠商不得不謹慎行之。 本研究引用Coase及Oliver Williamson的交易成本理論，來探討國際市場進入模式的過程中，廠商會面臨的各式各樣成本。基本上，國際市場進入模式有四種：「代理商」、「授權」、「合夥」及「獨資」，其各有優缺點；不同廠商的經營模式、營業規模、資產專屬性、國際化經驗等特性均會影響到不同的交易成本，進而影響到國際市場進入模式的選擇。 本研究引用不同學者的交易成本理論實證，如何影響國際市場進入模式的選擇。台灣數位電視製造商，具有數位電視產業聚落效應帶來的成本優勢，但即使擁有這優勢不一定能夠轉成國際競爭優勢。本研究進而分析廠商在不同商業模式之下 (OEM、ODM、OBM) 的研發能力、市場知識程度、資產專屬性、國際化經驗程度, 外部環境不確定性等因子，如何選擇國際市場進入模式。 本研究重申確認不同學者的交易成本理論實證研究，可以協助台灣數位電視製造商如何思考選擇國際市場進入模式；除了一般經理人的直覺式思考邏輯之外，本研究也提供了一個理論基礎架構，做為經理人參考。為能維持交易成本理論之整體性及本研究之完整,未來的研究應導入資源基礎及折衷架構等理論強化本研究之實證基礎. 若國外投資計劃牽涉到龐大設廠計劃的時效性, 實質選擇權理論是可以用來考量交易成本應用在國際市場進入模式的選擇. 關鍵詞: 交易成本, 進入模式, 原廠設備製造, 原廠設計製造, 原廠品牌製造Thesis Abstract Executive MBA Program In International Business Management College of Management National Taiwan University Name: Chen, Peter Sheng-Wang Month/Year: June, 2005 Adviser: Dr. Jaw, Yi-Long Choices of Foreign Market Entry Mode for Taiwanese DTV Manufacturers - Perspective of Transaction Cost Economics Theory This paper reaffirms that the empirical studies and findings developed by several scholars on “the choices of foreign market entry mode” from the perspective of Transaction Cost Economics theory can be applicable to the Taiwanese DTV manufacturers for strategic analysis when they think about entering into foreign markets. This paper is qualitative in nature, and it is descriptive and inferential as well. This paper further examines the advantages and disadvantages of the four entry modes: exporting, licensing, joint venture, and wholly-owned subsidiary that are widely used in the international entry strategies. From the perspective of Transaction Cost Economics theory, this paper explores the asset specificity of Taiwanese DTV manufacturers in the level of value-chain completeness, and R&D capabilities possessed by the DTV industry in Taiwan. These two specificities play a crucial role for Taiwanese DTV manufacturers to decide their foreign market entry modes. In particular, this paper analyzes how different business models of OEM, ODM and OBM can influence over their choices of foreign market entry modes. This paper also observes that the factors of environmental uncertainties and the level of international experiences can impact on the entry mode decision of the Taiwanese DTV manufacturers. This paper finally summarizes the propositions induced from the empirical studies applicable to the DTV industry in Taiwan. Its managerial implications for managers and its future research direction are discussed too at the end of this paper. Keywords: Transaction Cost Economics (TCE), Entry Mode, OEM, ODM, OBMTable of Contents Thesis Abstract..………………………………………………………………..5 List of Tables……………………………..……………………………………..4 List of Figures…………………………..……………….………….……….….4 Chapter 1 Introduction…………….…………………..….………..7 1.1 Research Motivations………….….………..…………………..…...…….….7 1.2 Research Questions…………….….………………………….……...……...11 1.3 Research Objectives & Framework..………………………….……….……12 1.4 Research Methodology……….…………..…………………………….…...14 Chapter 2 Literature Review……………………………………..……....16 2.1 Motivations to Enter Foreign Markets……………………………………....16 2.2 Choices of Foreign Market Entry Mode……………………………………..21 2.3 Theory of Transaction Cost Economics……………………………………...31 2.4 TCE Empirical Studies………………………………………………………40 Chapter 3 Display Technologies and DTV Industry in Taiwan…56 3.1 Overview of The Display Technologies……………………………………..57 3.2 Overview of Taiwan DTV Industry……………………………………….…67 Chapter 4 Discussion & Analysis………………………………….74 4.1 OEM-oriented Manufacturers…………………………………………….…75 4.2 ODM-oriented Manufacturers…………………………………………….…78 4.3 OBM-oriented Manufacturers…………………………………………….…80 Chapter 5 Conclusion & Managerial Implications………………....84 5.1 Conclusion…………………………………………………………………...84 5.2 Managerial Implications………………………………………………….….89 5.3 Research Constraints & Future Research Direction…………………………90 References……………………………………………………………93 Appendix………………………………………………………………………..97 Vita…………………………………………………………………..113 List of Tables Table 1. Motivations to Enter Foreign Markets……………………………………..…...17 Table 2. Level of Control over Entry Modes (Hill, Hwang, Kim)…...……………….....29 Table 3. Level of Control over Entry Modes (Woodcock, Beamish, Makino)……….…30 Table 4. Summary of TCE Empirical Studies……………………………………….…..53 Table 5. Advantages and Disadvantages of CRT TV……………………………….…...59 Table 6. Advantages and Disadvantages of LCD TV………………………………..…..61 Table 7. Advantages and Disadvantages of Plasma TV…………………………..……..63 Table 8. Comparison of Different Display Technologies…………………………..…....66 Table 9. Business Models of Major Taiwanese DTV Manufacturers………………..….73 Table 10. Characteristics of Major Taiwanese DTV Manufacturers………………..…..75 Table 11. Summary of Choice of Control Modes for Taiwanese DTV Manufacturers....87 Table 12. Entry Modes of Major Taiwanese DTV Manufacturers…………..……….....89 List of Figures Figure 1. The Forecast of Global TV Demand………………………………………….8 Figure 2. 2004 Global CRT TV Market Share……………………………………....….9 Figure 3. 2004 Global LCD TV Market Share………………………………………...10 Figure 4. Research Framework…………………………………………………..….…13 Figure 5. Motivations to Enter Foreign Markets…………………………………..…..20 Figure 6. International Strategy Options………………………………………………22 Figure 7. Relationships between TCE and Entry Mode………………………….…....39 Figure 8. Summary of TCE Empirical Studies – High Asset Specificity..……….....…55 Figure 9. Summary of TCE Empirical Studies – High Uncertainty..…………….....…55 Figure 10. R&D Asset Specificity and Capabilities……………………………….....…56 Figure 11. NTSC Aspect Ratio…………………………………………………….....…64 Figure 12. HDTV Aspect Ratio……………………………………………………....…65 Figure 13. Choices of Entry Mode for OEM-Oriented Manufacturers……………....…87 Figure 14. Choices of Entry Mode for ODM-Oriented Manufacturers…………………88 Figure 15. Choices of Entry Mode for OBM-Oriented Manufacturers…………………88 Figure 16. Integration of TCE Theory…………………………………………………..9