Strategic Analysis: semiconductor industry

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With the changing economic environment, factors such as globalization of markets, international economic integration, removal of barriers to business and trade and increased competition have enhanced the need of new technological innovations and semiconductor industry.


Each year, more than 100 state-level research projects undertakes around the world. "An appropriation of $20 million to match the semiconductor industry's support for the Focus Center Research Program, which supports pre-competitive research on microelectronics technology at 30 universities to ensure continued U.S. leadership throughout the remaining years of the CMOS era" ("Semiconductor industry Association", 2005). It has developed into an integrated business with commercial interests spanning household appliances, telecommunications, information technology, international trade and real estate.
Semiconductor industry has maintained high-speed growth through continuous optimization of is product mix and constant technological innovation. It has also realized rapid expansion through capital injections. Its main products used in TV sets, air conditioners, computers, mobile phones, refrigerators, computer software and network equipment. Present day situation in semiconductor industry is marked by two factor - specification, which is to do with the 'design quality' of service, and conformity, which is to do with the 'process' quality which is achieved are of particular importance to customers.
With the success of its new digital technologies, stating in the end of 1990s, semiconductor industry began to rationalize its product lines by selling off subsidiaries whose products were not key to its competitive strategy (Spemcer, 2 ...
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