Alternative technological learning paths of Taiwanese firms

ABSTRACT

The OEM–ODM–OBM paths of technological learning of late-comer firms are well documented in previous studies. Taiwan is one of the leading countries taking this traditional path. By using five cases of Taiwanese firms in mature industries like machinery, electronics parts, food processing and furniture, and in an emerging industry like 3D camera, explore alternative technological learning paths. It aims to explain how alternative paths happened and evolved overtime. Four alternative learning strategies were found: independent suppliers, startups, path breakers and specialization in high-valued activities. Government financial incentives for R&D and new product/system development beyond existing activities under OEM/ODM arrangement; supports from universities, public research institutes to develop sophisticated technological and innovative capabilities; and assistance from international trade promotion agencies, and government-sponsored industrial associations for accessing new and niche markets in advanced countries are important for firms to pursue these alternative technological learning paths.

KEYWORDS:

• Late-comer firms
• Taiwan
• technological learning
• global value chains
• transnational corporations

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Ya-Ling Huang is a Researcher at Taiwan External Trade Development Council (TAITRA); [email protected].

Patarapong Intarakumnerd is a Professor at National Graduate Institute for Policy Studies (GRIPS); [email protected].

Additional information

Funding

This work was supported by Policy Research Center of National Graduate Institute for Policy Studies (GRIPS) (P181RP201); Japan – Taiwan Exchange Association.