A strategic analysis of industrial specialization for new business model of IC design services

Abstract

This research focuses on analyzing the specialization models of emergent high-tech service industry. Particularly, a correlation among six innovation types and eight specialization strategies will be constructed for the analysis of industrial specialization enabled by the service platform model. A new business model of IC design services is also used in this research to demonstrate the validity of this specialization model. Results of the empirical study reveal that the optimal specialization direction for developing Taiwan' s IC design service industry is "marketing brand & channels specialization based on structural innovation", "market diversity specialization based on R&D investment innovation" and "financial strength & investment specialization based on market innovation" with the support of value activities including design, marketing and after service as well as externalities of complementary assets, market and other users.