Journal of Administrative and Business Studies
Details
Journal ISSN: 2414-309X
Article DOI: https://doi.org/10.20474/jabs-4.2.5
Received: 28 February 2018
Accepted: 21 March 2018
Published: 18 April 2018
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  • Combining data envelopment analysis and competitive dynamic theory for exploring global smartphone manufacturers' performance


Wei-Lun Tsai, Ping-Teng Chang

Abstract

According to the latest research report released by the Global System for Mobile Communications Association (GSMA), it is estimated that the number of mobile users will increase to 5.7 billion by 2020. Representing Mobile Communications and smartphones has changed the world. In the recent decade, the smartphone market has been booming. Taiwan manufacturers have entered the market early and have good performance. However, in recent years, smartphone annual market sales have gradually decreased, leading to intensified market competition. This study explores the well-known brand manufacturers in the smartphone market. In a dynamic environment, how the interaction between competitors affects the competition results and finally affects the business performance. This study uses the competitive dynamic theory as an analytical tool to explore the competitor's competitive process and apply Data Envelopment Analysis (DEA) to calculate the performance of firms after a competition. Finally, the results are combined with the BCG matrix to summarize the direction and suggestions for Taiwan manufacturers to improve further. The results of this study are 1. All of the competitor's efficiency performances are maintained in good condition. The key factor that impacts whether a company can continue to grow or not is Malmquist Index. 2. Dominant Design Paradigm can be regarded as a demarcation point. Before that, patent application, trademark, and intellectual property rights as the main competitive advantage. After that, supply chain integration, marketing channel, brand value as the main competitive advantage.