Research On Differentiation Strategy Of Touch IC In MS Semiconductor Company

This paper is based on the case of MS Semiconductor Corporation, the enterprise that the author works in. It puts forward the general idea that differentiation strategy can be the touch IC competitive strategy, describes the implementation of this strategy from four aspects, brand image, product design, service and distribution, and provides some safeguard measures on organization, technology and financial, according to the enterprise actual situation.This paper, using the structured analysis methods of PEST (Political, Economic, Social and Technological) and Porter’s industry structure model, analyzes the external competitive environment of MS Semiconductor Corporation and finds out the key factors influencing the internal and external competitive strategy of touch IC industry. Moreover, from the enterprise culture, finance, human resources, technology, marketing, service and so on, this paper analyzes the internal resources and capacity of MS Semiconductor Corporation and finds out the source of its competitive advantage and disadvantage on the base of the transverse comparison with its main competitors.The key part of this paper is about the choice of differentiation strategy. Before choosing strategy, an overall evaluation of the internal and external key factors of MS Semiconductor Corporation is conducted by using EFE matrix and the IFE matrix. Then with SWOT matrix, the classic strategic analysis tool, the matching and qualitative analysis of the company’s internal strengths, weaknesses and external opportunities and threats as well as the corresponding countermeasures are pointed out. Based on those given countermeasures, cost leadership strategy and differentiation strategy are chosen as the alternative strategies. In strategic decision-making stage, the author evaluates the advantages of alternative strategies and their implement risk first. Then using QSPM matrix, these two strategies are scored by panel of experts. They give different weights to the internal and external factors of them, judge whether the strategy can give a full play to the advantages of the company, overcome the disadvantages, seize the opportunity, and face the threat. In the end, the differentiation strategy is determined as the touch IC competitive strategy of MS Semiconductor Corporation.This paper, which has done a lot of research and studies on the touch IC industry and the related IC design companies, always around enterprise competition and strategic management, can be the reference for MS Semiconductor Corporation and other similar enterprises in competitive strategy making and its implement.