The Development of Relations between Taiwan and the People's Republic of China in the High-Technology Economic Sector

By Lin, Yi-Chun | International Journal of Management, December 2005 | Go to article overview

The Development of Relations between Taiwan and the People's Republic of China in the High-Technology Economic Sector


Lin, Yi-Chun, International Journal of Management


The competition between China and Taiwan to attract high-tech industry investment recently has become increasingly severe. This study presents an in-depth analysis of the cross-strait (Taiwan, China) high-tech industry, considering the areas of industrial environment, government policy and industrial performance. This investigation examines the likely influence of WTO entry on increasing industry competition. It reveals that considerable development space exists for improving cross-strait relationships and that a competitive and cooperative relationship may appear during the transformation process.

1. Introduction

Chinese comprise the bulk of the population of Asia. However, owing to different political views, the Taiwan Strait has separated China into two different states, the People's Republic of China (PRC) and the Republic of China (ROC, Taiwan) since 1949. The cross-strait relationship refers to the interaction between these two sides. Following 50 years of separation, both sides developed respective advantages and specialties in science technology. Recently, the high-tech industry has not only created numerous high-tech elites and employment opportunities, but also exerted some very positive effects on international trade, making both sides significant players in the global market. With the global economy remaining gloomy, the Chinese market has attracted enterprises from all over the world. Since its formal WTO entry in 2001, China has been aggressively preparing for challenges from global trade competition. This phenomenon has significantly influenced investment in high-tech industry in China. Many other countries in the world are striving to prevent the magnetic effect between China and Taiwan in high-tech industry. Corporate management thus must create a cross-strait high-tech industry, involving industrial environment, industrial history and industrial infrastructure, to keep up with the development of the Chinese high-tech industry in Asia and succeed in the competitive international market.

2. Criteria for Assessing Industrial Competitiveness

Most researchers from an economic or management point of view study the industrial international competitiveness based on an overall economic environment outside the industry and industrial structure.

In "The Competitive Advantage of Nations" , Porter (1990) applied the Diamond Model to interpret the origins of national competitiveness, including five key elements: factor conditions, demand conditions, related and supporting industries, firm strategy, organizational structure, and two additional elements: government and chance. If a nation has good overall performance in all seven conditions, it will be competitive in some industry in the world. Rugman & D'Cruz (1993) and Rugman & Verbeke (1993) proposed a modified version of the Double Diamond Model that they applied to interpret the trade relationship among Canada, Mexico and U.S.A. Porter (1991) considered that since the Diamond Model is continuing the theory on competitive strategy and advantage and has been verified by field investigations and studies involving hundreds of industry types in dozens of countries (Grein and Craig, 1996), its theory is accountable and has integrity. On the other hand, Buckley (1985) adopted a perspective based on the competitive process to identify the determinants of international competitive as being competitive capability, management process and competitive performance. D'Cruz and Rugman (1993) employed the Five Partner Model to emphasize the importance of upstream suppliers and market scale to international competitiveness. Freemantle (1996) found that improving British industrial competitiveness requires both specialized division of labor and basic infrastructure for scientific and technical development.

Gardener (1990) emphasized the complete integration of research academia, university, industry, government, the importance of technology transfer and high-tech industrial parks to make international competitiveness into a national characteristic. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

The Development of Relations between Taiwan and the People's Republic of China in the High-Technology Economic Sector
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Author Advanced search

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.