August 2009
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1 Read
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August 2009
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1 Read
August 2009
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45 Reads
This chapter gives a brief overview of the history of the semiconductor industry; how it has transformed computing, communications, entertainment and industry; and how it has helped in the betterment of US productivity and growth after the war. It introduces the eight crises, or major issues, that have impacted and still affect the industry today. Through their examination, it will be easier to understand how countries and companies can achieve a global competitive advantage or encounter failure in the rapidly changing industry. Using an economic framework for the analysis, the chapter showcases the methodology through which the book shall analyze the semiconductor industry. Finally, Moore’s Law is explained and defined within the context of the research and presentations provided in the book’s framework to further discuss the globalization of the semiconductory industry.
August 2009
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2 Reads
August 2009
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1 Read
August 2009
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1 Read
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2 Citations
August 2009
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1 Read
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2 Citations
August 2009
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1 Read
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1 Citation
August 2009
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1 Citation
March 2009
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1,192 Reads
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207 Citations
Communications of the ACM
A framework for analysis based on financial measures of value capture is developed and is used to study one iPod model to provide the answer as to which country captures value in a global innovation network. The Apple iPod is manufactured offshore and has a global list of suppliers, but the greatest benefits from this innovation goes to Apple, an American company. Apple has developed very specialized knowledge and ways of doing things that reside within the company and would be difficult to transfer to external locations. Firms are increasingly globalizing innovative activities, but at the same time, most firms keep a substantial base of operations in their home countries. The producers of high value, critical components capture a large share of the value of an innovative product. As long as the US market remains dynamic, with innovative firms and risk-taking entrepreneurs, global innovation should continue to create value for American investors and well-paid jobs for knowledge workers.
January 2009
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850 Reads
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71 Citations
Globalization skeptics argue that the benefits of globalization, such as lower consumer prices, are outweighed by job losses, lower earnings for U.S. workers, and a potential loss of technology to foreign rivals. To shed light on the jobs issue, we analyze the iPod, which is manufactured offshore using mostly foreign-made components. In terms of headcount, we estimate that, in 2006, the iPod supported nearly twice as many jobs offshore as in the United States. Yet the total wages paid in the United States amounted to more than twice as much as those paid overseas. Driving this result is the fact that Apple keeps most of its research and development (R&D) and corporate support functions in the United States, pro-viding thousands of high-paid professional and engineering jobs that can be attributed to the success of the iPod. This case provides evidence that innovation by a U.S. company at the head of a global value chain can benefit both the company and U.S. workers.
... US semiconductor companies were under increasing pressure from emerging Japanese competition with strength in products such as dynamic random-access memory chips. In 1987, a US report found that Japanese manufacturers outperformed US companies in 12 of 25 major semiconductor products while the US companies excelled in only five (Brown and Linden, 2009). Also, Japanese firms had lower costs of capital than their US competitors, which increased pressure to remain competitive (Irwin, 1996;Shoven and Topper, 1992). ...
August 2009
... Physical soil characteristics have significant effects on water quality, the water cycle in the atmosphere, the soil water-holding capacity, hydraulic conductivity and the organic-inorganic composition (Lal and Shukla, 2004). Physical soil characteristics have become even more significant since the agricultural production area per capita worldwide began continuously decreasing (Brown, 1991;Engelman and LeRoy, 1995). Some physical and chemical characteristics of the soil samples taken from the profiles excavated over the terraces are provided in Table 2. Soils of the 1 st terrace were sandy in texture. ...
August 2009
... It is not clear, however, whether this state of affairs remains the same in the future. First, evidence suggests that the main growth engine of the world electronics market is shifting from volatile corporate IT investment to relatively stable household consumption, thanks in part to the availability of an increasingly wide range of consumer electronics and related services (Linden et al. 2003 Lastly, we note that trade and industry factors were able to explain a relatively modest part of income co‐movements in the Asia‐Pacific region, leaving a major part of their cross‐country variations unaccounted for. Moreover, although monetary union might indeed help promote trade in East Asia, the fact that many of the regional economies are already quite open and export substantial proportions of their output raises questions concerning the extent to which further trade helps synchronize their business cycles. ...
November 2003
... Dynamic capabilities view (DCV) refers to a firm's powers to integrate, build, and reconfigure internal and external skills to address rapidly changing environments. These are the abilities required for both sustaining success and expanding the market [47]. Further, Teece [48] states that a company's DCV determines its business model design proficiency. ...
December 2018
Industrial and Corporate Change
... Value is seen as a multilevel perspective that refers to both the content and the process of new value creation (Lepak, Smith, & Taylor, 2007). Value creation and value capture should be viewed as distinct processes since the source that creates a value increment may (or may not) be able to capture or retain the full value in the long run, which is especially true in CDR: the value captured by the IC might be different than the value that the CC will be able to capture from the DR stand-alone (Lepak et al., 2007;Schmidt & Keil, 2013;Teece & Linden, 2017). The better a CC is able to articulate the VP for the IC, the more value it will be able to capture. ...
August 2017
Journal of Organization Design
... Accordingly, the definitions of appropriability generally include protection of and profiting from innovation as central aspects (e.g., Ahuja et al., 2013;Teece, 1986). According to the Palgrave Encyclopedia of Strategic Management (Linden, 2016), appropriability is "the degree to which the social returns to innovation can be privately appropriated" [emphasis added]. This aligns with the early definitions of appropriability as "a function both of the ease of replication and the efficacy of intellectual property rights as a barrier to imitation" [emphasis added] (Teece, 1998, p. 66), or as summarizing "the possibilities of protecting innovations from imitation and of reaping profits from innovative activities" [emphasis added] (Malerba, 2002, p. 252). ...
June 2016
... First, they behave opportunistically and allocate resources for their own use, while misusing shareholder capital. Second, resources are allocated for high-yield purposes (Linden and Teece, 2018) without considering longterm benefits. ...
June 2016
... While knowledge-intensive firms generally seek to avoid information spillovers and are therefore motivated to internalize innovation projects within the boundaries of their preexisting networks, Japanese firms have been extreme in this regard. Whether in domestic or global arenas, they have shown a marked reluctance to partner with rivals or even strangers, a pattern criticized in recent years for contributing to Japan's faltering competitiveness (Brown and Linden, 2010);Chesbrough, 2006;Dubarric and Hagiu, 2009). 2 H1b: Two Japanese firms are less likely to form a strategic alliance if they are affiliated with different keiretsu or if one is in a keiretsu and the other is not than if they are coaffiliated with the same keiretsu or if both are independents. ...
January 2010
... In this regard, prior investigators have provided valuable early insights into governance and upgrades in GVCs. First, previous studies have emphasized that GVC governance captures opportunities for value creation through knowledge flow and relationship management by the control and coordination mechanism of the network (Sturgeon & Linden, 2011). Therefore, SMEs should participate in GVCs to create value while continuously acquiring helpful information and knowledge resources. ...
January 2011
... Since DCs are essential for shaping, refining, and transforming BMs that are deeply intertwined with change, researchers frequently employ the DCs framework to investigate BMI (Teece, 2007;Teece, 2018). However, many studies focus on systems and processes at the organizational level, such as organization design (e.g., Fjeldstad & Snow, 2018;Leih et al., 2015;Teece, 2018), which may reflect the general tendency that specific roles played by managers are still relatively less discussed in corporate strategy formulation (Choudhury et al., 2020). Although limited research has addressed the microfoundations of DCs for BMI, some studies have identified specific organizational practices (e.g., Santa-Maria et al., 2021) and cognitive managerial behaviors (Aspara et al., 2013;Schneckenberg et al., 2016). ...
February 2015