A study on Hong Kong's electronics manufacturing companies : the correlation between organizational capabilities and firm performance in relationto OEM, ODM and OBM

Pao Yue-kong Library Electronic Theses Database

A study on Hong Kong's electronics manufacturing companies : the correlation between organizational capabilities and firm performance in relationto OEM, ODM and OBM

 

Author: Ho, Mun-yee Cynthia
Title: A study on Hong Kong's electronics manufacturing companies : the correlation between organizational capabilities and firm performance in relationto OEM, ODM and OBM
Year: 2004
Subject: Hong Kong Polytechnic University -- Dissertations
Electronic industries -- China -- Hong Kong
Manufactures -- China -- Hong Kong
Department: Graduate School of Business
Pages: iii, 70 leaves : ill. ; 30 cm
Language: English
InnoPac Record: http://library.polyu.edu.hk/record=b1772719
URI: http://theses.lib.polyu.edu.hk/handle/200/3927
Abstract: The electronics industry is one of Hong Kong's pillars of export. However, ensuing the maturation of indigenous Chinese enterprises, the industry is facing stronger and stronger defiance. The situation is more critical with the rise of OEM manufacturers in other Asian countries like Vietnam and Malaysia. Many advocates have pointed to industrial transformation from OEM towards ODM and OBM for the industry to capture the value-added and differentiate itself from the local Chinese enterprises. The writer working in the industry strongly feels the pressure and threats from industrial counterparts in these regions, and shares the view that it comes to the pinch for the industry to upgrade. Such viewpoint has induced this dissertation topic to the writer. With the desire to identify the organizational capabilities the Hong Kong electronics finns possess in relation to the strategic adoption of OEM, ODM or OBM and firm performance, it is hoped that the research results would throw light on what the industry and government should do to help in the process of transformation. The research construct was based on the resource-based theory, various researches and findings on capabilities and firm performance, as well as Michael Hobday's model of the trajectory of OEM, ODM and OBM development of electronics industry in East Asian countries. A quantitative approach was used for the research. The unit of analysis was defined at firm level. The target was electronics manufacturing companies with head office in Hong Kong. Questionnaires were sent via mass mailing to randomly selected companies for completion. The data were processed and analyzed by linear regression method. It was found that the capabilities of innovation and R&D were correlated with high OBM and high ODM companies, whereas the capabilities of cost reduction was correlated with OEM companies. High OBM companies were also found to possess higher overall capabilities. Nonetheless, part of the hypotheses was not supported. Attempts were made to provide explanation in the section of discussion. Based on the findings, some recommendations were made to the industry in the section of recommendations.

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