학술저널
Demand Uncertainty and the Choice of Business Model in the Semiconductor Industry
- 서울대학교 경제연구소
- Seoul Journal of Economics
- Seoul Journal of Economics Volume 18 No.4
-
2005.12303 - 324 (21 pages)
- 4
커버이미지 없음
In this paper, we provide another reason that may explain the wide adoption of outsourcing approach in the semiconductor industry. We show the fab-lite business model of outsourcing wafer fabrication to foundries is optimal in the presence of demand uncertainty. This is because outsourcing helps the integrated device manufacturer (largely the brand-producing firm) to lower its cost of capital investment in the case of low demand and to improve its capacity allocation in the case of high demand.
Abstract
Ⅰ. Introduction
Ⅱ. The Basic Model
Ⅲ. Choices of Business Model
Ⅳ. Optimal Capital Investment under Uncertainty
Ⅴ. Discussion
Ⅵ. Conclusion
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