Title: Economics Of Semiconductor Industry

Essay Details

Subject: Technology
Author: Kathleen S
Date: March 15, 2015
Level: University
Grade: C
Length: 3 / 843
No of views: 0
Essay rating: good 0, average 0, bad 0 (total score: 0)

Essay text:

Statistics indicate that a semiconductor house needs more than $3 million a day for about 5 years to amortize a $5 billion investment. This rapid changes required to keep pace with the law explains why a company’s shining jewels can turn in white elephants in about five years. Although industry giants like TSMC, Intel and Samsung work on a vast scale and can therefore make these huge investments work for them, smaller companies like ST Micro and NEC (and even some sovereign states) can no longer afford to play the game...

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A massive restructuring in the industry is forcing them to consolidate or outsource production in order to gain sufficient scale to compete, stay profitable and recover the past growth rates. The Toyota production system (TPS) has been a ray of hope for the semiconductor industry. It has been a proven process at Toyota and has enabled a production system with increased quality and capacity...

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