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Internal Venturing --- A Model of Intrapreneuring Learned from Acer

 

¿½§Ó¦P Chih-Tung Hsiao

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cthsiao@ms23.hinet.net

 

ª÷¥²·× Bih-Huang Jin

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bihuang@iim.nctu.edu.tw

 

ªô­^¶¯ Hero Chiu

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herochiu.bm88g@ nctu.edu.tw

 

·¨ ¤d Chyan Yang

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chyan_yang@yahoo.com

 

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Abstract

Internal venturing is by and large one of the most important ways to achieve higher growth and continued successes for high-tech and small-and-medium enterprises in the emerging industrialized countries. It can stimulate firms¡¦ existing businesses and substantially increase their revenues, consequentially expanding their scope into other related industries. Its exponential contribution may well be summarized as follows: on one hand, extra sources of profits can be generated thereby and management risks associated with too narrow a product line can be significantly reduced by diversification through internal venturing. On the other hand, companies can retain and nourish their talents by encouraging direct interactive participation and thus prevent them from becoming future rivals in the ever-competing environment.

     This research intends to take Acer Group, which has well been acclaimed as a top-notched leading technology consortium in South-East Asia, as a telling example. By means of the methodology of in-depth interviewing, investigating the entire procedure of its intrapreneuring, exploring further into how internal venturing helps Acer to become one of the main players in the world high-tech market within barely two decades. Nowadays, Acer, compared to its peers, has claimed to be the third biggest PC maker, and the sixth in terms of the brand-named notebook computers, with its interminable tentacles also covering semiconductors, IC designs, networking, communication, and peripheral products such as mobile phone sets and TFT-LCD panels. These compelling results revealed that, by virtue of efficient implementation of pertinent strategies and tailored just-in-time organizational structures as well as its unique internal venturing model, Acer Group has convincingly succeeded in becoming a genuinely successful global enterprise. Overall in light of this analysis, we strongly believe that the model of Acer¡¦s internal venturing could certainly be served as an indispensably useful emulation beacon for those enterprises aiming to survive and remain competitive at the turn of this dauntingly uncertain and challenging century.

     

Keywords: Acer, diversifying strategy, strategic management, internal venturing