Corporate Strategy in Japanese High-Tech Industrines

Abstract

In the modern high-tech industries, the mutual relationship between technological development and Business performance is extremely important. Some Japanese high-tech companies intend to make an impact on the technological circumstances, and introduce a new currency of technology and a market. A high-tech company typically makes use of two different types of logic. The first logic is that of science or technology. The second logic is the logic of business. The logic of science or technology refers to the cause and effect chain of natural science or engineering. The business logic is concerned with ways of obtaining and increasing profits or market share. These two different types of logic bring about some difficult problems. For example, a radical new high technology cannot always create a new market. Therefore companies must adopt well-balanced resource allocation between technological and marketing development. Japanese high-tech companies attempt to resolve this serious contradiction by organizational means. In order to analyze their behaviour, the concept of strategy is very important. Further the classification of the technological innovations under specific type is extremely useful in understanding the strategy of technological innovation.