AHP analysis of classifying and positioning the crucial influential factors of brand establishment in the semiconductor industry

Austin KINGSON, Wen-Hsiang LAI

Abstract


Abstract. This study categorizes the crucial influencing factors and positions them according to their importance in achieving the impact of semiconductor brand establishment on improving corporate performance and meeting customer needs. This study conducted an in-depth literature review that recognizes the crucial factors necessary for implementing influence in establishing a semiconductor brand. This study identifies five main variables and 17 subvariables, including “Customer value”, “Brand equity”, “Brand loyalty”, “Brand orientation” and “Brand performance”, and provides experts’ suggestions. The positioning of 17 subvariables and 5 main variables representing crucial influential factors was performed using an analytical hierarchy process (AHP) technique per their relevance in crucial influential factor implementation. The results show that 5 main variables and 17 subvariables play a vital role in the successful implementationof the impact of establishing a semiconductor brand, and  “Customer value” has gained more weight compared to the other main variables. ‘Addressing problem’, ‘Superior value’ and ‘New product development’ are more important than are other subvariables. The limitation of this study is that, first, although this study consults experts from the semiconductor industry and academia of various countries, their opinions are only relevant to their regions. Second, the development of this model only applies to the semiconductor industry. Third, only expert opinion variables were used for pairwise comparisons. This study compensates for the lack of key factors in establishing a semiconductor brand, using the literature and expert questionnaires to obtain the weight of each factor through the AHP method and ranking them in order of importance. It examines the overall situation of the practice of building brand comprehension, missing no factor, understanding where the key points areand using them effectively. This research advances the implementation focus of the key factors that affect the establishment of semiconductor brands. According to the results of the literature review, this study is the first on implementing key factors affecting the establishment of a semiconductor brand. This study attempts to fill this gap.

Keywords. Crucial influential factors, Establishing semiconductor brand, AHP.

JEL. C44, M21, M31, D81, L29.

Keywords


Crucial influential factors; Establishing semiconductor brand; AHP

Full Text:


References


Anderson, J.C., & Narus, J.A. (1998). Business Marketing: Understand What Customers Value. 16.

Anees-ur-Rehman, M., Saraniemi, S., Ulkuniemi, P., & Hurmelinna-Laukkanen, P. (2017). The strategic hybrid orientation and brand performance of B2B SMEs. Journal of Small Business and Enterprise Development, 24(3), 585–606. doi. 10.1108/JSBED-11-2016-0171

Anees-ur-Rehman, M., Wong, H.Y., Sultan, P., & Merrilees, B. (2018). How brand-oriented strategy affects the financial performance of B2B SMEs. Journal of Business & Industrial Marketing, 00–00. doi. 10.1108/JBIM-10-2016-0237

Baalbaki, S., & Guzmán, F. (2016). A consumer-perceived consumer-based brand equity scale. Journal of Brand Management, 23(3), 229-251. doi. 10.1057/bm.2016.11

Bekk, M., Spörrle, M., Hedjasie, R., & Kerschreiter, R. (2016). Greening the competitive advantage: Antecedents and consequences of green brand equity. Quality & Quantity, 50(4), 1727-1746. doi. 10.1007/s11135-015-0232-y

Chang, N.-J., & Fong, C.-M. (2010). Green product quality, green corporate image, green customer satisfaction, and green customer loyalty. African Journal of Busines Management, 4(13), 2836-2844.

Chang, Y., Wang, X., & Arnett, D. B. (2018). Enhancing firm performance: The role of brand orientation in business-to-business marketing. Industrial Marketing Management, 72, 17–25. doi. 10.1016/j.indmarman.2018.01.031

Cheshmberah, M. (2020). Developing an Integrated Framework for Supplier Evaluation based on Relevant Attributes and Performance Measures. Logistics & Sustainable Transport, 11(1), 101-113. doi. 10.2478/jlst-2020-0007

Cho, T.-S. (2019). Corporate venture capital investment of network characteristics and innovation—Taiwan semiconductor industry. International Journal of Organizational Innovation, 11(4), 10-26.

Copeland, A., & Shapiro, A.H. (2016). Price setting and rapid technology adoption: The case of the PC industry. Review of Economics and Statistics, 98(3), 601–616. doi. 10.1162/REST_a_00539

Distel, D. (2017). Markets for technology in the semiconductor industry–The role of ability-related trust in the market for IP cores [PhD Thesis]. TechnischeUniversitätMünchen. [Retrieved from].

Doering, R. (2020). Physics-to-Technology Partnerships in the Semiconductor Industry. In R. Doering, Oxford Research Encyclopedia of Physics. Oxford University Press. doi. 10.1093/acrefore/9780190871994.013.27

Dwivedi, A., Miles, M., Oczkowski, E., Weerawardena, J., Johnson, L. W., &Wilkie, D. (2019). Buyer–seller relational engagement and seller brand equity. Journal of Business & Industrial Marketing, 35(8), 1311-1322. doi. 10.1108/JBIM-01-2019-0062

Echeveste, M.E.S., Rozenfeld, H., & Fettermann, D. de C. (2017). Customizing practices based on the frequency of problems in new product development process. Concurrent Engineering, 25(3), 245–261. doi. 10.1177/1063293X16686154

Elia, G., MesseniPetruzzelli, A., & Urbinati, A. (2020). Implementing open innovation through virtual brand communities: A case study analysis in the semiconductor industry. Technological Forecasting and Social Change, 155, 119994. doi. 10.1016/j.techfore.2020.119994

Ernst, D. (2005). Limits to modularity: Reflections on recent developments in chip design. Industry & Innovation, 12(3), 303–335. doi. 10.1080/13662710500195918

Foroudi, P., Jin, Z., Gupta, S., Foroudi, M.M., & Kitchen, P.J. (2018). Perceptional components of brand equity: Configuring the symmetrical and asymmetrical paths to brand loyalty and brand purchase intention. Journal of Business Research, 89, 462–474. doi. 10.1016/j.jbusres.2018.01.031

Frederick, S., & Lee, J. (2019). Korea in the electronics global value chain. Durham, NC: KIET and Duke GVCC, Accessed, 30.

Grimes, S., & Du, D. (2020). China’s emerging role in the global semiconductor value chain. Telecommunications Policy, 101959. doi. 10.1016/j.telpol.2020.101959

Groth, M. (2004). Customers as good soldiers: Extending organizational citizenship behavior research to the customer domain. Journal of Management, 31(1), 7-27. doi. 10.1177/2F0149206304271375

Harik, R., EL Hachem, W., Medini, K., & Bernard, A. (2015). Towards a holistic sustainability index for measuring sustainability of manufacturing companies. International Journal of Production Research, 53(13), 4117–4139. doi. 10.1080/00207543.2014.993773

Helen, W., & Ho, W. (2011). Building relationship between education institutions and students: Student loyalty in self-financed tertiary education. IBIMA Business Review Journal, 1-22. doi. 10.5171/2011.913652

Hutcheson, G.D. (2018). Moore’s law, lithography, and how optics drive the semiconductor industry. In N.M. Felix & K.A. Goldberg (Eds.), Extreme Ultraviolet (EUV) Lithography IX (p. 501). SPIE. doi. 10.1117/12.2308299

İnkaya, T., Armbruster, D., Li, H., & Kempf, K.G. (2018). Product variety strategies for vertically differentiated products in a two-stage supply chain. International Journal of Production Research, 56(17), 5930–5944. doi. 10.1080/00207543.2018.1461271

John, J.K. (2019). Internal branding: An engine in building and sustaining brand equity – A sonceptual, American Journal of Management, 19(5), 100-106. doi. 10.33423/ajm.v19i5.2633

Keller, K.L. (1993). Conceptualizing, Measuring, and Managing Customer-Based Brand Equity. Journal of Marketing, 57(1), 1-22. doi. 10.2307/1252054

Keränen, J., & Jalkala, A. (2013). Towards a framework of customer value assessment in B2B markets: An exploratory study. Industrial Marketing Management, 42(8), 1307–1317. doi. 10.1016/j.indmarman.2013.06.010

Kumar, V., & Reinartz, W. (2016). Creating Enduring Customer Value. Journal of Marketing, 80(6), 36–68. doi. 10.1509/jm.15.0414

Laub, F., Ferdinand, H.-M., Kramer, I., & Pätzmann, J.U. (2018). How archetypal brands leverage consumers’ perception: A qualitative investigation of brand loyalty and storytelling. Markenbrand, 6/2018, 46–54.

Laukkanen, T., Tuominen, S., Reijonen, H., & Hirvonen, S. (2016). Does market orientation pay off without brand orientation? A study of small business entrepreneurs. Journal of Marketing Management, 32(7–8), 673–694.

Maeil Business News Korea. (2020). Samsung widens gap with rivals with mass production of 16GB LPDDR5 DRAM - Pulse by Maeil Business News Korea. [Retrieved from].

Merz, M.A., Zarantonello, L., & Grappi, S. (2018). How valuable are your customers in the brand value co-creation process? The development of a customer co-creation value (CCCV) scale. Journal of Business Research, 82, 79–89. doi. 10.1016/j.jbusres.2017.08.018

Misra, S.C., Balmukund, S., Bisui, S., & Singh, A. (2019). Factors Influencing the Success of Cloud Adoption in the Semiconductor Industry. 15. [Retrieved from].

Mönch, L., Chien, C.-F., Dauzère-Pérès, S., Ehm, H., & Fowler, J. W. (2018). Modelling and Analysis of Semiconductor Supply Chains. Taylor & Francis.

Moore, G.E. (1965). Cramming more components onto integrated circuits. Proceedings of the IEEE, 86(1), 82–85. doi. 10.1109/JPROC.1998.658762

Moslehpour, M., Mendez S.S., & Lin, P.-K. (2018). Perceived brand loyalty toward Taiwanese advanced electronics industry. 2018 15th International Conference on Service Systems and Service Management (ICSSSM), 1–4. doi. 10.1109/ICSSSM.2018.8465011

Nam, J., Ekinci, Y., & Whyatt, G. (2011). Brand equity, brand loyalty and consumer satisfaction. Annals of Tourism Research, 38(3), 1009–1030. doi. 10.1016/j.annals.2011.01.015

Nguyen, N. T. (2020). Analyzing the case of VietJet air to assess the Vietnamese customers’ airline brand equity: An empirical research study. International Journal of Analysis and Applications. doi. 10.28924/2291-8639-18-2020-594

Olbrich, R., Jansen, H.C., & Hundt, M. (2017). Effects of pricing strategies and product quality on private label and national brand performance. Journal of Retailing and Consumer Services, 34, 294–301. doi. 10.1016/j.jretconser.2016.01.012

Ozdemir, S., & Sahin, G. (2018). Multi-criteria decision-making in the location selection for a solar PV power plant using AHP. Measurement, 129, 218–226. doi. 10.1016/j.measurement.2018.07.020

Padhi, P.K. (2018). Fashion design, digital technology, aesthetics, and contemporary society – A critical review. International Journal for Research in Applied Sciences and Biotechnology, 5(6), 9–20. doi. 10.31033/ijrasb.5.6.2

Pellens, M., & Della Malva, A. (2018). Corporate science, firm value, and vertical specialization: Evidence from the semiconductor industry. Industrial and Corporate Change, 27(3), 489–505. doi. 10.1093/icc/dtx040

P.L.Pun, K., Rotanson, J., Chee-wah, C., & H.S., Chan, A. (2019). Application of fuzzy integrated FMEA with product lifetime consideration for new product development in flexible electronics industry. Journal of Industrial Engineering and Management, 12(1), 176. doi. 10.3926/jiem.2765

Rahman, M., Rodríguez-Serrano, M.Á., & Lambkin, M. (2019). Brand equity and firm performance: The complementary role of corporate social responsibility. Journal of Brand Management, 26(6), 691–704. doi. 10.1057/s41262-019-00155-9

Ramaseshan, B., & Stein, A. (2014). Connecting the dots between brand experience and brand loyalty: The mediating role of brand personality and brand relationships. Journal of Brand Management, 21(7–8), 664–683. doi. 10.1057/bm.2014.23

Saaty, T.L. (1980). The Analytic Hierarchy Process, New York, NY: McGraw-Hill.

Sheth, J.N. (2019). Customer value propositions: Value co-creation. Industrial Marketing Management, S0019850119309848. doi. 10.1016/j.indmarman.2019.10.012

Shin, N., Kraemer, K.L., & Dedrick, J. (2017). R&D and firm performance in the semiconductor industry. Industry and Innovation, 24(3), 280–297. doi. 10.1080/13662716.2016.1224708

Sta, N., Abbassi, R., & Elfidha, C. (2018). The effect of brand love on brand performance: The role of brand loyalty. Jurnal Bisnis dan Manajemen, 20(2), 91-107. doi. 10.24198/jbm.v20i2.241

Stadtler, H., Kilger, C., & Meyr, H. (2015). Supply Chain Management and Advanced Planning: Concepts, Models, Software, and Case Studies. Springer Berlin Heidelberg. doi. 10.1007/978-3-642-55309-7

Sultan, P., & Wong, H.Y. (2013). Antecedents and consequences of service quality in a higher education context. Quality Assurance in Education, 21(1), 70-95. doi. 10.1108/09684881311293070

Sun, C., Rose, T., Colella, C., & Schubert, J. (2016). One small change can lead to large complexity: A first glimpse at the Master Data change and its impact on the semiconductor supply chain. IFAC-PapersOnLine, 49(12), 710–715. doi. 10.1016/j.ifacol.2016.07.857

Syed Alwi, S.F., Nguyen, B., Melewar, T., Loh, Y.H., & Liu, M. (2016). Explicating industrial brand equity: Integrating brand trust, brand performance and industrial brand image. Industrial Management & Data Systems, 116(5), 858–882. doi. 10.1108/IMDS-09-2015-0364

Taherdoost, H., & Brard, A. (2019). Analyzing the Process of Supplier Selection Criteria and Methods. Procedia Manufacturing, 32, 1024–1034. doi. 10.1016/j.promfg.2019.02.317

TSMC (2020). The TSMC open innovation platform®. Retrieved Oct 15, 2020, from Taiwan Semiconductor Manufacturing. [Retrieved from].

Tsou, H.-T., & Huang, Y.-W. (2018). Empirical study of the affecting statistical education on customer relationship management and customer value in hi-tech industry. EURASIA Journal of Mathematics, Science and Technology Education, 14(4). doi. 10.29333/ejmste/81295

Vayvay, Ö., & Cruz-Cunha, M.M. (2016). Supplier involvement in new product development: A case study from the semiconductor industry. E+M Ekonomie a Management, 19(3), 123–141. doi. 10.15240/tul/001/2016-3-009

VerWey, J. (2019). Chinese semiconductor industrial policy: Past and present. Journal of International Commerce & Economics, 2019, 1. [Retrieved from].

Vijayakumar, Y., Rahim, S.A., Ahmi, A., & Rahman, N.A.A. (2019). Investigation of supplier selection criteria that leads to buyer-supplier long term relationship for semiconductor industry. International Journal of Supply Chain Management, 8(3), 982-993.

Viswanadhan, K. (2005). How to get responses for multi-criteria decisions in engineering education–an AHP based approach for selection of measuring instrument. Financial Support, 20, 1–9.

Waluya, A.I., Iqbal, M.A., & Indradewa, R. (2019). How product quality, brand image, and customer satisfaction affect the purchase decisions of Indonesian automotive customers. International Journal of Services, Economics and Management, 10(2), 177. doi. 10.1504/IJSEM.2019.100944

Wang, H.-J. (2017). A brand-based perspective on differentiation of green brand positioning: A network analysis approach. Management Decision, 55(7), 1460–1475. doi. 10.1108/MD-04-2016-0251

Wang, Y.J., Capon, N., Wang, V.L., & Guo, C. (2018). Building industrial brand equity on resource advantage. Industrial Marketing Management, 72, 4–16. doi. 10.1016/j.indmarman.2017.11.009

Wong, H.-S. P., Akarvardar, K., Antoniadis, D., Bokor, J., Hu, C., King-Liu, T.-J., Mitra, S., Plummer, J. D., & Salahuddin, S. (2020). A density metric for semiconductor technology Proceedings of the IEEE, 108(4), 478–482. doi. 10.1109/JPROC.2020.2981715

Ye, Y., Huo, B., Zhang, M., Wang, B., & Zhao, X. (2018). The impact of modular designs on new product development outcomes: The moderating effect of supply chain involvement. Supply Chain Management: An International Journal, 23(5), 444–458. doi. 10.1108/SCM-01-2018-0021

Young, C.D. (2019). EUV: Enabling cost efficiency, tech innovation and future industry growth. 41. [Retrieved from].

Zhang, J., Jiang, Y., Shabbir, R., & Du, M. (2015). Building industrial brand equity by leveraging firm capabilities and co-creating value with customers. Industrial Marketing Management, 51, 47–58. doi. 10.1016/j.indmarman.2015.05.016

Zhang, J., Jiang, Y., Shabbir, R., & Zhu, M. (2016). How brand orientation impacts B2B service brand equity? An empirical study among Chinese firms. Journal of Business & Industrial Marketing, 31(1), 83–98. doi. 10.1108/JBIM-02-2014-0041




DOI: http://dx.doi.org/10.1453/jepe.v7i4.2128

Refbacks

  • There are currently no refbacks.




.......................................................................................................................................................................................................................................................................................................................................

Journal of Economics and Political Economy - J. Econ. Pol. Econ. - JEPE - www.kspjournals.org

ISSN: 2148-8347

Editor: jepe@ksplibrary.org   Secretarial: secretarial@ksplibrary.org   Istanbul - Turkey.

Copyright © KSP Library