Case Name :      Taiwan’s United Microelectronics Corp. (UMC)

Authors :           Anthony S. Frost, Terence Tsai, Borshiuan Cheng, Changhui Zhou

Source :             Ivey Publishing

Case ID :            98M017

Discipline :        Strategy

Case Length :    12 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

Taiwan’s United Microelectronics Corp. (UMC), one of the world’s leading semiconductor foundries, has grown dramatically in 16 years. UMC pursued a strategy of vertical disintegration as part of the chairman’s vision of turning UMC into a “pure-play” foundry. This case discusses the major technological and competitive forces affecting the industry and looks at UMC’s restructuring through the eyes of the chairman. Provides enough detail to engage the class in a discussion of the merits of UMC’s vertical disintegration strategy and the possible pitfalls of this approach going forward.