Industry Analysis Case Study

Original Design Manufacturers: Mobile Phone Industry's Changing Paradigms

OR

Abstract:
Since its evolution in the early 1990s, the mobile handset industry was marked with challenges such as globalisation, short product life cycles, short time-to-market, shrinking margins and customisation. The erstwhile approach of staying vertically integrated seemed obsolete, forcing the handset manufacturers to rely on 'outside' firms for design and manufacturing requirements. As a result, the original design manufacturers (ODM) found a place in the supply chain, thus changing the entire gamut of the handset business.

Pedagogical Objectives:

• To discuss how ODMs have become a threat to the handset manufacturers. The case study can be anchored around Michael E Porter's Five Forces model.

Keywords : Mobile handset manufacturing, Original design manufacturers (ODM), Electronic manufacturing services, ODMs in Taiwan, Vertically integrated firms, Barriers of entry, Technology Management Case Study, Branding, Operator-specific handsets, Time-to-market, Mobile generations, Reference platforms, Nokia, Smartphones, Symbian, Sony Ericsson