Strategic Resources, Network Competence, and Sustainable Competitive Advantages- An Empirical Study on Taiwan Led Firms

This study is based on the resource-based view and social network theory to examine what is the most important factor to affect the sustainable competitive advantage (SCA) of firms in LED industry. We list 31 items of SCAs according to Aaker (1989) for LED industry elites to rank top ten as our measure variables. Then, extract two patterns of SCAs from these ten items and label them the internal SCA and external SCA. The result shows that superior coordinating capability and intangible assets from strategic resources owned by firms and trustworthy relationship with strategic partners from network competence are the critical factors to build-up and maintain internal SCAs of firms. Shared information and central position from network competence in the LED industrial network are critical factors to build-up external SCAs for firms.