Foxconn - Dealing with the Dilemma of Supply Chain Technology Spillover

Explore the influence of supply chain spillover on Foxconn's pursuit of innovative technology research and development. How has the company balanced knowledge absorption with protecting intellectual property (IP)?

Prof. Hsiao-Hui LEE | National Chengchi University, Taiwan
Tuyen NGUYEN | Nikkei BizRuptors

Published On 08 Mar 2024

Last Updated On 08 Mar 2024

At a glance

Origin

Taiwan

Industry

Electronics

Year Founded

1974

Revenue

US$ 215.8 billion

(as of 2022)

Abstract

Foxconn, a global manufacturing powerhouse, has experienced remarkable growth by capitalizing on the technology spillover from its clients, particularly Apple. This case study delves into the complexities of this relationship, highlighting the benefits and challenges associated with knowledge sharing and intellectual property protection.

The study explores how Foxconn has leveraged its position as a key assembler to enhance its R&D capabilities, leading to significant advancements in various technologies. However, the company also faces the dilemma of balancing knowledge absorption with preserving its own intellectual property.

Key findings reveal that Foxconn has successfully navigated this challenge by diversifying its customer base, investing heavily in R&D, and strategically acquiring companies to expand its technological expertise.

The case study concludes by examining the impact of geopolitical tensions and regulatory challenges on Foxconn's operations. The company's strategic response to these factors, including expanding its manufacturing footprint to India and other regions, highlights its adaptability and resilience in a rapidly changing global landscape.
 

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Disclaimers:

(1) Regarding Case Study Content: This case study is based mainly on secondary data and analysis of publicly available information unless otherwise stated, and is intended solely for educational purposes. Any opinions expressed by the author(s) are designed to facilitate learning discussion and do not serve to illustrate the effectiveness of the company. Additionally, banner images and logos used in the case study are intended for visualization in an educational setting and it is not used to represent or brand the company. For any dispute regarding the content and usage of images and logos, please contact the team.

(2) Regarding University Affiliation and Titles of Authors: The university affiliation and titles of author(s) seen in the case study is based on their affiliation and title during the time of publication. It may or may not represent the current status of said author(s).

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