Gartner Research

SWOT: Foxconn, Worldwide, 2010

Published: 04 June 2010

ID: G00200855

Analyst(s): Jamie Wang, Tracy Tsai


This research examines the strengths, weaknesses, opportunities and threats of Foxconn, a leading provider of electronics manufacturing service/original design manufacturer services. The findings should be of interest to investors, semiconductor vendors and electronic equipment manufacturers.

Table Of Contents
  • Introduction
  • SWOT Analysis
  • Strengths
    • Diversify Product Offerings and Act as a "One-Stop Shop"
    • No. 1 in Terms of Productivity and Patents
    • Cost Advantage From Big Production Scale and Supply Chain Integration
    • Very Strong Customer Base
    • Good Finances, Management Leadership and Execution
  • Weaknesses
    • High Dependence on Competitive OEM Accounts and Thin Profits
    • ODM Inferiority in Mobile Handset and Mobile PC Markets
    • Management Difficulty in an Increasingly Complex Organization With a Huge Labor Force
  • Opportunities
    • New Business Momentum — Mobile PCs, LCD TVs, Tablets (iPad), Solar
    • Expanding Channel Business
    • More Joint-Design Manufacturing and ODM Business
    • End-Product Demand Used to Develop New Components Business
    • Increase Focus on Steady Growth in Emerging Markets and Products
  • Threats
    • Drop in Outsourcing Demand for Mobile Handsets and Mobile PCs
    • Mounting Costs and Steady Growth Decreasing
    • Increasing Number of Competitors in Target Markets
    • Losing Component Sales in ODM Markets
  • Implications for Foxconn
    • EMS/ODM Market Summary
  • Company Overview
    • Key Facts
  • Methodology

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