Source: Taiwantrade | Updated: 15 September 2011
With market shares of 65 percent in the United States and 30 percent in Europe, SuperAlloy is the leading manufacturer of wheel rims used by 20 well-known auto brands, such as Mercedes-Benz, Jaguar and Porsche. The company, which had annual revenue of NT$2.58 billion (US$89.16 million) in 2010, ships 700,000 wheel rims every year from its factories in Yunlin County, southern Taiwan.
The forging technique SuperAlloy uses allows it to produce lighter and stronger wheel rims, which last 20 percent longer than cast rims and can lower a car's fuel consumption by 5 percent.
However, the introduction of forged rims 13 years ago almost bankrupted the company. SuperAlloy President C.T. Shih said that experience taught him the importance of having not just advanced technology, but also business model and strategies. By expanding into different regions and hiring local sales staff, Shih said, the company has spread its risks of relying on a single market. SuperAlloy also passes on orders to rivals when it is at full capacity, Shih said. This avoids unnecessary production expansion and price-cutting competition, he added.
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