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The demand for low-cost microelectronic components has attracted new suppliers resulting in fierce price competition and an evolution towards a commodity business. Price competition, customers' demand for extensions of existing product lines, new products built to their specifications within shorter delivery lead times and stricter quality standards have put the division in a position where it needs to re-align itself strategically, operationally and organizationally in order to compete.
To maintain and increase operating margins, MEPD needs to launch new technologically superior products in order to charge premiums and to be cost efficient in its manufacturing processes...
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