Taiwanese Go South

Stan Shih, chairman of the Acer Group, Taiwan's premier personal computer maker, is less concerned these days about rapidly expanding his company's production in China. Frustrated by slow-moving Chinese bureaucrats, Shih is moving production from high-cost Taiwan to cheaper neighbors in Southeast Asia. Acer earlier this year, for example, signed a deal to produce motherboards at the former U.S. military base at Subic Bay--and began production at the Philippine site just 57 days later. "In Southeast Asia, it's very easy," says Shih. "You can make a decision, ramp up--and you're in business."

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