This paper addresses the association between policy innovation and the modern corporate strategies of a major IT firm in Taiwan. The recent economic crisis in Asia Pacific makes this investigation extremely valuable in that the lessons learnt from this case analysis can be readily applied to other IT firms in the region and beyond. This paper is organized in five sections. Section 1 provides an introduction and motivation for using lessons from evolution theory for improving corporate policies. Section 2 sets up the stage for this analysis by providing a summary of previous research and a commentary on the Asian business system. Section 3 discusses the growth of Acer Corporation and its past strategic decisions as they associate with the principles outlined in a previous research. Section 4 discusses how these principles can be extended to deal with the external forces (competition, and international economy and regulations) challenging this firm. Finally, Section Five provides the conclusions of this paper and sets up directions for future research in this area.
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