Investor Presentaiton

Taiwan's Economic Relationship To China • The economic relationship with China will inevitably be important - Common language ― Strong historical ties - - Strong personal ties through family relationships and migration Substantial economic presence of Taiwanese companies in China • The key question is what kind of relationship it will be • Taiwan's goal should be to create a mutually beneficial relationship that supports Taiwan's higher standard of living • Taiwan needs to define a unique role vis-à-vis China that - Builds on its distinctive strengths - Offsets China's weaknesses and rigidities CAON Taiwan Presentation 07-31-01 CK 63 63 Copyright © 2001 Professor Michael E. Porter

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