Flat Panel Display (FPD) has become an essential instrument of our daily lives as the digitalized era transformed the society with innovated technologies. Based on the growing expectations of consumers and the diversification of applications, the market trend of FPD Industry has been pushed forward with many new creations in the market, which LCD is still the most commonly used technology to manufacture FPD at this moment. However, due to globalization, the market competition has become much more intense; major players are constantly innovating and investing in R&D to fulfill and align with the market trend, and to distinguish from other competitors. Prices of LCD panels also drop fast and changes volatilely. In brief, leading most players constantly pursuing two main goals to sustain competitiveness and obtain more market share: 1. Technological Innovation: to invest in R&D heavily and create new products with new features 2. Cost Reduction: to cut cost quarterly and source globally as the price competition continues Oftentimes, these pressures and goals were spread throughout the supply chain onto each supplier whom became the victims of this whole FPD Value Chain System. As many major players transform by investing millions and billions of dollars into the newer technology, technological advances have foster new product: Organic Light-Emitting Diode (OLED), eliminating the need of having a Backlight Unit in the display structure, which many result in phasing out some Optical Film manufacturers from the FDP industry. It is anticipated that OLED to take over the whole small and medium size display market by the end of 2020. As the challenge surfaces for one of the Optical Film Manufacturers in Taiwan, Company J, this thesis will take an in-depth review on the structural conditions that determine the effect of the competition of this declining industry, along with an in-depth analysis of the Display Market and Company J itself, so that we could conclude with recommendations to Company J on its future development to determine whether Company J should continue to grow or consider an exit strategy based on the literature reviews and the findings of this case study.