This case examines the impact and importance of intangible features of technology design and brand recognition in the current business environment through the study of Digitalway Co., Ltd. an MP3 digital portable audio player manufacturer. The study also aims to analyze the influence of the existing industry structure on the introduction of new products created through new technology. Particular emphasis is placed on analyzing supply processing costs, an important consideration for small and medium businesses, in three separate areas, OEM (Original Equipment Manufacturing), ODM (Original Development or Design Manufacturing), and OBM (Original Brand Manufacturing). Digitalway Co., Ltd was the first company in Korea to develop a MP3 player combined with a digital camera. The company was able to mass produce a quality product, and supply both domestic and foreign companies under its own brand name and through the OEM process. The company was able to build brand recognition for the MPIO product in both the domestic and international markets by understanding the importance of design and of brand value. As a result of the design and brand management, the company was able to occupy 30% of the domestic market. However, the company was suddenly forced to respond to a sudden market downturn as a result of the lawsuit by the recording industry preventing Napster from supplying free MP3 files over the Internet. To make matters worse, the company also had to cope with an influx of rival small and medium enterprises providing OEM products to local and overseas markets, such as the U.S and Japanese markets. As a market leader, the company must develop and effective strategy to maintain its position and first leader advantage in the changing business environment.