This study investigates the effects of business environment on the e-business strategy and
performance of venture firms. The development of the research model is based on the empirical
studies on the strategy literature. The data from the survey was analyzed using Partial Least
Squares(PLS). For Daedeok Valley Venture Firms, product innovation differentiation strategy is affected
by environmental uncertainty. And, cost leadership strategy tend to be influence by environmental
uncertainty. Finally, venture firm's performance is effected by cost leadership strategy and marketing
differentiation strategy. However, for in Hsinchu Science Park Venture Firms, product innovation
differentiation strategy is affected by environmental uncertainty and heterogeneity. And, marketing
differentiation strategy is enhanced by environment uncertainty and industry growth. In addition, cost
leadership strategy tend to be influence by environmental uncertainty and heterogeneity. Finally,
venture firm's performance is effected by cost leadership strategy and product innovation differentiation
strategy.