Keywords: Chinese software industry, emerging markets, Asian NIEs, Asian newly industrialised economies, China, competitive strategies, foreign direct investment, FDI
Software industry in the fastest emerging market: challenges and opportunities
Multinational companies in virtually all industries and sectors have recognised the financial potential that exists in China today and the software industry is no exception. No longer are software giants such as Microsoft, Oracle and Computer Associates limiting their business with China to cross border trades. They are investing in fixed assets and infrastructure projects located on the mainland. An emerging country, especially one as fast-paced as China, is inherently fraught with uncertainties and risks and a relatively young technology sector. Issues for the software industry in China are to understand how to gear their operations to the many challenges that an emerging market poses. The analysis also delves into how knowledge intensive sector like the software industry is enabling changes in regional and national levels of the Chinese economy and thus impacting global economy. Competitive strategies of a number of domestic and international companies involved in sharing and growing the IT market in China are also described.