Online from: 2011
Information: About this Collection
|Title:||From strategy to numbers: how to penetrate overseas market for ChinaSoft, when Chinese ITO and BPO industry being re-structured in 2012|
|Author(s):||Victor Jun Zeng (Managing Director of Just Marketing Co. Ltd, Lingnan (University) College, Shenzhen, China)|
|Citation:||Victor Jun Zeng, "From strategy to numbers: how to penetrate overseas market for ChinaSoft, when Chinese ITO and BPO industry being re-structured in 2012", Emerald Emerald Emerging Markets Case Studies, (2013)|
|Keywords:||BPO, Business strategy, China market, ITO, Overseas market|
|Article type:||Case study|
|DOI:||10.1108/EEMCS-12-2012-0203 (Permanent URL)|
|Publisher:||Emerald Group Publishing Limited|
|Acknowledgements:||Disclaimer. This case is written solely for educational purposes and is not intended to represent successful or unsuccessful managerial decision making. The author/s may have disguised names; financial and other recognizable information to protect confidentiality.|
Title – From strategy to numbers: how to penetrate overseas market for ChinaSoft, when Chinese ITO and BPO industry being re-structured in 2012.
Subject area – Business strategy.
Study level/applicability – This case study is appropriate for MBA and EMBA courses, especially for courses oriented to emerging markets such as China. It can be used in Business Strategic Management or similar courses, combined with the methodology lectures of Managing Entry Modes and Competitive Strategy. This case study provides material for understanding/studying the development of a large Chinese software enterprise.
Case overview – As a result of Chinese ITO and BPO market in the face of re-structuring in 2012, Huawei invested in ChinaSoft in May and Vance info merged with HiSoft in August, both of which make ChinaSoft the third largest market-share owner. However, ChinaSoft has a dilemma in its strategic planning for the next three years. If it cannot break through the suppression from the first and the second placed companies, it may lag behind very soon. If it strives for the No. 2 position in market share, is organic growth or M&A strategy the right approach to adopt? Thus, ChinaSoft is now in need of strategic reform and restructuring. The case study analyzes the approaches that Chinese enterprises can adopt in order to sustain overall cost leadership strategies and avoid the related risks in the ITO and BPO industry.
Expected learning outcomes – This case study intends to encourage students to learn and use methodologies such as Porter's competitive strategy framework; Rugman and Collinson's theory, selecting and managing entry modes; four basic global strategies, by Hill and Jones.
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