Software Industry in China Origins,Current State and Future Direction

摘要

The last three decades have seen the spectacular rise of China.She has emerged as the world's second largest economy [1] and the second largest recipient of foreign investment |2|.This growth has been achieved through an emphasis on foreign trade;China is now known as the world's factory,producing much of the world's goods,from footwear to computers and telecommunication equipment.An important but often overlooked aspect of this growth is the rise of the Chinese software industry,consisting of firms specializing in software services,products and internet services. This paper examines the rise of the Chinese software industry and the factors behind the success.The drivers of growth,including government support and demand from a growing economy are analyzed.The barriers to growth,including a dominant hardware industry,language barriers and lack of process maturity are discussed.Using Heeks' f3] framework for strategic positioning of emerging country software firms,we analyze the opportunities for Chinese software firms. We recommend that Chinese software firms concentrate on the local market in the medium term.They should partner with manufacturing firms to develop products suited for emerging markets.Chinese software services firms should concentrate on south east Asia;after gaining maturity,they can enter the western markets.