Abstract

The case describes the entry and expansion strategies of Indian software major Infosys, in China. Infosys entered China in 2004 to cater to its multinational clients operating in the country and to take advantage of the quality manpower available at competitive costs as compared to India. Infosys also planned to offer software services to the leading Chinese companies which were growing at a rapid pace. The company aimed to have its second largest development center in China with Chinese operations accounting for 10% of the total revenues by 2015. The case also examines the challenges faced by Infosys in establishing its operations in the country.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Examine the growing importance of China in the global software industry
• Analyze the strategies adopted by the Indian IT companies like Infosys in the Chinese market
• Study the legal and regulatory challenges faced by IT companies while operating in China
• Study the prospects of Indian IT companies in China.

Keywords

Infosys Technologies, Chinese IT Industry, Software Development, Global Delivery Model, Predatory Pricing, Language Skills, Technical Skills, Regulatory Challenges, Intellectual Property Rights, Gunaxi