microsoft inc. in china

8/2/2019 Microsoft Inc. In China

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TOPICMICROSOFT IN CHINA

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OUTLINE

Part 1 Company Profile

- who is it ? What kind of business activities is itengaged in?

. Part II Business Practice

- How's its business performance in china? Is there anyspecific issues once arising from their operations inchina?

. Part III Comment/Recommendation

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INTRODUCTION-MICROSOFT LTD

Microsoft Company Limited is an American multinational corporationwhich was being founded by two friends by name Paul Allen and BillGates. It was founded in Albuquerque, New Mexico in the UnitedStates of America on April 4, 1975 as result of the interest of Gatesand Allen in computer programming, and this came to bare whenIBM introduce the personal computer which needed to run on an

operating system. Microsoft limited has its headquarters by nameOne Microsoft Way, in Redmond, Washington, United States.

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INTRODUCTION-MICROSOFT LTD

Since the founding of Microsoft Ltd, the company has introduced awide range of computer programs which has contributed in thedevelopment of the usage of personal computer in our work asacademia's, business professionals and others. Microsoft deliversbusiness value to customers by developing, manufacturing, licensing,and supporting a wide range of software products and services.Microsofts business includes the Windows Client, Server and Tools,

Information Worker, Microsoft Business Solutions, Windows Mobile,Embedded Devices, MSN, and Home & Entertainment products.

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BRIEF HISTORY OF MICROSOFT INCHINA

In 1992, Microsoft established its first office in Beijing, andlater incorporated Microsoft (China) Co. Ltd. in

1995. Microsoft has rapidly expanded its business acrossChina, establishing the Microsoft China Research andDevelopment Group and Microsoft Global TechnologySupport Center, and opening branch offices in Shanghai,Guangzhou, Chengdu, Nanjing, Shenyang, Wuhan,Shenzhen, Fuzhou, Qingdao, Hangzhou, Chongqing, andXian.

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BRIEF HISTORY OF MICROSOFT INCHINA- CONT

Microsofts comprehensive operations in China include research anddevelopment, sales and marketing, services, technical support, andtraining. Microsoft China Research and Development Group includesMicrosoft Research Asia, Microsoft Advanced TechnologyCenter, Windows Live (China), Server and Tools (China), MicrosoftAsia Center for Hardware, Strategic Partnership Group, and a number

of other research and development facilities located in Beijing,Shanghai and Shenzhen.

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MICROSOFT STRATEGY AND GOALIN CHINA

our strategy in China is all about being a value provider, atrustworthy partner and a good corporate citizen by TimChen, Corporate Vice President and CEO of Greater ChinaRegion, Microsoft.

As one of the most dynamic and booming economies in theworld, China has seen the importance for the adaptation ofinformation technology increase rapidly and it is one of themost important and strategic markets for Microsoft.Microsoft strategy and goal in China is to integrate with the

local market through its collaboration with industries and tocreate outstanding software product and solutions thatmeets the need of its customers in china.

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MICROSOFT OPERATION ANDBUSINESS ACTIVITIES IN CHINA

Since the 1992 establishment of its first representativeoffice in Beijing to its incorporation in 1995 and up to date,Microsoft China has grown to over 1,500 employees.

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MICROSOFT OPERATION AND BUSINESSACTIVITIES IN CHINA-cont.

OFFICES BEIJING,SHANGHAI,GUANGZHOU,CHENGDU,WUHAN,NANJIANG,SHENYANG,SHENZHEN,FUZHOU,

QUINGDAO,HANGZHOU,CHONGQING AND XIAN

R&D AND SERVICE FACILITIES .Microsoft China Research and Development Group. Allresearch and development facilities located in Beijing ,Shanghai and Shenzhen including Microsoft ResearchAsia advanced Technology center, Microsoft ChinaTechnology center, MSN Technologies .

.Microsoft Global Technology Support Center, GreaterChina Region

BUSINESS SCOPE Windows Client, Server and Tools, Information Worker,Microsoft Business Solutions, Mobile and EmbeddedDevices, MSN and home & Entertainment products.

CUSTOMERS Individuals users, government organizations,enterprises

PARTNER Microsoft has more than 3000 partners in China interms of software, hardware, services and saleschannels

JOINT VENTURES AND INVESTEDCOMPANIES

.Censoft Co. Ltd.(as an invested company)

.Wicresoft Co. Ltd

.Shanghai MSN Network Communication Technology

Company

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MICROSOFT COOPERATION INCHINA-FRAMEWORK

Microsoft since its establishment in China, has strengthen theirrelations with the government, customers and other players in theindustry in other to support information technology in the areas ofcapital, technology, talents, markets, to aid the development ofChina software ecosystem and IT industry for its win-win strategy. Inview of this Microsoft have a cooperation framework in China in

which it follows:

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MICROSOFT COOPERATION IN CHINA-FRAMEWORK

In 2002 Microsoft signed a $720million dollarsMOU with the National Development ReformCommission to work together to build a dynamicChinese software industry, which includes apackage of cooperation projects. The amountcovers investment , training , technicalcooperation, software projects and hardwareprocurement.

Also in June 2002 they sign an MOU of Great Wallwith the ministry of Education of china to developits cooperation with Chinese universities inhigher education in categories of academicexchange, talent training , research cooperation

and curriculum support

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MICROSOFT COOPERATION INCHINA-FRAMEWORK

In November 2003, Microsoft signed acooperation framework with the ministryof Education on its information effortsregarding Chinas primary education inorder to support primary and normaleducation.

Microsoft signed an MOU with the Ministryof Information Industry in March 2004 to

jointly build labs related to the statesPublic service platform for software andIntegrated circuits.

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CONTRIBUTION OF MICROSOFT INCHINA

STRATEGIC INVESTMENT

During 2002-2005, Microsoft made over $62M strategicinvestment in local companies like Langchao International,Chinasoft International, Dalian Hi-Tech ComputerTechnology Co. Ltd, etc.

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CONTRIBUTION OF MICROSOFT INCHINA-cont

TALENT TRAINING

Microsoft and the Ministry of Education jointly launched the Great WallPlan in June 2002. In the past three years 40 universities and researchorganization's have participated in the program. Over 600 academicexchange activities have been held that include a total of 300,000attendees. Microsoft has trained over 10,000 software architects andsenior program for 11 national software parks since 2003 through onsitetraining and e-learning. Currently the training focus on case studies andbest practices in software park. Since 2004, Microsoft has cooperatedwith the Ministry of Information Industry to jointly organize the ShareThe New Century And Strategic Training Courses On IT Application AndManagement To Boost Northwestern Region which has trained over 300executives and technical staff from Chinese software companies, and 100CIOs from state-owned enterprise in Northeast China. Microsoft andChina National development and Reform commission jointly launched theDevelopment potential initiative in November 2005. In cooperation withlocal software industry bases/software parks, Microsoft provides trainingfor mid-and high-level talents and effiecient technical support in order toenhance the core competitiveness of software companies. The initiative

will be expanded in the next five years

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CONTRIBUTION OF MICROSOFT INCHINA

Software Outsourcing and Purchase

Microsoft has cooperated with Chinese companies insoftware outsourcing to help them go abroad. Microsoft hasestablish an Xbox production line in china with largequantities of annual purchase of annual purchase ofhardware, amounting to 8 billion Yuan since 2002.

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PERFORMANCE OF MICROSOFT INCHINA

Since the establishment of Microsoft China it has increaseits performance in china. According to ChinaHR.comMicrosoft China ranks 4th on the top 50 employers in china ,which means they are contributing both to the economicand social aspects of the country

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microsoft inc. in china

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