Preview

Microsoft's Trouble in China

Satisfactory Essays
Open Document
Open Document
679 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Microsoft's Trouble in China
A case study on
Microsoft’s Troubles in China

Prepared for
Shahid Hassan
Course title: Global Business
Course code: EMBA_591
Semester name: Summer
East West University

Prepared by
Mirza Khalid Hossain Biddut
ID : 2011 – 2 – 91 – 019
Sabbir Hossain
ID : 2011 – 2 – 91 – 016
Moniruzzaman
ID :
Baki
ID :

Summary :

Question answer to Q-3 of case study.

Question: Why do you think it is so difficult to reduce software piracy in China? What strategies might Microsoft adopt to try to limit piracy in China? Are there ways of selling software that might make it difficult for piracy to occur?

Answer: China is a huge potential market for Microsoft with a population of 1.273 billion. An integral part of Microsoft’s international strategy has been expansion into Mainland China which projected to become the third largest PC market in the world in 2001.

The most obvious and serious obstacle to Microsoft’s success in china has been the rampant level of software used in China is pirated. Mostly used Microsoft products in china are illegal copies .Chinese government believed to be one of the worst offenders Microsoft’s lawyers complain that Beijing does not budget for software purchase, forcing its cash strapped bureaucracy to find cheap software solutions that means much of the government ends up using pirated software. Chinese judicial authorities do not enforce their own laws. Microsofts pressed officials in chinas southern province to raid a manufacturer that was used by the Microsoft to authenticate its software manuals .The chinese authorities procecuted the manufacturer acknowledge that a copy right violation had occured Microsoft by little fined the pirate company which undettered by this victory . It has been possible because of not having the protection of intellectual property right. Copy rights are the exclusively legal rights of authors. Thats why Microsofts continued in its attempts to use the legal system in china to limit copy

You May Also Find These Documents Helpful

  • Better Essays

    Bus 421 Final

    • 1235 Words
    • 5 Pages

    Bracker, H. (2011). Restrictions of Internet Provided Services in the People’s Republic of China: A Threat for Foreign Companies’ Internet Launch? GRIN Verlag..…

    • 1235 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    Risks associated with the initiative and financial effects they may have on the Microsoft Corporation. One risk is losing valuable components of the software Microsoft develops, in order to comply with the legal rules and regulations. This may cause Microsoft to pull some products out of circulation from countries that have different laws, which can drastically drop Microsoft’s profit margin. Trying to follow the laws and regulations can also cause a delay in development leading to a loss in revenue. Microsoft was the first software company to catapult itself to the for-front of the technology era. Now Microsoft has to work twice as hard to stay on top of the wave of the technology field, and this means following all the legal regulations set by all of the players in this field, including countries that do not always play nice.…

    • 309 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Q1: What are the risks that Microsoft has faced in operating in China and dealing with the Chinese government? Do you see these risks as increasing, diminishing, or changing in the future?Are these risks unique to China or present in other developing countries?…

    • 944 Words
    • 4 Pages
    Powerful Essays
  • Best Essays

    The rise of China has matured into hope for the entire consumer electronics industry. The country’s 1.3 billion consumers and their fast increasing buying power have transformed China into the world’s largest consumer electronics market, a market opportunity that multinational giants cannot afford to neglect (Chen & He 2005). As such, Best Buy was just one of the many multinational companies that tried to enter the Chinese market.…

    • 3458 Words
    • 14 Pages
    Best Essays
  • Good Essays

    Microsoft faced many macro risks when operating in China. Many of these risks included software piracy, Chinese government pressure to transfer technology, host government promotion of competitor products, discriminatory procurement practices by sub-national authorities in China, and the strong encouragement for Microsoft to enter joint ventures with local firms. One main micro risk that Microsoft faced was when the Beijing Municipal government avoided Microsoft by awarding operating system software contracts for 2,000 PCs to Red Flag Linux. I see these risk increasing due to the fact that the Chinese Central Bank has put new restrictions to foreign exchange transactions in attempt to control the flow of convertible currency out of the country. This restriction set in place by the Chinese Central Bank was described as a "crackdown" on illegal transactions. This change will effectively make it more difficult for both domestic and international companies to move capital in and out of China. In result, only increasing the risks for MNCs to do business in China. Another main reason why I see the risks increasing is that the Chinese government has not made an effort to control the piracy/counterfeiting issues. Counterfeiters are China's largest state owned factories. These risk are also found in other developing countries such as India where piracy and counterfeiting is a big issue.…

    • 763 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Question #1: For Google in 2005, from a business perspective, what are the arguments for and against entering China?…

    • 2616 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    government to build a better legal environment, as piracy software is rampant in PRC market…

    • 1005 Words
    • 10 Pages
    Powerful Essays
  • Good Essays

    Largest piracy rates in the world – 98% *Huge character sets required new versions of software *Chinese used mobiles more than the PC (can the mobile be a computing device)? *High profile revelation by Juliet Wu, former GM on commitment * Suspicion on security *Open source market * Entrepreneurship bug for Chinese software engineers *Legislation to support open source *Relationship with Chinese leader * Complex process in engaging with State Owned Enterprises…

    • 759 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Google-China Controversy

    • 3145 Words
    • 13 Pages

    We cannot imagine our life without internet, it become internal part of our life. Some researcher considered internet to be the greatest innovation of modern’s time. Suppose the facility of internet given to us taken by someone forcibly, then imagine our life without it.…

    • 3145 Words
    • 13 Pages
    Powerful Essays
  • Good Essays

    Intel in China Analysis

    • 903 Words
    • 4 Pages

    The newly appointed manager of marketing programs in China Charles Tang has just got out of an emotionally charged meeting with Yong Lui, an account manager in Tangs division. As of Tangs arrival to China many things within Intel changed. Tangs decision to stop a project that was started by Lui a while back made Lui unhappy and against the chose Tang made. The case study “Intel in China” has many more issues then that one but this is the main one. Another issue that occurred in this situation is the changes that the China offices incurred during the time when Tang moved to China from the United States to advance Intel’s presence in China. Also the issue that they have run into is the drastic change in reassigning working positions that have been established already to new areas of work.…

    • 903 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Dell vs Lenovo

    • 804 Words
    • 4 Pages

    According to data from industry body IDC, Dell had a market share of 9 % of the total PC shipments in China in the second quarter of 2010, narrowly beating out rival HP for the first time. But both foreign manufacturers lagged market leader Lenovo by a big margin. Lenovo had cornered nearly 29% of PC shipments in China in the same period.…

    • 804 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    The Arabic word Sunnah lexically means "road" or "practice." In the language of the Prophet and the Companions it denotes the whole of licit (lawful) practices followed in the Religion (dîn), particularly the pristine (hanîf) path of Prophets, whether pertaining to belief, religious and social practice or ethics generally speaking.…

    • 7972 Words
    • 22 Pages
    Powerful Essays
  • Better Essays

    Nishat Mills Limited

    • 3155 Words
    • 13 Pages

    Nishat Mills Limited is most modern, vertically integrated textile company which is largest textile exporter for Pakistan. It was established in 1951 has 198,120 spindles, 655 Toyota air jet looms. It has advance textile dyeing and processing units, 2 stitching units for home textile, one stitching unit for garments and power generation facilities with a capacity of 89 MW. The Company’s total export for the year 2012 was Rs. 36.015 billion.…

    • 3155 Words
    • 13 Pages
    Better Essays
  • Good Essays

    Software Piracy

    • 344 Words
    • 2 Pages

    The 1999 software piracy estimates indicate that more than one in every three-business software applications in use during 1999 was pirated. Piracy losses for the US and Canada lead every other region of the world at $3.6 billion, or 26 percent of the total. The continuing problem means lost jobs, wages, tax revenues, and a potential barrier to success for software start-ups around the globe.…

    • 344 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    COSA NOSTRA Final

    • 483 Words
    • 2 Pages

    The La Cosa Nostra is an Italian word which means “This thing of ours”. It’s the American version of the Sicilian Mafia. A family or Familglia is a unit of Cosa Nostra that is comprised of ‘made men’ from 20 to 300 persons, supervised by a Boss. To gain importance in family, one needs to be the strongest earner. The more one excels as an enforcer and shows enthusiasm in work, the importance goes up. A good enforcer’s future is bright and lined with plenty of mistresses. La Cosa Nostra, or the LCN as it is known by the FBI, consists of different “families” or groups that are generally arranged geographically and engaged in significant and organized racketeering activity. The LCN is most active in the New York metropolitan area, parts of New Jersey, Philadelphia, Detroit, Chicago, and New England. It has members in other major cities and is involved in international crimes.…

    • 483 Words
    • 2 Pages
    Satisfactory Essays

Related Topics