Software Pulse

Business Strategy for Software Executives

June 27, 2005

Peter Goldmacher

Tomorrow's Software Mega-Customer: China

An on-the-ground analysis of the nation's supply and demand for enterprise software finds a nascent market today but one which demands participation now for future success.

By Peter Goldmacher, SG Cowen

No one denies China is the world's biggest potential market. The country's GDP is growing at a torrid pace. Yet despite its size and growth rate, the market for enterprise software in the nation has not materialized. We believe the Chinese market for enterprise software in 2004 was only $400 million (less than 1% of global software sales).

But China is growing rapidly and its government is actively developing a domestic software industry. In the long term, these efforts combined with the necessity for Chinese companies to compete globally could create a vibrant software market in China.

Read more >>, Disney Execs Added to e2005 Lineup

Request your invite now to the software industry's most elite gathering, Enterprise 2005. Jim Steele, president of, and Tony Scott, CIO of Disney, will join Adobe CEO Bruce Chizen and Symphony Technology Group's Romesh Wadhwani on the list of keynote speakers as 200 software CEOs and professionals gather in Pebble Beach, Calif. on August 7-9 to discuss the "New Opportunities." To request an invitation and find out more about the conference, click here.

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The Latest on Offshoring in China

As a companion to the lead story this week from Peter Goldmacher, David Scott Lewis offers a slice of reality from the SIM China conference, billed as the country's largest outsourcing event in this week's blog.

Also in Blogs this week, Vinnie Mirchandani analyzes industry analysts in the new "Voice of the Customer" blog and David Leland adds his point of view on corporate focus to the "New Era, New Thinking" blog.

If you have a post for the blog, email us.

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Parting Thought

"If you don't like change, you'll like irrelevance even less."
- General Eric Shinseki

Courtesy of Malcolm Kusher, The Kushner Group