Title: Information systems outsourcing activities in China: the experience of Hong Kong small and medium enterprises

Authors: Chun-Hung Cheng, Kam-Fai Wong, Jaideep Motwani

Addresses: Department of Systems Engineering & Engineering Management, The Chinese University of Hong Kong, Shatin, Kowloon, Hong Kong. ' Department of Systems Engineering & Engineering Management, The Chinese University of Hong Kong, Shatin, Kowloon, Hong Kong. ' Department of Management, Seidman College of Business, Grand Valley State University, 301 West Fulton, Suite 409C, Grand Rapids, MI 49504, USA

Abstract: Due to geographical proximity and cultural affinity, many Hong Kong Small and Medium Enterprises (SMEs) outsource their software development activities to China. The purpose of this paper is to examine this working relationship between Chinese software developers and Hong Kong SMEs. Specifically, through our study, we hope to increase the understanding of how outsourcing decisions are made, how operations are managed and how concerns are addressed. The data for this study were obtained by means of a case study of eight Hong Kong SMEs (six SMEs that do extensive outsourcing in China and two that do not do any outsourcing). We believe that the results of this study and the experience of these enterprises will be of value to all SMEs that are thinking of outsourcing their information systems capabilities.

Keywords: outsourcing; software development; case studies; China business; small and medium-sized enterprises; SMEs; information systems; Hong Kong.

DOI: 10.1504/IJPM.2009.023402

International Journal of Procurement Management, 2009 Vol.2 No.2, pp.105 - 124

Published online: 20 Feb 2009 *

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