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Moving up the Global Value Chain: The Case of Chinese IT Service Firms

Chapter
Part of the Progress in IS book series (PROIS)

Abstract

In recent years, Chinese IT service suppliers have been actively expanding their business in three major markets: Japan, the United States, and the Chinese domestic market. This qualitative case study of thirteen major Chinese IT service firms conceptualizes the internationalization behavior and decision rationale of these suppliers. The findings show that some of these suppliers followed an incremental internationalization strategy, while others were “born global.” Both types of firms’ entry and growth in different markets consisted of the combination of a strategically-planned resource-seeking process and a highly flexible, opportunistic “bricolage” process. By dynamically oscillating between different strategy processes, these suppliers were able to rapidly grow in multiple markets and gradually move up the global value chain.

Keywords

Global outsourcing IT supplier Decision process Internationalization China 

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© Springer-Verlag Berlin Heidelberg 2014

Authors and Affiliations

  1. 1.Ivey Business SchoolWestern UniversityLondonCanada

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