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Prepared by Susi Ma China Eventus Co. Ltd Outsourcing e-Commerce, and Online Gaming in China.

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Presentation on theme: "Prepared by Susi Ma China Eventus Co. Ltd Outsourcing e-Commerce, and Online Gaming in China."— Presentation transcript:

1 Prepared by Susi Ma China Eventus Co. Ltd Outsourcing e-Commerce, and Online Gaming in China

2 China Eventus Co. Ltd Outsourcing in China Case Study Why outsource in China? Expert Knowledge Services Business Research

3 China Eventus Co. Ltd Why outsource in China? China is a huge market. MNCs interested in entering China but do not have any credible on-the-ground research partner. On the other hand, Chinese companies have started showing global ambitions and will need a lot of research support in order to create their strategy. Ease of research into Japan and Korea: China, Japan and Korea have broad cultural similarities. Japanese and Mandarin scripts have lots of commonalities. There are many students of Korean and Japanese languages. Carrying out research into Japan and Korea will be much easier from China. Long term vision: China has a huge talent pool and is developing English capabilities very fast. In the long run China will have a good supply of smart English speaking resources. In the long run. China office will become a very good second centre from where to carry out global research. Reducing country risk by having an additional operations centre besides India.

4 China Eventus Co. Ltd Expert Knowledge Services: 5 Distinct, Synergistic Service Lines Investment Research Business Research Market Research Intellectual Property Financial Analytics

5 China Eventus Co. Ltd Business Research Services SpectrumExisting Expertise Market studies & segment analysis Technology evaluation and licensing Company, industry profiles & analysis Product & value chain analysis M&A target identification and valuation Standard benchmarking Sector monitoring Value-added daily news services Financial Services Telecom and IT High tech / Electronics Pharma / Biotech Chemicals, Oil and Gas Consumer Goods

6 China Eventus Co. Ltd Contact at Evalueserve UKClient Executive in China Mike TaylorSusi Ma Sales DirectorDirector Evalueserve UKChina Eventus Co. Ltd. Mobile:

7 China Eventus Co. Ltd E-Commerce in China Case Study Brief history and business model Largest Global Suppliers Platform Key Services and Products Partnership with

8 China Eventus Co. Ltd Business Model Listing of suppliers, web hosting, web design International trade fair representation Annual subscription fees Certification and Seal of Approval Additional value-added services: Ali chat, Ali Pay, Alibaba University

9 China Eventus Co. Ltd E-Real estate Chinese Website B2B Japanese Website B2B TaoBao B2C

10 China Eventus Co. Ltd Hot Products Ali Chat Ali Pay Merchant services Platform Payment gateway Alibaba University

11 China Eventus Co. Ltd possible developments Partnership with Overtake eBay (over 100M users $55,5B market cap)? Overtake PayPal (79M accounts, 56 countries, est. $18,9 B total transaction volume)? Overtake VeriSign ($40B in total payment volume in 2004 )? Overtake Skype (185M downloads, $7M in 2004 est. 60M in 2005, $200M in 2006)? Overtake Baidu.Com ($5.15M revenue per $2.16B market cap. Highest at IPO $153,98, today $67.37)?

12 China Eventus Co. Ltd Internet Demographics in China Solid infrastructure and low communications cost. State incentives & directives. Internet as an e-Learning educational tool Internet Usage in China Population 2005 Est.1,296,110,643 Internet Users (Year 2000) 22,500,000 Internet Users Latest Data Use Growth ( % Penetration (% Population) 7.9% (%) Users in Asia 31,5% Source: Internet World Stats USA. As of June/2005: 202,888,307 Internet users, 68.5% of the population 296,208,476. In year 2000: 95,354,000 internet users, 33.1 % of the population 287,855,200 Intensity of usage: one-child policy Chinas secret weapon: age-defying urge to learn!

13 China Eventus Co. Ltd Online Gaming Case Study InterServ International (USA, CN, TW)

14 China Eventus Co. Ltd About InterServ Founded 1989.Market Cap.US$8.3M Taiwan Stock Exchange Business Divisions Games Division, Development & publishing – console, PC, MMOG, wireless Art design and production services for games Edutainment Division, Online learning platform & content Edutainment CDROMs for children OfficesTaipei – headquarters (100) Shanghai (120) Irvine, CA (2)

15 China Eventus Co. Ltd CA, USA SHANGHAI TAIPEI (HQ) Co-Development Outsourcing Production Creative Center Creative / Product Planning New Technology Development Marketing Strategies New Business Development & Alliances Production Center 2D/3D art design, modeling, animation Motion capture studio Effective process control Efficient resources integration Liaison Office Timely liaison for the US & Europe Bridge the gap First hand marketing feedback Strategic Setup

16 China Eventus Co. Ltd MMORPGs A massively (or massive) multiplayer online role-playing game On August 4, 2005, the Chinese government announced a ban on all "violent" game play for minors under 18. Chinese officials declared violent any game that involves player vs. player combat, a common feature among MMORPGs. Later in August the same year, the Chinese government imposed online gaming curbs so players can not play more than three consecutive hours!

17 China Eventus Co. Ltd MMORPGs A massively (or massive) multiplayer online role-playing game Farming Farming is a form of playing where a player kills monsters in the game for the money and items that the monster drops. Players who farm usually camp an area, kill monsters as they spawn, collect the loot, and later sell the items to others. Online sweatshops in China, people are actually employed to collect in-game items for their employer who then sells them. It is reported that one can make up to USD$100 a day, which is actually better pay than many other jobs in China.

18 China Eventus Co. Ltd MMORPGs A massively (or massive) multiplayer online role-playing game Private Servers Single-client based graphic MMORPGs may have private servers or server emulators. Private servers are mostly run by volunteers: mostly free. However, some private servers may wish for people to donate money, sometimes in exchange for a bonus in the game. In China private servers are more prevalent. Most players are aware of private servers. They may even prefer private servers over official ones. Reasons: relatively high fees for official servers, availability of 100MB/s fibre optic Internet connections (at US$30 p/month). The costs of running a server in China are also remarkably low. In one instance, a private server had more than players registered. Some even have 1000 accounts in 1 day (the opening day).


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