A brief analysis of the market development of entrepreneurial projects of software outsourcing companies

The current entrepreneurial projects of software outsourcing companies are actually projects with a very low starting point. Although the market is very mature and can even be said to be in dire straits, there is still a lot of “money” potential for future development.

A brief analysis of the market development of entrepreneurial projects of software outsourcing companies
Software outsourcing company

1. Low entry requirements and large existing market

The software outsourcing company is an entrepreneurial project with a zero starting point. To put it bluntly, it is on the same level as the decoration team. As long as the foreman can find project opportunities, he will definitely find someone to implement the project. Therefore, there are a large number of software outsourcing companies in this market, ranging from group companies with tens of thousands of people to teams with just a few people, all of which are active in this market. With so many companies existing, they must correspond to the same large consumer market. I checked the data and found that global IT outsourcing service expenditures in 2017 were US$1.038 billion. I will not check the Chinese part alone. You can From the financial reports of several listed outsourcing companies, I estimate that the number must be no less than 100 billion. This does not include the extra money earned by tens of millions of programmers, product managers, and designers in China from their private work.

2. The market is mature and business rules are sound

The rules of the software outsourcing market are already quite mature, and both parties A and B have reached a consensus in the market on the rights, responsibilities and interests. From the project’s demand confirmation, payment period, development progress plan, demand change process to project online delivery and intellectual property handover, these processes and rules have formed an established rule. Although there will be project implementation failures, implementation completion and unreceivables. There are situations where money is collected, but everyone has already learned how to deal with these risks and control each other. You will not be deceived just because you are a newbie in the industry, nor will you be able to cover the sky with just one hand just because you have been in the industry for many years.

3. Diversified outsourcing forms

In addition to pure project outsourcing, there is now resource outsourcing for the output of technical capabilities and even technology investment outsourcing where some outsourcing companies obtain the equity of the founding team by meeting the outsourcing implementation fees. Each has its own advantages and disadvantages. The project system can provide an in-depth understanding of the industry and the business, thereby establishing capability barriers; the output of resources has a stable and healthy cash flow; the acquisition of equity is just like an investment institution, and it is uncertain which project will be successful. All exchanged for dozens of times the return.

To sum up, software outsourcing entrepreneurial projects can be done! Can be done! And it is easy to survive. You only need to think about the direction of development after the survival period and make strategic adjustments in a planned way. You can still look forward to the future!

However, the road to entrepreneurship is long and long, and nothing is easy to do. Although the right time and place are in front of you, whether you can continue on it still depends on your luck and ability.

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