Q: What have been the changes of the new Neusoft since its holistic listing? Why have you made these adjustments? And what's the significance of these adjustments for further expansion of the company?
A: A company's growth is the same as a person's: you need something when you are young, then you need other things when you become older. A company with ideas should have a long-term plan. You should think about your mature phase when you are young. But in the process of development, you can't make every step develop as you expected from a microcosmic angle.
In the past 17 years of Neusoft's expansion, we got a perfect result when we went ahead with our goal with the good luck that the government promoted reform and opening-up policy. While in process, we were left with some problems including the complex organization. Why? At that time, we started many joint ventures with different companies in order to survive and develop. Now, when you look forward to the company's future, you will find what made you prosper in the past may become what holds you back in the future. So we have to coordinate our organization now.
The restructuring simplifies our organization and makes it more effective and competitive. Also, it's the best news for our former investors. It lays the first stone for our healthy and sustainable development including transparency and simplification of the company.
Q: As we know, international business takes 30 percent of the whole in Neusoft. What's the strategy for the company's international business?
A: Neusoft is a mature enterprise so its market share in the industry matches the international one. Take software as an example. Only 5 percent to 6 percent of global software consumption is in China, others are in the whole world. What is a so-called mature company? You can take the percentage of certain products sold in that area or country. That's a real multinational enterprise. But most enterprises have priority in their own countries. So in Neusoft's further expansion, 30 percent will surely turn to 50 percent or even more. It's our target.
I just came back from South America. Nearly every country there has our products including Brazil, Peru as well as Colombia. So does the Middle East. As a Chinese company, it brings me great confidence that China-made hi-tech products can be accepted by international clients. And what makes me more excited is that not only developing countries but also developed countries accept our products. In the past year, we sold and installed over 20 products in the US.
