Friday, May 12, 2006

Hailong Company Suggests Microsoft to Opt for the Warner Bros Strategy

People's Daily Online quoted Yan Xiaohong, deputy chief of the National Copyright Administration saying that China will not make any discount on the principles and goals on its IPR Protection and that it will be a long and arduous process.

Representatives of the computer industry gave their opinion on the Pre-installed Authorized Operating System, issued by Ministery of Information Industry, National Copyrights Administration and Ministry of Commerce on April 6, read more here.

"Hailong Company suggests that Microsoft should slash the price of its software according to China's situation. He said If Microsoft's Windows system could be reduced to 100 to 15 yuan, more than 50 percent of Chinese consumers would like to buy the copyrighted ones." This may be not so strange since Microsoft's profit margin is about 95 percent on software. And it might be a good idea, because to price elasticity. Warner Bros. is trying this strategy, read here.

Read the People's Daily Online article here.

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