An IT distributor in China is pursuing three moves: opening offices in more cities, shifting from just selling boxes to offering configuration and support services for mid-tier partners, and acquiring a systems integrator to protect margins as competition squeezes prices.
My 3 priorities for growth strategy in China in the next couple of years is, first one, China is a big country and definitely we need to have a very good broadband on the geo coverage. So that's why, just as I said, we start with 5 or 6 offices. But down the road, we will continue to have more offices built in China. And as long as we have employees and office in that particular city, we will have a business. And then the second one is that we need to move beyond the box mover. We need to have some kind of value-added solution provided to our tier 2 partners. So like today, we already have a configuration center support. We already have a hotline service support for the software business. So we'll continue to find more solutions or service support to our Tier 2 partners. And then the last one is in terms of distribution margin, it's getting thinner and thinner because of the competition. The market is so transparent. So we had to go into the service market so that we can help to improve our margins. So that's why last year we already acquired one local SI company. And in fact, today when I look at the results, it did improve And a lot in terms of overall total margins. So these are the 3 things that we'll continue to do in the next couple of years. Okay.
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