NQ Mobile is an interesting company. It has two global headquarters: one in Dallas and one in Beijing. Although 40% of its revenue derives from the US, most of its employees work in Beijing, leaving just three Mandarin speakers in Dallas.
First, this strategy assures labor costs are as low as possible given the China labor runs about 25 cents on the dollar to what the stateside labor is. Second, the company is being strategic and responsive to its talent management strategy and public relations. Bruce Einhorn with Kyle O’Donnell explain (“A Chinese Software Maker In a Texas State of Mind” Bloomberg Businessweek, 8/12/13–8/25/13, pp. 39–40):
“By distancing itself from its Chinese roots, NQ thinks it will be better able to recruit U.S. tech talent. The company may also be able to assuage the concerns of U.S. corporate clients uneasy about buying privacy software from a country known for its cyber-espionage activities.” (p. 40)
In spite of these legitimate concerns, the company is expanding its reach. Already, Verizon, America Movil, and Cricket are using its software. An additional deal is being executed with Target. The future is uncertain:
“It remains to be seen whether a Chinese company selling privacy and anti-hacking software can win over U.S. consumers.” (p. 40)
That does remain to be seen. After all, we are a long way from China . . . maybe.