The Fall of D'Long |
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Business Environment Case Studies Please note: This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source. |
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Introduction Contd...
According to David Chen, former chief of Hartcourt Company's4, investment arm, "The government should take the blame. It's time for policymakers to consider why this has happened - lack of transparency for investors and lack of scrutiny into bank lending."5 Background NoteThe origins of D'Long date back to the year 1986, when four brothers (Tang Wanchuan, Tang Wanxin, Tang Wanping, and Tang Wanli) in Xinjiang Uyghur Autonomous region in the northwest of China, started a photograph development service. The brothers traveled from Xinjiang to Guangzhou, where developing photographic films and printing photographs was cheaper.
4] Hartcourt Companies Inc. is mainly engaged in selling
desktops, monitors, PC components, and peripherals in China. The company is
among the fastest growing IT distribution and retail companies in China. |
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