Outsourcing in China
Unlike Indias large and thriving outsourcing industry, Chinas is still immature and fragmented, with few companies attaining high-level international certifications. Moreover, most of the IT outsourcing that happens in China today serves that countrys domestic market, such as the financial services sector.
Computerworld Feature (November 2006)

Language Barriers
Among the various sourcing peculiarities and problems specific to China is regionalism, says Pieter Tsiknas, director of SearchBank's Beijing office.
Computerworld Feature (June 2006)

Bridging the Chinese Skills Gap: Despite vast numbers of IT graduates, suitable talent is hard to find
Hankscraft Inc. has been making industrial motors and mechanized pumps for more than 50 years in Reedsburg, Wis. The company came to China just three years ago but already has twice as many employees here as it has at home. Jonathan Funkhouser, who is general manager of Hankscraft's China operations and who makes the top-level technology decisions, thought it was going to be hard to get all the government approvals he would need in order to set up shop in China. But that turned out to be the easy part. "Finding good employees and managers was the most difficult," he says.
Computerworld Feature (June 2006)

Saving face in China: Good IT can bridge the cultural gap
In the West, companies want to put on a good face for customers, even if it means having to admit mistakes. Righting wrongs is a big part of a good public image, and a good internal image as well. In the East, particularly at traditional companies, saving face is important. Saving face means that you don't admit your own mistakes and you don't publicly humiliate co-workers by exposing their mistakes.
Computerworld Feature (May 2006)