Chinese software companies are targeting small and medium size companies with enterprise software and E-trading products, and could be serious competitors to i2 Technologies, Oracle, and SAP in the Chinese market. Chinadotcom, a Hong Kong company, has been acquiring North American and European software companies. Its acquistion of Ross Systems will add supply-chain-management and financial reporting software to its product line. Sales of hardware and software in China are expected to grow 30 percent in 2004. Chinese companies are now beginning to adopt enterprise software. Demand for new software engineers is high in China, and many American companies have donated money for training. Kingdee International Software Group and UFSoft are two Chinese companies that, like Chinadotcom, are focusing on small and medium Chinese companies with enterprise software. Chinese software is becoming more accepted outside China as well. ChinaECNet and eChannel Open are two Chinese companies addressing the business-to-business e-commerce market with EDI, RosettaNet, and XML standards-based platforms. The Chinese government owns stakes in many Chinese software companies, and often offers tax breaks. The small and medium-size companies are also an important market for U.S. and European companies like i2, Oracle, and SAP, but these companies need to find ways to decrease prices to remain competitive in China.