Today, I visited Glass Egg Digital Media, a software development company that focuses mainly on art assets for video games. It was one of the first companies to break into the area of allowing major firms to outsource this kind of work. As might be said about all new companies, it faced many struggles in getting itself off the ground. The framers of the company raised a tremendous amount of money in order to afford the resources to prove to large software corporations that they had the materials to make products of high quality. The amount of resources needed to do this was extremely high for a startup company, and even after they had attained them, it took a few years for them to become profitable. After Glass Egg’s first taste of profitability, it became unprofitable again, and it continued to undergo these tidal waves of the market until it had built up a reputation within the industry and became more financially stable.
The framers of the company believed that Vietnam was one of the best places to be located. Even though a lot of their work comes from China and Japan, the labor costs in those areas are much higher than they are in Vietnam. Most of the challenges the company faced would have been faced no matter where it was located, as they are prevalent in any startup that is trying to break into a new field; however, it is possible that if they had been located somewhere closer to the companies they were working for, it would have been easier to accomplish some things.
In its early years, Glass Egg focused on making models of cars. Eventually, it decided to branch out, and started making non-vehicle objects. Now, it is focusing most of its efforts on expanding its ability to produce environments. With all of the challenges that come from being a new company in a new field, there are tremendous rewards as well. The field Glass Egg operates in is now highly competitive, but it can distinguish itself as having more experience than any other company. It is now expanding rapidly, and will need to buy more working space in order to continue growing at the rate it would like to. The framers of the company had to figure their way through a lot of hardships, but the success of the company now seems to indicate that it was worth it.