The Costa Rican Software Corridor: Startup Develops Expansion Plans for Latin America

Case Solution

Michael Metzger
WDI Publishing at the University of Michigan ()

In the 1990s, San José, Costa Rica, began to emerge as a Latin American hotspot for the information technology sector. SPS Software, a small startup in San José, played an important role in the history of this industry and the development of the software industry in the region. In late 1995, SPS co-founders Claudio Pinto and Jorge Sequeira considered developing a marketing strategy and expansion plan to capitalize on a potential infusion of venture capital, a first for a technology company in Central America. This case examines the rapid growth of the software industry in Costa Rica, including the competitive landscape and unique infrastructure and financing challenges for Central American startups. Students will guide SPS Software to address these challenges and then develop a marketing and expansion plan that the company can present to a venture capital fund.

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