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Tencent Stalks Alibaba: China's No. 2 Takes Lethal Aim At No. 1
- In the most important market of the future for e-commerce in China, social selling, Tencent is positioned to dominate over Alibaba.
- Tencent will have a monopoly on "social selling" because of overwhelming dominance of its WeChat ("Weixin") mobile messaging app, with over 400mn users in China.
- For now, Tencent seems reluctant to take on Alibaba directly, perhaps because of government pressure. But, I'm certain Tencent will enter the e-commerce business in force through social selling.
- Weixin is already racking up e-commerce sales, and when it gets fully going should steal billions of dollars of transactions from Alibaba's now-dominant Taobao online marketplace.
General Mills' Stunning Success In China
- America's most successful M&A deal in China is also among the most clandestine.
- General Mills has a booming business in China, better in many ways than Starbucks, McDonald's, and KFC. Not that you'd ever know from reading the annual report.
- The Minnesota giant dominates the Chinese market in sales of a Chinese national staple food -- dumplings.
China's Giant Banks: Learn How They Overprice And Misallocate Loans While Treating Borrowers Like Conmen
- 17 of the world's 100 largest banks are from China. Their size hides some deep weaknesses and a business model that harms the development of China's private sector.
- Borrowing rates for Chinese companies are among the highest, in real terms, in the world. That gives the banks fat profits, but is a deadweight further slowing China's economy.
- Trust, the lack thereof, is at the root of this enormous mispricing of credit in China. Unless this gets fixed, China will continue have a big, but globally uncompetitive banking sector.
- Hidden loan losses aren't the big problem. It's the banks' inability to break their addiction of lending to SOEs.
Nanjing - The Chinese Boomtown Neglected By U.S. Investors
- Nanjing was once dominated by U.S. investment and U.S. influence. Sadly, both are now in short supply.
- The city's economy has grown 200-fold over the last thirty years, and it's now richer per capita than the capital Beijing.
- U.S. companies need to direct their capital and attention to where growth is now happening in China. Nanjing is front and center.
China High-Tech: Alibaba And Other Recent Chinese IPOs Can't Disguise A Disappointing Record Of Achievement
- Despite many claims China is transitioning quickly away from its roots as a copycat, knock-off economy to become a potent new high-tech power, the detailed reality is far more sobering.
- For all the hype, the government policies and cash, China remains a high-tech disappointment, more dud than ascending rocket.
- Long-term failures, like the inability to produce jet engines, point to deeper problems that will continue to bedevil China's urgent need to upgrade its economy and innovation.
Alibaba Grabs The IPO Money But The Future Belongs To Jeff Bezos And Amazon China
- While Alibaba touts itself and raises $20 billion from US investors, Jeff Bezos is busy in China with his Alibaba-killer business.
- Bezos has precision-targeted Alibaba's key weaknesses and is positioning Amazon China for long-term dominance.
- Amazon in typical style reveals nothing about its strategy or operations in China. Everything is secret. They're clearly spending heavily, but with outstanding results so far.
The Surprising Reasons Why Beijing Now Heads The List Of Most Expensive, Crowded And Polluted Cities
- A gusher of government stimulus money is cause for some of Beijing's famous misfortunes.
- In its 3,000 years as China’s major urban outpost, nothing has altered Beijing as quickly, deeply, and perhaps permanently as the bounce-back and kickback from trillions in government spending.
- China's leader Xi Jinping is Beijing born and bred. Will he change directions and slow the city's explosive expansion?
China's Rise Enters A More Challenging Phase, Where Bold Ambitions Confront Stubborn, Often Centuries-Old Obstacles
- China at the crossroads: after so many years of phenomenal economic success, it must now innovate or growth will wither. Where can investors find value?
- New detailed analytical report studies core challenges, as well as emerging investment opportunities and themes for investing profitably.
- How can China continue to push forward against some deep-seated problems, including how to generate globally-competitive innovation, how to sort out land ownership, and how to attract and reward global investment.
What's The Crazier Bet? USA Winning The World Cup Or Investing In China's Internet And Mobile Companies?
- PE and VC money is pouring into early-stage "me too" internet and mobile companies in China.
- The low-probability plan is for either Tencent or Alibaba to buy these firms, or US stock market to welcome their IPOs.
- This looks a lot like China's homegrown version of the Dot-com Bubble of the late 1990s.
Tiananmen 25 Years Later. I Was There. I Was Wrong
- China is a better, fairer, richer, more open and freer place than it was in 1989.
- Economic and social progress in China are rooted in a deep, practical resiliency.
- Problems remain, but the country has come farther faster than I dared imagine when I first got here.
Who Should Own China's Land And Who Should Farm It Remain Central Questions For China And Large U.S. Multinationals Thriving There
- Urbanization in China is the main source for long-term profit and revenue growth for many US multinationals.
- China's 5,000 year-old peasant civilization is under constant strain because of small farm size and huge demand in cities for new labor.
- Long-term, China's urbanization is likely to continue, underpinning the country's long-term growth.
WH Group Hong Kong IPO Goes Belly Up - Smithfield Foods Relisting Deal Collapses
- After its big buyout last year in the US, the attempt to relist Smithfield Foods' assets in Hong Kong has collapsed in an embarrassing mess.
- The Morgan Stanley-led deal carried too much debt and too high a valuation for IPO investors.
- Only Smithfield's shareholders have come out ahead on this deal, selling shares to a China-led PE consortium for a 31% premium over the pre-bid price.
China IPO, The Reuters Headline And The Reality Couldn't Be More Worlds Apart
- Media reports to the contrary, IPOs look set to resume in China after a two-month hiatus.
- China's IPO process undergoing a 180-degree shift, letting markets, not regulators, decide who will IPO, when and at what price.
- With bumps along the way, China's capital markets are headed in the right direction.
China's Malls Get Mauled: How Alibaba's Taobao And Other Online Shopping Sites Are Pushing Traditional Chinese Retailers Toward Extinction
- Alibaba Group's success is creating havoc for shopping malls and traditional retailers in China.
- Bricks-and-mortar stores are fundamentally uncompetitive and overpriced in China and so unable to halt the continuing rise of online shopping.
- Online shopping, led by Alibaba's Taobao, will take an ever-growing share of every retail Renminbi spent in China.
3M: Its Solid Success In China Is Transforming Both The Company And China Itself
- 3M is quietly, even stealthily, thriving in China as few other American companies are.
- 3M's future growth is hinged more and more on its performance in China, where it expects within 10 years to have revenues larger than the US.
- 3M's China strategy is as simple as it is successful: premium products, premium prices and premium market shares.
- How China Triumphed Over India, And Won The Battle As The World's Best And Biggest Emerging Market
- China's New Peasant Revolution -- How It Is Boosting Food Production And Farm Incomes
- The Misfortunes Of The Big 4 In China
- China's Capital Markets, IPO And Institutional Investment: From Feast To Famine And Now Back Again?
- Private Equity In China: It's Changing, But From What? Into What?
- China's SOEs: Big Changes On The Way At China's Biggest Firms
- The Big Churn - How High PE Partner Turnover Is Damaging Institutional Investment In China
- China's Long IPO Freeze To End Next Month
- China's Logistical Nightmare: Why FedEx And UPS Are Dying To Expand In China
- Trendsetting IPO In Hong Kong: Hydoo Helps Revive Investor Interest In Chinese Listings
- State-Owned Enterprise Buyouts In China: A Great Way To Make Money
- Smithfield Foods - Shuanghui International: Where's The Beef?
- CITIC Capital's Take Private Deal For AsiaInfo-Linkage: Is This An LBO The Chinese Way?
Goldman Sachs Predicts 349 IPOs In China In 2013
Apr. 3, 2013 • 1 Comment
- The Ambow Massacre: Baring Private Equity Fails In Its Take Private Plan
- Dollars No Longer Welcome In China
- Focus Media: China's First Big LBO Deal Is A Head-Scratcher