EQ Saturday Sapience #79
Equity Intelligence 10th August 2024
In industry after industry, China’s chronic overcapacity is creating a complicated dilemma for nations across the globe, Affluent population continues to drive Indian consumption story driving the trend of premiumisation, Drones are soon going to be mainstream, not just a parallel logistics solution, India’s geopolitical landscape is hobbled by significant political instability in several neighbouring countries, posing potential challenges for New Delhi.
- China’s Real Economic Crisis… Why Beijing Won’t Give Up on a Failing Model… Simply put, in many crucial economic sectors, China is producing far more output than it, or foreign markets, can sustainably absorb. As a result, the Chinese economy runs the risk of getting caught in a doom loop of falling prices, insolvency, factory closures, and, ultimately, job losses… Read more
- Top 4% earners contributing heavily to consumption while the bottom 57% seem to be barely subsisting. This is leading to premiumisation trends in products and services catering to the affluent consumers… Read more
- Drones for logistics are ready to go beyond pilot projects as several leading firms get ready to launch services. Logistics companies know that drones will never be able to do hundred per cent of the deliveries. Drones are here to complement the gaps in the logistics industry in terms of connectivity and manpower issues… Read more
- India’s diplomatic, trade challenges in a stormy neighbourhood… India’s Neighbourhood First Policy is a strategic initiative aimed at enhancing relations with its immediate neighbours, including Bangladesh, Bhutan, Myanmar, Nepal, Pakistan, and Sri Lanka, as well as Afghanistan and Maldives. The policy doesn’t include China… Read more
- “The best foundation for a successful investment—or a successful investment career—is value. You must have a good idea of what the thing you’re considering buying is worth. There are many components to this and many ways to look at it. To oversimplify, there’s cash on the books and the value of the tangible assets; the ability of the company or asset to generate cash; and the potential for these things to increase.” —Howard Marks
