Question

In: Operations Management

Choose two random topics from Bloomberg business website and summarize them with source?

Choose two random topics from Bloomberg business website and summarize them with source?

Solutions

Expert Solution

Xiaomi's $10 Billion IPO Risks a Cash Crunch in Hong Kong

- Wolrd's fifth largest smartphone Chinese smartphone maker, Xiaomi is planning to raise $10bn as Initial Public Offering in HongKong.Past trend in HongKong reflected that how people oversubscribe initial offering in the market and subscription can goes upto 10 times. The same trend is predicted for Xiaomi which has strong fundamentals to attract more investors to purchase its share. Analyst assume that due to this if everyone’s using their margin loans to subscribe for an IPO, that can mean less money sloshing around in the city’s $5.6 trillion equity market.

Why Can’t China Make Semiconductors

Jack Ma,the richest person of China is finally planning to make semiconductors in China which have tasted failures in the last decades in making it. China import more semiconductors than oil in the recent time which stand as whopping $200bn.Central planning of China, lack of capital available in China,technology acquisition etc are the major impediments for China in making semiconductors.


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