November 7, 2019

Episode 28 – Tech – Investing in China

Featuring: Felix Narhi, Rui Ma, Ying-Ying Lu

Felix Narhi is joined by Rui Ma and Ying-Ying Lu, co-hosts of Pandaily’s TechBuzz China podcast.

Subtitle: The country that cannot be ignored

Felix Narhi is joined by Rui Ma and Ying-Ying Lu, co-hosts of Pandaily’s TechBuzz China podcast, who are both seasoned China-watchers with years of experience working in the China technology space. Felix recently joined their TechBuzz China Investor Trip to various cities in China, where they visited a number of public and private companies. In this episode, they discuss investing in Chinese companies, the intricate nuances of daily life that only a visit can highlight and the significant implications these have on investing in China.

Key Takeaways

[02:36]	Felix begins the conversation by asking Rui and Ying-Ying for their thoughts on the current social and business mood in China, given the headlines around the US/China trade war.
[06:00]	Rui and Ying-Ying discuss the sustainability of business models in China where companies are focusing on revenue growth and active users.
[8:18]	Felix, Rui and Ying-Ying discuss the power of Alibaba and Tencent’s platforms when it comes to tech companies in China connecting with their consumers online.
[14:50]	In discussing local services super-hub website Meituan, Rui shares that “people…book hotel rooms in order to just socialize with their friends instead of going to their homes”.
[22:11]	In discussing Costco’s move into China, Ying-Ying offers insight into the truth behind some reports saying it hasn’t been successful.
[26:27]	Felix asks Ying-Ying and Rui to discuss the idea of fast fashion and how its popularity in China could impact global companies looking to expand into that market.
[29:30]	In summarizing high-level takeaways for Western investors interested in China, Rui and Ying-Ying agree that the best way to learn is to spend some time in the country.
[34:23]	Rui and Ying-Ying share both a book and documentary recommendation for investors interested in understanding more about China.