Shengxiong’s Weekend Learning Words NO: 577
The first message from Germany: Chinese companies are acquiring more European companies again
German "Manager Magazine" article on March 22, 2022, original title: Chinese companies are acquiring more European companies again European businesses.
A latest research result from audit and consulting firm Ernst & Young : After the acquisition activity of Chinese companies in Europe plummeted due to the epidemic in 2020, the number of related transactions increased significantly again in 2021 - from 132 to 155. Transaction volumes also increased significantly: the value of investments and acquisitions increased eightfold to $12.4 billion. The UK has become the country where Chinese companies conduct the most transactions in Europe. In 2021, Chinese companies made 36 acquisitions and investments in the UK. In Germany, Chinese companies made 35 investments and acquisitions, 7 more than in 2020. It not only helps Europe get out of trouble during the epidemic and strengthen the funds and motivation needed for development, but also expands China's international development space.
Ernst & Young's report stated that Chinese investors are still interested in European automotive suppliers and manufacturers, and are now paying more attention to sub-sectors such as electric vehicles , autonomous driving and high-tech materials. Chinese companies' interest in other fields has also increased significantly. Chinese private equity funds and venture capitalists are becoming increasingly active. Especially in Germany, Chinese companies made some large investments in start-ups last year. Chinese companies conducted a total of 27 transactions in the European high-tech and software fields last year, compared with only 20 the previous year. It not only provides funds for the development of the European automobile industry, but also strengthens the basis for international cooperation and joint development of new technologies for China's new energy and intelligent development, and has even become a leader in new technologies and new developments in many fields around the world. The number of acquisitions and investments by
in the health sector has also increased: the number of transactions increased from 16 to 26. The healthcare industry - from pharmaceuticals to biotech to medical technology - is increasingly becoming one of the most important investment targets for Chinese companies.
experts firmly believe that Germany is still an attractive market for Chinese investors, and many Chinese companies have very successful experiences investing in Germany. Enterprises from China and Germany help and strengthen each other, achieving symbiosis and win-win results; they not only serve the society, but also develop themselves.
The second piece of information from the UK: A real incident in a small town in Montana, USA Glasgow
The British " Financial Times " published an article on March 21, with the original title: On China's rise as a technology A gripping narrative of superpowers. Subtitle: China is quickly realizing the potential of digital hegemony, while the West remains naive.
tells a real story about Glasgow, a small town in Montana, USA - a place that claims on its promotional T-shirt to be "a place with no village in front and no store in back". The author Jonathan Hillman has an in-depth understanding of China here. How a communications technology company “swept the world.”
Unable to afford Western-made communications equipment, residents of the town of Glasgow struggled to survive on inadequate network coverage until Huawei came to the rescue in 2010. , a Chinese communications equipment company, won a contract to build a 3G network system from local telecom operator Nemont at a price 30% lower than its competitors.
was originally a good thing for a win-win and symbiotic community with a shared future. But Nemont is well aware of the political complexities of installing Chinese equipment in the United States. The U.S. government uses "security issues" to suppress the development of Chinese companies in the United States, but the U.S. government itself is unable to help solve the digital needs of vast rural areas. Especially after Trump was elected president, U.S. policy changed dramatically. The U.S. government has focused on reducing the presence of Chinese companies in the U.S. under the pretext of "the security risks of opening the U.S. market to Chinese technology companies." Huawei and other Chinese-funded companies' equipment has been banned by the U.S. government, and Nemont was immediately faced with replacing it. The high cost of existing equipment.
In his book, Hillman reviewed China's changes in the past 30 years: how the field of digital technology grew from scratch to a strategic threat to the United States and its allies.Hillman attributed America's failure to a failure to take risks seriously, complaining that the West had lost an opportunity. But he also expressed admiration for the agility of Chinese companies and the determination of their employees. If you get the right way, everyone will help you, but if you lose the right way, you will get little help. He also lamented the disparity between rich and poor in the United States - as of 2019, one-quarter of the rural population in the United States still lacks basic broadband services.
Zhang Shengxiong
July 16, 2022 (Saturday)
