Last year,Warren BuffettofInvestmentscompanyBerkshire Hathaway** Digital Payments Company for Indiapaytmof holdings, which means:Warren Buffettsubsidiaries in the Indian marketInvestmentsFailed. Based on data disclosure from local ** exchanges in India,Berkshire Hathaway**Value 1$6.4 billionpaytmshares, which is equivalent to 25%。If we calculateWarren BuffettIt can be found that he lost more than 31%, taking into account the strength of the dollar andRupeedepreciation,Warren BuffettThe loss was as high as 46%. This loss figure is staggering, whileWarren BuffettThe defeat of the company makes people start to think about whether this so-called Indian Alipay really has a future
Warren BuffettKnown as the god of stocks, hisInvestmentsDecisions are in the spotlight. However, this time he was in the Indian marketInvestmentsBut there were huge losses. Clearance of Alipay in IndiapaytmThe move was a big surprise. Although the prospects of the Indian market are optimistic, butWarren BuffettwithInvestmentscompanyBerkshire HathawayThe performance did not meet expectations.
Berkshire HathawayYesWarren BuffettThe flagship company of itsInvestmentsThe strategy is considered to be very robust. However, they arepaytmonInvestmentsThere was a mistake in decision-making. According to open data,Warren BuffettIn 2018InvestmentsAbout 2$600 million, acquiredpaytmApproximately 3% of the company's shares. It was valued at about $10 billion at the time. However, the volatility of the Indian market makes:Warren BuffettA lot of money was lost.
paytmIt is the largest digital payment company in India and is known as the Indian version of Alipay. However, despite this reputation,paytmThe journey has not been as smooth as one might think. Back in 2009,paytmRealizing the potential of India's huge population market, he decided to enter the marketInternetPayment business. However, India's business environment is not ideal, the gap between the rich and the poor is huge, and many people have very limited access to the Internet at home. This givespaytmThe development of the development has brought a huge problem.
However, at a critical moment, the Prime Minister of IndiaModiA series of policy initiatives for:paytmIt provides opportunities for development. ModiIn 2015, the "Digital India" strategy was put forward to promote the entry of the people of IndiaInternetEra. This strategy has given impetus to IndiaInternetWith the booming industry, the cost of network access has dropped dramatically, making it possible for more people to participateInterneteconomy. In addition,ModiIt was also implemented in 2016".Remonetation Order", accelerating the shift of the Indian people to electronic payments. These policy measures are:paytmThe explosive growth provided a solid foundation, with the number of registered users growing from 30 million to 12.2 billion.
However, the good times were short-livedpaytmsuffered a decline. Despite being hailed as "Indian Alipay", butpaytmHowever, there are shortcomings in the field of commercial applications. Compared with Alipay's early ** and other payment scenarios,paytmIt is not mature enough in terms of business logic. In the short term,paytmIt's hard to see hope of turning things around. In addition,paytmAlso faced by Google PayApplesPaymentAmazonPayments and other international giants of competition. These companies already have mature payment scenarios and a large user basepaytmIt is weak against these competitors.
paytmAs India's largest digital payments company, it was once given great expectations. However, its trajectory has not been as expected. paytmIn the early days, it faced many difficulties, including problems in India's business environment and differences in payment Xi caused by the general wealth gap. Despite the Prime Minister of IndiaModiA series of policies have been introduced to support itInternetdevelopment and electronic payments, howeverpaytmThere is a gap in the business model and a lack of basic payment scenarios. In addition,paytmAlso faced by Google PayApplesPay andAmazonThe competition of international giants such as payment makes itpaytmThe position in the Indian market has been affected.
This timeWarren BuffettInpaytmonInvestmentsFailure is a wake-up call. Just because the same product is in another market doesn't mean it's going to be the same. In different market environments, business logic and user needs may be different. paytmThe example tells us that even with policy support, we need to have enough business logic and innovation ability to stand out in the market competition. In addition, in the face of mature international competitors, a differentiated competitive advantage is required to succeed.
Warren BuffettThe clearance action is also a wise choice. FacepaytmThe future prospects are unknownWarren BuffettTimely evacuation can avoid further losses. Of course, inInvestmentsThere are also risksWarren BuffettofInvestmentsDecision-making is not a spotless success, either. This failure reminds us that inInvestmentsIt needs to be done adequatelyMarket researchand risk assessment to avoid losses.
In short,Warren BuffettThe story of the defeat of India teaches us a profound lesson. The same product may suffer different fates in different markets, and differences in business logic and market environment need to be fully considered. At the same time,InvestmentsNeed to be cautious and timelyStop lossIt is also a wise choice. For othersInvestmentsThis is an important takeaway: choose carefullyInvestmentsOpportunities, not blindly chasing hot spots, but through market analysis and risk assessment to make informed decisions. Only in this way can it be inInvestmentsGet solid returns.