In this week’s wrapup, we’ll talk about Moody’s downgrade of India, streaming platforms, how private schools in India make money, and Vodafone's sorry state of affairs.
It just got a little Moody in here
On Monday, we spoke about Moody’s downgrade of India, and the rationale behind it.
Moody’s changed its outlook for India’s sovereign rating (Baa2) from stable to negative, saying that the domestic economic downturn could be structural. It added that if GDP growth doesn’t return to high rates, the Government will face challenges in narrowing its budget deficit and preventing a rise in the debt burden.
We wanted to translate all this lingo and offer more context here.
So if you are not following Moody, just read the whole story here.
The Streaming Wars
On Tuesday, we spoke about the launch of new streaming services and how incumbent players are dealing with them.
Last year, the number of streaming subscribers around the world surpassed the number of cable subscribers for the first time in television history and with the launch of Apple TV+ and Disney’s own streaming service the battlefield is intensifying.
So how will the incumbents (including the likes of Netflix, Hulu, HBO Go, and Amazon Prime Video) fare?
The answer lies in content. Most specifically, the cost of its acquisition.
Not following? Here is the full story then.
The Onion Affair
On Wednesday, we discussed why the Government is cracking down on onion hoarders, and what it’s doing to regulate prices.
Onions are grown twice every year, with the harvest from one season lasting until the next. Unfortunately, due to heavy rains, we lost a lot of produce stocked in warehouses and all the excess supply started dwindling rather quickly. Inevitably, prices began to soar and the government sprung into action.
It immediately froze all exports and put stocking limits in place . This they hoped would restore supply and bring down prices. It worked, but only temporarily.
To know what went wrong after that, read the whole piece here.
The Economics of running a private school in India
On Thursday, we shed light on the economics of running a private school in India.
Private schools are important for this country. They are value for money, can do more with fewer resources, and have a higher standard of education as compared to Government schools. In fact government schools are emptying at a pace never seen before, despite a substantial increase in the primary-school-age population in India.
So you would think, private schools ought to be thriving right? Well they are. But there are some big hurdles, still.
To find out more, read the full story here.
Time up for Vodafone?
On Friday, we spoke about the many problems plaguing Vodafone, and the reason behind them.
Vodafone CEO, Nick Read, declared that the Company’s book value in India was probably going to zero and pointed fingers at India’s unsupportive regulations, crippling taxes and a supreme court decision that left the carrier $4 billion in debt. They asked the Government for a bailout, which was steadfastly refused.
Now it's no secret that Vodafone is saddled with boatloads of debt. But how did it get to this point? That's the all important question and the answer is just a click away! Read the full story here.
That’s it from us. See you next week!
Also, listen, we need to get the word out. There are so many people out there who should probably be following all this so that they can lead the discourse shaping India’s future. We need people to be better informed and we think our stories are as easy as it gets. So if you agree with us go ahead and share this story on WhatsApp or tweet this.