Respond to this discussion post: Hello, When you reflect on the advantages and disadvantages of China...

Question

Question

Respond to this discussion post:

Hello,

When you reflect on the advantages and disadvantages of China issuing equity outside of China, what do you think could be the impact internationally?

business economics

Answer 1

Answer #1

Advantages of China issuing equity outside China:

This will help them in increasing their capital.
It will help in attracting a large number of investors.
Issuing equity outside the country will encourage more financial innovations.
Concept of economies of scale will prevail in this situation that results in low cost of production and more product innovation.
Consumers will get a wide variety of products and services internationally.
It will also improve competitiveness also.

Disadvantages of China issuing equity outside China:

Answer 2

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