In this week's wrapup, we talk about climate justice, IRCTC, Cartels, and lastly Elon Musk and world hunger. Also for this week's Finshots Markets we are revisiting Paytm and while it's mostly a rehash of our earlier article, we add a few bits and pieces that maybe relevant to people looking to buy into the IPO. You can read more here.
Fighting for climate justice
COP 26 is currently taking place in Glasgow and to keep it simple, it is the most significant climate meeting since 2015’s Paris Agreement. Because the arrangements that come out of Glasgow will decide the fate of this planet, whether we will be able to stabilize the climate in time or well (without sounding too ominous) we roll the dice on our future. South Asian countries like India in particular are expected to get the rougher end of the stick in case things go south, which is why we all need to understand the full extent of the climate talks happening right now. So be sure to read our Monday Newsletter on climate justice.
The curious case of IRCTC
IRCTC presides over a pure monopoly. The company is the sole provider of online tickets and catering services to the behemoth called the Indian Railways. Its dominance in India’s railway travel market is unparalleled and the markets have so far appreciated this fact, propelling the company’s share price from ₹320 on its listing to close to ₹6,000 in October. But then the stock price tanked. Why? What happened.
We explain this and IRCTC’s unique circumstances in the Tuesday Newsletter.
Understanding cartels and the competition commission of India
Recently 6 firms were found guilty of fixing a government auction. These companies were colluding with each other to fix the bids and get paid the highest possible amount of money. This sort of behaviour is deemed anti-competitive or even illegal, and in business parlance we call such setups - Cartels. And the task of guarding us against such nefarious schemes is delegated to the Competition Commission of India (CCI).
So in the Wednesday’s Newsletter, we take a look at why companies form cartels and how the CCI scuttles these devious schemes.
Can Elon Musk end world hunger?
Last week a UN director gave an interview where he essentially suggested “$6.6 billion could help fight world hunger ”, further adding how ultra billionaires could easily fund their needs and help them in this regard. He then went on to name drop Elon Musk and how a donation of just 2% of his fortune could achieve the same target. Elon Musk responded and there was a storm on Twitter last Sunday, bringing world hunger back in the spotlight.
So we decided to get the facts straight first and figure out whether $6.6 billion could indeed end world hunger. You can read the whole story here.
Anyway, that's it from us this week. We will see you on Monday. Until then, don't forget to share this article on WhatsApp, LinkedIn and Twitter
