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A comment on Asia-Pacific is home to a rise in new self-made billionaires. Parent comment

Re:Asia-Pacific is home to a rise in new self-made billionaires by sanxiyn on Friday February 08, 2019 @11:35PM (#19120751)
Xiaomi doesn't really make air filters and vacuums, they are made by their partners. Xiaomi is providing retail service to those partners. Xiaomi also provides partners other services, like pooling purchases to lower price and pooling loans to lower rate.

One financial analysis of Xiaomi I read (it's in Korean, I couldn't find anything in English) is that it is in part a lending company funded by float from manufacturing partners. Xiaomi has a personal loan product which grew by 100x in two years to ~1 billion. Liquidity comes from delay between retail sale to partner payment.

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Re:Asia-Pacific is home to a rise in new self-made billionaires by baybal2 on Friday February 08, 2019 @11:55PM (#19120830)
To begin with, money in China are super duper cheap to begin with. I guess, even "super duper cheap" was not enough for Xiaomi
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Re:Asia-Pacific is home to a rise in new self-made billionaires by sanxiyn on Saturday February 09, 2019 @12:16AM (#19120907)
Isn't interest rate much higher in China compared to US?
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Re:Asia-Pacific is home to a rise in new self-made billionaires by baybal2 on Saturday February 09, 2019 @12:23AM (#19120928)
Nominally, yes... the "street rates" are completely random, and if you manage to qualify for any government endorsement, state banks will be ready to bamboozle any amount money on you.
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