Tuesday, August 9, 2016

Hong Kong to Loosen Banking Regs

Bank deregulation is a huge competitive advantage in world trade, and this news is more evidence the USA is losing its hegemony.
A number of lenders in Hong Kong, including HSBC, have made it particularly difficult for foreign small and medium enterprises (SMEs) to open accounts, the Post has learnt.Sarah Kwok, head of the authority’s banking conduct department, said foreign investment had always been welcomed in Hong Kong but the tighter measures could cost the city its reputation as an international financial centre.
Hong Kong has the same population numbers as Switzerland, and about the best example of free market extant.   It therefore encompasses many kinds of banking, and what rules it has are more "how to play the hand" rather than worry about the cards dealt.

The regulations in question are largely a result of USA policy laundering, and this represents Hong Kong deciding to disengage to some extent its obedience to USA.  That SMEs worldwide are more valuable to Hong Kong than USA is interesting.

If USA expects to survive, one tactic will be to create its own Hong Kong in USA, and that would be easiest to do so with one of the Indian Reservations.  One country, two systems.

Feel free to forward this by email to three of your friends.


Anonymous said...

Hi John,

Do you have any experience of starting using a drop-ship model with a foreign supplier?


John Wiley Spiers said...

No experience at all... studied it a couple of times, and sent some containers straight thru to Kankakee Il for a customer, but small biz selling high end items, we run pick and pack operations. We have goods from multiple suppliers, and QC is on us...

Now Costco cut a deal with Alibaba where there is a warehouse full of Kirkland commodity grade nuts, coffee, baby formula, etc, cutting out the people who were ebaying Costco purchases to China, and families sending green form max shipments o China.

China also changed the rules so Costco, Walmart could do so without localizing labels... so even they cannot quite drop ship...

How about autos? Now drop shipping autos in USa is expressly against the law, so perhaps it would work in that instance...

love to see it done some how...