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Resignation or divorce? Didi’s choice

However, something must happen. Didi’s business model has fundamentally changed, and as necessary, analysts have had to revise their earnings forecasts. As part of its crackdown on China, regulators have asked the company to remove its apps from mobile stores and eliminate attracting new users. The move cuts off Didi’s momentum to expand into smaller cities, the main source of Didi’s future sales growth in the country. Furthermore, Didi’s earnings before interest, taxes, depreciation and amortization for the Chinese market were only 3.1% of its total transaction value. It is not a cash cow.

https://www.washingtonpost.com/business/annulment-or-divorce-the-choice-is-didis/2021/11/25/c3644e60-4e65-11ec-a7b8-9ed28bf23929_story.html?utm_source=rss&utm_medium=referral&utm_campaign=wp_business Resignation or divorce? Didi’s choice

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