Weekly readings – 25th July 2020

What I wrote

Slack filed an antitrust complaint against Microsoft over Teams to the EU. On the surface, I don’t think Slack is going to win the case, if the EU decides to formally launch an investigation. How Microsoft structures their Microsoft 365 offers does give customers a choice to include Teams or not, a counterpunch to the core of Slack’s complaint. I wrote my thoughts here

I also wrote about matcha, how it can beneficial to our health and why it and its accessories are expensive

Business

In investing, when truly exceptional opportunities present themselves, Charlie Munger said: use a shovel, not a teaspoon

Both strategies yield the same result: that foreign affiliate employment increased as a direct response to increasingly stringent restrictions on H-1B visas. This effect is driven on the extensive and intensive margins; firms were more likely to open foreign affiliates in new countries in response, and employment increased at existing foreign affiliates. The effect is strongest among R&D-intensive firms in industries where services could more easily be offshored. The effect was somewhat geographically concentrated: foreign affiliate employment increased both in countries like India and China with large quantities of high-skilled human capital and in countries like Canada with more relaxed high-skilled immigration policies and closer geographic proximity. These empirical results also are supported by interviews with US multinational firms and an immigration lawyer

Source: NPER

How Ben & Jerry’s Perfected the Delicate Recipe for Corporate Activism

A look at how influential Facebook is in Bangladesh

Apple’s report on their sustainability progress

Where banks really make money on IPOs

An investigative piece by WSJ that looks into accusations that Amazon used confidential information accessed through its investment arm to launch competing products.

Shopify Saved Main Street. Next Stop: Taking On Amazon

An interesting piece on what appears to be a change in strategy for Apple TV+. This streaming space is highly competitive. I look forward to how Apple will compete with other heavyweights. On a side note, I really enjoyed Greyhound. You should give it a try

Technology

Giving GPT-3 a Turing Test

A good blog post on the behind-the-scenes technology that changed air travel

A report commissioned by Apple on commission rates of other marketplaces, compared to Apple Store. It’s an interesting study and it’s definitely good to have all the facts in one document. On the surface, Apple Store’s commission rates don’t look outrageous, compared to those of other marketplace platforms. However, the debate doesn’t end only at take rates

What I think is interesting

The Last Hunter Gatherers

A great write-up on beaches in Quy Nhon and Phu Yen in Vietnam. If you visit my country, I highly recommend that you go there. Wonderful beaches, few tourists, and great sea food

For years, African countries have taken loan money for China to improve their infrastructure and economy, in exchange for the use of these countries’ vast reserve of rare metal and resources. Now, a report said that Africa is more aware of the strings attached to loans from China. For a good reason!

A bit about matcha, how it can benefit your health and why it’s expensive

I have recently taken up a habit of consuming matcha. It is refreshing in this hot weather to drink an iced latte matcha that mixes plant-based milk such as soy or almond milk with the green matcha powder. Apparently, matcha can be pretty good for your health for several reasons, as follows:

Each food has been measured for their antioxidant capacities, in a unit called ORAC (Oxygen Radical Absorbance Capacity). List of ORAC-rich food items – Source: matcha

It can be expensive

There are two main and popular grades of matcha: ceremonial and culinary. Ceremonial grade is the highest grade of matcha that is made of very young tea leaves and requires a lot more care during the process. Hence, it’s quite expensive. Ceremonial grade matcha reportedly has a delicate flavor and should be used in tea ceremonies only. On the other hand, culinary grade match is cheaper because it reportedly is made of tea leaves that are young, yet older than those used to make ceremonial grade. Culinary grade can be used in baking, cooking and beverages.

To get a sense of how expensive matcha can be, take a look at the listings on Amazon for “matcha green tea powder” keyword

Source: Amazon

I buy my matcha from a local shop called The Tea Smith in Omaha. One ounce of culinary grade matcha from The Tea Smith costs $4.5. There is a cheaper alternative that costs only $2.5 per ounce. It is cheaper because it mixes matcha powder with sugar cane. It baffled me as to why matcha is expensive. I did a little research and apparently, the process of producing matcha is quite laborious and unique. Tea leaves have to be shaded from sunlight a couple of weeks at least before they are picked. After they are picked, they go through several steps of steaming, air-drying and removing stems & old leave parts. In the end, there are only soft particles left, which weighs about 1/10 of the original leaves. The particles are then stone-grounded, using uniquely crafted and carefully maintained stone mills. Each mill produces only one ounce or 30-40 gram of matcha per hour.

There is also a Chasen

A Chasen is a whisk specially used to mix matcha powder with water. I bought my whisk for $18.5! I was shocked at the price at first, but would soon understand the reason why after I learned how Chasens are made. Watch the videos below to know how they are created. Trust me, you’ll be blown away by the craftsmanship, patience and incredible talent of the Japanese

This video touches a little bit more on the hachiku bamboos used in the matcha whisks.

In sum, even though regular consumption of matcha can cost a bit, I do think I will continue with this habit in the future, unless there are scientific studies proving that matcha is hazardous to humans. I think given that matcha is linked with a lot of health benefits, it’s a cheap investment into the most valuable asset one can have. Also, as I learned about the art of producing matcha and Chasen, my already big admiration and respect for the Japanese craftsmanship and culture only grew bigger.

Let me know what you think about matcha. Stay safe and have a nice weekend!