After the news that Evergrande announced a total shutdown came out, many people thought that this would be the starting point for Evergrande to rise again, but in my opinion, Evergrande still has a long way to go. If the huge debt crisis is not solved, Evergrande will be seriously affected.
1. Evergrande faces a huge debt dilemma. In fact, all the problems and troubles of Evergrande come down to the huge debt problem. It is precisely because of the huge debt that Evergrande has no repayment ability in a short time, which leads to a series of chain reactions. If the huge debt dilemma cannot be effectively solved, Evergrande will face more and more problems in the future.
Second, Evergrande faces the dilemma of public trust crisis. Due to the huge debts owed by Evergrande, many people are very worried that Evergrande will choose bankruptcy to repay the debts owed. Although Evergrande announced its full resumption of work this time, it did not dispel people's doubts about Evergrande. If Evergrande can show enough sincerity in the future, it will surely win the trust of others again.
Thirdly, Evergrande faces the dilemma of sluggish market development. Although it is a good thing that Evergrande can rise again, due to the very low development of the real estate market, even if Evergrande returns to work in an all-round way, it will not gain much from it, and it may even operate at a loss. If this happens more and more, Evergrande will inevitably owe more and more debts, even to the point where Evergrande will never be able to repay them.
As to where Evergrande will go in the future, Evergrande needs to make its own decision. If you choose to go bankrupt to pay off debts, all the top management of Evergrande will inevitably cause strong dissatisfaction among consumers, and once Evergrande goes bankrupt, it will inevitably bring terrible risks to the whole real estate market.