julia: welcome to "bloomberg businessweek." we are in magazine headquarters in new york. today, how to measure the legacy of the chinese premier. plus the towns and factories in mexico that form the backbone of the global economy and who are not afraid of president donald trump. plus, a look inside the most expensive house in the global property market. all of that ahead on "bloomberg businessweek." ♪

julia: we are here with the editor-in-chief megan murphy joining us from london this week. in remarks this week, you take a look at what is going to be in important week for the chinese politically. we are looking at what the legacy will be going forward. megan: it is a huge week. they have the congress were they are going to lay out the platform but really his legacy is the question that they are going to look at. he has carved out, you do not want to so unique but a special place in china right now. he has embarked on a huge crusade against corruption. he is really focused on the economy. one thing that the piece focuses on, when you look at this legacy, is the initiative which is, by any measure, the largest infrastructure project in the world in history in terms of expansion away from china to all corners of the globe, ports and railroads, making china and

integral part of everywhere outside of china. it is a massive infrastructure project that has a lot of risks as well. julia: he is not the first person to come up with this concept. the europeans flirted with it in the past. what is different with what president xi wants to accomplish and what makes us think that the corruption drives will help them drive this forward. megan: you are exactly right. an unprecedented consolidation of power, almost a cult figure in china internally as well as externally. the ambition is to connect parts of china that are so cut off from the western parts of the country. what makes the argument is the economic case for one road is not a fait accompli. they frankly do not have a lot of industry that you can develop

on so the ambition involved is massive and without that economic case to be made for it, president xi will face questions as to whether you can actually deliver. and then there is what is the point. is there a need for this type of infrastructure in china right now? it is a massive undertaking, one that will define him going forward. carol: a lot of things have to fall into place and there are key countries that have to buy a in for it to ultimately work. russia and india. megan: russia right next door, china has these relationships. china is not the most stable economically and they need to invest. the partnership can be very

tight on an economic level. india one of the fastest-growing economies. africa, australia, even into latin america and places like cuba. this is potentially a globally disruptive initiative with a lot of risks. julia: i am glad you mentioned latin america because i want to take us to the cover story which looks at a border town in mexico, juarez, and empire which is potentially under threat. megan: this is what we're calling the manufacturing hub of mexico, the center of arguments over free trade am after in the -- and nafta in the u.s. and mexico and canada. really delving into war as, everything from bmw's to love their seeds. almost everything you can imagine springs out of mexico. u.s. and canada and mexico. everything from bmw's to leather seats, almost everything you can

imagine comes from mexico. 300 billion goods were imported, that is a staggering number. this town provides for 325,000 jobs. this is a look at how one family the bermudas really were the godfathers of this industry, becoming the manufacturing wheelhouse for the world, something that president trump constantly threatens to unwind, famously calling math of nafta the worst deal of the century and there are talks this weekend into the next. >> right. great insight. we got more from the reporter. >> everybody knows the godfather of the industry in mexico, and war is. he really created this industry nearly 30 years ago or longer the young 30 years ago. in 1968 he the first macquiadora, assembling television parts for rca. it has attracted firms from all over the world, primarily the united states but increasingly other areas. this is where companies can't

come of a parts, they have them assembled and they end up being a part of whatever you are purchasing at the store. carol: take us back a couple of decades, to the 1960's. how does one guy make a global manufacturing mecca of the world? >> what is important to understand about bermudez is that he is a very plugged in person. he comes from a family that had a lot of land in the desert before juarez was a major city, it was essentially a copper town. there was not a lot of industry. at the time, there was a lot of discontent in juarez about what did they want their city to be, and what did they won it to look like.

this was during prohibition. this was before the 60's. people were coming to juarez to do activities they may not be proud of. drinking when it was illegal, express divorces. cabarets and brothels and that type of thing. they decided they wanted to remake the town of juarez and they started thinking about industrialization. julia: what is he saying today in light of president donald trump and all of the talk about the mexican wall being built? the threats, certainly, to his empire is acute. >> when i went down there, i was expecting to hear a lot of anxiety and fear about what was happening in the united states and the trump administration, and i asked him, are you concerned about the wall? are you concerned about the border adjustment tax that the

trump administration is proposing? are you concerned that the nafta renegotiations will push wages higher? he was very unconcerned. maybe unconcerned is not the right word. he was very sanguine. he said we have been here since the 1960's, before nafta. i have seen 10 presidents in the white house and there is not one person who was going to erase the industry. juarez is so deep-rooted that it is going to be difficult for the industry to go away. and if it does go away, it will go somewhere else, probably not the united states. >> interesting. carol: one thing that is interesting is that because juarez is so close to the united states, if it starts to come on i'm done, -- if it starts to come undone, it will impact the united states. lauren: that is the unintended consequence of people are not thinking of. the border region already has this confluence of migrants and

cartels and global manufacturing companies. it is just a stew of so many different types of people and entities that really, it serves almost as a buffer against the united states. it is almost a curtain of industry in a border area that is very fragile. and if there were to be every kind of large-scale disruption to the industry, the concern is that people who are working in factories, people who have gone there and come from all over central america and interior mexico to juarez, will be unemployed and will start looking for work. where would be the natural place? across the border in the united states. there is this idea that the border is a part of a very dynamic, a very dynamic place in the world that is insensitive to

immigration policy, that is -- sensitive to immigration policy, that is sensitive to manufacturing and trade policy. and if the trump administration is trying to solve a problem, bring jobs back to american workers, there could be the unintended consequence of having more unemployment, more chaos and disjointedness on the border. it could lead to greater illegal immigration into the united states. julia: up next, the man who invented the bump stocks used in the las vegas massacre. what will become of his multimillion dollar empire? this is "bloomberg businessweek." ?

? julia: welcome back to "bloomberg businessweek." you can also find us online on businessweek.com and on the mobile app. in the politics section this week, the las vegas massacre highlighted the danger of so-called bump stocks, the legal method of taking a semi automatic rifle and converting it into a machine gun. the inventor spoke to business week. here is our editor. >> he is a 35-year-old native of texas, at a small-town the couple of hundred miles west of dallas, population of 200 people. he is a veteran of the air force

and several years ago, he got the idea of basically creating a device that turns so my automatic rifles into an automatic rifle. he called his company slidefire, and in his kind of shed on his family ranch, he built a prototype. out of scrap wood and tbc pipe in duct tape. he started to file for patents. he got it approved by the atf and he built a multimillion dollar empire. it has come right into the middle of this whole discussion about gun laws because as we all know, the bump stock as it is called is something that stephen paddock in las vegas was used to turn a semi automatic air-15 into something that could fire up to 800 rounds a minute.

>> matt, take us back a second. you just talked about taking a semi automatic weapon and turning it into a machine gun. why is that legal? or is that legal in the united states? matt: it is right now but it has raised a lot of questions about whether it should be. when he was trying to get approval through the atf, he claimed that his product was an accessory, not a weapon itself, and that it was going to be used for people with disabilities who had trouble pulling the trigger on a semi automatic ar-15. because the atf regulates weapons and saw this is not an integral component to the firing of a gun, they approved it. it is labeled as an accessory. hundreds of thousands of these things have been sold in the past several years and

effectively turned the legal semi automatic rifle into, by all intents and purposes, an illegal machine gun. carol: i did not realize this, but machine guns are not outlawed in the united states but it is an expensive process, a lot of red tape to get one. by creating stocks, it kind of opened the market to a lot of people. the bump stock opened up the market and they were a lot less expensive. matt: they were retailing for $100 or $200 or so. it is a cheap add-on to turn your ar-15 into a machine gun. and he patented a lot of the designs around it and has been limited just litigious and going after competitors who have come up with cheaper knockoffs and has been successful in keeping them out of the market. he is kind of scene is the founder and an venture this device and has gone above and

beyond to protect his market share of that industry. carol: what blew my mind is that in his first year of business he sold $10 million worth. out of the gate, have a huge market. today, hundreds of thousands of bump stocks in civilian hands. that is staggering. matt: it is. slidefire is the market leader. they have not reported financials since 2011 but in that year, 200,000 units. $10 million of product. assume the market has grown from that. if you extrapolate six years of sales at a relative comparable rate, something on the order of just out of slide fire, a quarter of a million of these things floating around. the thing is, most people have not heard of a bump stock.

julia: we hadn't. matt: even hunters. and yet they are very popular among niche gun enthusiasts. such as stephen paddock. julia: up next, a look at how the u.s. government tried to manage response to hurricane maria. and flooded homes mean big money but hard choices in houston. this is "bloomberg businessweek." ♪

julia: welcome back to "bloomberg businessweek." you can also listen to us on the radio on sirius fm channel 119 and in new york, a.m., 91 fm in washington dc. and a.m. 960 in the bay area. in the politics area, pentagon officials on the internal distribution lists on hurricane

maria. we talk about what those emails suggested about the washington response to the disaster in puerto rico. >> noticing the emails in my box from the department of defense officials that are using jargon you do not normally see. i would open them and find a attachments on my first thought was, this is a weird way of doing this because i am not understanding what the language means. finally after a few more days of bed i realize there was a pattern. i was on some sort of the internal list. the recipients were me with my bloomberg him address and then a large number of military addresses. so i responded to the person sending them and said, i am not sure i should be on this list. julia: what was the content of these emails? you said you do not understand the language. what message were they sending to internal sources and you? >> a few things, media

monitoring from fema forwarded to dod officials, how they understood the coverage of the response, what they thought the media was focused on, and talking points. how they wanted staff to discuss these issues and how they tried to spin them, which is not surprising. you tend not to see that. tend to see what they present to the world. it was not surprising. you tend as a reporter to only see what they present to the world so it was a fascinating look at how they tried to stay on top of the message and control it. carol: were they struggling internally based on what you are reading? matt: i saw five days worth of emails. i kept responding to them. it took five days for them to remove me. over those five days, things were getting worse. the jones act have just been waived and the notices that i got said that the jones act was waived, that is a good news story, we are still struggling. things got bad after that when

the mayor of san juan got into a public spat with donald trump. and a twitter spat. you could see anxiety inside as people in the dod and fema wondered how to respond to this. they thought it was taking focus and attention away from their efforts to help the island recover. julia: you say that you tried to let them know that you are not supposed to be on this. how many times did you say to them, i am not sure i should be on this list? matt: three times after the first email. some emails did not get a response, others got a breezy response, we will look into it. and a after five days, mysteriously the email stopped all together. so my editors and i sat down and thought, what should we do with this interesting tranche of information? carol: everybody was trying to get a grasp of stories we were hearing from people on the

ground and the government response. based on these emails, do you feel like the public was being told everything? matt: yeah, i think in the government's defense, i see an indication in the internal -- i did not see any indication from the internal talking points that they were trying to represent anything and anyway though is untrue or misleading. they were certainly selective, focusing on the good-news stories. the rate of response, the activity that dod officials were involved in. it seemed like they were struggling to talk about the scale of the destruction and the scale of the effort that was required that was not hopeless. julia: staying focused on hurricanes and the finance section, investors flocked to houston to buy real estate from desperate homeowners. we speak to a reporter. talk to us about real estate investor brian child and the opportunity of a lifetime that he is looking at at potentially other people's expense. >> brian, he has purchased 34 homes so far.

these are homes that were flooded in harvey. he has paid $175,000 each. the way that he sees it, he is paying $.40 on the dollar. he thinks that values will rebound. in the meantime, he is going to collect rents. he thinks that he can at least double his money in that time. carol: what about the homeowners? $.40 on the dollar, that does not sound good for them. >> brian is more generous than some of his competitors. in one case, he offered $.48 on the dollar. i spoke with the homeowner and he said that someone else was offering $.20 on the dollar. for the homeowners, it is a tough situation because they do not have a lot of room to

negotiate. they are desperate and scared. carol: some of these people do not have flood insurance. they are in a sticky place. break it down for us, tell us about their side. >> many people in houston do not have flood insurance because they are in areas that were not supposedly high risk. but turned out to be. they did not have what insurance flood insurance and cannot afford to rebuild in many cases. they do not have the cash. the cannot afford to wait to find out how much they get him assistance from fema because they need a place to stay over a long period of time, they have mortgages going unpaid. they will take whatever they can get. of course, if they have a mortgage, they have to show the lender that they have extinguished that mortgage. so there are some complications.

julia: let's talk about paul matlock and his life because he was quite descriptive about how he felt being approached by real estate lenders like this. >> paul compared them to vultures sitting on his back fence waiting for the dead body to fall over. he is talking about himself as the dead body. it is a very tough situation because he actually rescued his wife on his driveway during harvey when there was almost six feet of water. and he, his wife is disabled with ms. she almost died. so they are desperate. they just want to go to higher ground. you know, he has the advantage of having flood insurance. but he does not know how much you will get. he does not want to wait.

julia: why tyson got the cold shoulder from one kansas town. and how a chief chain took root in america's small-town. ♪

julia: welcome back to "bloomberg businessweek." i'm julia chatterley. still ahead, how the tyson 's chicken plants became a bit of a turkey. dollar general hits a gold mine in rural america. cbs takes a page out of the netflix playbook. all of that ahead on "bloomberg businessweek." with: we are back editor-in-chief megan murphy. in the business section this week, i love this story. we spend a lot of time talking about big business going into

rural u.s. communities, and the balance between the jobs and the downsides that they bring. talk to us about the kansas community tonganoxia and they are saying thanks but no thanks to tyson foods. megan: these are the kind of jobs and investment that you think, listening to president trump or ceo's, that these towns want. this was going to be a huge investment by tyson, a $300 investment in terms of a plant in this eastern town in kansas that they were promising 1700 jobs. the head of this part of tyson came to the town and said, i have never heard of tonganoxia and it is going to be the head of the expansion. happened isically the residents of the community have pushed back hard, said they don't want these kind of jobs, they already live in a community that has higher income, higher-paying, friendlier jobs in terms of the environment and the economic situation. it is symptomatic of an issue we

see across the u.s. and other parts of the world, that people are really pushing against industrial plants and processing, not just food and agriculture, but other areas as well. also talks about another company that was successful building plants. how come they were successful and tyson was not? talking about sanderson, the comparison is they have been more successful because they have mastered the public relations strategy. let's use an example. leavenworth, kansas where the plant in tyga not see a was going to be close to has an average income of $63,000 a year. that is a lot of money. the jobs are going to pay about $11 an hour, a big disparity. people who work in these factories only make about $25,000 a year. people are saying, we want jobs, but we want higher-paying jobs that are more sustainable. to do that you need to have a long dialogue, you need to make

sure you are going into communities that are going to welcome you and want you. there were pr missteps and a miscalculation about what kind of jobs would be best suited for that community in this particular instance. carol: i want to talk about another company moving into areas around the country. this is a story about dollar general moving into, targeting smaller, rural communities. tell us about this story. megan: this is one of my favorite businessweek stories in a while. we get a lot of criticism in the press for not really covering railamerica, for not going between the coasts. my a frazier dove deep into this company and into its effect on a community, decatur, arkansas, population 1880. a stones throw from where walmart got its start. really showing how the economics arehese poor, rural towns driving this expansion of dollar stores. a lot of the stores don't even

sell things for a dollar anymore, but these are the lifeblood of communities who are so poor and scattered in terms of calculation. businesses like walmart have actually already left. inn we look at decatur particular, average income of $35,000 a year, a third of people on a variation of food stamps, and who look to these stores to be the lifeblood of buying their groceries, clothes, everyday supplies. dollar general -- it is a good business story but it is also reflective of the times that we live in, reflective of the haves and have-nots. in these communities that have been hollowed out by the loss of manufacturing and jobs, where they are turning to to spend their money is really a comment on how america has been so disrupted in terms of its workforce and its manufacturing, the lifeblood which once had been for these kinds of communities. julia: what is an interesting angle in this story for me is that walmart themselves did open a store there. it only lasted a year. then it was dollar general that came in.

what is it that is different about these two business models that allows dollar general to succeed when walmart could not? megan: this is exactly the point. even walmart, which as we know is a fierce protector of the narrowest of margins and drives bargains with suppliers that narrow their margins so much thinks they can compete with , dollar general that. they think they can still make a profit on even the narrowest of margins. basically what they are betting on is that this situation is not going to change. in other words, these jobs are not going to come back and these rural areas are not going to see a dramatic improvement in income. whereas walmart definitely pushes up the income sale, in terms of getting workers in and the kind of consumption they target. dollar general -- here is a staggering statistic -- there are more dollar general stores in america than starbucks. carol: crazy. megan: i think a lot of people don't really realize that. it is a reality check on where we are in terms of the bifurcation of what you see in urban centers, on the coast, and

what you see happening in railamerica and how these towns -- what you see happening in real america and how these towns are coping and how residents are coping. it is a really important story to read. carol: i agree with you, megan. it is one of my favorites, too. what i had to get my head around, dollar general as a company is doing well and they are targeting what the u.s. government has deemed these food deserts. for the people living in these communities, they do not have any other choice and sometimes they are paying more, and the choices they get at maybe a dollar general are not the healthiest. megan: there is a really poignant part of this story where it talks about a consumer at dollar general who is making a choice about whether to spend a dollar for a frozen entry versus $1.50. i'm not going to pay $1.50 for the dollar general when i can get it for a dollar at walmart. those of the decisions that we are talking about, the decisions that occupy so many working-class families in terms of where to spend those precious food dollars, and we should

never forget how close the line is between $.50. tencent seer. $.10 here. that is what dollar general trades on for sure and it is what made their business so successful. they are filling a hugely important gap in the food chain for american families that are still struggling to get back in line in a disruptive situation where they do not have high-paying jobs and access is limited. in decatur, a lot of the population is latino immigrants who are working grueling poultry factory jobs. this is the reality for so many americans. it isn't written about enough. dollar general is filling a void politicals also a void, an economic void. it is a success story, but also a cautionary tale about what is happening to so many communities. julia: up next, cbs makes a big streaming bet on "star trek." and a soccer coaches may soon have a different way to cut kids from the squad using brain scans. i will explain. this is "bloomberg businessweek." ♪

julia: welcome back to "bloomberg businessweek." i'm julia chatterley. you can also find us online at businessweek.com and on the mobile app. in the features section, cbs and its ceo les moonves are going after the netflix model, hoping viewers will binge watch the new series of "star trek." but on their streaming app.

carol massar and i spoke to reporter lucas shaw. >> cbs is the most watched network in the u.s., one of the oldest networks in the u.s. "star trek," perhaps the most famous tv show of the past several years, or one of them. they made the decision that for this new streaming service all access that they created a couple years ago, that "star trek" was going to be the flashy original show to bring in new viewers. les moonves, the ceo of cbs, he could have sold "star trek" to netflix or hulu or another broadcast network or put it on his network. the company is invested in trying to make all access something that people want to pay six dollars a month for and a real player in this burgeoning era of online tv. carol: as you mentioned, it has been around for a few years. are people putting up, what, six dollars a month and signing on? lucas: so far, a little over 2 million people have paid for it, cbs has said. that is bigger than most

of these subscription video services you find online. obviously, a fraction of the number of people who pay for netflix or even hulu. but investors have been pretty pleased with the growth and cbs has set fairly modest expectations for it, because they are not ready to give up on that main tv network that they make so much money from. julia: we hear from all of these guys that content is king and they want to produce original content, but when you are talking about $120 million for 15 episodes, that is one heck of an investment on one item. lucas: it is a lot more than cbs spends on your average drama on its network. "ncis" is not costing that much per episode. but for the premium shows, shows on hbo and netflix and some on showtime, which cbs owns, you have seen a really dramatic escalation in the cost of production, because they believe they can justify it and they want to give you a tv show that looks so good that you are going

to stay home on a friday or saturday night instead of going to the movies, and watch a tv show at home. shows like "game of thrones," "the crown," on netflix, start to run $10 million or $50 million an episode. "star trek him go, may much as $9 million an episode, the most expensive "star trek" series you have ever seen, one of the most expensive shows on cbs. julia: if we are talking about netflix, they produce new shows on a monthly, weekly basis sometimes. is one thing like "star trek" going to be enough to get people to sign up? lucas: that is one of the great concerns. cbs has said they want to make about four original shows a year for all access. i assume that number will increase with time, but next year for five. what they are banking on is that you have a show like "star trek," and there is a company -- and there is a comedy coming out from will ferrell's production company in december

r, so they hope those will bring in viewers and they have a lot of on demand viewers and a live feed. if you are a cord cutter and you want to watch football on sunday, one way to do that is to pay for all access. cbs has football games. julia: in the technology section, the soccer world is buying into a dutch start up. the goal? to identify the prospects of teenagers. carol massar and i spoke to editor jeff. jeff: a journalist turned entrepreneur who still writes books. while he was writing one about real madrid in 2012, he tried to figure out for the purposes of the book, what makes some soccer stars different from you and me and is there something cognitive that sets them apart. they answer basically across the board was we are kind of not sure. until he talked to a sort of rising star in cognitive neuroscience, a professor at the university of amsterdam nearby. they teamed up to develop this now three-year-old startup called brains first, which

promises customers that it's brain games can assess who the next generation of soccer superstars are going to be. carol: take a step back, we will get into that company. but cognitive neuroscience, what exactly are we talking about? jeff: some of the main things the tests are trying to show is that you can handle making complex decisions quickly. shifting attention as needed. this sort of thing that as you are clicking through on the company's website, you are asked to solve a bunch of puzzles very quickly or sort things into the right order. that sort of thing. again, they say, although there is little peer-reviewed evidence to back the claims they are making about their particular product, this is able to tell them, for example, whether a particular midfielder might be better suited for another position. carol: but there is no research or science backing it? jeff: the cognitive neuroscience professor who is the cofounder says this stuff is all based on

pretty well tested cognitive neuroscience precepts and other studies, but no, no peer-reviewed data at least to back up these specific tests. julia: it is looking at reaction times, reaction when they are playing these brain games, as you call them, this is what they are looking at? jeff: can you make decisions quickly, how complex are they. can you shift attention when you need to to deal with something else over here? that kind of thing. julia: it sounds like a lucrative business because we if we are talking about soccer in the united states or the u.k., if you get a decision wrong and you hire somebody, you pump loads of money into them and they are not the right person or they don't have the indefinable thing, then it is a costly decision. i get there is interest surely from people like sports agents or smaller clubs. jeff: the big surprise is that while brains first does not have any peer-reviewed data, has not submitted its test to the dutch

national association of psychologists -- carol: why is that significant? i have no idea what the dutch association of psychologists is. jeff: it is the main group in the country that would certify that its test is indeed -- carol: kind of like the fda here? jeff: on a psychological level, sure. hastheless, brains first scored a like 16 soccer clubs as customers. particularly given that the service costs each of these clubs between 10,000 euros and 70,000 euros a year, it does seem like a big deal. julia: up next, the new trend of crowdsourcing beef and the company trying to bring it to the masses. and how to live like a queen in a house only the ultrarich could afford. we will take you inside. this is "bloomberg businessweek." ♪

julia: welcome back to "bloomberg businessweek." i'm julia chatterley. you can also listen to us on the radio on sirius fm channel 119 ,nd on a.m. 11 30 in new york a.m. 1330 and 106 fm in boston, 91 fm in washington, d.c., and 8160 in the bay area. and in london and in asia on the bloomberg radio plus app. week, focus section this you may have heard of the farm to table movement. get ready for the crowd to table concept. crowd cow is a new company that allows you to consume part of a

cow. you can track its movements right up to your grill. here is reporter craig g mona with more. >> crowdcow is an example of the tech world paying more attention to food. these guys are seattle tech guys they wanted to figure out how to get premium grass fed beef to more people. they had a friend who used to go out to a farm in washington state and with buy an entire cow and come back and rave about how good the meat was, but it was like 250 pounds of meat. unless you have a gigantic garage with a dedicated freezer, just do much. these guys said, there has to be a better way. what if we bought a cow and crowd sourced it? they started out slow, bought a single cow, sold-out in 24 hours. now they have basically built a business around this model. they crowd source cows. carol: wait a minute. here is cow number a. crowdsourcing meaning like everybody takes of these?

ig: they work with about 30 farms, just expanded the east coast. farms with about 30 cows, maybe 100, small family operations. they say, we are going to buy a cow from you. email goes out to the list, cottonwood ranch, we have this heifer. grass fed for her entire life. you can buy shares of the cow. we are going to sell it until it is sold out. i want to them as their lines, two revised, and some ground beef. i want four pounds of ground beef and the new york strip to. you can tailor that. they sell cow by cow doing it through shares of the cow. julia: so the cow basically gets cut up. >> that is right. julia: do you bid for the peace that you want? >> it is not auction style. julia: what if everybody wants the romp, for example? >> they say that things like the tongue and kidneys and liver and heart sells out fast because these are sort of foodies. marrow bones are extremely

popular. this is stuff you can't get at kroger, you can't find it at your local grocery store, particularly if you are not places where you can go to a butcher. some of the rarest stuff sells out fast. otherwise, they set it up, here are this or lines -- surloins. there are different packs and varieties. julia: how do you get it? >> standard delivery service, ups or fedex. the cows are on farms on the east coast, they have one in the finger lakes, some in virginia, pennsylvania. they started in 2015, still very small, just expanded to the east coast. they were primarily serving the west coast. they send somebody to all of these farms, they look around. what is interesting is worth like organic and natural, we come to find out that it means less and less. there are sort of different rules. these guys do not have specific criteria.

they mainly want to see the farm and make sure the operation meet their standards. small, independent, cows are treated right. they're feeling his people want to know, this cow this is how it was raised, this is how it was that, we know the farmer. trying to put people in touch with exactly where the thousand coming from. julia: in the pursuit section, an exclusive look inside the most expensive property on housing market anywhere in the world. here is alistair. >> we have a large story with a lot of pictures about the most expensive home on the market today, which is called villa l ecedra in french, i am sure i botched that. it is in the south of france and it is on the market for $410 million. carol: i was going to say i am in, but then i heard the price. this is just a house -- this is not just a house with three bedrooms, it is a massive estate. >> i think it is about 18,000 square feet, 14 bedrooms -- as

you would need for your small family. the most spectacular thing about the home as the grounds that it is set on. it is set on 35 acres of botanical gardens that have been cultivated since the home was built in 1830. they say that the botanical gardens there kind of compete amongst the top 10 botanical gardens in the whole world. if you bought this home, you would be the owner of a huge botanical garden. it is right on the ocean. you can see the ocean from one side, the alps on the other side. it is quite something. julia: it has had a whole host of impressive owners. iiking leopold of belgium was one of the owners, he bought it around 1904. and then the marnier family of grand marnier owned it for the past 80 years. in 2016, come party bought grand marnier, and along with that came the estate.

they decided to put it right on the market because of how much it was worth. julia: think of the annual sales, eye-opening. this is an opportunity we cannot refuse. carol: it has got some interesting, well no neighbors. emma: microsoft's paul allen is on one side. the composer andrew lloyd webber is right around there. it is -- carol: if you need somebody to play for a birthday party, just all of andrew -- just call up andrew. >> it is a fancy area, one of the areas in the world that has the highest valued real estate, so it is not super surprising that this house is going for so much. there were rumors it was going to go on the market for $1 billion. that was not true. even now some real estate agents say this $410 million is too high, they are not going to get that much. carol: aspirational. what is crazy -- maybe not crazy -- it is the story you

written about that it is a total gut, a renovation job. >> it is. the interiors have not changed much since the 1920's, 1910s. it looks like you are stepping back in time when you go inside. the library with 300,000 books. you can actually buy all of the furnishings with the home if you so choose, but the agent thinks that whomever buys this home -- they don't know who it is going to be -- will redo the interiors are most entirely and make them more modern and livable. julia: "bloomberg businessweek" is available on newsstands right now. you can also see is online at businessweek.com or on our mobile app. more bloomberg television begins now. ♪

>> coming up on "bloomberg best," the stories that shaped the week in business around the world. daily drama in d.c. twitter, taxes, trade, and turkey. just some of the trending topics. >> if you played this forward in terms of tax reform, every vote counts. >> it looks almost like a strategy the trump administration has to put a kibosh to these talks. >> there is a slow, but systematic attempt to remove the nuts and bolts of the affordable care act. michael: earnings season begins with a bang with big banks reporting. the crisis in catalonia continues. >> for 10 seconds, catalonia was an independent republic. >> doctored data spells disaster for a japanese s