"Village collective?"
Magistrate Deng looked at Feng Da and Feng Si, then at Ruan Qian and Sun Chengen with a puzzled expression.
The group was completely baffled, as they were hearing this explanation for the first time.
Ruan Meng explained, "The meaning of 'village collective' is that the village, as a representative, can undertake some business externally, and the beneficiaries are the owners of the village collective."
"In principle, the members of the village collective are all the people in the village. This way, it can be avoided that some people always try to use tricks to get involved."
"Since you're not from Fengjia Village, there's no point in getting involved!"
The group nodded, and Ruan Meng continued her introduction:
“The establishment of a village collective can be compared to a business. When merchants do business, they sign contracts with the business, but the merchants don’t care how the business distributes the profits to the workshops below or the internal results.”
"For businessmen, the advantage is that they recognize the reputation of the brand and that the quality of the goods is guaranteed."
"For businesses, they can mobilize resources more broadly and get larger orders than individual small workshops or shops."
“The village collective is similar, because it can mobilize the labor force of the whole village, ensuring productivity. The whole village can consult and coordinate, so customers can be relieved of worries about conflicts during production.”
“The village chief is recognized by the county government and is the leader of the village. If there are any conflicts, the county government can also step in to mediate. He has more credibility than ordinary merchants.”
“For the village collective, instead of each villager setting up a stall and selling their goods, mobilizing the entire village can obviously bring in more business. They only need to participate in the labor to earn income.”
"To be more specific, the business I discussed with Young Master Sun last time—developing planting and breeding operations, and producing and processing seasonings and pickles in Fengjia Village..."
“Planting and raising livestock require land, right? In the city, land is more expensive, but that doesn’t mean that land in the village can be sold without regard to cost.”
"If a village collective is established, young Master Sun will sign a document with the village collective, stipulating their respective rights and responsibilities. First, he will contract village collective land for planting and animal husbandry, and will need to bear certain land use fees..."
"This fee will benefit everyone in the village, and they will all receive a share of the profits."
"Furthermore, the village collective undertakes the production of seasonings and pickles, and the Sun family provides the raw materials, such as vegetable seeds and livestock calves. Doesn't that require labor for processing?"
"Villagers can participate in planting and breeding and receive certain labor remuneration."
“The Sun family does not provide raw materials, such as seafood products and seasonings. The village collective can purchase the raw materials it needs from the villagers first. The villagers only need to go to the beach and obtain good quality seafood.”
"Besides selling seafood, you can also participate in processing it and earn double the income. You don't have to bear any risks. Isn't that a good thing for the villagers?"
Magistrate Deng asked, "How should the villagers' interests be divided?"
This issue is crucial. If the boundaries are not clearly defined, it could lead to conflicts that could be more serious than simply not doing the business.
Ruan Meng remained calm, explaining that the village collective was an effective economic system proven in the previous life's development.
But she plans to be flexible.
After all, in the previous life, the main force behind the village collective was the village collective management team, who led everyone to get rich together.
But now, it's mainly her Ruan family that's playing a role, contributing money and effort, and splitting the profits equally. Has she gone mad?
She believes she has a good conscience for being willing to help everyone get rich, but she is definitely not a saint!
She does not approve of the egalitarian system and hopes for distribution and income based on labor. However, at present, the villagers have no savings or skills, so they cannot implement a contract system. The only way is to combine the market with the distribution system to help the villagers' pockets get fuller.
Ruan Meng calmly explained, "That's a good question, sir. Profit distribution is naturally based on the amount of work done."
"Oh? How does the 'earnings according to work' method work?"
"We can discuss this detail with the village chief and villagers. For example, this business deal was negotiated between me and Young Master Sun; the seasoning recipe and operating model were agreed upon by us..."
"I can't expect to split the profits equally between me and the villagers, can I?"
The county magistrate, Feng Da, and Feng Si all nodded in agreement.
The Ruan family could easily sell the recipe, contract out production to workshops, or even set up their own small workshop and hire a few villagers to help...
But none of these methods offer the same level of benefits as establishing a village collective.
Ruan Meng continued, "My idea is to disregard raw materials and production costs, keep 50% of the profits, and let the villagers share the rest."
"The land contract fee is something every villager can receive. The profits from seafood sauces, seafood purchased from the beach are also predictable."
"However, we will never accept the same treatment from everyone! Different abilities, dedication, and diligence will result in different remuneration."
"Our goal is to improve everyone's lives, not to foster parasites!"
Continue read on readnovelmtl.com
