Chapter 140 State-Owned and Private Enterprises



Ye Beiping looked at Jiang Hai calmly and revealed a strange smile: "Brother Jiang Hai, let me tell you this, I can sell out this batch of goods in less than a month, and I can even double my profit."

"What?" Jiang Hai exclaimed in surprise upon hearing this.

Ignoring whether anyone was around, she stared at Ye Beiping with her eyes wide open, completely incredulous.

Some even felt that Ye Beiping was a fraud.

The exclamation attracted Jiang He, who stepped forward and looked at Ye Beiping and Jiang Hai, saying, "Brother, what are you shouting about?"

Only when he heard the sound of the river did Jiang Hai calm down.

"It's alright, I'll discuss things with your brother. Go buy two packs of cigarettes first, and bring them to your brother later. Remember to buy good quality ones." Ye Beiping said, taking out ten yuan from his pocket and handing it to Jiang He.

Jiang He nodded happily upon receiving the money.

Good cigarettes. I never thought my own brother could smoke such good cigarettes.

Watching Jiang He leave, Jiang Hai finally came to his senses and stared intently at Ye Beiping, saying, "Beiping, although we brothers are from the countryside, there are some things I need to make clear. We don't do anything to deceive people; that's our bottom line."

Upon hearing this, Ye Beiping took a deep breath, unsure how to explain.

He glanced to the side, then patted Jiang Hai heavily on the shoulder, intending to make things clear: "Brother Jiang Hai, first of all, although we've only met by chance, I would never cheat you brothers. Secondly, I didn't intend to deceive these state-owned factories; I was just taking advantage of the time difference."

Have you ever heard of a business that requires no investment?

"A business with no initial investment?" Jiang Hai was momentarily confused, not understanding what Ye Beiping meant.

In their minds, isn't doing business without capital just a scam?

Ye Beiping sighed softly and said, "You can interpret it as a scam, but our scam is different from theirs. We scam people out of time, while they scam people out of goods."

"Huh?" Jiang Hai was even more confused.

He'd never heard of time being lied about before.

“That’s right.” Ye Beiping took a deep breath and leaned against the wall. “Selling goods requires skill. Now the whole country is slowly opening up its economy. Do you know why we need to open up the economy?”

Jiang Hai, who was being asked the question, shook his head in confusion.

Ye Beiping knew the other party wouldn't understand, so he could only slowly explain: "Because our country's state-owned system has a lot of problems. For example, if you go to a state-owned shopping mall, will those people try to sell you anything? The first thing they do is judge whether you are worth buying in a state-owned shopping mall. It's like they're looking down on you."

"Speaking of state-owned factories nowadays, no matter what kind of factories they are, aren't many of them limited? The other day I went to the staff quarters of the Jiangnan Leather Factory, and you heard it too, they couldn't even pay wages."

Jiang Hai nodded in agreement with this point.

He went to the Jiangnan Leather Factory with Ye Beiping, and he overheard what the employees' families said.

Seeing Jiang Hai's agreement, Ye Beiping continued to explain, "If a state-owned factory can't even pay its employees' wages, what's wrong?"

Before Jiang Hai could react, he continued, "Is there a problem with sales? The goods aren't selling, but the factory is still producing, just to keep production going. Do you know why?"

"I don't know." Jiang Hai only had a superficial understanding of state-owned factories and really didn't know what Ye Beiping meant.

Ye Beiping sighed softly.

“Brother Jianghai, if Jiangnan Leather Factory were not state-owned but privately owned, and the current factory manager were the boss, then he would definitely stop production. It's not like the factory is still producing even though there's no money in its account.”

"Why?" This was the first time Jiang Hai had asked a question on his own initiative.

This is something that normal people would wonder: why do state-owned and private enterprises struggle to continue production while the other shuts down?

Ye Beiping smiled slightly and explained the relationship between them.

"The logic is actually quite simple: one is the high-level employee, and the other is the boss. As an employee, what you think about is performance and political achievements. If production stops and the higher-ups find out, won't the factory manager's ability be questioned? Or will the higher-ups directly order the factory to be shut down?"

hiss!

Upon hearing this, Jiang Hai gasped, realizing there was some truth to it.

Seeing this, Ye Beiping continued, "Especially at the critical juncture of economic reform, these factory directors are not simple people. They all have connections and can hear the news. If they are deemed incompetent by their superiors at this time, they will not be given important positions in the future. So, even with mountains of goods piled up, they are unwilling to stop production. That's just to put on a show for their superiors."

"The higher-ups can only see whether you are producing or not. State-owned factories are always producing. Unless there is a large-scale inspection, how would the higher-ups know that your factory is just piling up goods?"

Jiang Hai nodded in understanding, feeling that it made more and more sense.

"On the other hand, there's the issue of the employees. What will happen to them if production stops? Will they be paid? If they aren't paid, then these employees, some of whom are dual-income households, have dedicated their youth and even their lives to the factory for two generations. Now that they're told they won't be paid and production is stopped, won't the employees protest?"

"This..." Jiang Hai's mouth dropped open in surprise, and the way he looked at Ye Beiping changed.

I never expected Ye Beiping to know so much, to be able to think of all these things.

Ye Beiping saw that Jiang Hai understood and continued, "But it's different for private companies. The factory manager is the boss. If the boss feels that he can't hold on any longer, he won't force himself to continue and will think about stopping production to reduce costs. Because the factory manager of a state-owned enterprise will think that no matter what mistakes he makes, the higher-ups will bail him out. But in private companies, no one will bail you out. If production continues, the debt will become more and more serious and terrible. The factory manager of a private company will not dare to gamble like that."

My dear reader, there's more to this chapter! Please click the next page to continue reading—even more exciting content awaits!

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