Hu Lei's hand hesitated before pushing the door open. But he didn't hesitate for long; he pushed it open. He expected to see Feng Qian, with whom he had just had a fight, sitting on the sofa fuming. But when he looked up, there was no one on the sofa.

Turning his head, he saw Feng Qian sitting on a pulled-out stool, facing a blackboard. On the blackboard, a chalk line divided the space down the middle. On the left and right were written the respective views and requirements of Hu Lei and Feng Qian—representing the business owner and the government—regarding the operation of the enterprise.

Hu Lei quickly stepped forward and said, "Feng Qian, I don't want to quarrel anymore."

"Quarreling is useless. I don't want to either," Feng Qian turned back and replied earnestly.

Hu Lei knew that Feng Qian came with good intentions. Although they had argued several times over what Feng Qian called "matters of principle," Hu Lei still felt that Feng Qian truly wanted to help him. Despite his lingering annoyance, Hu Lei pulled up a stool and sat next to Feng Qian, puffing his cheeks as he said, "I think I just need to do my part well."

Feng Qian shook his head. "Your management of 'your part' is too poor because you don't understand management."

Hu Lei shook his head in return. "I still think, it's the money I took... at any rate, it's money I borrowed. Those people should be considerate of me."

"You put up the money, but does that matter? If it mattered, why would you hire so many people? Don't tell me you're running a charity!"

Hearing this, a burst of anger rose in Hu Lei's chest. Although he had talked with Feng Qian several times, he was still greatly displeased. "If they insist on using the Communist Party's rhetoric and saying I'm exploiting people, let them say it. I feel my conscience is clear."

"Do you feel very wronged?" Feng Qian asked calmly.

Hu Lei didn't want to answer. He and Feng Qian had argued about this twice in the past two days, and both times had ended very unpleasantly. Hu Lei also felt he couldn't refute it, because Feng Qian had asked a question: The He Rui administration has done so many things, so why doesn't the He Rui administration feel that its efforts are thankless?

Even Hu Lei couldn't refute the He Rui administration. This group of people had dedicated so much to the country; they hadn't proclaimed themselves emperors or nobles, nor had they amassed private property. Even the land reform, which Hu Lei disliked the most, resulted in land being state-owned and then distributed to the people, allowing them to escape a precarious existence. For the country, the land reform policy was indeed a benevolent governance.

Suppressing his anger, Hu Lei asked, "I don't want to argue with you. Just tell me directly, what should I do!"

Feng Qian immediately replied, "First, correct your thinking. The money you borrowed wasn't lent to *you* by the bank; it was lent by the bank to this enterprise. As the legal representative, you must bear the responsibilities of a legal representative. Only by establishing this mindset can we discuss further."

Hu Lei felt a strong resistance in his heart. Since he was the one who would ultimately bear the responsibility, why couldn't it be simplified to think of it as his own affair?

However, having communicated, debated, and quarreled so many times, Hu Lei could also understand Feng Qian's perspective. As Feng Qian said, the bank really didn't lend the money out of regard for Hu Lei's face. They lent it to the enterprise for which Hu Lei was the legal representative only after assessing the value and prospects of his factory, so that the enterprise could purchase equipment and maintain production.

After struggling internally for a moment, Hu Lei replied, "Fine, I'll think of it that way. What next?"

"Next, consider problems with the mindset of operating an enterprise. That means rights and obligations. What rights do you think the members of this enterprise should have, and what obligations must they bear? This enters the level of management."

"My factory... forget it, you continue." Hu Lei compromised helplessly for the moment.

Seeing that Hu Lei was no longer being stubborn, Feng Qian naturally softened his stance. "This is just a discussion. After all, you are the legal representative. I can't really help much, I'm just talking."

Hearing this, Hu Lei immediately retorted, "If you were willing to help, I'd be willing to let you be the General Manager. No, wait, I'd be willing to pay 'three visits to the thatched cottage' to beg you to be the General Manager. Brother, name your price!"

Not wanting to lose momentum, Feng Qian laughed, "Don't call me brother, that shows no lack of vision. Call me Comrade."

The word "Comrade" instantly suppressed Hu Lei's momentum. Holding his breath for a long time, Hu Lei finally replied, "You continue."

Feng Qian also suddenly felt inspired by the word "Comrade." "How exactly do you view this factory? Do you want to treat it as a career, or do you just want to make some money and take it one step at a time?"

Without thinking, Hu Lei replied unhappily, "Do you think I don't want to make a name for myself in this industry? But business isn't that easy to do. I only expanded the scale now because I got lucky. But once the business is gone, I'll close the doors immediately."

"This issue is very good. Have you ever thought about why you have so many orders?"

Hu Lei frowned. "No flower blooms for a hundred days. Do you think these kinds of orders will continue endlessly?"

"Why would they continue? Why wouldn't they?" Feng Qian asked.

Hu Lei was instantly speechless. He knew the country currently needed a large number of ships, and modern ships required a large number of universal parts with precision requirements. This was Hu Lei's livelihood. But exactly how long this round of shipbuilding orders would last, Hu Lei truly didn't know.

After hesitating for a moment, Hu Lei lowered his voice. "Do you know some news?"

"Why would I need to know? This news is all public. You know we signed a grain contract with the United States, and you know the state has joint ventures with the U.S. developing oil fields in Saudi Arabia. Transporting grain back home and transporting oil back home requires a large number of ships. Not to mention our trade volume with France, the Soviet Union, and Japan, which also requires a massive number of merchant ships."

Hu Lei immediately replied, "I know all this, that's why I dared to borrow money to expand capacity. But there will come a day when these orders are finished. It doesn't even need to be that day; right now, many people are investing in manufacturing. Sooner or later, someone will be better at grabbing orders than me. When that time comes, I'll definitely have problems."

Feng Qian nodded. Hu Lei had a very intuitive attitude towards future failure and never shied away from the doctor, which was something Feng Qian appreciated about him. Feng Qian spoke according to his view, "Are you afraid that if you invest more, you'll lose everything? And regarding your current situation, you can't even solve it yourself."

"Yes." Hu Lei was quite frank.

"Then learn to improve the enterprise's management capabilities. What's important right now is people."

"Just those people?" Hu Lei was not very optimistic about the people he could contact.

"First determine your own development philosophy, then ask the government and the Party organization for help based on that philosophy."

Hu Lei was stunned, then sighed, "Sigh, old classmate, I want to ask *you* to help. Forget about anyone else, my temple is too small, I can't afford those great gods."

"Exactly. If the temple is small, don't invite great gods. But do you know how big your temple is right now? Do you know what constitutes a great god and what constitutes a little ghost?"

Hu Lei didn't answer immediately. His biggest disagreement with Feng Qian over the past two days lay in whether to bring in higher-level management personnel. Hu Lei was actually unwilling. However, the various arguments with Feng Qian over these two days had shaken Hu Lei's thinking somewhat.

The crisis of worrying that his family business would be controlled and usurped by others was still heavy. But Hu Lei also knew that, at least, he couldn't see the future clearly. If he continued like this, he would only spin in circles at his current level. If he wanted to make a breakthrough, he had to take risks. After deliberating for a good while, Hu Lei finally replied, "If you can help me analyze it and convince me, I'll listen to you."

"I don't understand it either. I'll find a few experts for you."

Hearing the word "experts," Hu Lei couldn't help but frown. Seeing Hu Lei's expression, Feng Qian replied, "Don't worry, the ones I find will be experts who have had a few years of experience working in factories and have also worked in government departments—people very proficient in practical affairs. We won't look for bookworms who only know how to talk on paper."

Feng Qian wasn't bragging. He soon found a Division Chief named Huang Ping who was proficient in practical work. Huang Ping was a Shanghai native. After the war between the Northeast Government and Japan broke out in 1922, he immediately went to the Northeast to join the army and was assigned to work in a machinery factory. Later, he went to the Shanghai Municipal Department of Industry, and then transferred to bank work.

Having seen big scenes, Huang Ping didn't make a sound from beginning to end while listening to the two young men recount their vision for the factory. He was truly composed. Hu Lei wondered if Division Chief Huang was pretending to be deep, deliberately maintaining an image by not saying a word. Unexpectedly, just as he finished speaking, Huang Ping spoke up. "If that is the entirety of what you have to say, I don't think your enterprise has any special future. Just continue in your current direction."

Hu Lei was startled. Huang Ping clearly didn't think highly of his enterprise and was ready to wash his hands of it. He hurriedly said, "I plan to introduce talent and change the existing management model."

Huang Ping didn't intend to waste more time on Hu Lei. He spoke very directly, "There are too many areas your enterprise needs to adjust. I don't think you necessarily can accept them."

Hu Lei had gained some awareness. "As long as the cost doesn't increase much, I can accept it."

Huang Ping replied with equal frankness, "It's not about cost, but the mode of organization. Your distribution method is no different from other factories; this is a cognitive issue. It requires how broad your mind is. Moreover, I can't determine your technological prospects right now either."

Hu Lei felt that only incompetent people would be busybodies trying everything. Those who could reject decisively were mostly capable. Huang Ping gave Hu Lei the feeling that if it weren't for Feng Qian mediating, Huang Ping would have rejected Hu Lei long ago. Since Hu Lei believed Feng Qian wouldn't deceive him, he decisively requested, "Division Chief Huang. I really want to accomplish something in the machinery industry, and I've always tried my best to seize opportunities. Although my family gave some money, I came to Shanghai alone to struggle. If I can't at least try, I won't be reconciled."

Huang Ping didn't think highly of Hu Lei's current factory; Shanghai didn't lack factories of this level. However, the straightforwardness of the "science and engineering man" in Hu Lei at this moment made Huang Ping feel that Feng Qian's assessment of Hu Lei was correct—Hu Lei wasn't a businessman, but had a character more similar to an engineer. He was somewhat moved, considering the government currently wanted to support such young enterprises. Huang Ping said, "I'll recommend someone. Lei Baxi from our bank. He has very unique ideas about the formation of enterprises."

Feng Qian was startled. The phrase "has ideas" usually implied that Lei Baxi might be a guy lacking practical experience. But Feng Qian didn't say anything. In the government, cadres were expected to have experience in enterprises as much as possible so they wouldn't turn into bureaucrats who only understood government paperwork. To be sent out for a temporary post showed that Lei Baxi was a cadre the organization viewed favorably.

Hu Lei hadn't worked in the government and didn't know the implications of these terms. Hearing Huang Ping say this, Hu Lei replied, "If the views proposed by this Comrade Lei fit the development of our factory, I will certainly do as Comrade Lei says."

Huang Ping felt that this guy Hu Lei really didn't understand government work, but what he said was truly the mindset of a business owner. Since Feng Qian was the intermediary, Huang Ping didn't intend to fuss. He said, "Give me the report. I'll go back and ask."

Feng Qian took the opportunity to invite Huang Ping to a meal, but Huang Ping declined. "Let's talk after they meet."

Seeing Huang Ping's car off at the factory gate, Feng Qian felt that this Lei Baxi might not be easy to get along with.

Neither Feng Qian nor Hu Lei expected that Lei Baxi would arrive the day after meeting Huang Ping. This man was tall and handsome, looking like someone people would like. Even his Sichuan accent became completely acceptable.

The three sat down. Lei Baxi was also very straightforward. When Feng Qian asked about Lei Baxi's thoughts on business management, Lei Baxi immediately stated, "I believe that to become a medium-sized enterprise, one must rely on the rationality of management. I've roughly looked at the scale of Boss Hu's enterprise, but I don't know the specific situation. Let me ask a question first: Does Boss Hu want his enterprise to be an autocracy or a voting system?"

Hu Lei hadn't expected Lei Baxi to ask such a sharp question right off the bat. He could only ask, "What is the difference between the two?"

"An autocracy means you, Boss Hu, make the decisions. Others only have the right to suggest, not the final decision-making power. A voting system means everyone has a certain voting right. When problems arise, they are decided by vote. The minority obeys the majority."

Hearing Lei Baxi speak with such assurance and straightforwardness, Hu Lei was actually a bit troubled. He continued to ask, "May I ask what the pros and cons of both are?"

"With Boss Hu's current strength, adopting either of these will have no impact on the success or failure of the enterprise."

Hu Lei was a bit confused. He felt that according to his understanding, Lei Baxi meant that these two choices would be of no particular help to whether Hu Lei's factory could successfully develop into a medium-sized enterprise. At least, no special help at this stage.

But Hu Lei dared not be sure, so he could only ask. Lei Baxi replied straightforwardly, "That is indeed the case."

"There must be some difference between the two, right?" Hu Lei pressed.

Lei Baxi smiled. "The difference lies in Boss Hu's confidence in himself. If Boss Hu lacks strength, then adopt the autocratic system; at least there will be fewer regrets afterward. If Boss Hu has confidence in himself, then adopt the voting system."

Hu Lei thought for a moment. He already felt that if he went on like this, he would be eliminated sooner or later. Seeing Lei Baxi being so straightforward, he didn't struggle with it. "I choose the voting system. But I'm very curious, if I had chosen the autocratic system, what would Mr. Lei have done?"

"I would have bid farewell immediately," Lei Baxi laughed.

Hu Lei nodded. "So that's how it is. Then please, Comrade Lei, explain how the voting system works."

"To adopt the voting system, 'virtual shares' must be established within the enterprise. The proportion of virtual shares owned by enterprise members is divided into several levels. Each level is assessed based on the skill level possessed by the member and the completion rate of the work that must be undertaken at that level. Enterprise members of each level must have speaking rights corresponding to that level and must undertake the work of that level. At the end of each year, dividends are distributed according to virtual shares."

"This is... a partnership system, right?" Hu Lei asked somewhat uncertainly.

Lei Baxi continued to reply straightforwardly, "It is different from a partnership. In a partnership, a minority of people become partners. With virtual shares, apart from work like cleaning, all members who participate in production have virtual shares and everyone has speaking rights. To put it more bluntly, the funding side and the operating side of this enterprise are separated. Furthermore, in principle, this enterprise only borrows money and will not introduce equity. The enterprise itself, as a career, belongs to all working employees."

Hearing this, Hu Lei fell silent. Feng Qian, on the other hand, basically understood why Huang Ping hadn't been so confident about this meeting with Lei Baxi. The average business owner couldn't possibly accept such conditions—absolutely impossible.