Courtyard House: Inheriting the Restaurant, the Jia Family Wants to Get It for Free

"Hello, Mr. Zhao, please come in." Cheng Shuhai invited him into the house.

Chen Xueru and Qin Huairu quickly served tea.

Without exchanging pleasantries, Old Zhao sat down and glanced around the room. When he saw the Soviet Friendship Medal hanging on the wall and the calligraphy "Cooking a small fish is like governing a large country," a hint of approval flashed in his eyes.

"Comrade Shuhai, I won't beat around the bush." ​​Old Zhao got straight to the point, took out several documents from his briefcase, and pushed them in front of Cheng Shuhai. "We're here specifically for the 'Sino-Soviet Cooperation Project'."

Pointing to the document, he said, "According to the preliminary agreement we reached with the Soviet Union, over the next three years we will further expand our exports to the Soviet Union in exchange for the industrial equipment and technology we urgently need. The North China Cannery, which you are in charge of, is the focus of this cooperation. The higher-ups want you to share your views on 'how to expand exports while efficiently importing the equipment and raw materials we need.'"

Another exam.

Cheng Shuhai knew perfectly well what was going on. He knew this was the last time his superiors were assessing him before officially entrusting him with an important task.

He picked up the documents, glanced at them briefly, and then put them down.

"Mr. Zhao, forgive my bluntness," Cheng Shuhai said, "but judging from the current plan, there are major problems."

The young man behind Old Zhao frowned, as if he wanted to say something, but was stopped by a look from Old Zhao.

"Oh? Tell me about it." Old Zhao looked at him with great interest.

"There are three problems," Cheng Shuhai said, holding up three fingers.

"First, the product structure is too singular. In the plan, 80% of the export value is based on just one product: canned braised pork. This is too dangerous. Once the tastes in the Soviet market change, or a more competitive product emerges, our entire trade plan will immediately be put on the defensive."

"Second, there is a lack of uniformity in production standards. We only have one North China Cannery, but in the future, we may also export textiles and daily necessities. If each factory uses its own set of standards to produce, the quality will be inconsistent and the packaging will be all over the place. When it reaches the Soviet Union, it will not only affect the country's image, but also cause huge waste and losses in the transportation, storage and sales links."

"Third, and most importantly, exports and imports are disconnected," Cheng Shuhai pointed out incisively. "We only think about selling our goods and getting foreign exchange or equipment. But we haven't considered how to use the equipment and raw materials we get to form a self-sustaining and continuously growing industrial chain. For example, we traded canned goods for tinplate. Could this tinplate be used to produce more canned goods or supplied to other factories that need packaging? Could the machine tools we got be used to manufacture parts for our own canning production lines? None of these were in the plan."

With each word Cheng Shuhai spoke, Old Zhao's eyes brightened. The young man behind him, whose face had initially been dismissive, gradually became serious and thoughtful.

These were issues that had been raised internally, but no one had ever presented them so systematically and clearly as Cheng Shuhai.

"Then what do you think we should do?" Old Zhao pressed.

"It's very simple: build factories, set standards, and form a supply chain," Cheng Shuhai said. "The first step is to build several new export-oriented factories in batches around Beijing, based on the North China Canned Food Factory. For example, food factories that specialize in producing non-staple foods with long shelf lives, such as biscuits, dried fruit, and dried meat, in addition to canned goods, to enrich our export product line."

"Build another textile factory. Our cotton and silk fabrics are very popular in the Soviet Union; this is our traditional strength. We can also build a daily necessities factory to produce thermos flasks, enamel basins, and iron pots—things they need in large quantities."

"The second step is to establish a unified 'Foreign Trade Product Standards and Quality Supervision Center.' All export factories must produce according to the unified standards set by this center. From raw material inspection to production processes, and then to finished product packaging and labeling specifications, everything will be standardized. Only in this way can we guarantee the overall quality of our 'Made in China' products."

"The third and most important step is to integrate exports and imports. What we gain from exchanging canned goods and textiles is not just money, but also equipment, technology, and raw materials. We then use these to equip our new factories and expand production. For example, we can use the special steel and machine tools we acquire to try manufacturing our own food processing equipment. We can use the chemical raw materials we acquire to develop our own packaging materials industry. Ultimately, this will form a complete, self-sustaining industrial closed loop."

The meeting room was completely silent.

After listening, Old Zhao remained silent for a long time. Looking at the young man before him, he was filled with turmoil.

He had initially thought Cheng Shuhai was just a businessman with superb culinary skills and some business acumen. But now he realized that he, and many others, had seriously underestimated him.

This isn't the vision of a businessman; it's clearly the strategic thinking of a strategist!

"Comrade Shuhai," Old Zhao's voice became extremely solemn, "what you just said is exactly what we need most and what we lack most right now. On behalf of the organization, I formally invite you to take full charge of this work."

Cheng Shuhai shook his head.

"Mr. Zhao, thank you for the organization's trust. I can take the job. However, there are a few principles I'd like to state upfront."

"you say."

"First, I can serve as the external 'chief technical consultant' and 'chief coordinator' for this project, responsible for developing plans, overseeing implementation, and controlling quality. However, I will not be employed by any government department or serve as a government official at any level."

"Secondly, all my responsibilities, including what I can and cannot do, must be written down in black and white in the official project documents and made public to all partners."

"Third, all project funds and materials handled by me must be subject to the highest level of auditing and supervision. The accounts will always be open and transparent."

Upon hearing this, Old Zhao was not displeased at all; instead, he burst into laughter.

"Excellent! A fine example of 'not seeking officialdom, but guarding the borders, daring to supervise'!" He stood up, patted Cheng Shuhai's shoulder forcefully, and said, "Comrade Shuhai, don't worry! What the higher-ups value is precisely your ability and your clear-headedness!"

"I can agree to those three conditions you've mentioned right now! What the organization needs is someone who can get things done, not a bureaucrat who's desperately trying to climb the ranks!"

Before leaving, Old Zhao handed a document to Cheng Shuhai.