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Chapter Five Hundred and Twenty-One

"The advantages of state-owned enterprises and the mission of state-owned enterprises are the fact that reforms must first recognize."

"The advantage of state-owned enterprises is that they have strong capital and have the state as endorsement of their reputation, so they can easily get policy support. It is not necessary to say that state-owned enterprises are the reflection of the interests of the whole people. Isn't it necessary to get better policy support than private enterprises?"

"But state-owned enterprises also have their own shortcomings that cannot be solved, such as slow market response, insensitive to profits, insufficient motivation and other problems such as large companies. The property rights are unclear, and it is difficult to separate government and enterprises, and management cannot be relaxed. These shortcomings mean that state-owned enterprises are difficult to continue in industries without technical thresholds, in perfect competition, and in pure service industries."

"For example, the breakfast stalls and state-owned restaurants in the streets that were very common in the past have been difficult to maintain in recent years. The reason is that the service cannot keep up with it, there is no technical threshold, and the catering industry is a perfect competitive field. State-owned hotels with high costs and low sense of responsibility are difficult to compete with self-employed individuals. It can be imagined that in the future, when individual capital accumulates enough, it will inevitably develop to the high end of the industry. State-owned hotels, guesthouses, and large state-owned hotels will inevitably be defeated by private hotels and hotels."

"For this part of assets that are likely to not adapt to the market in the future, my suggestion is to take advantage of the advantages I still have and take action at a high level as soon as possible!"

"So where is the future of state-owned enterprises? It lies in the mission and advantages of state-owned enterprises. State-owned enterprises should exist in national security, strategic industries, and people's livelihood security. By raising thresholds and even policy monopoly, they can form obvious business advantages. In these fields, state-owned enterprises can quickly strengthen themselves and cultivate qualified management teams. When state-owned enterprises also cultivate teams that adapt to marketization, they can rely on advantageous industries and return to some high-profit markets."

In the office building of the provincial party committee compound, a spacious conference room was filled with students in suits and ties. They were holding pens and notepads in their hands, and were recording the contents of Hu Wenhai’s speech on the podium for a moment.

Hu Wenhai is certainly clear about the development direction of state-owned enterprises. State-owned enterprises are not the original sin, and there are also state-owned enterprises that have developed well in the entire competitive field. As long as the property rights and management problems can be solved in terms of policies, although state-owned enterprises will inevitably have the disease of large enterprises, they also have the advantages of large enterprises.

To put it this way, it is said that state-owned enterprises will not survive in the field of competition. But bankrupting a state-owned enterprise is a disaster in society and it is the manifestation of the original sin of a state-owned enterprise. But if a private enterprise is closed, no one will react to it, isn’t it normal?

After the reform, state-owned enterprises have advantages in management, and are less likely to have business problems caused by nepotism, change every day, and short-sightedness of the managers' personal qualities. In terms of total, the proportion of state-owned enterprises with poor management is definitely lower than the proportion of private enterprises with poor management. It can only be said that the cruel competition mechanism of private enterprises is more likely to produce strong people. However, there are many weak people who die than bankrupt state-owned enterprises.

Hu Wenhai always believes that under the mature state-owned enterprise system, its problems will not be more serious than any large enough enterprise. All super-scale enterprises face the same large enterprise disease.

While Hu Wenhai was drinking water, someone raised his hand from the podium. Hu Wenhai raised his hand, and the student who was at least one round older than him stood up.

"Teacher, is the pilot program that the province has recently begun to sell some light industry enterprises. Is it the embodiment of your theory? Taking advantage of the opportunity of Xinke Group's large-scale procurement, the current market for light industry in Bohai Province is optimistic. Seizing this opportunity to sell small enterprises without economies of scale and operating advantages is the high-level move you said? But how do we determine whether an enterprise should sell it?"

Hu Wenhai put down the teacup and nodded in praise: "Yes, in fact, some light industry enterprises in our province can no longer cope with the competition from non-public enterprises. Take the case in my hand, a furniture factory in Niuzhuang Light Industry Bureau has been losing business backbones in the past two years, and the product quality has declined seriously and its production capacity has also been affected. Correspondingly, several furniture factories affiliated to Niuzhuang suburbs can use prices far exceeding the eight-level salary system to poach the business backbones of state-owned furniture factories. In this way, the number of business of state-owned furniture factories has dropped significantly."

"But in the context of this large-scale purchase, the state-owned furniture factory received sufficient orders. The state-owned furniture factory, which was already gradually insolvent, was acquired by its original management for an amount far exceeding its value."

"As for how to determine whether a company needs to be sold, you can compare it with the advantages of state-owned enterprises I summarized earlier. If the company has these advantages, then it is a high-quality asset in the future. If the state-owned enterprise is in the field of perfect competition and a pure service industry, then it is likely to become a loss-making industry in the future. If a company does not lose money, it means it has a strong management team. I suggest selling the enterprise and transferring the management personnel to places where they need them more. After all, in our monopoly enterprises, there may be fools who only know the bureaucratic style at any time. Leaders like this who can compete with private enterprises for bayonets, I am afraid that any unit will rush to ask for it!"

"Ha ha ha ha"

In the part-time class in the conference room, a burst of laughter sounded sparsely.

...

"I didn't expect that Mr. Hu will not only make money, but also have a good ability to teach people." Niu Jinbao laughed and patted Hu Wenhai on the shoulder: "This time, the leaders in charge of the economy in Bohai Province are gathered together. It seems that they have done it right."

Hu Wenhai smiled and shook his head and said, "In fact, the country has considered these policies long ago. I just said them before implementing them. Many theories have been fully discussed in some economic journals."

"This is different. There is a long distance between theory and reality. Comrade Xiao Hu, you can turn theory into reality. This is a very important ability."

"What's my ability?" Hu Wenhai sighed: "If it weren't for your strong support from Governor Niu, I would just have thoughts."

"Okay, okay, don't be modest."

Niu Jinbao handed over a document to Hu Wenhai: "After a month of preparation, a large amount of goods have been piled up on several terminals in the Bohai Bay. Although COSCO Shipping has transported many goods to the Magic City, the transportation speed is far less than the speed of production. Moreover, it is not the output of Bohai Province, the coal from Baiyin Coal Mine, the grain from Forest Province and the industrial products from Black Province. These products are also being transported here continuously. If it were not divided into three places, the coastal ports have been expanded in the past two years, and they will really not be able to pile them up."

"In this way, I think I can contact Director Fu. Fu Zhiheng is still in Shengjing Bureau now? His 10,000-ton car headlight pulled coal from the white embroidery thread. This time I think I can try a long distance from Xiucheng to the Magic City."

Hu Wenhai nodded when he saw Niu Jinbao, and the brick in his heart was considered to be implemented. Modern industrial society is a machine with precision operation. Sudden extraordinary events often cause it to fail to lubricate.

Hu Wenhai was busy promoting the production of materials in various provinces in Northeast China, but forgot to transport these materials to the Magic City, which was even more difficult.

Fortunately, he has brushed enough faces in the transportation system in the past two years, and the relatives of China Shipbuilding and the Ministry of Railways are the same as their own. COSCO Ship has really exploded with the largest volume, but the loading and unloading standards for docks in various places are designed according to normal transportation needs. Although the ports are also working in three shifts and various methods of starting the boarding problem has formed a bottleneck.

Fortunately, the relationship between the Ministry of Railways and Hu Wenhai is closer. Fu Zhiheng's Dongfeng 10,000-ton front of the vehicle was fed by Hu Wenhai from Mtu, and the electric transmission technology was simply developed by him.

Now, it is not a matter of one word to ask Fu Zhiheng to take several trains from Xiucheng to the Magic City in the name of testing long-distance transportation.

Niu Jinbao agreed with Hu Wenhai's proposal and then handed over a document: "This is the record of the recent Beidaihe meeting above. The man who is now really can't sit still. He quoted Milton Friedman's words at the meeting, 'The price should not be mixed with inflation. If the price is relaxed, only some commodities will rise. In the first few days, people may feel pain, but they will soon find that prices may not necessarily rise in turn.', 'If you want to cut off the mouse's tail, don't cut it step by step, just cut it off at once. It's better to have a short pain than a long pain.'. 75% of people also agreed with the option, 'As long as the reform can be improved, the short-term living standard can be temporarily reduced.'."

Hu Wenhai curled his lips and snorted: "Let me guess, the questionnaire in this survey certainly did not solve the problem of why Moutai, which is twenty yuan, could rise to 290 yuan when the country liberalized the prices of famous tobacco and famous liquor at the beginning of the year. Social psychology is the foundation of human economic problems, not the questionnaire filled out under the supervision of the central investigation team. On economic issues, if rationality is useful, luxury goods such as famous tobacco and famous liquor will not be sold out after the price increases."

Hong Zhen, in terms of questionnaire, is probably the least trustworthy data in ancient and modern times, both at home and abroad. Those who believe in the results of the questionnaire are generally big SBs, pure, regardless of whether she is a woman or not, her surname is Clinton.

Niu Jinbao sighed: "No matter what, if you have anything else to do, I suggest you better be as soon as possible."

(To be continued.)
Chapter completed!
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