Rise of the 1630s South America

Chapter 955 Enterprise and Competition ([-])

Shao Yuanyi has not been to the West Lake Securities/Bond Exchange Market for a while.But as soon as he came here today, the lively scene here almost frightened him: When did it start to be so lively here?A large group of people who don't know each other, who often appear and don't appear often, are here talking and laughing, chatting nonsense. Occasionally, some people reach an agreement inadvertently, and then leave with their hands and leave contentedly; Sitting together, they were talking about something patiently while knocking sunflower seeds and drinking imported high-quality Ningbo tea.

However, Shao Yuanyi understood what was going on with just a little thought: Aren't these people just businessmen and lenders who came to discuss financing?At worst, there are a few Jining businessmen who invest in bonds and stocks, but recently, didn’t the higher-ups say that they want to suppress the rentier class?Why are they still dancing outside so happily?

Don't think about things that you don't understand for a while!Shao Yuanyi shook his head, walked to his usual seat familiarly, and met a group of people who had been waiting there for a long time.The other party is also an old acquaintance. He has been in the water transportation business for many years. I heard that this time he plans to raise a sum of money in the bond market to maintain the operation of the company. The amount is about [-] yuan.

The bond sale of two or 3000 yuan is not a small amount for Shao Yuanyi, because it means that he has to lend almost all the cash on hand to others, which is very unwise from the perspective of venture capital.However, considering that this business was introduced by an acquaintance, and there was also a senior officer of the Navy Department as a guarantee, Shao Yuanyi still agreed: a five-year registered bond with a total amount of 5 yuan, with an annual interest rate of [-]%. Come today It is to go to the West Lake Bond Market to register and file with others, and do the final procedures.

After repaying the money through the Northwest Reclamation Bank, the two parties shook hands and said goodbye without too much courtesy, and this was exactly in line with Shao Yuanyi's intentions.He doesn't have much interest in other things now, and he is preoccupied with the news that his father-in-law revealed recently: that is, don't disrupt the market order like those "rentiers" of the Jining Gang, and earn what you should earn. If you can’t afford it, you can invest in railway construction bonds (the return will be higher than inflation). Don’t learn from those Jining people who form gangs and use usury to exploit industrialists who are in urgent need of funds. .

In fact, Shao Yuanyi has already heard about what the Jining people did. The interest rates they lend are generally between 10-20%, which is frighteningly high.And the pace was surprisingly consistent. A group of people established an offensive and defensive alliance in the name of their fellow countrymen. They were so powerful in the West Lake Market, a private capital market that had just taken shape, that the industrialists who were in urgent need of funds hated it.However, the reasons given by these Jining people are also very good, that is, regardless of the former Ming Dynasty or the current Europe, the interest rate of private loans is not low, and more than 10% is a normal level, so their behavior is also very reasonable.

But no matter how good their reasons are, the central government will probably not tolerate these people messing around anymore. They will be charged with bullying, manipulating the market, unfair competition and other crimes at any time, and the fate is self-evident.Shao Yuanyi reckoned that the group of Jining businessmen who sat in the big family room all day might fall into a few, and those who waved their flags would inevitably be fined and warned. Thinking about the miserable situation of being squeezed out by these people, it is really satisfying.

My father-in-law is right. If you have money, you must follow the right path. Isn’t investing money in industry more valuable than manipulating the market?To be honest, the environment for doing business in the east coast country today is really good. Not only are the people rich and the country is booming, but the care and care that the government and imperial court have for investors who open factories and workshops is also true.The major state-owned banks will not hesitate to lend as long as they have a certain amount of money. If they can't do it, they can go to the West Lake bond market to raise funds from private individuals, and they can always get back a lot of money. The business environment is unprecedentedly good.

Shao Yuanyi is not an ignorant person. He has traveled all over the world for so many years, and he has not only met one or two foreign businessmen, but he can understand a thing or two from the business environment in the old continent described by them.In Europe in this era, apart from the Amsterdam market, to be honest, no city has such a financing place as the West Lake Bond Exchange Market in the East Coast Republic—even in Genoa and Venice, which are known for their commercial traditions, this convenient and fast It is also difficult to see the private financing market in China, which obviously hinders the rapid development of industry and commerce in European countries.

Recently, the county organized a meeting of some rich households and business owners in the countryside. At the meeting, a senior lecturer from Bingtuanbao said that the competition between the East Bank country and European countries is not only about national strategic issues, but also about other matters. Most of it depends on the enterprises of various countries to develop. After all, it is mainly the business of the enterprises to seize the market and compete for profits, so the competition is mainly concentrated at this level.

Based on this idea, the government of the East Coast Republic has been constantly adjusting and optimizing its own policies, mobilizing all resources to provide convenience for enterprises—especially those enterprises that rely on exports and can bring benefits to the country—to enable them to compete fiercely with their European counterparts. Cruel competition, and among these policies, financial policy is an extremely important part.

As we all know, in Europe in this era, except for the "wonderful" business center Amsterdam, all major countries adhere to the idea of ​​mercantilism and regard precious metals as their lifeblood.Once profits are made in foreign trade, the inflowing silver can't wait to be sent to the mint to be minted into gold and silver coins for storage, which obviously limits the circulation of gold and silver.In addition, the currency credit mechanism is underdeveloped, so the capital supply on the market in many European countries is often equal to the money supply, which creates a very painful situation, that is, the shortage of corporate working capital - of course, the Europeans have already Get used to it.

However, this is not a problem on the east coast. The Precious Metals Management Bureau on the east coast attaches great importance to the money supply in the market. It often cooperates with the statistics office of the May Bureau to investigate the liquidity of the market. Once there is an abnormality, it will use various financial tools. Regulations should be carried out to maintain sufficient liquidity in the market at all times, stabilize the financial market, and benefit the people and enterprises.

In addition, we have to mention the West Lake bond trading market formed by the gathering of private capital under the guidance of the government.Because any individual who is interested in starting a business, and any business owner who needs funds to expand production—even if he is just the owner of a small workshop business—as long as he has a suitable collateral and is approved by the government, then It is possible to issue bonds or sell shares in this market to obtain much-needed funds.

Shao Yuanyi has been walking in this market for a long time. Over the years, he has seen too many companies that rely on selling shares in exchange for funds to survive the brutal competition (especially the most competitive machine milling industry). Commodities are all produced by enterprises with very small fixed capital and circulating capital. The survival of these small enterprises is also crucial to the Republic of China on the East Coast, and it is precisely a healthy and orderly West Lake financing market Give them the soil to survive and grow.

And does Europe have such a very convenient and fast financing market at this time?Unfortunately, no!Except for Amsterdam, most of the financing in Europe takes place between friends who have cooperated with each other for many years, relying on the credit accumulated from generation to generation, which is very closed, which results in a great waste of funds and insufficient social resources. Mobilizing them to develop industry and commerce will obviously lead to a decline in the country's competitiveness.

Seriously, the rulers of the East Coast government are really outstanding!The political and economic system that is currently operating in this dynasty is almost tailor-made for the development of industry and commerce. It is far from comparable to those backward countries in the Old Continent that are stumbling forward, and of course it is not comparable to a feudal country like Ming Dynasty.Thinking of this, Shao Yuanyi suddenly felt that the fruit of the east bank country belonged to the destiny, otherwise how could there be so many talents in governing the country and managing the world?

Coupled with the fact that several schools for cultivating business talents have emerged in China, many courses in finance, management, and economics are quite refreshing.Shao Yuanyi once mastered the bookkeeping method of Daming stores before, and also worked hard to study the "Italian accounting method" (double-entry bookkeeping method) popular in Europe. In front of the so-called "modern financial management system" implemented, it is completely scum, and it is not worth mentioning at all!

Whether it is Ming Dynasty or Europe, the gap between them and the countries on the east coast is really all-round.This gap is not only reflected in technology, but more in the "system" that the old men often say, that is, whether their system is really suitable for the development of industry and commerce, and whether it "restricts the progress of productivity" is the problem. The essential.

There is also the problem of people's concepts, the obstacles of the old "feudal remnants" (such as the guild system), and other messy problems, which are hindering the progress of the old continent countries such as Ming Dynasty and Europe.

"Sure enough, a piece of white paper is easy to paint on!" Shao Yuanyi couldn't help but admire what the elders said.Imagine if it was in Daming, if you want to implement the ideal system, you must first struggle with countless old forces and old ideas, and often have to compromise, which leads to incomplete reforms and leaves feudal remnants.

When the once enterprising and prestigious leader dies, if the new leader is limited by lack of vision, knowledge or skills, reforms may often be abandoned halfway or even reversed, and the progress of the country will naturally be limited.

(End of this chapter)