Lou Xiaohu's appointment as the captain of the Toy Factory Security Team was finalized.

After expressing her gratitude, Lou Nannan continued to advise her younger brother to lead by example.

Xu Fei sighed, not knowing what to say.

Search "pawread dot com" for the original.

As Lou Xiaohu left happily, Lou Nannan showed Xu Fei the under-renovation office of the Tinplate Factory at Yellow Mud Hillock Supply and Marketing Cooperative.

Previously, the cooperative was a large joint society, consisting of 12 spacious street shops, as well as a yard, warehouse, and dormitory at the back.

But now, apart from the street shops, everything at the back was abandoned.

Even the bricks, tiles, and beams of the warehouse and dormitory were taken by nearby villagers to build their own houses.

The township allocated five street shops on the right side and a double-door shop to the Toy Factory, providing a free lease for three years and assisting with the renovation.

The township had no money, so the renovation was not done well.

After cleaning up and moving in some old cabinets, tables, and chairs, they also put up some inspirational calligraphy and paintings.

"The township said that if we build a wall and paint it in the area connected to the Supply and Marketing Cooperative, we can hand it over to the Toy Factory."

"No rush, this office is not essential for the Toy Factory. We have our own office building."

Xu Fei thought about the previous discussion with Lou Nannan about selling toys.

Whether it was the Toy Factory or selling caterpillar tracks, if they wanted to sell in large quantities, they would definitely need channels.

But relying too much on channels was a double-edged sword. If they relied too heavily on channels, the other party would only further compress the purchase price, even earning more than the factory.

For example, at the Electric Fan Factory, a fan cost five yuan to produce, but the channels bought it for 5.5 yuan and sold it to wholesalers for seven yuan.

If you dared to raise the price, I would find another electric fan factory and prevent you from selling.

When the channel merchants united and monopolized the market, the factory would not be far from bankruptcy.

When Xu's grandfather became the director of the Electric Fan Factory, he discovered this problem and quickly formulated a plan for exclusive stores, intending to establish them nationwide to restrict channel merchants or middlemen.

Unfortunately, due to policy bias and lack of funds, they were ultimately unable to turn the tide.

Xu Fei didn't want to follow the same path as the Electric Fan Factory. He planned to make money through channel merchants while also looking for distributors.

When the time was right, if the channel merchants didn't cooperate, they could completely kick them out.

As for direct stores, their own products were too few and lacked a brand. It would be time-consuming and laborious to set them up, so it would be better to save money and wait for the Tractor Manufacturing Factory to acquire them.

"Nannan, how about I let you handle the distribution of the toys?"

"Sure, how many should I take?"

"Fifty pieces of each of the ten traditional tin toys. Ten pieces of each of the twenty-three new products. We can replenish them based on sales, and anyway, the Supply and Marketing Cooperative is not far from the Toy Factory."

"Okay, what about the price?"

"The factory price is 1.5 yuan, but if you sell a minimum of 500 pieces, you get a 10% commission. If you sell a minimum of 1000 pieces, you get a 20% commission. There is no time limit."

"Alright, I'll give it a try. I don't have much else to do, I'm just worried that there won't be enough customers."

"I'm bothering you again."

"It's nothing."

"Is your cousin free recently? Let's go have Western food together."

"She should be free. Let me know your schedule. Little Xu, the Factory Director, is very busy." Lou Nannan joked and suddenly remembered something. "Do you have enough funds on hand?"

"It's okay, why? Do you need money urgently?"

"No, the Supply and Marketing Cooperative has a new decision now, and I'm not sure about it."

"What is it?"

"For example, at Yellow Mud Hillock Supply and Marketing Cooperative, as long as you are a local, you can invest a minimum of 50 yuan and a maximum of 50,000 yuan."

"This..."

The cooperatives are already in decline, who would invest?

However, Xu Fei suddenly remembered his grandfather's words.

"With the size of the cooperatives and so many rural areas in China, as the largest, most extensive, and most comprehensive retail store in the world, its value is far greater than what you see. It will rise again sooner or later."

Seeing Xu Fei hesitate, Lou Nannan said, "I don't know if it's right to invest now, but my teacher reminded me that now is the best time. If we miss the new decision, it might be too late.

Or rather, in the past, the cooperatives belonged to the collective system. When you invested back then, it wasn't the current shares, but everyone pooling money together to do business. Regardless of how much you contributed, you only had one vote in management and received year-end dividends.

Now, many collective enterprises are undergoing reforms, and the cooperatives are also trying new operating methods. This year, they decided to let farmers run their own businesses, making it similar to a private enterprise. However, the internal structure of the cooperatives is too complex, and this state will not last more than two or three years. Eventually, they will choose a shareholding system.

If you invest more during the period of self-operation and wait for the next round of reforms when the capital is converted into shares, you will own shares in the new cooperatives.

And these shares, just like shares in current shareholding companies, the more shares you have, the more say you have.

Even though you can't control the cooperatives due to their special nature, you can join the supervisory board. If you become the director of the county cooperative supervisory board, your level will be the same as the county's second leader...

Overall, this is a gamble.

Betting that the cooperatives will not go bankrupt in the repeated reform attempts."

"Are you kidding? The cooperatives will go bankrupt?"

Suddenly, Xu Fei felt that Lou Nannan's teacher had analyzed the cooperatives to such an extent and could grasp the future. He must be a great talent. Perhaps he could be recruited as the general manager of the Toy Factory. "What is your teacher's specialty?"

"He specializes in finance and economics, a senior lecturer, or an associate professor. This year, with the reform of the secondary vocational school, he will go to East Mountain College of Economics and become a full professor."

"..."

Okay, I was thinking too much.

Xu Fei dismissed the idea of recruiting him. "I'll invest!"

"Have you made up your mind?"

"We're not short of money!"

"Now that you've decided to invest, I can give you some advice."

"Hmm?""When the Supply and Marketing Cooperative was first established, members who joined in the 50s and 60s are now planning to withdraw their shares, holding proportions ranging from a few thousandths to one percent.

However, the Yellow Mud Hillock Supply and Marketing Cooperative is suffering severe losses and can't even afford to pay dividends. Where would they get the money to refund the share capital? As for your fifty thousand investment, I calculated that it should account for 10% of the shares. If we buy back the member shares, we could exceed 50%. If we buy back the shares held by various village collectives, we should be able to reach 90%, or even 100%.

Of course, when the Supply and Marketing Cooperative is converted to a shareholding system, your current shareholding ratio will be severely diluted. After all, the assets of the superior cooperative are much more, far exceeding a township-level Supply and Marketing Cooperative.

But if we invest in enough Supply and Marketing Cooperatives, ten 100%, one hundred 100%, when the shareholding reform comes, taking the county's Supply and Marketing Cooperative as an example, we should account for 0.1% to 0.3% of the total. It may seem small, but do you know how much the entire China Supply and Marketing Cooperative is worth?"

"I don't know."

"I don't either."

"..."

Xu Fei pondered, "How much would this cost?"

"It shouldn't be much. Like the Yellow Mud Hillock Supply and Marketing Cooperative, the members haven't received dividends for five or six years. They're afraid they've lost their capital. With the current inflation, the member shares are worthless. Buying them all back would only cost about ten or twenty thousand. The collective shares of the village would require negotiations with each village, which could be a bit troublesome. The main problem is that if your shareholding exceeds 5%, it needs to be reviewed by a county-level or higher unit. I'm worried it won't pass."

"You work at the Supply and Marketing Cooperative, can it pass?"

"Me? My family doesn't have money."

"If I give you the money, and you buy back the member shares, can it pass the review?"

"I should be able to once I become a regular employee, but not now."

"How can you become a regular employee?"

"By managing our township's Supply and Marketing Cooperative well."

"I'll think about it."

Xu Fei found a chair, picked up his tea, and pondered while sipping.

The Electric Fan Factory had once considered leveraging the Supply and Marketing Cooperative to balance its channels, but at that time, the Cooperative was thriving, and the factory had no way in, so they eventually gave up this plan.

Who would have thought that in just seven or eight years, the tables would turn.

In fact, there's no harm in investing in the Supply and Marketing Cooperative now.

If it's treated as a distributor or a dealer, and with our own investment, there's even less harm.

And if Lou Nannan works hard to become a county director, or a provincial director, or even enters the supervisory board of the general cooperative...

The benefits to come would be great.

For example, purchasing more toys from TEP Company, increasing profits for the struggling stores, and no longer stocking toys from other brands.

For example, purchasing more tracks to install on the tractors of the farmer uncles, promoting agricultural production, and no longer stocking garbage tracks from other companies.

In other words, the Supply and Marketing Cooperative would become our exclusive distributor.

The problem is, will the young lady still listen to us when she becomes powerful?

Xu Fei glanced at his old deskmate secretly, 'Should I marry her and warm the bed?'

'But we're too familiar, I can't make a move.'

'Forget it, investing in the Yellow Mud Hillock Supply and Marketing Cooperative would only cost seventy or eighty thousand. Let's take this step first and see how it goes.'

"Cough cough, Nannan, I'll give you seventy thousand first. You invest and buy back some member shares. As for the collective shares of each village, we'll have to see how the recruitment goes tomorrow."

"What do you mean?"

"In our Xu Family Village, whoever votes for me as village head gets to work in the factory. And in Yellow Mud Hillock, whichever village is willing to sell their collective shares, their collective gets to work in the factory!"

"..."

Isn't this guy too cunning?!