20 years of the Republic of China

Chapter 746 Sudden Heavy Damage
At the end of April, Jiang Lianheng rushed to the office early and sat down to arrange his schedule.

There was a pile of newspapers on the table. They had just been delivered and were still warm, with a hint of ink scent.

It has been a few days since the Fengtian Printing Factory resumed work, and sporadic discussions can still be seen in the newspapers, most of which are qualitative articles about the suspension of work. Occasionally, Jiang Lianheng's name is mentioned, and of course, he is full of praise.

"You know what, this printing factory doesn't seem very impressive at ordinary times, but it would be quite inconvenient if it really stopped operating."

Jiang Lianheng casually flipped through a few newspapers, pursed his lips, and looked quite emotional.

Fang Yan came over and poured tea while saying, "Boss, although the situation has been resolved this time, the fundamental problem has not been solved. I'm afraid there will be more trouble in the future!"

"What do you mean?" Jiang Lianheng asked curiously, "What rumors have you heard recently?"

Fangyan shook his head and said, "I went to the official bank again yesterday. Fengpiao is still depreciating. The current market price for exchanging it for cash is close to three dollars and fifty cents. Moreover, if the current trend continues, the ticket price will probably continue to fall."

Jiang Lianheng frowned after hearing this.

From 3.2 to 3.5, in a sense, the Fengpiao depreciated by another cents.

This kind of market price fluctuation is already exaggerated.

But more importantly, the depreciation process is too fast.

It has been less than half a month since the last exchange of cash. The financial order is on the verge of getting out of control. How could the merchants and people of Fengtian be unaware of it?

Fang Yan continued, "Boss, these three dollars and a half are just the market price. The actual situation is that there is no demand for the currency. Ordinary people have to go through various procedures to exchange it for cash. Even those of us who have connections and use backdoors are inevitably exploited by the higher-ups, and even fewer people can actually get the money."

"How's the black market going?"

"There is no market, only money in but no money out. Not to mention the underground banks, even the public banks only accept foreign currency in cash and never exchange it."

Jiang Lianheng frowned and muttered to himself, "Fengpiao is the legal tender issued by the provincial government. They refuse to exchange it. If they continue like this, aren't they afraid of being blamed by the government in the future?"

"There's nothing we can do about it," Fang Yan said. "Anyone with a discerning eye can see that the cash shortage is a fact. Anyone who sells their own foreign currency will lose money. In addition, there are already signs of a run on the market. Anyone who dares to open this loophole will probably be shorted out within a day."

The current situation has become a vicious cycle.

The more the Fengpiao depreciates, the more likely it is to cause a bank run; the more severe the bank run, the more the Fengpiao will depreciate.

Although Jiang Lianheng did not understand economics, he was well versed in human nature and knew that the current situation was inevitable.

But even if you know, what can you do?

The result was still to no avail.

He did not issue Fengtian notes, and he could not control the exchange rate fluctuations. As a leading figure in Fengtian's business community, it was not convenient for him to take the lead in running a run on the official silver bank.

Now, it seems that all he can do is watch his assets shrink out of thin air.

"Well, let's exchange as much as we can!"

Jiang Lianheng sighed, and then instructed: "By the way, you should also hurry up and prepare. Don't work for me for several years and end up earning a pile of waste paper. You should redeem it when necessary. If you encounter any trouble, I will help you call the official bank to talk to you."

Fang Yan nodded quickly: "Thank you, sir."

The seventh-rank official in front of the prime minister's door.

Although Fangyan is not the Jiang family's white paper fan, it is good to lean on a big tree for shade. Over the years, he has accumulated a lot of connections and knows how to avoid risks.

Jiang Lianheng was always generous with money when it came to his loyal brothers. After giving them a few instructions, he immediately asked, "Do you have any plans this morning?"

"The owner of Ninghe Pharmacy wants to meet you. He made an appointment the day before yesterday."

"Zhang Sheng?"

"Well, I booked him for nine in the morning."

"That's an old acquaintance. Go down and take a look. If he's here, bring him in directly. Don't let him wait outside."

Fang Yan nodded, turned around and pushed the door open.

Zhang Sheng is indeed an old acquaintance. He has been helping the Jiang family for more than ten years and is also one of the earliest customers of Zongheng Insurance Company.

Jiang Lianheng's first dealings with him date back to the second year of the Republic of China, when he was tracking down the whereabouts of the red pill.

At that time, Zhang Sheng's shop was still very shabby. It mainly sold plasters, and also sold red pills and opium. In terms of business scale, it was far from being ranked among the top in Fengtian City.

But ever since he worshipped Jiang Lianheng as his "boss", he has been able to take advantage of the situation. His family wealth has increased several times, and his reputation has long surpassed that of the two drug stores "Hengrui" and "Rong'an". In terms of the northern part of the city alone, he is considered to be one of the richest men in the country.

Over the years, most of the precious medicinal materials used by Hu Xiaoyan were gifts from him to the Jiang family.

Jiang Lianheng turned his chair and looked out the window sideways.

The weather is getting warmer. Through the window, you can see the bustling street scene of Xiaoxiguan, which is flashy, busy and restless.

Not long after, I heard the door open again, and saw Fang Yan leading Zhang Sheng in.

"Boss, you've worked hard!"

Zhang Sheng is in his forties and not young anymore. He follows the rules of the underworld when he enters the door and still says thank you for your hard work.

Since they were familiar with each other online, Jiang Lianheng didn't act too polite. When they met, he raised his chin and asked with a smile: "What do you want from me? Are you here to ask for money?"

"You want money?" Zhang Sheng was stunned. "What money do you want?"

"I heard from Nanfeng that he arranged for Old Meng from the printing factory to go to your place to get medicine?"

"Hey, Boss, you are deliberately trying to humiliate me. The medicine he bought is not as expensive as the one I usually use for foot bathing at home. Do I have to come here to waste your time just for such a small amount of money?"

Jiang Lianheng smiled and pointed to the chair across the table.

"Hurry up and sit down. You've come all the way here, just tell me what you want to say!"

"Yes, yes, I know my boss's schedule is tight. Logically, I should get straight to the point, but this matter... is really hard to talk about!"

Zhang Sheng felt like he was sitting on pins and needles, his eyes were evasive, as if he had done something wrong, and he was hesitant, unable to figure out how to start for a long time.

Jiang Lianheng thought he was here to ask for help in exchanging foreign currency, but it turned out not to be the case. Instead, it was about business cooperation.

"Over the years, thanks to the care of my boss, I have been able to thrive in Fengtian and my business has been thriving. However... the world is unpredictable and things don't always go as planned. As the old saying goes, a tree that is moved will die, but a person who moves will live..."

"Okay, okay," Jiang Lianheng couldn't help but interrupt, "If you have something to say, just say it. We've been friends for more than ten years. As long as you haven't stabbed me in the back, I won't turn against you. Just say it, just say it!"

Zhang Sheng thought for a moment and finally said frankly: "Boss, I don't plan to do the opium business anymore."

"You want to work in insurance?"

"No, no, no, you're joking, sir. I just don't plan to touch opium and red pills anymore. It would be good to run the pharmacy business in an orderly manner in the future."

"What's going on?" Jiang Lianheng was a little surprised. "You've been in this business for more than ten years. Why do you suddenly have a conscience?"

Zhang Sheng was slightly embarrassed, but he could only shake his head to deny it.

The saying "poverty breeds evil, wealth breeds conscience" is so absolute that it is almost a fallacy. In fact, good and evil, right and wrong, are often just a matter of one thought. Judging by wealth alone is probably just the self-praise of the gentry. It is also like "most of the loyal people are butchers, and most of the unfaithful people are scholars", which is probably just a kind of assumption.

It is not uncommon for tobacco dealers to make money and then pretend to do charity.

But to say that someone suddenly had a change of heart and quit doing this is something that is unheard of and extraordinary.

Is it because you have earned enough money?
That is even more impossible. Even if they have made enough money, at most they would be satisfied with the status quo and stop expanding. I have never heard of anyone throwing away a business they have acquired.

Jiang Lianheng asked again and again, and Zhang Sheng had no choice but to tell the truth.

"Boss, the provincial government is planning to lift the smoking ban recently. Haven't you heard about this?"

"I have heard a little bit about it, but didn't they say that this proposal was rejected by Zhang Fuchen?"

"No, it's passed now."

"When did it happen?"

"Just two days ago."

In the past two days, the Jiang family was busy mediating the workers' calls for a break and did not pay much attention to other policies of the provincial government. They were also busy exchanging cash, so it was inevitable that they were negligent.

What's more, Jiang Lianheng's personal energy is limited, and it is impossible for him to take care of everything.

As a tobacco merchant in the industry, Zhang Sheng paid close attention to the development of the matter and was naturally the first to notice it.

"According to the latest news, the situation in Fengtian has been put on hold for the time being, but the smoking ban in Heilongjiang and Jilin provinces is about to be completely lifted."

The so-called lifting of the ban on smoking has never meant allowing the sale of opium, but rather allowing large-scale cultivation of opium.

At first glance, this may even sound a bit paradoxical - relaxing the smoking ban often means tightening the sale of opium.

Zhang Sheng explained: "Although Fengtian doesn't grow it, it still has to be sold. Not only that, but it has to be sold as a monopoly. If nothing unexpected happens, monopoly bureaus will be established in various parts of the three provinces soon. When that happens, private businesses like mine will definitely be hit."

"Didn't I help you get a franchise license?" Jiang Lianheng asked.

"It's useless. The sudden lifting of the ban on smoking this time is clearly an attempt to set up a monopoly. All tobacco taxes will eventually be used by the military."

It seems that the Fengzhang Group is on the verge of using any means necessary to conquer the world.

Zhang Sheng shook his head and sighed, "Boss, think about it, after the Monopoly Bureau is established, how can I continue my business? If my price is higher than that of the Monopoly Bureau, I will have no competitiveness; if it is lower than that of the Monopoly Bureau, they will definitely accuse me of 'disrupting the market', and Hongwan will be strictly banned."

Since ancient times, people have not fought with officials.

First, you can’t win the fight, and second, if you do fight, you’ll be close to death.

What's more, opium is an unethical business. If the government wants to punish it, it will not only not arouse public anger, but will also gain praise.

In this case, the safest approach is to retreat while the going is good.

Of course, there are exceptions. That is, they work like slaves for Xiao Dongyang and sell red pills in Hongji Charity Hall. The provincial government can only sigh that it is out of reach.

But Zhang Sheng obviously had no such intention. Business was business, but he could never do such a thing as surrendering to the Japanese.

"I've made up my mind," he said. "My pharmacy business is still making a lot of money. I've lost my fortune for more than a decade. I should just let it go. I'll just do good for my children. Don't you agree?"

Since Ninghe Pharmacy plans to give up this business, there is no need to buy the Jiang family's freight insurance anymore.

Although medicinal materials also need freight and shops also need fire and water insurance, they cannot be compared with the opium business in terms of profit or frequency.

Suddenly, the Jiang family lost a large insurance policy.

Moreover, the situation at Ninghe Pharmacy is probably just the beginning.

After the government’s monopoly bureau is established, the number of tobacco merchants who cut off their insurance will likely increase day by day, or even completely lose this business.

The opium from the Monopoly Bureau must be transported under armed escort, so why would it be necessary to buy insurance from the Jiang family?
Hearing this, Jiang Lianheng's face became even gloomier, but he didn't know what to say.

After all, no one is doing this business anymore, and we can’t force them to buy or sell, as that would be like robbery.

Zhang Sheng felt a little uneasy when he saw this, and quickly said, "Thank you for your care over the years, boss. I will rely on my family's medicine shop to make money in the future, so... I plan to pay double the fire and water insurance starting next year."

Double the fire and water insurance?
Triple the amount is useless, it is not even enough to cover the profit from opium cargo insurance.

Jiang Lianheng couldn't blame him, so he just asked calmly, "Are you really not going to continue doing this?"

"Ah?" Zhang Sheng didn't react for a moment.

"I'm asking you if you really don't plan to continue doing this."

"Yes, yes, if I do it again secretly, I will let the boss deal with me!"

"Okay then," Jiang Lianheng waved his hand and said, "I understand, you can go back."

Zhang Sheng was stunned for a moment, pointed behind him and asked: "Then... I'll leave first?"

Fang Yan came over to help, raised his hand and said with a smile: "Boss Zhang, please come this way."

The two walked out of the office.

Zhang Shengyu was still in shock, and hurriedly grabbed Fang Yan's hand and asked in a low voice: "Brother Fang, just now... the boss didn't have any opinions about me, right?"

Fang Yan shook his head and said a few words of comfort, "Don't worry, business is business. You have been friends for so many years, so I won't hold a grudge against you for such a small matter. As long as you are not playing tricks and not calculating behind the boss's back, all this is understandable. The boss has other guests later, so I won't see you off."

The same is true.

Jiang Lianheng is not that petty. As long as the request for help is reasonable, he will not hold a grudge just because of losing a business deal.

However, with less business cooperation, there are fewer common interests.

Next time when you come to ask for help, whether Jiang Lianheng will still help you wholeheartedly depends entirely on his mood at that time.

Jiang Lianheng opened Zhangsheng mainly to find out the proportion of opium cargo insurance in the company.

He handed the matter over to Fangyan, asking him to list the details and deliver them to Jiang's house in the north of the city before dark, and then he took a car back home.

Unexpectedly, as soon as I entered the mansion, I saw Hu Xiaoyan and Xue Yingqing sitting in the living room talking in low voices.

The two of them looked serious, especially Xue Yingqing, who did not look as cheerful as usual.

As soon as she saw Jiang Lianheng walk into the house, she immediately stood up to greet him and said, "The boss is back. You have to make some decisions. I can't do this business now."

"What's wrong with you again?" Jiang Lianheng frowned.

Xue Yingqing sighed and said, "The value of Fengpiao has dropped, and it is not easy to exchange it for cash. Now many businesses have stipulated that they only accept cash. Only we still accept Fengpiao, which makes those people come to "run" me. As a result, the more prosperous the business is, the more losses we suffer. How can we do this?"

"Then... you should raise the price too!"

"If the price doesn't rise as fast as it falls, then what good is that? I think we should just make it a rule to only accept cash!"

(End of this chapter)