Chapter 163: A Different Approach to Security

In both politics and business, being indirect is an essential skill. While many might feel confused and lost in such situations, some can accurately grasp the true meaning behind the words.

Zhou Ming was one of those people. As Cao Jianning had pointed out, Zhou Ming had indeed detected the underlying message early on. The earlier compliments and small talk were just pleasantries, but when Cao Jianning suddenly inquired about the conflict with Hua Shao, Zhou Ming became alert. The subsequent misunderstanding with Tan Ge and the discussion about the Dongmen Hotel's history, followed by the Cao family's influence in Lingnan, all seemed like ordinary chit-chat. However, given that it was Cao Jianning, the youngest son of Marshal Cao, who had invited him to dinner, Zhou Ming knew there was more to it.

What Cao Jianning was doing was a psychological maneuver. By mentioning the conflicts between Zhou Ming, Tan Ge, and Hua Shao, and then highlighting his family's influence in Lingnan, he was subtly suggesting that he could easily help Zhou Ming resolve these issues. If Zhou Ming were to ask for Cao Jianning's help, the initiative would shift to him.

This was a convoluted strategy, a method of influencing others subtly. Many would fall into this trap without realizing it, but Zhou Ming recognized it immediately.

However, Zhou Ming had not anticipated that Cao Jianning's invitation was aimed at this particular objective.

When Cao Jianning suggested that the Securities Regulatory Commission be established in Lingnan Province for self-regulation, it implied that the province would control the securities market. In simple terms, Cao Jianning wanted the Cao family to turn the securities market into their private property.

Turning the entire securities market into something controlled by a single family sounded incredible, but it was feasible given the Cao family's unparalleled influence in Lingnan. With the securities market developing in Lingnan, the Cao family had the advantage of being the closest to the source. Observing the market's potential, they wanted to take advantage of it.

The most critical aspect was that during the era of reform and opening-up, it was essentially a history of the central and local governments vying for power.

It might sound unbelievable, but that was the reality.

In Zhou Ming's memory from his previous life, the Nanjiang securities market was initially a product of Lingnan Province. Both policy implementation and supervision were handled by Lingnan until issues arose with the stock frenzy. Following a major stock market crash, angry investors stormed the Nanjiang government offices, prompting the central government to intervene by establishing the Securities Regulatory Commission and bringing the Nanjiang securities market under State Council supervision.

Zhou Ming couldn't know whether the Nanjiang securities market in his past life was also manipulated by the Cao family, but the power struggle between the central and local governments was real, especially with the Cao family's significant influence both centrally and locally.

Unexpectedly, due to Zhou Ming's involvement, the Nanjiang securities market had already taken shape four years earlier than in his past life. Though it didn't yet have a fully-fledged stock exchange, the functions of the securities company were nearly complete. Hence, the Cao family approached Zhou Ming, hoping to gain an edge over the central government with his understanding of the securities market.

Zhou Ming felt a bit helpless. He only wanted to quietly make money and remain a low-profile capitalist, but political struggles still found him. He wondered why he couldn't stay out of the limelight, despite not being a prominent figure.

Cao Jianning looked at Zhou Ming, took a sip of tea calmly, and then said, "Consultant Zhou, you should understand this principle: A small boat is easily overturned at sea, but if it docks alongside a large vessel, the situation changes. The small boat can follow the large ship effortlessly without worrying about the waves. Don't you think?"

"Actually, I believe it's safest to dock and avoid all the storms," Zhou Ming replied.

Zhou Ming understood Cao Jianning's analogy. Cao Jianning was implying that if Zhou Ming agreed today, he would become a part of the Cao family's influence, and the Cao family would not ignore any problems he faced.

Cao Jianning looked up and asked, "From your response, it seems you're rejecting my proposal?"

Zhou Ming shook his head, "I'm not rejecting it. I just have my own thoughts."

Zhou Ming was open to considering the Cao family's protection, as having a red family's backing could be beneficial in many ways, a point evident after his acquaintance with Du Peng. However, the issue of contending with the central government made Zhou Ming cautious, as he knew it was a one-way path.

Politics involves mutual compromise. Local powers may have a chance to vie with the central government with the support of powerful families, but in an autocratic system, it rarely ends well unless one resorts to rebellion.

Zhou Ming remembered that in the 2010s, the central government had been gradually diminishing local power, culminating in the tax reform that broke the backbone of local finances. Since then, no matter how powerful local officials or families were, they no longer had the capability to contend with the central government.

That tax reform was a decisive battle between the central and local authorities. At that time, a future iron-fisted prime minister led a nationwide campaign, unifying thoughts and successfully implementing the tax reform.

This was the official narrative, but Zhou Ming could easily imagine the central government's ruthless tactics, how many families were crushed, and how many were on par with the Cao family.

With these lessons from history, Zhou Ming was wary of Cao Jianning's invitation.

However, Cao Jianning was clearly dissatisfied with Zhou Ming's response and said, "Consultant Zhou, if you have any thoughts, please do share."

Zhou Ming thought for a moment and said, "Since Mr. Cao has said this, I won't beat around the bush either. I have just one question: Do you really think you can seize power from the central government?"

Cao Jianning was taken aback. Although he had encouraged Zhou Ming to speak freely, he hadn't expected this question. Many things are best left unsaid, even if they can be done directly. Cao Jianning asked, "What do you mean, Consultant Zhou?"

"I'm just speaking frankly," Zhou Ming said. "Mr. Cao, whether you understand or not, I'll just state one thing. You must have heard about the stock market crash yesterday. If not handled well, it could lead to major consequences. If the securities market were entirely under the control of Lingnan Province or the Cao family, and such a situation recurs, I'm sure you can anticipate the consequences."

Cao Jianning's expression grew serious. He could indeed foresee the outcome Zhou Ming described: The central government would seize the opportunity to reclaim power and suppress local families, possibly taking further actions. The central government already had absolute authority and could handle such matters with ease.

"That's why Consultant Zhou is important!" Cao Jianning said.

Zhou Ming shook his head, "Mr. Cao, some things are governed by economic laws and are unavoidable. Take Western countries, for example. Their securities markets have been mature for over a century, but economic crises still occur repeatedly. Just a few months ago, there was a global stock market crash, erasing billions in funds. How can I change this law?"

"Then it seems Consultant Zhou is rejecting my good intentions?" Cao Jianning asked.

After all the discussion, Cao Jianning still came back to this point.

Zhou Ming murmured to himself and then replied, "Mr. Cao, I'm not rejecting you. It's just that some things need to be approached differently."

Cao Jianning's eyes lit up, "A different approach? What do you mean, Consultant Zhou?"

"It's simple. Mr. Cao, if you think stocks are very profitable, why don't you start your own company and list it on the stock exchange? Or you could set up a company specializing in helping ordinary people open stock trading accounts. I believe this should be a piece of cake for the Cao family," Zhou Ming said. "Moreover, the most important thing is that these are purely commercial activities and will not be subject to interference. They are quite safe."

Zhou Ming's suggestion gave Cao Jianning a sudden realization. He said to Zhou Ming, "No wonder even Elder Yang and Chairman Dong value you so much. Chairman Dong even invited you to the State Council. Truly, listening to you is more enlightening than reading ten years of books!"

"You flatter me, Mr. Cao. I just spoke casually," Zhou Ming said.

Despite Cao Jianning's praise, Zhou Ming felt a bit embarrassed. What he had suggested were merely recollections from his past life. After the central government established the Securities Regulatory Commission to reclaim power from the Nanjiang securities market, the Cao family's response was to establish a shareholding company and continue their business. He was simply suggesting to Cao Jianning what he might do in the future.

However, Cao Jianning saw Zhou Ming's suggestions as remarkable because they aligned perfectly with the strategies set by his father.

Cao Jianning gave Zhou Ming a thumbs up and said, "No, Consultant Zhou, don't underestimate yourself. You're truly outstanding. If you're just speaking casually, then that makes you even more remarkable!"

At this moment, they had completely forgotten about Luo Han, who was standing by, dumbfounded and speechless. He couldn't fathom what kind of people Zhou Ming and Cao Jianning were. The previous conversation sounded like a cryptic dialogue to him, and it wasn't until Zhou Ming stopped beating around the bush that he realized what was happening. Yet, they always spoke in such an indirect manner.

It was understandable that Cao Jianning was formidable due to his family background, but what about Zhou Ming? He was just in his twenties. How could he understand such convoluted

 discussions? It was truly astonishing!

Luo Han felt that compared to Zhou Ming, he was insignificant, barely worth a fraction of his worth.