The Chinese Communist Party stands on the thought of Karl Marx, Lenin, Mao Zedong, and Deng Xiaoping. From Marx, they received guidance on long-term international goals, from Lenin, they received a tool for the struggle against the historical hegemony of the West, from Mao, they received the means to use Marx and Lenin in the context of China, and with the help of Deng, they combined the traditional forces of China with Marx, Lenin, and Mao.
Marx believed that the advancement of technology would one day reach such a level that all the activities that people do not like to do but are socially important will be done by automatic machines and people will only do those activities that they like to do. When this situation is created, we will reach a communist society. A person who does the activities he likes will not do those activities for the purpose of any exchange value (money) and therefore all activities and production in society will be social. That is, there will be no investment for profit and no work will be done for money. Also, no person will be able to make other people do any work for his own benefit by showing fear or greed because if he does not like it, no one will do any work. Therefore, society will be classless. Exchange value and classes will disappear. All activities and production will be social and therefore individual property will become social property.
But Marx believed that capital must first develop, that is, the production system must become so automated that the productive power of society will be huge but for that there will be no need to use the full labor power of society. As a result, the real wages of the working class in society will not increase as much as the profits of the capitalist class will increase. Since a large part of the workers are buyers, the purchasing power of society will lag behind the productive power of society. As a result, a crisis of overproduction will arise. To overcome this, it is necessary for a revolutionary state led by the working class to invest without keeping profit as its main goal, and as a result, the crisis of overproduction will be overcome. It can be said that since profit is not the main goal, social investment and initiative will increase. Gradually, a state led by the working class will automate production more and more and give the workers more time to do the things they like. In this way, gradually all the work that they do not like to do will be automated and the entire human race will be able to do the things they like. Marx believed that since people would continue to work for exchange value until they were given the opportunity to act as they wished at the individual level, it was not possible to organize social investment or enterprise through privately owned enterprises. Therefore, only a revolutionary state led by workers could organize social investment or enterprise.
Lenin said that in the 20th century, capitalism has transformed from competitive capitalism to monopoly (basically oligopoly) capitalism. The entire production system is controlled by large wealthy capitalists. The middle-class capitalists (who are called bourgeois in French) have taken a marginal position in production. As a result, it is no longer possible for them to break feudalism by carrying out bourgeois reforms and develop production as before. The working class must also carry out these bourgeois reforms and break feudalism and develop production and automation. As a result, Lenin gives the responsibility of industrialization to the state led by the working class. He also shows that social production and investment will not only be effective in the crisis of overproduction. Rather, social investment (where profit is not the main goal) is also fruitful in the development of industrialization and automation. The rapid development of Soviet industrialization proves that a revolutionary state led by the working class can develop heavy industry and infrastructure and education and health very quickly through social investment. It can be said that state-led social investment in areas such as basic industry, education, health and research was very effective. Under Stalin's leadership, Soviet industry and military power, based on industrial strength, surpassed those of Germany, Britain and France.
But in the 1950s, it was proven that despite being ahead in heavy industry, infrastructure, education, health, and research, state-run social investment in light and consumer goods industries was not yielding good results. State-run social investment was also not yielding any results in innovative industries. Mao highlighted the bureaucratic weaknesses of state-run social enterprises. And he tried to develop the light and consumer goods industries by creating democratically run social enterprises. But that effort failed. In the 1980s, Deng said that despite being ahead in heavy industry, infrastructure, education, health, and research, there should be state-run social investment in light and consumer goods industries and private profit-oriented enterprises in the light consumer goods industry. Deng's model led to rapid progress in China. But since 2008, the Communist Party of China has become concerned that China is still lagging behind in innovative initiatives.
Innovation is almost impossible without individual dreams and initiatives. Again, the innovation industry is mainly created in the United States, and there, companies are speculating (buying and selling shares of companies) on which companies will succeed in investing in innovation, hoping to make a profit. As a result, a bubble is created in the US stock market, and when that bubble bursts, an economic crisis occurs. What's more, to repeatedly attract investment in innovation, a very strong currency is needed, which deinvests the country's industrial production and all investment goes into the property trading business. Therefore, a profit-oriented innovation system is not to China's liking.
Then the Communist Party of China remembered the famous Nobel Prize winner of Bangladesh, Muhammad Yunus. Yunus said that an individual will take up social initiatives if the society benefits from that initiative and the happiness of many people in the society also brings happiness to the social investor. That is, a person can make social investments by focusing not on profit but on the happiness that he brings to the society. That is, where Marx Lenin thought that only the state should be remembered for social investment, Yunus found the source of social investment within the individual. Using Yunus' social initiatives, many countries were able to eliminate poverty without the state. While the Western world repeatedly saw Yunus' social initiatives as a means to eliminate poverty, China began to think about developing the innovative field using Yunus's theory.
China saw that if the happiness or progress of society is a source of individual happiness, then individuals can take up social initiatives. Then, developing the country by advancing in the field of innovation and defeating the US blockade can also be a source of individual happiness. Again, individuals can invest without keeping profit as the main goal to make their innovative dreams come true. In this way, China started using Yunus' social entrepreneurship to promote their own innovative fields. Municipalities in various cities in China started investing heavily in all such privately owned social enterprises where innovation is the main goal, profit is secondary. Liang Wengfeng, the founder of DeepSik, said that their main goal is the use value, profit or exchange value of innovation. And this is why DeepSik was released to the market completely free of charge. Earlier, China also brought the Covid vaccine to the market for free, but that vaccine was developed by the state (it is important to remember that state-led social investment in health and research is quite fruitful). But despite being an individual, DeepSik has taken up social initiatives. Also, the US innovation sector, being profit-oriented, aims to attract a lot of investment, thus increasing the cost of innovation. The Chinese innovation model, being social, emphasizes the utility or use value of innovation and has less investment growth or cost growth. Therefore, the cost of creating DeepSik is one-third of the cost of Chat-GPT.
The Chinese model so far is as follows:
Heavy infrastructure industry and services: state and social
Education health research: state and social
Light consumer goods industry and services: private and profit-oriented
Innovative industry and services: private and social
Social = production with use value or utility in mind
Profit-oriented = production with exchange value or profit in mind
An Important Reference: https://beamstart.com/news/global-entrepreneurship-competition-hicool-2025?fbclid=IwY2xjawIsHt9leHRuA2FlbQEwAGFkaWQBqxnAChyT_gEdoPu_qatUrzVwouUuuAuTv5eHJzDvaC40k5iDCZwk9Xp7vHws6J3Y_wO0_aem_5ScT_u79zJvydJ2ysLMjYA
Author: Saikat Bhattacharya
