604: Chapter 604 Feudalism

"In the entire Southern Border, the only human power adjacent to us is the Azure Profound Sect. Starting a year ago, the Azure Profound Sect has not only imposed high commercial taxes on our Merchant Alliance but also dispatched a large number of Disciples to patrol the border, imposing high taxes on all goods traded through there."

Shen Yunshu frowned slightly. "The Azure Profound Sect's commercial taxes are getting higher and higher; most of our profits are being taken by them."

"Holy crap!"

"Is that Old Man Qing Xuan even more ruthless than me?"

Liu Xuan thought about it carefully. The Southern Border Beast Taming Sect was currently in its development phase and required a massive amount of resources. If the Azure Profound Sect choked off commercial trade, they could directly bleed the Southern Border Beast Taming Sect dry.

'Wasn't Old Man Qing Xuan a helper invited by Lady Yaoguang? Why would...'

Wait!

'Could this be Lady Yaoguang's doing?'

Liu Xuan suddenly realized that although Lady Yaoguang had nominally recognized his and Peach Blossom's status as Beast Taming Sect Disciples, they were uncontrollable factors. It would make sense for her to use the Azure Profound Sect's hand to limit the Liu Clan Merchant Alliance's earnings.

'No! Old Man Qing Xuan has a Dao Court background. Lady Yaoguang can ask for his help, but getting a share of the money from his hands wouldn't be that easy.'

'Could the Dao Court be targeting us?'

Liu Xuan exhaled a frustrated breath, pulled Shen Yunshu into his arms, gave her a playful slap, and asked, pretending to be angry, "Why are you only telling your husband about such a major matter now?"

"Ah!" Shen Yunshu gave Liu Xuan a coquettish glare and said dissatisfiedly, "How can you say I didn't tell you? Every time the Azure Profound Sect raised taxes or made a big move, I wrote a detailed report for you, but you never looked at them even once!"

She became more aggrieved as she spoke, her curvaceous body struggling slightly. "Ever since those two vixens from the Joyous Union Sect entered the door, it's been hard for me to even see you, so when would I have the chance to explain things to you in detail?"

"How can you say this is my fault?" Liu Xuan adjusted his posture and asked with a slightly serious expression, "Then, Yunshu, how do you think the Merchant Alliance should respond?"

Shen Yunshu's face flushed slightly. While circulating the secret art she had recently learned from Yin Lizhi, she analyzed seriously, "The business of our Artifact Refining Workshop is highly profitable. If the Azure Profound Sect allows our low-priced Magical Artifacts to flow in, not only will we earn all the Spirit Stones, but their own Artifact Refining industry's interests will also be damaged. This was all expected."

"It was fine while the war was ongoing, but now that the situation has stabilized and our industry is expanding too quickly, the Azure Profound Sect will certainly suppress us. It would be the same for any Sect."

Shen Yunshu stopped to rest for a moment, then continued after catching her breath, "The Azure Profound Sect's suppression cannot be resolved unless they are destroyed."

"My suggestion is to stop the expansion of the Artifact Refining Workshop. Supplying the Southern Border Beast Taming Sect market with low-to-mid-tier Magical Artifacts is enough. Instead, we should pivot to refining high-tier Magic Treasures and Spirit Treasures..."

After listening to Shen Yunshu's analysis for a while, Liu Xuan finally understood. In the current landscape of the Cultivation World, there was simply no soil for large-scale commercial development. Once the scale expands, it will inevitably face profit-grabbing by other powers.

The Liu Clan Merchant Alliance's previous smooth development was entirely due to catching the right time during the Southern Border Pioneering War.

'No wonder this world hasn't developed industrialized Artifact Refining. On one hand, it's due to technical difficulties and the conflict between industrial development and individual Dao comprehension. Another important reason is the lack of soil for capital expansion.'

Once an Artifact Refiner reaches a high level, comprehending the Dao for cultivation becomes the most important thing. Making money is secondary, so naturally, no one spends energy on increasing output and scale.

Furthermore, even if an Artifact Refiner doesn't care about comprehending the Dao and just likes making money, he wouldn't be able to grow.

The Cultivation World is divided into various Sect powers based on the distribution of Spiritual Veins. The Immortal Dao values the self, and they are in a competitive relationship with each other.

The entire Cultivation World is like a feudal society with many feudal lords. The prerequisite for commercial development is having enough strength; otherwise, you are just working for the benefit of others.

'Each Sect has the mindset of a feudal landlord. It's basically impossible for any Merchant Alliance to expand outward. No wonder they can't develop!'

The Southern Border is still relatively better because the Yao Race exists, so there are many loopholes in the Sect rules that can be exploited.

If it were the Central State Dao Court, all Artifact Refiners, Alchemists, Talisman Masters, and Formation Masters... would all be managed by specialized organizations. All commerce would be controlled by the Dao Court. Aside from developing within the Dao Court, there is no other path.

'Spiritual Qi and Spiritual Veins—these two things have locked down productivity. Looking deeper, Talismans, Medicinal Pills, Magical Artifacts... are all secondary products. Territory is what matters most!'

Simply put, commerce can only earn a bit of small change. If one wants to expand the scale, they must first possess enough territory and power.

"If Husband has no objections, then we will proceed according to my ideas. I will discuss the specific details with Su Wan, Yun Miao, and the others later." Shen Yunshu took out a Jade Slip and handed it to Liu Xuan; it contained all her planning suggestions for the Artifact Refining Workshop.

Liu Xuan took the Jade Slip and glanced at it. The Southern Border Beast Taming Sect market was large enough, and there was still plenty of room for internal development. As long as the expansion plans for the Artifact Refining Workshop were halted, the profits would actually still be very generous, enough to sustain the Liu Family's development for a long time.

However, Liu Xuan did not nod after finishing. The Heaven-Seizing One Qi Secret Art was gradually beginning to show its power. The Family's descendants had reached the fourth generation, and next, the cultivation levels and numbers of Family members would enter exponential growth. The required Spirit Stones and resources would be massive.

Moreover, after the Liu Family develops for a hundred years, the war might not necessarily stop, and the industry would need to expand.

"The expansion of the Artifact Refining Workshop doesn't need to stop. I will handle the issue regarding Spirit Stones!"

Liu Xuan's gaze darkened slightly as he looked north and said calmly, "Doesn't the Azure Profound Sect want to block border trade? Then let it be as they wish!"

"From now on, cut off all trade relations with the Azure Profound Sect. Stop the supply of thousand star flying swords previously sent to the Heavenly Sword Sect, Chongming Sect, and Cloud Top Sect as well. Impose high commercial taxes on all Cultivators from the Azure Profound Sect who come here to do business."

Since the Azure Profound Sect didn't know what was good for them, he might as well go all the way! Liu Xuan didn't believe that with thousand star flying swords, Sun Warships, and low-priced standard Magical Artifacts, the Azure Profound Sect could actually stop border smuggling.

As long as the product is good enough, there's no fear of lacking buyers. Instead of letting the Azure Profound Sect bleed them, it's better to bleed them in return.

This move would certainly further reduce the Merchant Alliance's profits in the short term, but in the long run, it would be beneficial.

"It doesn't matter if the Magical Artifacts produced by the Artifact Refining Workshop can't be sold at a high price. In the short term, they can be consumed internally by the Merchant Alliance or taken to the front lines for the army and adventurer Cultivators to exchange for merit points."

These are all his own forces; there was no harm in selling to them at a low price. As long as it covers costs, it's a gain.

"If all else fails, I'll talk to Lady Yaoguang and divert a portion of the Southern Border Beast Taming Sect's tax revenue. It shouldn't be a big problem!"

The Liu Family was different from other families; they didn't need to consider things too far into the future. As long as they could sustain themselves for a hundred years or so, the current problems wouldn't be problems anymore.

"Alright! I understand."

Although Shen Yunshu felt that Liu Xuan's move was not very rational, she still chose to obey his instructions unconditionally.

"But Husband, you must give me a token of authority. Otherwise, Sister Yun Miao won't believe me and will have to come looking for you then."

...