"First Balance Model" Decoded: A Replicable Synergistic Development Practice Path

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Abstract generation in progress

The coordinated development of Beijing, Tianjin, and Hebei has entered a stage of in-depth advancement. The real challenge is no longer “moving out,” but “what to do after the transfer.” Whether industry relocation can take root, whether businesses can stay stable and grow large, whether regional resources can be optimally allocated, and whether people’s livelihoods can be continuously and stably supplied—all determine whether coordinated development is simply about redistribution or about value reconstruction.

Over the past decade, Shouheng Group has focused on supporting the non-capital functions of Beijing. It has gradually explored a practical path centered on market-based acceptance, supported by full-chain upgrades, driven by digital governance, grounded in emergency supply guarantees, and aimed at regional win-win cooperation.

Shouheng’s value is not just in accommodating a range of market formats but in truly transforming “relocation” into “development,” forming a replicable, communicable, and instructive “Shouheng Model.”

Using Market Mechanisms to Support National Strategies

The “Shouheng Model” first answers the question: why can coordinated development shift from administrative deployment to market choice?

Bohai Store, located between Beijing and Tianjin, has obvious advantages in location, transportation, space, and cost. Since starting operations in 2015, Shouheng has successively accepted various industries such as fruits and vegetables, dried goods, frozen products, aquatic products, flowers, and fresh-cut vegetables, relocating nearly 10,000 businesses and creating nearly 50,000 jobs. It has gradually become an important platform for supporting the non-capital functions of Beijing.

More importantly, this acceptance is not passive; it is enhanced by platform capabilities that increase attractiveness. Wang Ruixian, a mushroom merchant who moved here in 2015, said: “We found that the location advantage here is obvious, operating costs are low, and transportation is more convenient, so we started recommending it spontaneously.” This reveals the key to the “Shouheng Model”: for genuine deep and solid development, administrative push must be transformed into market pull, encouraging merchants to come, stay, and grow.

Researcher Li Cheng from the Chinese Academy of Social Sciences summarized precisely: “Through a series of institutional design and policy support, relocated merchants are able to actively settle in new places and further expand into new markets.” This is the core hallmark of the “Shouheng Model”—the authentic choice of market entities is the fundamental guarantee for sustainable coordinated development.

Reconstructing Industry Ecosystems with Full-Chain Thinking

The greater value of the “Shouheng Model” lies in its acceptance of not just stalls but systems; its upgrades are not just of venues but of ecosystems.

Shouheng is not a single wholesale market but a modern agricultural product circulation platform integrating trading, warehousing, cold chain, logistics, testing, processing, and distribution. It radiates to 13 northern provinces and cities, serving over 400 million people. This full-chain platform capability directly changes the operational radius and development space for merchants.

Sun Nan, a melon distributor, came to Shouheng in 2020. Relying on its hub aggregation effect and modern logistics network, goods can be distributed faster nationwide. Today, sales have exceeded 100 tons, achieving more than tenfold growth. This proves that Shouheng enables many merchants to shift from operating in a different location to entering a more efficient, larger market system.

Li Cheng further pointed out that the value of Shouheng is not limited to acceptance itself: “From regional coordinated development and market integration perspectives, it is also necessary to break down administrative boundaries between regions to achieve integrated industry and market development. Bohai Store’s development over the past decade provides a vivid solution to this real-world challenge.” The full-chain reconstruction of Shouheng is precisely the practical vehicle for breaking administrative boundaries and realizing market integration.

Enhancing Coordination Efficiency with Digital Capabilities

Shouheng’s ability to upgrade acceptance relies on modern circulation systems and digital governance capabilities.

Entering the Shouheng market, data on transaction volume, price trends, testing information, vehicle flow scheduling, and more are collected in real-time by the “Smart Brain.” Previously relying heavily on experience-based judgment, procurement, dispatch, and inventory management are increasingly driven by data and pre-emptive analysis.

Through digital platforms, the market can anticipate supply-demand gaps in advance, helping merchants optimize procurement rhythms and avoid peak periods, as well as issue timely warnings and respond quickly during abnormal fluctuations. The “Shouheng Model” is not about expanding traditional market scale but about upgrading the functions of modern circulation systems—supported by digital, visualized, schedulable, and pre-warning capabilities to improve coordination efficiency.

Strengthening Strategic Foundations with Supply Security and Emergency Response

Ultimately, coordinated development must focus on ensuring people’s livelihoods and social stability. The “Shouheng Model” also emphasizes making supply guarantees and emergency responses part of the strategic foundation.

From 2020 to 2022, Shouheng supplied over 8.75 million tons of emergency agricultural products to the Beijing-Tianjin-Hebei region, becoming an important “vegetable basket” and supply support point. After the full operation of its large-scale emergency material transfer stations in phase three, it can ensure continuous supply of basic living materials for over 1.1 billion residents in the Beijing-Tianjin-Hebei urban agglomeration for more than a week.

From normal supply to emergency response, Shouheng is no longer just a trading platform but a vital node in regional social security. This dual-use mechanism integrates daily life and emergency management organically. The reason why coordinated development can go higher and farther is because it emphasizes not only efficiency but also safety; not only development but also people’s livelihoods.

Releasing Comprehensive Benefits through Regional Win-Win

The “Shouheng Model” delivers more than platform benefits; it embodies the comprehensive benefits of regional cooperation.

For Beijing, it reduces over one million heavy trucks entering the city annually, directly contributing to a 5.6% reduction in PM2.5 emissions and freeing up 3,600 acres of development space. For Hebei, it promotes industrial clustering, employment growth, and urban capacity enhancement, helping the region shift from “able to receive” to “develop well.”

This spillover effect continues to extend to agricultural origins. Through the “market + base + farmers” model, market demand is more directly transmitted to the fields, promoting more production areas to move toward standardization, scale, and order-based production. For farmers, this means more stable sales channels and more predictable income.

Researcher Li Cheng interpreted the hub significance of Shouheng from a higher dimension: “Through deep industry chain cooperation and integration, Bohai Store, a county-level market, has evolved from a simple industry acceptance site into an important hub connecting domestic and international dual circulation.” For the country, this means Shouheng is serving the construction of a unified large market more efficiently, forming a complete closed loop of Beijing easing pressure, Hebei gaining strength, production areas increasing income, and regional win-win cooperation.

Conclusion

The experience of the “Shouheng Model” can be summarized in four phrases: guided by national strategy, promoted by market mechanisms, strengthened by supply chain reconstruction, and rooted in people’s livelihood security.

These four points not only encapsulate Shouheng’s growth logic but also reflect the practical path from strategic deployment to tangible results in coordinated development. Furthermore, the “Shouheng Model” is replicable because it does not rely solely on preferential policies or short-term administrative pushes but forms a systemic structure supported by location-based acceptance, platform aggregation, supply chain collaboration, digital governance, and public security.

As Li Cheng stated: “The coordinated development strategy of Beijing-Tianjin-Hebei is just one among many regional strategies, such as the Yangtze River Delta and the Guangdong-Hong Kong-Macao Greater Bay Area. Under this layout, we can fully leverage the core leading role of major urban agglomerations to achieve high-quality development and coordinate regional growth across China.”

In this sense, the “Shouheng Model” is not only a typical example of Beijing-Tianjin-Hebei cooperation but also provides a practical path for similar regional coordination, modern circulation system construction, and mega-city governance nationwide.

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