The news of the People's Party's military victory was immediately broadcast across the country. "After five days of fierce fighting, the People's Party not only held Lianyungang but also captured the German-occupied Qingdao Fortress." Besides the telegrams, this news also prominently appeared in newspapers in Beijing, Tianjin, and Shanghai. The national reaction was unexpectedly "silent."

No one believed it could be true; even those who did felt a profound sense of unreality. Since the first Opium War in 1840, China had suffered defeat after defeat in battles against foreigners on its own soil. Suddenly, a force had emerged victorious. The People's Party, led by Chen Ke, seemed truly different from ordinary Chinese forces.

The Beiyang government had the best access to first-hand information. In fact, after the People's Party seized Qingdao, the local Beiyang government in Qingdao sent the news to Jinan as quickly as possible, and then on to Beijing.

The feat of the People's Party breaking Qingdao within a single day and seizing the entire fortress left the Beiyang Cabinet without even the energy to comment. When the German fleet received the news, they did not attempt to reoccupy Qingdao but temporarily sailed south to the port of Shanghai. Although Navy Minister Sa Zhenbing explained his view from a naval perspective—"The German fleet used their naval guns to cover the attack on Lianyungang, and after several days, they ran out of shells. They are temporarily unable to retake Qingdao"—the cabinet members merely feigned a look of sudden realization.

They truly hoped this was the case. However, lacking military expertise, they privately believed that the German fleet simply lacked the courage to attack Qingdao. Being able to beat the Germans to the point where they dared not retaliate left these central officials with a feeling they could not express in words.

Yuan Shikai wanted to see what clever strategies the Beiyang central government would produce. The ministers remained silent, showing no signs of an outburst. Since they refused to speak, Yuan Shikai did not force them. Leaving behind Xu Shichang, Wang Shizhen, Duan Qirui, and Sa Zhenbing, he dismissed the others to attend to their duties.

The five men remaining in the room all understood military affairs. It could even be said that before the rise of the People's Party, they were the five people in China who understood military matters best. After the other cabinet ministers left, these five resumed their silence, staring at one another.

A People's Party force of over ten thousand had reached Qingdao after a four-day forced march and immediately entered battle, capturing the Qingdao Fortress in a single night. The Beiyang Army had started with the Xiaozhan New Army training. If the Beiyang Army were deployed from Xiaozhan to set up defenses in Beijing, they might not even complete the mobilization in four days. If Beiyang went to war with the People's Party, the best way for Beiyang to ensure its own safety seemed to be piling all its troops in Beijing; then the People's Party could strike wherever else it pleased. From a military standpoint, none of the five saw even a glimmer of possibility for a Beiyang victory against the People's Party. The lesson of the Manchus was not distant; the stolen ruling power had been in their hands for less than a year! The People's Party had started as a rebellion and had not yet nominally joined the Republic of China. If the People's Party raised its flag to firmly overthrow the Beiyang central government, it would be logically irreproachable.

Xu Shichang was currently exercising the responsibilities of the Premier as the Acting Premier, making him the highest-ranking official in the cabinet. Remaining silent forever was not a solution. "Pinqing, how is the situation in Jinan?" Xu Shichang asked, finding a mundane topic.

"The troops stationed in Jinan still haven't left their barracks," Wang Shizhen replied with his usual composure.

This order had originally been Yuan Shikai's intent, but hearing it now gave an exceptionally demoralizing feeling. A group of youngsters who had only started out five years ago were already sweeping across China and could even capture the powerful Qingdao Fortress. Meanwhile, the Beiyang, with its decades of illustrious reputation, could only hide in its barracks. After Wang Shizhen finished speaking, Xu Shichang's expression became even more unsightly.

Seeing the other four fall silent again, Yuan Shikai was unwilling to press them. "Pinqing, you are familiar with Shandong. I want you to go there and take charge for a while."

"Yes," Wang Shizhen replied simply, without asking for a reason.

"Dingming, you take good care of the Navy. The Germans have suffered such a huge loss. The People's Party has no navy, and their only outlet to the sea is Lianyungang. There's no guarantee the Germans won't come looking for trouble with us."

"...Yes," Sa Zhenbing replied simply, though he seemed to have more to say.

"Zhiquan, since Pinqing is going to Shandong, you will take over the Ministry of the Army. At this juncture, manage the army well. Don't let any trouble happen for me."

"Yes," Duan Qirui also responded simply.

"Juren, stay for a moment. The rest of you go and get busy," Yuan Shikai ordered.

After the three left, Xu Shichang asked, "Based on your meaning just now, President, are you planning to meet with Chen Ke?"

Yuan Shikai shook his head helplessly. "With Chen Ke causing such a massive disturbance, he definitely won't be coming to Beijing anytime soon. Once Pinqing is settled in Jinan, I will contact Chen Ke to meet in Jinan. I want to see how he plans to wrap this up."

"President, is a meeting with Chen Ke at this time... appropriate?" Xu Shichang asked somewhat hesitantly.

"Juren, I am the President of the Republic of China. Now that such a thing has happened, if I don't say a word and act like a shrinking turtle, can I still be this President? I know what some in the cabinet are thinking. They think Chen Ke has invited big trouble and the foreigners won't let him off. But haven't they considered that if the foreigners end up unable to do anything to Chen Ke, will our central government still be able to function? If Chen Ke can survive this on his own, we might as well just wait to die in this city of Beijing!" By the end, Yuan Shikai's anger finally erupted.

"Brother Xiangcheng, don't upset yourself," Xu Shichang couldn't help but say. On the surface, the People's Party's action seemed extremely risky, but Xu Shichang was a sensible man. What Yuan Shikai had just said pointed directly to the problem. If the People's Party could pull through this time, they would occupy the moral high ground. A local Chinese government that dared to fight foreigners—and one that could defeat the forces of the Great Powers—would undoubtedly and automatically possess the great banner of patriotism. This military victory provided a massive foundation for the People's Party's future development. In contrast, the Beiyang central government would be burdened with heavy pressure. If the Beiyang government dared to have any conflict with the People's Party now, not to mention whether they could win, once the People's Party slapped them with the label of "traitors," the Beiyang government would be left speechless.

Military superiority was clearly with the People's Party, and they had taken the lead on the moral front. If Beiyang could not immediately come up with an effective counter-strategy, they would have to sit in Beijing and wait for their downfall.

"President, why don't you let me meet with Chen Ke?" Xu Shichang suggested.

"There is no reason for the Premier of the Cabinet to go to a local province to pay respects to Chen Ke," Yuan Shikai said somewhat gloomily. Having to request a meeting with Chen Ke in Jinan was depressing enough; even so, Chen Ke might not be willing to go to Jinan. Currently, Chen Ke was the target of everyone's attention, and whether he was willing to risk going to Jinan was still a question. In the current situation, if Yuan Shikai were to lure and kill Chen Ke, then the foreigners, the Beiyang, and the Southern provinces—which had long been hostile toward Chen Ke—would join forces. Even in the worst case, it would be a situation where everyone perished together.

In the past, Chen Ke had always taken the lead, but the current situation gave Yuan Shikai an opportunity. Although Beiyang was at a military disadvantage, Beiyang was, after all, the Central government, and Yuan Shikai was the President elected by the National Assembly. As long as Chen Ke was willing to nominally bow his head, Yuan Shikai would have the "Chen Ke card" to play against the Germans and the Southern provinces. For Chen Ke, once he nominally bowed his head, the relationship between the local and central government would be established. Any further action against Beiyang would carry the stigma of treason. Yuan Shikai was still willing to cooperate with Chen Ke under the condition of a clearly defined superior-subordinate relationship.

Of course, all of this depended on Chen Ke's willingness to go to Jinan, bow to Yuan Shikai, and acknowledge the central authority of Yuan Shikai.

"President, if we negotiate peace with Chen Ke now, the foreigners will turn their focus toward us. Should we wait a bit longer?" Xu Shichang finally couldn't help but voice his inner thoughts.

"Juren! Juren!" Hearing this, Yuan Shikai was truly angry. "When we were young, we all held the idea of performing great deeds for the country. I went to Korea, and you sat on a cold bench in the Hanlin Academy for ten years. Now Chen Ke dares to attack the Qingdao Fortress and the Germans. Even if we are useless and cannot defeat the foreigners, have we lost even the courage to pretend we dare to fight them, to pretend we aren't afraid of them?!"

Yuan Shikai's invitation was accepted by Chen Ke. Both knew that the current situation allowed for no delay. On July 17th, while it was raining, the leaders of China's two largest political forces sat in a pavilion by the Baotu Spring and began to chat.

"Wenqing, did your subordinates not advise you against coming here?" Yuan Shikai laughed.

"The comrades don't quite trust Beiyang, but I feel it's not yet time to have a falling out," Chen Ke also laughed.

"How so?" Yuan Shikai didn't dislike such practical talk at all.

"We in the People's Party oppose exploitation, but the current domestic political forces cannot understand this issue of class contradiction. Therefore, we are far from being irreconcilable. As for current interests, I still believe in the saying that 'taking a loss is an advantage,'" Chen Ke replied simply.

"Taking a loss is an advantage?" Yuan Shikai had never had such a discussion on personal conduct with Chen Ke. At his age, there was nothing he hadn't seen; he was long past the stage of being interested in human nature. However, regarding this strange junior, Yuan Shikai still wanted to ask, "How do you see this saying, Wenqing?"

"Most people only seek returns. If they work together, they want to get more and do less. Such people cannot bear to take even a small loss. But you, President, are not an ordinary person; you focus on getting things done. Once the task is accomplished, your interests can be maximized. Therefore, you are not afraid of taking a loss or being a scapegoat. I admire this greatly."

Yuan Shikai tried to keep a straight face, but the corners of his mouth couldn't help but twitch slightly. After a moment, since there were no outsiders around, Yuan Shikai suddenly burst into a loud laugh. After laughing for a while, he pointed at Chen Ke and praised, "Wenqing, what you said is extremely clever. Indeed, 'taking a loss is an advantage.'"

"Speaking like this with you, President, I'm not afraid of my meaning being misinterpreted. You are indeed a hero," Chen Ke also praised.

"No need for all that. Since you've come this time, Wenqing, are you prepared to take a loss or to take an advantage?"

"Lord Yuan, do you want to be Emperor?" Chen Ke asked bluntly.

Hearing this, Yuan Shikai's eyes couldn't help but widen. This sudden sentence struck directly at his vitals. Of course he wanted to be Emperor. After witnessing that unparalleled status and reverence, and already being only half a step away from it, he naturally hoped he could take that final step.

However, the biggest obstacle to Yuan Shikai's coronation was sitting right in front of him. If Yuan Shikai became Emperor, Chen Ke would absolutely not agree. The People's Party had started by opposing imperialism and had gone through untold hardships to overthrow the Qing. How could they accept a new Emperor?

"Does Wenqing wish to submit a petition for me to ascend the throne?" Yuan Shikai said jokingly.

"Such things are not for me to do. If you wish to become Emperor now, there would be plenty of people submitting petitions. Not only would Beiyang support you, but even the Southern provinces might as well."

"Then if I become Emperor, what will Wenqing do?" Yuan Shikai continued to ask.

"We'll see when the time comes. But as long as you do not become Emperor, I will absolutely support only you, Lord Yuan, as the President." Chen Ke stated his position.

Yuan Shikai understood clearly: Chen Ke did not support him being Emperor, but supported him being President. Although quite disappointed in his heart, Yuan Shikai laughed and said, "I've also read some history. All founding monarchs are under fifty when they ascend the throne. I am already old. If I had such ambitions in my youth, I no longer have the spirit to insist on fighting for that position of power. On the other hand, Wenqing, you are so young and have a boundless future."

"A boundless future? Right now, the whole world is waiting to see the People's Party's joke. At this time, you can see the situation clearly and dare to come forward and take on the responsibility for the world. That is true magnanimity. For this point alone, you deserve to sit in this position," Chen Ke replied frankly. He hadn't originally thought Yuan Shikai would have such courage, but reality and imagination were often quite different.

"Regarding dealing with the foreigners, what thoughts do you have, Wenqing?" Yuan Shikai turned the conversation to the main topic.

"My attack on the Germans this time seems to have shocked the world, but that's not quite the case. The shock to the foreigners is that China has the power to strike them and can win. This is merely a matter of 'face.' You can't have it both ways. If we in the People's Party think we are invincible from now on, that would be the path to self-destruction. We in the People's Party believe we cannot do that," Chen Ke answered very clearly.

Yuan Shikai felt much more relaxed. What he feared most was that Chen Ke would lose himself after this and act arbitrarily based on his power—that would be a completely uncontrollable situation. In this meeting, Yuan Shikai wanted to confirm Chen Ke's attitude.

"President, I know all too well what others think. For me personally, I don't believe at all that foreigners cannot make money in China through legitimate business. If foreigners invest in the industrial sectors we need, I would even welcome it. One reason the British haven't moved to help the Germans is that our war with Germany is just a war. We haven't made the British feel that we're going to flip the table. What the British care about is the fixed trade agreement we discussed before. On this point, I don't intend to look for trouble. We will negotiate as we should. In this matter, we still need you to step forward, President."

Yuan Shikai was drawn in by Chen Ke's words and couldn't help asking, "Then how do you plan to deal with Germany, Wenqing?"

"War is war, and legitimate business is legitimate business. These are two separate things..."

The two leaders talked from the 17th to the 19th. Afterward, Yuan Shikai returned to Beijing, and Chen Ke went to Qingdao to commend the troops.

As soon as Yuan Shikai returned to Beijing, the German Minister came knocking. Perhaps for psychological reasons, Yuan Shikai saw the German Minister's current posturing as complete bluffing.

"We are preparing to organize a coalition to crusade against the People's Party! I wonder which side you intend to stand on, President."

When the German Minister's words were translated, Yuan Shikai almost wanted to laugh. It wasn't even Germany's place to organize a coalition. Britain hadn't said a word yet; who did the Germans think they were scaring?

"Let me know when the coalition is actually organized. Right now, nothing is certain yet, so what's the rush?" Yuan Shikai laughed.

These words were essentially the same as "go back and sleep." After the translation, the German Minister's face turned beet red. He could use "insulting a diplomat" as a reason to announce military punishment against the People's Party, but that reason was completely inappropriate for Yuan Shikai. Moreover, countries like Britain and France were currently in a "wait and see" mood. Yuan Shikai's words struck the German Minister's vital point.

Steadying himself, the German Minister said sternly, "It seems President Yuan intends to support the People's Party?"

"I never support the People's Party, but as the President of China, I have an obligation to protect China's interests. That is my position. Your war with the People's Party is your own business; I have no wish to get involved in what is essentially a childish fight." Yuan Shikai gave a tough reply.

The German Minister was already under immense mental pressure. Hearing Yuan Shikai say this, he was so angry he almost spat fire. "In that case, when we attack Qingdao, we demand that the Chinese central government send troops to cooperate."

"What is the reason? Is there any legal basis?" Yuan Shikai asked.

"..." The German Minister had never been questioned like this in China. There was naturally no legal basis, and there were no such agreements in European custom. Unless the German Emperor planned to declare war on the whole of China, he indeed had no legal or other reason to force Yuan Shikai. However, by the time the German Emperor declared war on all of China, the Minister would have reached the end of his rope.

"Qingdao must be returned to our side! Since the Republic of China inherited the Qing government, it must accept this treaty." The German Minister brought up a more "reliable" legal basis.

"There's nothing in the treaty about our side having to send troops to help your side seize Qingdao, right?" Yuan Shikai countered.

"Qingdao is our German territory! It must never be lost." The Minister was also starting to buckle. Losing Germany's most important stronghold in the Far East under his watch was an unacceptable loss. The Minister actually hoped Yuan Shikai would commit some extremely rude diplomatic act, so he could demand war. Although his own fate wouldn't change, at least he could make things difficult for the Chinese.

"When did the 'Jiaozhou Bay Lease Treaty' ever say that Qingdao is your German territory? As a Minister, you are surprisingly ignorant. Go back and read the treaty carefully before coming back to talk." Yuan Shikai took the opportunity to bluntly see the guest out.

After "sending off" the German Minister, Yuan Shikai received a notification: "The British Minister has come to visit by invitation."