Abstract: Under the socalled “deinvolution” with the young leaving， and the elderly and women left behind in the countryside，how can Chinese rural sector make its structural transition and achieve a large scale agricultural production service? This is the issue to be discussed in this paper. The conventional understanding of large scale production is about land concentration and scale management through Ag business，or family farms，or agricultural cooperatives. In our view，given the reality of the unfavorable Chinese land and people ratio，any attempt to eliminate householdbased small scale farming is bound to fail. The study suggests that our thinking should be switched from “Scale Management” to “Scale Service”. Today’s agricultural production is no longer a “Pole like Straight Way” model. Different stages and processes of production have their own uniqueness and functions. With the advancement of Ag technology and the marketization of production factors， agricultural service has to catch up in scale. However， this does not have to be on the premise of land concentration and elimination of household farming. On the contrary，it can be done through local social networks. Local social networks can significantly reduce organizational costs of large scale service without changing the current householdbased small farming community structure.It will bring about a new system of “Agricultural Business Management” that can improve production efficiency while at the same time protect small farmers’ livelihood. Such a model is a combination of tradition and market. It should play an important role in the rural reconstruction and urbanization in the central and western regions of China.

Key words: scale agriculture , local social network,  agricultural economic transition , scale service of agriculture , “Deinvolution&rdquo