The 19th National Congress of the Communist Party of China proposed a strategy for rural revitalization and made a scientific deployment. In this context, how to pursue the development of rural collective economy is of great significance. The analysis on the status of the development of rural collective economy in Shandong Province showed that decentralized small farmers have a wide range of wealth, poor income-generating capacity, and weak income growth. The development models of rural collective economy in Shandong mainly included the follows: property leasing to explore the way to make money on the spot; relying on resources to build advantageous industries; creating a livable living environment led by capable persons; cooperative management to sound agricultural production and management system; and reform of property rights system to develop the collective economy. In addition, it also found that the rural collective economy in Shandong Province had weak economic foundations, uneven development, financing difficulties, debt resolution difficulties, lack of scientific support policies, and limited innovation and development of leadership team. In response to these problems, countermeasures and suggestions were put forward in this article.