I didn't like it, honestly.
I don't expect the show to have Shakespearean levels of writing, but when it comes off as being nothing more than nationalistic, then it's going to irk me.
Communism, at its core, is a good thing. It's just easy to take advantage of and create a situation like the one that was seen in that village. If they had portrayed the villagers as being more than miserable, mindless followers and actually seemed devoted to the cause, and it was Starlight Glimmer just taking advantage of the otherwise good idealism she created, then it wouldn't bother me so much. It wasn't really an accurate representation of a political ideology, and its one that westerners are generally opposed to at that. I see this and I feel like it's trying to force feed right and wrong, and the fact that it did so without any sense of subtlety really annoyed me.
I hear many claim that it wasn't going for that. Even if it wasn't, all I could think of when I watched it was Communism vs. Capitalism. You need to be careful with what you're getting across to the viewer, as things like this can end up looking like something entirely different. I couldn't get those representations out of my mind, especially when they referenced it taking place in the eastern part of Equestria. If you're going to do a thing with a political message, please be subtle about it and don't portray one as inherently right and one as inherently wrong, unless it actually is inherently wrong, like fascism or so.
So basically, If they weren't doing Communism vs. Capitalism, then they really fooled me quite well and I'll still hold it against this episode due to the clumsy and misleading execution of what they were going for, but it won't hurt my opinion of the episode as much.
I'm seeing praise for it everywhere I look, but I found it to be kind of annoying with how it felt like it was going up on a soapbox to preach a political message. Maybe it's just because I like the show for being lighthearted and fun instead of one that uses metaphors to portray a political message, though.
Of course, that's not to say its without its positives. I really thought the villain, Starlight Glimmer, was quite effective, for one. I also really liked it when she interrupted Twilight's little soapbox schpiel about friendship xP That was amusing.
I also really liked the conflict it presented Fluttershy with - it was either cause innocent people to suffer or put her friends plan into ruination. I liked that moral dilemma quite a bit. Found it rather gripping, honestly.
Lastly, the chase scene at the end was very exciting and I liked how it didn't fall back on Twilight, or even the mane 6 for that matter, to save the day, but instead it allowed the people Starlight Glimmer had made suffer the longest exact vengeance. Really liked that aspect of the episode.
All in all, I'd give it a 6/10 at best and a 3.5 or 4/10 at worst. Probably the same tier as the Crystal Empire, above the Pilot, and below Princess Twilight Sparkle and Return of Harmony. I need to let it sink in a bit more before providing a review that accurately portrays my feelings towards the episode, honestly.