Guanxi, Networks and Economic Development: The Impact of Cultural Connections
01 Jan 2013-
TL;DR: In this article, the authors explore the mechanics of guanxi in an organizational setting, focusing on the use of interpersonal relationships within Chinese firms to discover how firms initiate, build and use Guanxi networks.
Abstract: The purpose of this study is to explore the mechanics of guanxi in an organizational setting, focusing on the use of interpersonal relationships within Chinese firms to discover how firms initiate, build and use guanxi networks. Two richly detailed case studies document changes that take place over time in two distinct networks with respect to key actors and their contacts. This research also investigates patterns of social structure that emerge over time in these two distinct cases looking at brokerage relationships, network density, and dyadic redundancy in three waves at six month intervals. The cases are dissimilar in all aspects except absolute size demonstrating the universal use of guanxi across time, geographic location, specific industries, and firm experience. Dynamic network visualization is used to highlight the sequence and rate of activity in each network to identify salient changes. The findings show that firms seek to improve their organizational guanxi by improving existing employees’ guanxi quality within the firm and by recruiting new actors from outside the firm. Additionally, firms use organizational guanxi to expand their networks by forming cooperative partnerships with complementary organizations that enhance the attributes or potential of both organizations. And finally, firms initially exploit brokerage in organizational guanxi, then attempt to stabilize the network by fostering new ties to exclusive contacts.
Citations
More filters
TL;DR: The authors explored the history of early-modern and modern China, from the seventeenth century to the present, examining the rise and fall of China's last empire, the emergence of a modern nation-state, the sources and development of revolution, and the implications of complex social, political, cultural, and economic transformations in the People's Republic of China.
Abstract: This course explores the history of early-modern and modern China, from the seventeenth century to the present. We will examine the rise and fall of China’s last empire, the emergence of a modern nation-state, the sources and development of revolution, and the implications of complex social, political, cultural, and economic transformations in the People’s Republic of China. Course materials include scholarly monographs, a memoir, primary sources, and visual and material artifacts that offer diverse perspectives. We will meet twice a week for a combination of lectures, discussion, and viewing of visual texts.
339 citations
Book•
01 Jan 1982
TL;DR: This paper analyzed Chinese commercial negotiating practices for two reasons: the first is to minimize future misunderstandings in such activities, and the second is to provide guidance for government-to-government negotiations.
Abstract: Abstract : This study analyzes Chinese commercial negotiating practices for two reasons. The first is to minimize future misunderstandings in such activities, and the second is to provide guidance for government-to-government negotiations. The research procedure used involved interviews with American businessmen and bankers with extensive experience in the China trade, and--in order to control for American cultural factors--interviews with comparable Japanese bankers and businessmen. What was learned from the experiences of businessmen is to value in government-to-government negotiations, even though there are substantial differences between commercial and diplomatic relationships. At present both Beijing and Washington seek a more cooperative and complementary relationship. (Author)
213 citations
TL;DR: The rational choice approach to social behaviour rationality, egoism and social atomism models of the actor rationality, action and deliberation individualism, and social structure was proposed in this article.
Abstract: The rational choice approach to social behaviour rationality, egoism and social atomism models of the actor rationality, action and deliberation individualism and social structure.
154 citations
TL;DR: A comprehensive critical examination of China's folk architectural forms is presented in this article, where the authors provide a study of the environmental, historical and social factors that influence housing forms for nearly a quarter of the world's population.
Abstract: A comprehensive critical examination of China's folk architectural forms. Together with its companion volume, \"China's Living Houses: Folk Beliefs, Symbols, and Household Ornamentation\", it provides a study of the environmental, historical and social factors that influence housing forms for nearly a quarter of the world's population. Both books draw on the author's 30 years of fieldwork and travel in China, as well as on published and unpublished material in many languages. The work begins by tracing the interest in Chinese vernacular buildings in the 20th century. Early chapters detail common and distinctive spatial components, including the interior and exterior modular spaces that are axiomatic components of most Chinese dwellings as well as conventional structural components and building materials that are common in Chinese construction. Later chapters examine representative housing types in the three broad cultural realms - northern, southern and western - into which China has been divided. Knapp completes his survey with an exploration of China's old dwellings in the context of the rapid economic and social changes that are destroying so many of them.
50 citations
References
More filters
TL;DR: This article explored the role of favor exchange practices (Chinese guanxi and Russian blat) on investment and entrepreneurship, and found that without a way to build trust or extend networks, Russians retreated into defensive involution, and engaged in predatory behavior against those outside their small circles of friends.
Abstract: This paper explores the role of favor exchange practices—Chinese guanxi and Russian blat —on investment and entrepreneurship. In both societies policies which supported marketization were undermined by actual institutions, including an insufficient legal structure for enforcing contracts. But cultural resources armed Chinese and Russians differently to react to these circumstances. Guanxi practice allowed people to create networks, to build trust, and to reach out. It was a tool which could be used to build enough trust to allow business transactions to succeed—capitalism without contracts. In contrast, Russian blat devolved into corruption, and faded in importance for ordinary citizens. Without a way to build trust or extend networks, Russians retreated into defensive involution, and engaged in predatory behavior against those outside their small circles of friends. Instead of capitalism without contracts, Russia suffered the depredations of capitalists without capitalism.
80 citations
TL;DR: The individual- or object-oriented modelling approach to model social networks is introduced and a first simple model of the arising of friendship networks is presented, based solely on individuals' different needs for social contact, but can easily be extended.
78 citations
TL;DR: An operational definition of Guanxi behavior was developed, and several personality and social psychological variables were tested for their relationship with the Guanxi behaviors (in relation to family, friends, and doing favors) developed from the definition.
78 citations
TL;DR: In this paper, the authors discuss corruption and selective policy implementation as general phenomena, related to the configurations of political power and the behavior of key actors in a specific rural county, Benghai County of Anhui Province.
Abstract: The article discusses corruption and selective policy implementation as general phenomena, related to the configurations of political power and the behavior of key actors in a specific rural county, Benghai County of Anhui Province. The County government only takes up initiatives in which three conditions are met, which are highlighted.
77 citations
TL;DR: Wang et al. as discussed by the authors argue that Guanxi in the immediate neighbourhood is an important indicator of the social vulnerability of individuals in urban China and they accordingly hypothesize that residents who have strong neighbourhood guanxi are less likely to be fearful of crime.
Abstract: Western research has investigated individual correlates of fear of crime with a primary focus on people's vulnerability. This vulnerability model examines the possible effects on fear of indicators of people's physical vulnerability (e.g. age and gender) and social vulnerability (e.g. income and education). As is well documented in the research on China, guanxi is a unique aspect of social capital in Chinese society. The present study argues that guanxi in the immediate neighbourhood is an important indicator of the social vulnerability of individuals in urban China. We accordingly hypothesize that residents who have strong neighbourhood guanxi are less likely to be fearful of crime. This hypothesis is assessed with data collected from a recent survey in the city of Tianjin, China. The results of multilevel analysis show that guanxi in the neighbourhood is a significant predictor of fear of crime in contemporary urban China when other important factors are controlled.
77 citations
"Guanxi, Networks and Economic Devel..." refers background in this paper
...Guanxi may be used to promote personal goals with both positive and negative effects ranging from transactional efficiency, open informational flows, and the acquisition of business licenses, to expropriation, graft, bribery, violent crime, and collateral damage to society as a whole (Gold 1985; Davies et al. 1995; Fock and Woo 1998; Lovett, Simmons and Kali 1999; Leung and Wong 2001; Fan 2002a; Cheung et al. 2005; Provis 2008; Zhang et al. 2009; Li 2011)....
[...]
...…of business licenses, to expropriation, graft, bribery, violent crime, and collateral damage to society as a whole (Gold 1985; Davies et al. 1995; Fock and Woo 1998; Lovett, Simmons and Kali 1999; Leung and Wong 2001; Fan 2002a; Cheung et al. 2005; Provis 2008; Zhang et al. 2009; Li 2011)....
[...]