Skip to main content

Conceptualization of Guanxi

  • Chapter
  • First Online:
Book cover Guanxi in the Western Context

Abstract

This chapter discusses the origin and fundamental role of guanxi in China through its conceptual development based on previous studies, addresses the important role that guanxi plays in the Chinese socioeconomic system, elaborates the notion of “Five Classified Relationships” (FCR) (Wulun) of Confucian ethics, differential mode of association (chaxugeju) theory and key terms in guanxi study. These ideas illustrate the fundamental role of guanxi as the “invisible hand” shaping the Chinese culture and society.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 54.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  • Barbalet, J. (2017). Guanxi as social exchange: Emotions, power and corruption. Sociology, 1–16.

    Google Scholar 

  • Barney, J. B. (1985). Dimensions of informal social network structure: Toward a contingency theory of informal relations in organisations. Social Networks, 7(1), 1–46.

    Article  Google Scholar 

  • Bian, Y. (1997). Bringing strong ties back in: Indirect ties, network bridges, and job searches in China. American Sociological Review, 62(3), 366–385.

    Article  Google Scholar 

  • Blau, P. M. (1964). Exchange and power in social life. New York, NY: Academic.

    Google Scholar 

  • Burt, R. S. (2000). The network structure of social capital. Research in Organisational Behavior, 22, 345–423.

    Article  Google Scholar 

  • Burt, R. S., & Burzynska, K. (2017). Chinese entrepreneurs, social networks, and guanxi. Guthrie, Management and Organisation Review, 13(2), 221–260.

    Article  Google Scholar 

  • Chen, C. C., Chen, X.-P., & Huang, S. (2013). Chinese guanxi: An integrative review and new directions for future research [中国人的关系: 综合文献回顾及未来研究方向’]. Management and Organisation Review, 9(1), 167–207.

    Google Scholar 

  • Chen, Y., Friedman, R., Yu, E., Fang, W., & Lu, X. (2009). Supervisor-subordinate guanxi: Developing a three-dimensional model and scale. Management and Organization Review, 5(3), 375–399.

    Article  Google Scholar 

  • Child, J. (2009). Context, comparison, and methodology in Chinese management research. Management and Organisation Review, 5(1), 57–74.

    Article  Google Scholar 

  • Chua, R. Y. J., Morris, M. W., & Ingram, P. (2009). Guanxi vs networking: Distinctive configurations of affect- and cognition-based trust in the networks of Chinese vs American managers. Journal of International Business Studies, 40(3), 490–508.

    Article  Google Scholar 

  • Cropanzano, R., & Mitchell, M. S. (2005). Social exchange theory: An interdisciplinary review. Journal of Management, 31(6), 874–900.

    Article  Google Scholar 

  • Davies, H., Leung, T. K. P., Luk, S. T. K., & Wong, Y. (1995). The benefit of guanxi: The value of relationships in developing the China market. Industrial Marketing Management, 214(24), 207–214.

    Article  Google Scholar 

  • Dunfee, T. W., & Warren, D. E. (2001). Is guanxi ethical? A normative analysis of doing business in China. Journal of Business Ethics, 32(3), 191–204.

    Article  Google Scholar 

  • Dunning, J. H., & Kim, C. (2007). The cultural roots of guanxi: An exploratory study. World Economy, 30, 329–341.

    Article  Google Scholar 

  • Fan, Y. (2002). Questioning guanxi: Definition, classification and implications. International Business Review, 11, 543–561.

    Article  Google Scholar 

  • Faure, G. O., & Fang, T. (2008). Changing Chinese values: Keeping up with paradoxes. International Business Review, 17(2), 194–207.

    Article  Google Scholar 

  • Fei, X. (1992). From the soil: The foundations of Chinese society (G. G. Hamilton & Z. Wang, Trans.). Berkeley: University of California Press.

    Google Scholar 

  • Granovetter, M. S. (1995). Afterword: Reconsiderations and a new agenda. In Getting a job: A study of contacts and careers (2nd ed., pp. 139–182). Chicago, IL: University of Chicago Press.

    Google Scholar 

  • Hofstede, G. (2001). Culture’s consequences (2nd ed.). London, UK: Sage.

    Google Scholar 

  • Hung, C. F. (2004). Cultural influence on relationship cultivation strategies: Multinational companies in China. Journal of Communication Management, 8(3), 264–281.

    Article  Google Scholar 

  • Ku, H. M. (2012). The conduct of life—The doctrine of the mean. Forgotten Books. www.forgottenbooks.org.

  • Lawler, E. J., & Thye, S. R. (1999). Bringing emotions into social exchange theory. Annual Review of Sociology, 25, 217–244.

    Article  Google Scholar 

  • Lin, N. (2001). Social capital. Cambridge: Cambridge University Press.

    Book  Google Scholar 

  • Liu, P. (2016, September). A framework for understanding Chinese leadership: A cultural approach. International Journal of Leadership in Education, 3124, 1–13.

    Google Scholar 

  • Lovett, S., Simmons, L. C., & Kali, R. (1999). Guanxi versus the market: Ethics and efficiency. Journal of International Business Studies, 30, 231–247.

    Article  Google Scholar 

  • Luo, Y., & Chen, M. (1997). Does guanxi influence firm performance? Asia Pacific Journal of Management, 14, 1–16.

    Article  Google Scholar 

  • Mao, Y., Peng, K. Z., & Wong, C. S. (2012). Indigenous research on Asia: In search of the emic components of guanxi. Asia Pacific Journal of Management, 29(4), 1143–1168.

    Article  Google Scholar 

  • McNally, C. A. (2011). China’s changing guanxi capitalism: Private entrepreneurs between Leninist control and relentless accumulation. Berkeley, CA: Berkeley Electronic Press.

    Google Scholar 

  • Moreira, A. A., Paula, D. R., Costa Filho, R. N., & Andrade, J. S. (2006). Competitive cluster growth in complex networks. Physical Review E, 73(6), 065101.

    Google Scholar 

  • Nagler, J., Levina, A., & Timme, M. (2011). Impact of single links in competitive percolation. Nature Physics, 7, 265–270.

    Article  Google Scholar 

  • Styles, C., & Ambler, T. (2003). The coexistence of transaction and relational marketing: Insights from the Chinese business context. Industrial Marketing Management, 32, 633–642.

    Article  Google Scholar 

  • Sun, J., & Lancaster, S. (2013). Chinese globalisation: A profile of people-based global connections in China. London and New York: Routledge.

    Google Scholar 

  • Tong, C. K. (2014). Chinese business: Rethinking guanxi and trust in Chinese business networks. London and New York: Springer.

    Book  Google Scholar 

  • Tsang, Eric W. K. (1998). Can guanxi be a source of sustained competitive advantage for doing business in China? Academy of Management Perspectives, 12(2).

    Article  Google Scholar 

  • Vanhonacker, W. R. (2004). Guanxi networks in China. China Business Review, 3(3), 48–53.

    Google Scholar 

  • Wang, B. X., & Rowley, C. (2016). Business networks and the emergence of guanxi capitalism in China: The role of the ‘invisible hand’. In J. Nolan, C. Rowley, & M. Warner (Eds.), Business networks in East Asian capitalisms (pp. 93–118). London: Elsevier.

    Google Scholar 

  • Wang, J. (2012, July 1–10). Collective consultation and labor’s collective rights in China. ILERA 16th World Congress.

    Google Scholar 

  • Wellman, B., Chen, W., & Dong, W. (2001). Networking guanxi. In T. Gold, D. Guthrie, & D. Wank (Eds.), Social networks in China: Institutions, culture, and the changing nature of guanxi (pp. 221–241). Cambridge: Cambridge University Press.

    Google Scholar 

  • Xin, K., & Pearce, J. L. (1996). Guanxi: Connections as substitutes for formal institutional support. Academy of Management Journal, 39(6), 1641–1658.

    Google Scholar 

  • Yang, C. F. (1988). Familism and development: An examination of the role of family in contemporary China Mainland, Hong Kong, and Taiwan. In D. Sinha & H. S. R. Kao (Eds.), Social values and development: Asian perspectives (pp. 93–123). Delhi: Sage.

    Google Scholar 

  • Yeung, I. Y. M., & Tung, R. L. (1996). Achieving business success in Confucian societies: The importance of guanxi (connections). Organisational Dynamics, 25(2), 54–65.

    Article  Google Scholar 

  • Zhou, H., & Long, L. (2005). A review of paternalistic leadership research. Advances in Psychological Sciences, 13, 227–238.

    Google Scholar 

  • Zhou, L., Wu, W., & Luo, X. (2007). Internationalization and the performance of born-global SMEs. Journal of International Business Studies, 38, 673–690.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Barbara Xiaoyu Wang .

Rights and permissions

Reprints and permissions

Copyright information

© 2019 The Author(s)

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Wang, B.X. (2019). Conceptualization of Guanxi. In: Guanxi in the Western Context. Palgrave Pivot, Cham. https://doi.org/10.1007/978-3-030-24001-1_2

Download citation

Publish with us

Policies and ethics