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The place of guanxi in the modern Chinese society and impact on management processes within China and also on international business relations with China

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  1. Definition and application of guanxi
    1. Definition
    2. Guanxi in modern Chinese society
    3. Comparison between guanxi and Western concepts
  2. The influence of guanxi on company functioning in China
    1. Impact on company performance
    2. Impact on decision processes, managerial implications
    3. Impact of guanxi on professional behaviour
  3. Guanxi and outside environment
    1. Guanxi and the government
    2. Guanxi and the process of globalization, guanxi versus globalization and market economy
    3. Guanxi and foreign business partners / investors

China is a unique country that places personal relationships above any other aspect of life. The guanxi is a famous relationship aspect of China, and with the recent interest from the whole world concerning China and its expansion, it is interesting to study the importance of this historical Chinese concept in this evolving context. In this study we are going to answer several important questions namely, the meaning of guanxi, and its influence on the modern Chinese society. How important is it for both Chinese and foreign businessmen to consider this concept in order to do business in China? What is the impact of guanxi on the functioning of a company? How does the concept of guanxi make the Chinese business context unique and different from Western applications? What is the future of the concept of guanxi? We will first give a complete definition of guanxi, which is both historical and can be applied to the modern Chinese society. The concept will also be compared with its Western counterpart. In the second part, the emphasis will be placed on the influence of guanxi on the functioning of a company. We will analyze its impact on company performance, managerial function and on global professional behavior in China. Finally, we will analyze the concept of guanxi applied to outside environments. The implication and relation of guanxi with the government, market economy and process of globalization as well as an application to foreigners will be studied.

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