Global Strategy 3rd Edition by Mike Peng

Exercise 8

Some argue that guanxi (relationships and connections) is a unique Chinese-only phenomenon embedded in the Chinese culture. As evidence, they point out that the word guanxi has now entered the English language and is often used in mainstream media (such as the Wall Street Journal) without explanations provided in brackets. Others disagree, arguing that every culture has a word or two describing what the Chinese call guanxi, such as blat in Russia, guan he in Vietnam, and "old boys' network" in the English-speaking world. They suggest that the intensive use of guanxi in China (and elsewhere) is a reflection of the lack of formal institutional frameworks. Write a short paper to explain which side of the debate you would join and why.