Saturday, October 17, 2009

"guanxi"

I am very interesting when I saw the word "guanxi" in the BA510 textbook Chapter13 on page 533. In the textbook, "guanxi" means," In China, a person's network of personal and business connections".
As the economic development, "guanxi" is more and more popular. It is very important between the employer and employee during the business. The positive "guanxi" will motivates people communicate each other, establishes a strong networking relationship, overcoming the competitive disadvantages, acquiring power and reduce the cost, and so on. Also the most important thing is positive "guanxi" reinforce the organizational citizenship behavior especially for the small business. Sometimes a positive "guanxi" may decides whether success or not for a small business. But it also brings some negative impacts. For example, "guanxi" may encourage unfair. Many employees' "guanxi" with their boss is closely relative to their pay and position. Some managers make unfair decision because of the "guanxi" with some interest person.
Right now in China, we encourage GREEN "guanxi' which means good for the relationship between employers and employees. It will beneficial to the company's operation and development.

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