Negative externalities of close guanxi within organizations

Chen, Chao-Chuan; Chen, Xiao Ping

doi:10.1007/s10490-007-9079-7

Cited by 104 publications

(96 citation statements)

References 61 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…On the other hand, there are those who differentiate ganqing based-guanxi, from the kind of 'instrumental' urban-based guanxi practice used in modern organisations as a means of evading formal procedures and as potentially damaging to both the organisation and to society at large (Chen and Chen 2009;Dunfee and Warren 2001;Nolan 2013). This body of research argues that guanxi and guanxi practice are largely products of local Chinese institutions, rather than a fixed, immutable cultural characteristic, and are, therefore, subject to change as those institutions modernize (Gold, Guthrie and Wank 2002;Hansen and Svarverud, 2010;Lin and Ho 2009).…”

Section: Literature Reviewmentioning

confidence: 99%

Performance appraisal in Western and local banks in China: the influence of firm ownership on the perceived importance ofguanxi

Nolan

2015

The International Journal of Human Resource Management

View full text Add to dashboard Cite

The Chinese cultural factor guanxi has an important influence on the implementation and effectiveness of HRM practices in China (Chen and Chen 2013;Nolan 2011;Rowley and Benson, 2002;Warner 2014). However few studies have investigated how guanxi influences performance appraisal in organizations with different ownership structures. We investigated this issue by studying three banks operating in mainland China: a state-owned commercial bank, a foreign owned bank and a city commercial bank. Both quantitative data (survey of 308 employees) and qualitative data (22 in-depth interviews) was used. Macro-level convergence and micro-level divergence was found among the banks. The reform of the performance appraisal system in the state-owned commercial bank indicated a degree of convergence in the appraisal system towards a form commonly found in western banks, at least on the surface. However there were differences in implementation level in the three banks. The perceived influence of guanxi on performance appraisal was strongest in the state-owned bank and weakest in the western-owned bank. The reasons for this included generational differences in cultural values, the international experience of employees and managers, and the degree of alignment between senior managers and others over the purpose of appraisal.

show abstract

Section: Literature Reviewmentioning

confidence: 99%

Performance appraisal in Western and local banks in China: the influence of firm ownership on the perceived importance ofguanxi

Nolan

2015

The International Journal of Human Resource Management

View full text Add to dashboard Cite

show abstract

“…Guanxi has also been criticized because of ethical problems (Chen & Chen, 2009). There are negative effects of the close social relations that are peculiar to it, because these close personal connections and their negative externalities spread to the organizations.…”

Section: Guanxi: An Eastern Approach To Social Networkmentioning

confidence: 99%

Guanxi and social capital: Networking among women managers in China and Finland

Huang

Aaltio

2014

International Journal of Intercultural Relations

View full text Add to dashboard Cite

“…Recalling to the Chinese trust crisis in the introduction, adopting transformational leadership as an initiator of trust in Chinese context is a valid solution for several reasons: first, one of the key characteristics of Chinese culture is the fundamental social and relational orientation (Chen & Chen, 2009;Chen & Chen, 2004;Chen & Tjosvold, 2007;Peng & Luo, 2000;Yang, 1993). Law, Wang, and Hui (2010) argued that the relationship-oriented tradition of Chinese society made interpersonal interaction and social exchange highly critical in the Chinese workplace.…”

Section: The Discretionary Behavior Of Transformational Leadershipmentioning

confidence: 99%

The distinctive effects of dual-level leadership behaviors on employees’ trust in leadership: An empirical study from China

Bai

2012

Asia Pac J Manag

View full text Add to dashboard Cite

The loss of trust within and between organizations has become serious worldwide, especially in China. In this study, we seek to explain why as well as how leaders at two different levels (i.e., the top management and the supervisory levels) affect employees' trust in leadership at the two levels distinctively, especially in the context of China as an emerging economy. Adopting the perspective of multi-level social exchanges within organizations, we develop a dual-level model with perceived organizational support and leader-member exchange as two major mediating mechanisms for the distinctive effects of transformational leadership behaviors on employees' trust in leadership at both top management and supervisory levels, respectively. The empirical evidence based on a sample of 357 Chinese employees and their supervisors supports the proposed model. Both theoretical and practical implications of our findings are discussed.

show abstract

Negative externalities of close guanxi within organizations

Abstract: Guanxi, Favor exchanges, Negative externality, Individualism relationalism and collectivism, Organizational social capital, Universalism–particularism, Social dilemma,

Cited by 104 publications

References 61 publications

Performance appraisal in Western and local banks in China: the influence of firm ownership on the perceived importance ofguanxi

Performance appraisal in Western and local banks in China: the influence of firm ownership on the perceived importance ofguanxi

Guanxi and social capital: Networking among women managers in China and Finland

The distinctive effects of dual-level leadership behaviors on employees’ trust in leadership: An empirical study from China

Contact Info

Product

Resources

About