China is both the same and different !

There are some subtle differences between Chinese and Western culture that need to be understood to be successful. They are part of the fun and challenges of working in China.

Personal relationships and trust in business are very important to the Chinese. Quanxi (pronounced gwan-shee) is developed both during the working day by adding value and delivering on commitments but also through social interaction over the dinner table. It is completely taboo to discuss business during a meal. In the West, the customer with biggest spend has the most say. In China, the person with the best relationships has the most clout. In China, even though you may be a company’s biggest customer your contract may be side-lined in preference to another because someone is else is better connected. Quanxi cannot be bought – only earned over many years. Once a level of Quanxi exists between two individuals they will do absolutely anything to maintain it (even to the detriment of the business).

Personal status or “face” is fundamental to the Chinese culture. It is important to Chinese people that they are respected by their peers and are seen to be doing well. Openly criticising an individual, a company or a nation causes loss of face and will severely damage business opportunities.

The Chinese culture is one of the most friendliest in the World. Someone who you have only had the briefest acquaintance with will do everything possible to help you on a personal level and make you feel welcome. However, the Chinese are very skilled but ruthless in business – using tricks that some would describe as devious. Tricks that are used range from simply getting you drunk the night before a key meeting, dragging out negotiations when your return flight is due so that you have to either concede or go home empty handed, out-numbering you twelve to one in negotiations, reaching agreement only to have it vetoed by a department that you haven’t met before to blackmail resulting from a night in a karaoke bar.

The links on the left give an insight on Chinese business practices.