Comparing traditional and modern Chinese culture

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Comparing traditional and modern Chinese culture

After the Cold War, emerging economies comprising of Brazil, Russia, India and China in particularly (BRIC) were rapidly economic growth and developed into dominant economic power of the world replacing the G6. G6 consisting of France, the United States, Japan, German, Italy and the United Kingdom were the economic leaders and drove the world economy after the mid-1980s. (Steinbock 2008, cited by Wilson and Purushothaman et al. 2003). In addition, China turns into an attractive country which has lowest labor cost for direct foreign investment and foreign companies to run business in china especially after China participated with the World Trade Organization (WTO) as Steinbock (2008: 48) claimed that “in 2007, China maintained its position as one of the world’s top destinations for foreign direct investment (FDI), with China’s overall FDI inflows totaling US$ 82.7 bn”. Besides, foreign-invested enterprises (FIE), which have a highly effect on China economy, controlled around 27 percent of value-added production and over 58 percent of foreign trade (Steinbock 2008, cited by USCBC 2007). At the end of 2007, the amount of Chinese outbound investment was approximately US$ 18.7 billions while the overall accumulative Chinese foreign investment in non-financial sector was US$ 93.7 billions (Steinbock 2008). For these reasons, many western investors are more interest and eager to learn Chinese culture because it is more deeply influence for Chinese business style and also has had a vital affect on management and corporation in China over the past few decades (Steinbock 2008, cited by Warner and Joynt 2002) therefore Chinese culture is a crucial basis for doing business success in China. Nonetheless, many traditional Chinese cultures are changed after Cultural Revolution in particularly which also greatly impacts on Chinese business styles nowadays.

There are several aspects in term of traditional and modern Chinese cultures, however, this assignment will compare only the most important Chinese cultures, Guanxi and Face and Confucius, which highly concerned in all Chinese lives and Chinese business style.

Guanxi and Face

Guanxi is a Chinese word which Guan means a door, or “to close up” with those who are inside a group, and Xi can be interpreted to mean a joined chain. Thus, together, guanxi can be translated as relationships and connections. In all the Chinese dominated societies in Asia, people use the word guanxi to speak of someone who knows lots of people, who is well connected, and gets things done, not necessarily through formal channels (Ai J, 2006). Fox (2008) also stated that guanxi involves aspects of face, reciprocity, obligation and hierarchy. Therefore guanxi is informal interconnected which also critically important in understanding Chinese business practices, especially with people over age 35 (Fox S, 2008).

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Face is far more important in many Asian countries than Western. Face is concerned with dignity, honor and a deep sense of pride. Making someone to lose face, cause to severe destroy a relationship even if the unintentionally offense. The impacts on the loss of face in most Asian societies not only have an effect on individual but also his or her family, community or even nation that means if someone of a group loses face, the total group loses face. The concept of face is also visible in the Olympic Game in Beijing which an event strongly relates ...

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