StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Guanxi and corruption in China - Essay Example

Comments (0) Cite this document
Summary
In China, individuals rely on Guanxi, networks, to obtain jobs and to get other things done. Cultivating a network is central to Chinese society and politics. Guanxi works on the principle…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER95.4% of users find it useful
Guanxi and corruption in China
Read Text Preview

Extract of sample "Guanxi and corruption in China"

of Affiliation Guanxi and corruption in China Guanxi is a Chinese word that describes personalized networks of influence and exchange. In China, individuals rely on Guanxi, networks, to obtain jobs and to get other things done. Cultivating a network is central to Chinese society and politics. Guanxi works on the principle of reciprocity. Loosely translated, reciprocity means you scratch my back and Ill scratch yours. Many have argued that the culture of Guanxi explains why China is beset with severe problems of corruption. Chinas current president, Xi Jinping has made fighting corruption a top priority of the Chinese state and communist party. In this short essay, I will start out by outlining problems of corruption in contemporary China. Then, I will explore to what extent Guanxi may contribute to what many perceive as a crisis of rampant corruption in the country.
China has in the recent past been an object of scathing criticisms from both the local and international players over its apparent tolerance to corruption. Gong (2011) portrays the perception of China by Westerners who associate business culture in China with Guanxi. Regardless of the favour or job one wants in China, all that matters most is the ability to give gifts or bribery. Guanxi illustrates the complex form of corruption where relationship with bigwigs and those in powers motivate most of the decisions. In addition to enhancing business prospects for the corrupt in China, Guanxi has further led to the formations of monopolies pegged on capitalistic endeavours. This practise in fact threatened the survival of China as communist country. To further illustrate the problem of corruption in China, a survey one conducted on 100 people who were prosecuted for bribe-giving. The result indicated that 94.2% of them asserted that “they would “warm up the relationship” first before they would bribe with money” (Ling Li 7). Corruption through Guanxi has harmed Chinese image on both the local and international spheres. Illegal businesses that fail to adhere to human rights have been allowed to operate without legal charges. Also, the level of property rights violations and manufacture of counterfeit products without concomitant legal actions has left many questioning the willingness of China to fight corruption (Zhang).
The Chinese judicial system is one of the areas significantly affected by cases corruption. “Guanxi” is evidently a factor into a judicial or arbitral decision. However, worth noting is the fact that this corruption does not necessarily assume the traditional form of bribe, payment, or “gift” exchanged. Instead, decisions are reached or considerably influenced by personal networks rather than the facts or law (Lewis 6). The success of lawyers in China may not directly relate to their acumen but to the fostered relationship with various public officials, judges and administrative personnel across China (Lewis 6). Linda Yueh (2013) writing for the BBC News observes that people in China are generally reluctant to go to court due to lack of independence in the judiciary. She further notes that building such a relationship does not only involve time, but also gifts and banqueting. Both local and multinational companies are capitalizing on Guanxi to establish, consolidate, and protect their business empires. For example, in the scrutiny of entertainment and travel costs (ETC) section of a firm’s balance sheet, World Bank economist Colin XU and his colleagues discovered that ETC in Chinese firm reflect “grease money” “to obtain better governmental services as well as what they term as "normal business expenditure" to build relationships with suppliers and distributors” (Yueh).
In summary, I have learned two key things about corruption and Guanxi in contemporary China. First, the war against corruption is in China is difficult due to the complexity of relationships created through Guanxi. The judicial system is by itself very corrupt leaving many people disillusioned with the Chinese justice system. Secondly, corruption is deeply seated in the Chinese economy and does not only take the traditional forms of bribery. There are cartels which have established a relationship linkage aimed at protecting the interests of individuals or members of the cartel. Therefore, the war on corruption must be fought by first identifying the established Guanxi and, secondly, undertaking judicial reforms that would ensure real justice.
Works Cited
Ling Li. Performing Bribery in China: guanxi practice, corruption with a human face. Journal of Contemporary China (2011), 20(68), January, 1–20
Gong, Emily. To corrupt or not to corrupt? The paradox of guanxi. 2011. Retrieved from: http://www.nyuzaishanghai.org/jobs-internships/to-corrupt-or-not-to-corrupt-the-paradox-guanxi/
Lewis, Randall. Clarity on Guanxi, Cultural and Media Issues in China. ASIAN BRIEFINGS March 2013
Yueh, Linda (2013). Chinas corruption drive. BBC News. 1 August 2013 last updated at 17:14 ET
Zhang, Lijia. In China, everyone is guilty of corruption By, Special for CNN updated 11:01 PM EDT, Wed October 23, 2013 Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Guanxi and corruption in China Essay Example | Topics and Well Written Essays - 500 words”, n.d.)
Retrieved from https://studentshare.org/social-science/1687718-guanxi-and-corruption-in-china
(Guanxi and Corruption in China Essay Example | Topics and Well Written Essays - 500 Words)
https://studentshare.org/social-science/1687718-guanxi-and-corruption-in-china.
“Guanxi and Corruption in China Essay Example | Topics and Well Written Essays - 500 Words”, n.d. https://studentshare.org/social-science/1687718-guanxi-and-corruption-in-china.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Guanxi and corruption in China

Guanxi and Ethical Judgement

..., position within the society as well as extension of resources. Research shows that improper use or misuse of the practice of guanxi might prove to be harmful for the organization since the organizational members may get involved in wrong and unethical practices like corruption or partiality, discrimination that are not acceptable within the society or the organizational management (Ho & Redfern, 2010, p.208). There are two elements that determine a network of guanxi that businessmen or business organizations in China intend to form to practice in their business. They include links in the form of contacts and connections with friends or other acquaintances having associations with Chinese business organizations. Further research...
9 Pages (2250 words) Research Paper

Corruption in China

...? Corruption in China The Peoples’ Republic of China was ranked position 80th out of 176 countries in the corruption list by the transparency international in 2012. This ranking placed one of the world’s biggest economies in the same position as three other countries; Serbia, Tobago and Trinidad. By the latest ranking, The Peoples’ Republic of China ranks the more corrupt than most developed countries. China is more corrupt than Burkina Faso, Panama, Jamaica and Peru. The populous country suffers a widespread vices related to inequity and misuse of public resources. Cases of grafts and bribery are everyday occurrences. Public fund embezzlement and backdoor deals are another form of corruption experienced in China. There is nepotism...
12 Pages (3000 words) Term Paper

Police Corruption

...?Police Corruption Introduction: The facilitative role of police in maintaining and sustaining order, legality and democracy cannot be denied. The primary duty of police is to secure the compliance of the existing laws and exhibit conformity with the rules of social order. The necessity of police has become more apparent in modern times which are characterized with diversities, urbanization and different ideologies on socio-cultural and political matters. One important issue in this field that exists universally in various forms and cannot be overlooked is Police Corruption. There is a wide range of police jurisdictions and considerable costs are paid by the society in general as well as the police services as a result of such misconduct...
17 Pages (4250 words) Research Paper

International Business Strategy (Guanxi) in China and Taiwan

The literature review in Chapter two provides a meta-analysis of previous research on guanxi and also an updating of this body of work to take account of the experiences of recent times and globalisation. There follows in Chapter three a consideration of the ethical issues surrounding guanxi, including its role in fostering Corporate Social Responsibility in China and Taiwan. Chapter four concentrates on recent events, presenting a case study from Taiwan with the aim of illustrating some of the issues that arise when guanxi goes wrong. Both theoretical and practical dimensions of guanxi in the context of international business are explored, along with some of the complex social and political factors that are currently influencing...
80 Pages (20000 words) Dissertation

Corruption

...?Corruption I do not agree with the claim that corruption is not applicable to traditional societies but just a Western concept. Gift giving is already part of the lives of each and every one of us. It is part of our culture. However, there is a difference between gift giving as an act of gratitude and gift giving as a payment for favour asked or rewards for services. Intention is an important factor. Thus, the “gift culture” cannot be an excuse for someone who practice or engaged into corrupt practices. I believe that corruption exists in all kinds of societies and does not leave out the traditional ones. Deflem (1995) viewed traditional practices in non-industrialized societies as practices that cannot be labelled corrupt because...
2 Pages (500 words) Essay

What are the main causes of corruption in China

... Task: Corruption is an economic challenge that has brought down many nations. It occurs through different avenues and mostly orchestrated by people holding powerful positions. Although, the fight against corruption is crucial for the elimination of the vice, some administrations have used the war on corruption as a political weapon to silence their political nemesis. It is necessary to explore some of the intrigues surrounding corruption in China. What are the main causes of corruption in China? Introduction Just like many countries, China experiences widespread corruption. A report by Transparency International’s Corruption Perceptions Index ranked China in the 80th position out of 176 countries. Some of the corruption means in China...
8 Pages (2000 words) Research Paper

Guanxi in China

... Management 8 October Guanxi in China Definition of Guanxi Guanxi is a Chinese term that refers to the approach of generating networks or relations, so as to get personal favors. It builds a complex extensive affiliate network which is vigorously, carefully, and creatively nurtured by the Chinese people. Guanxi consists of definite reciprocal obligations, affirmations, and knowledge, which are the attributes that guide Chinese approaches towards durable businesses and social relationships. Guanxi can therefore be generally taken to mean social relationships or connections with the presumption of extended exchange of favors. This makes it more than a simple interpersonal relationship or friendship; this is especially due to the fact...
7 Pages (1750 words) Essay

Guanxi in Jeopardy

...YM Leyson For: Unidentified Guanxi in Jeopardy 29 March, 2006 The concept of "guanxi" pertains to the long term relationship of commitment, loyalty and obligation. According to Chen and Chao, a quality "guanxi" in Chinese where it originated "is characterized by mutual trust and dynamic reciprocity and long term equity principles". It is considered a "way of life" and serves as the guiding factor in business and political organizations. From a sociological perspective, organizations formed take on the diverse cultures of the people that constitute them. The growth of its nation is greatly influenced by the norms and behavior of the society. When other countries decide to conduct business and partake on the growth and stability of another...
2 Pages (500 words) Essay

The Bound between Corruption and Guanxi in the Chinese Society

... EXPLORING CHINA RESEARCH ESSAY – THE RELATIONSHIP BETWEEN CORRUPTION AND GUANXI IN THE CHINESE SOCIETY Introduction The past years were marked with an increased interest toward the topic of Guanxi in China, its ethical character and relation to corruption. Actually, the link of Guanxi to corruption remains the topic of a hot debate. Dozens of studies were performed in an attempt to identify how corrupted Guanxi is and whether it can be considered to be a form of corruption at all. This work aims to discuss the concept of Guanxi in more detail and to determine if Guanxi can be considered as a form of corruption. For the purpose of the paper, a brief literature review will be performed, to evaluate the role and importance of Guanxi...
11 Pages (2750 words) Coursework

Corruption happened in China

...Yiming Fan 20/11 In recent years, corruption has happened quite frequently within China. It could be seen almost everywhere. Many people have too much power now; and many of them merely abuse the power they have. More and more people are using this power for their own good. I think it should be stopped because it causes too many problems to the ones who are ordinary people. It also slows down the development progress of China. Before I went to the USA, I was in the high school. A friend told me that his father worked for a construction company. This construction company worked for the government in Zhengzhou. He said the government spent 3 billion to build the government building but because the people worked in the construction sector...
2 Pages (500 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Guanxi and corruption in China for FREE!

Contact Us