Inside Chinese Business : A Guide for Managers Worldwide (Hardcover)

by Ming-Jer Chen (Author) "In 1996, Asia business expert Hugh Patrick addressed Columbia University's Center on Japanese Economy and Business..." (more)
Key Phrases: guanxi relationships, guanxi networks, Hong Kong, United States, Southeast Asia (more...)

Editorial Reviews

Review
"This book usefully provides relevant material on culturally inspired behavioral patterns and offers guidelines for how to deal with them." -- Foreign Affairs, May 1, 2001

Product Description
Ethnic Chinese control a staggering 98 percent of the East Asian economy outside Korea and Japan. For any company seeking to work with the Chinese, understanding the unique social and cultural values that underpin their commercial practices can make or break business dealings before they even get off the ground.

Ming-Jer Chen, a leading expert on business strategy and competition, offers Western managers the definitive guide to navigating the fascinating-but often confusing-Chinese business world. Drawing from his intimate knowledge of Chinese culture and history, and from his extensive managerial work and international experience, Chen provides an unrivalled insider's perspective on how to work, compete, and cooperate successfully with Chinese companies around the globe.

Inside Chinese Business explains that almost all major Chinese organizations are relationship-based and continue to be influenced by an enduring set of cultural and social principles. Building on this premise with examples from companies throughout Asia and North America, the book addresses issues including:

* Chinese "business families" and their transformation in the new century.
* Guanxi: what it is, how it works, and how Western managers can develop their own business networks.
* The influence of traditional Chinese concepts such as "face," balance, harmony, and social roles on contemporary business conduct.
* How to spot a yesno: understanding Chinese communication patterns.
* The Chinese distaste for "negotiation"-and how to negotiate with them.
* The cultural roots of Chinese competitive practices, and ways Western companies can successfully adapt these ideas.
* Navigating the People's Republic of China's transitional economy.
* Using cultural difference to develop a globally integrative business perspective.

A powerful guide to resolving the often overwhelming rifts between Western and Eastern ways of doing business, Inside Chinese Business presents critical lessons for global enterprise in the 21st century.

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Product Details

• Hardcover: 288 pages
• Publisher: Harvard Business School Press (March 2001)
• Language: English
• ISBN-10: 1578512328
• ISBN-13: 978-1578512324
• Product Dimensions: 9.1 x 6.4 x 0.8 inches
• Shipping Weight: 1.2 pounds
• Average Customer Review: 2.2 out of 5 stars See all reviews (12 customer reviews)
• Amazon.com Sales Rank: #1,284,873 in Books (See Bestsellers in Books)

Customer Reviews

Most Helpful Customer Reviews

12 of 12 people found the following review helpful:

3.0 out of 5 stars Simplistic and Dated, August 30, 2001

By	znpm "znpm" (boston) - See all my reviews

For anyone who has spent time in China (Hong Kong and Taiwan), or has read a book or two on business in Asia, much of the book will be simplistic to the point of being boring as it covers issues of "face", familial loyalty, reciprocity, etc. The impact of the Asian financial crisis is taken into account, but not the Nasdaq fall and subsequent worldwide tech slump. I imagine the author is just the victim of unfortunate timing, but several Asian tech companies, now dead and buried, are praised for their ability to navigate crises. Whoops.
There are lessons to be learned from a study like this, but the book strays dangerously close to the sort of blind fawning westerners saw of Japanese business in the late 80s and early 90s, before economic realities revealed the woeful shortcomings of Japan, Inc.
I have just begun reading another book, "The Coming Collapse of China"; while (so far) quite insular and anecdotal, it does provide a counter to what's quickly become an over-hyped view of China's future in global business.
I was expecting far more from "Inside Chinese Business", but perhaps the author will follow-up this work with a more in-depth study.

15 of 16 people found the following review helpful:

1.0 out of 5 stars Disappointing..., September 6, 2001

By	Steven Patterson (Los Angeles) - See all my reviews

I found this book a real disappointment, especially considering the author's apparent qualifications. It amounts to little more than a book report on other published sources and I actually see no evidence of "inside" information at all here. The author doesn't seem to have done a single personal interview for the book, which is unfortunate.

What's worse is that the book takes a chauvinistic approach to doing business with the Chinese. The essential advice here is that Western business people should never say no to Chinese counterparts and should accommodate them in every way possible. After doing business in Hong Kong and Guangzhou for more than 15 years, I fully understand the importance of "saving face": but this book advocates the kind of kowtowing that got many American companies into deep trouble in China...providing everything for their partners and losing their shirts. I am sure the author had honorable intentions but the point of view taken in this book is quite naive...if not dangerous.

That said, Inside Chinese Business is a quick and enjoyable read. If you have never read anything about Chinese business practices, it could be a useful introduction. Just take it with a grain of salt.

11 of 11 people found the following review helpful:

3.0 out of 5 stars Helpful First Book to Those New to Chinese Businesses, June 13, 2001

By	Professor Donald Mitchell "Jesus Makes Me a P... (Boston) - See all my reviews (TOP 10 REVIEWER)

Professor Chen draws on a cultural perspective to help Western business people understand how to work with Chinese customers, suppliers, and partners. Those who have known Chinese business people will find they know most of what is here. Those who have read much Chinese history and philosophy will find little new here also. People who know almost nothing about the unique qualities of Chinese business will find the book a good starting point in learning more. As far as the book goes, it is very well done. The book would have been even more valuable in educating Westerners by also looking at case histories of the most successful relationships in depth that Western companies have achieved and included interviews with key Chinese and Western executives.

The book focuses on explaining the differences among the overseas Chinese, those Chinese who have always lived in the PRC, and those who have returned to the PRC from abroad. As a context for these explanations, you get a smattering of history (China was once the most advanced nation, still considers itself a cultural leader, and is concerned about being exploited by foreigners), belief systems (how Confucius overlays family and social relationships), and strategic thinking (the indirection of Sun Tzu).

The book has outstanding sections on developing business relationships, communicating with Chinese business people, and a discussion of the differing purposes of Chinese (support the family) and Western businesses (support the shareholders).

Professor Chen also points out the many ways that traditional Chinese and current Western practices are being combined by the best overseas Chinese companies.

I found the many tables that made the comparisons explict to be good summaries of the book's key points.

Personally, I got the most benefit from the many case history sidebars about Westerners who made faux paux which were harmful. Those examples drive the points home in ways that simply stating the principles would never do.

After you read the book, I suggest that you have several meals with different Westerners who have been doing business in China for at least 10 years to get the benefit of their experiences and observations.

Look at circumstances from the Chinese perspective first, if you wish to have good relations and success!