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The meaning and the role of the network and guanxi are similar. The difference lies in the basis for the connections and methods used to make a long-term relationship with members of the network. The example can be Western instrumental network which is not equal with the social network. In Chinese culture, both are identical. In Western culture the relationship grows out of deals, but in China it is different, and deals grow out of the relationship. Westerners are generally unaware of the fact that in China social relationships are more meaningful than in the West. They are fundamental to the Chinese national character. In the West one does not need to have a personal relationship with members of the instrumental network. Guanxi basically is a Chinese term for interpersonal relationship and it has been widespread in the Chinese business world for hundred of years. It connects millions of Chinese firms into a social business web. It is a major determinant of firm performance, particularly its market development. The basic idea is still about to present how the Chinese develop, maintain and utilize relationships to satisfy their social, emotional or instrumental needs. It is a part of the Chinese society. Guanxi is the essential element because of the weak or unreliable institutional rules and the regulatory framework. Guanxi is connected also with the facilities promotions, distributions, supply, finance, government support, customer loyalty or uncertainty avoidance.
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