Favour and opportunity: renqing in Chinese business relationships

Abstract

Purpose – The purpose of this paper is to explore the impact and effect of renqing in Chinese business relationships. The research focused on a multinational organisation that is based in China. Design/methodology/approach – As the research was exploratory, a qualitative approach was adopted. The researcher was based in the organisation for a six-month period, and interviews were undertaken with purchasing managers. Findings – The findings show that the Chinese concept of renqing comprises favours and opportunities. Research limitations implications – The research is exploratory and further research is required to confirm the wider applicability of the findings. Practical implications – The findings illustrate the importance of understanding the use of both favours and opportunities in business relationship in China. The findings also indicate the importance of being sensitive to cultural factors in business relationships. Originality/value – This exploratory research indicates that previous conceptualisation of Renqing was limited, as the aspects it encompasses, favours and opportunities, were not identified. This research identifies the importance of opportunities in Chinese business relationships.