What hurdles do American businesswomen face in doing business with the Chinese?
American firms building business relationships in the People’s Republic of China should not be naive about the level of corruption, but should also realize that some practices such as gift-giving, which can seem inappropriate to Americans, may be well within the bounds of ethical business practices in China. For example: an American managing a U.S. subsidiary in China occasionally lends his Jeep to the local customs officials on the weekends. These officials have authority over deciding what the import duty will be on the American firm’s industrial machinery. These officials are also personal friends of the American manager, with whom he often goes bowling. Is this corrupt? Maybe. Is this an example of building personal connections (guanxi) that are useful in business? Absolutely. Would this behavior be within your company’s policies? This particular case is open for debate, as are many that you might experience in China, but other situations are not. Some local officials expect, and m