Question

American-born Thomas​ Kwan, who works for a health products company in​ Shanghai, China, says that a lot of expatriate managers fail in China because​ ________.

Answer 1

Expatriate managers often fail in China due to cultural differences and the importance of guanxi networks.

Step-by-step explanation:

Expatriate managers often fail in China because of cultural differences and the importance of guanxi networks. In China, building strong relationships and networks, known as guanxi, is crucial for business success. Expatriate managers may not fully understand or appreciate the significance of guanxi, leading to misunderstandings and ineffective communication.

Additionally, the business environment in China is different from that in America. China has a larger percentage of people involved in manufacturing, and many cities are newly created urban centers. These factors contribute to unique business practices and challenges that may be unfamiliar to expatriate managers.