The aim of this study is to discover the main cultural issues of building and using trust in China for small Northern European entrepreneur-led companies. The research will focus on Northern European entrepreneurial firms and the entrepreneurs behind them, who are currently or in the past, have been involved with business venturing in China.
Against the mainstream sociological inquiry in cross-cultural trust research, this dissertation adapts the cultural ecology lens deploys the humanistic philosophy, which taken theories from resource, climate and geographic studies to describe the differences in trust making between Chinese and Northern European people. The background literature covers the area of cross-cultural trust concept, traditional Chinese cultural concepts and international entrepreneurship. Using the phenomenological approach of inquiry, this research has examined the first hand experience of 12 Northern European entrepreneurs who have embarked their businesses in China through one-on-one interviews. The results identified the preservation of face, over-estimation of self-competence and problematic relational fit as the main causes of distrust in China; furthermore personal skills such as keeping a low profile and time forbearance are recommended for future western entrepreneurs who want to do business with China; and finally being personal and being vigilance are said to be the combinational method that will make the trust building work in China. The research may also serve as a blueprint for future western entrepreneurs that target to China.
Table of Contents
Chapter 1: Introduction
1.1 Background of the Study
1.1.1 Statement of the Problem
1.1.2 Purpose Statement
1.1.3 Scientific Paradigm
1.2 Rationale
1.2.1 Theoretical Rationale
1.2.2 Practical Rationale
1.3 Research Questions
1.4 Significance of the Study
1.4.1 Significance to Northern European Entrepreneurial Companies
1.4.2 Significance to the Academic Community
1.5 Operational Definition of Terms
1.6 Assumptions and Limitations
1.6.1 Assumptions
1.6.2 Limitations
1.7 Chapter Summary
Chapter 2: Review of Related Literature
2.1 The Concept of Trust
2.1.1 Business Trust
2.1.2 Trust in Cross-cultural Settings
2.1.3 Trust in China
2.1.4 Trust in Northern European Countries
2.1.5 Trust Differences between Chinese and Northern European in Business
2.2 Chinese cultural Concepts
2.2.1 Taoism and Confucianism in Business
2.2.2 Chinese Communist institutional effect
2.2.3 “Guanxi” and face as the Chinese Indigenous Concept
2.3 International Entrepreneurship
2.4 Cross-Cultural Ecology
2.5 Chapter Summary
Chapter 3: Theoretical Framework
3.1 Surviving and Thriving Trust in Two Types of Societies
3.2 Entrepreneurial Trust Transition Model
3.3 Chapter Summary
Chapter 4: Phenomenological Methodology
4.1 Using Phenomenology
4.1.1 Phenomenology as Human Science
4.1.2 The Philosophical Roots of Phenomenology
4.1.3 Phenomenology and the Current Study
4.2 Research Protocol
4.2.1 Data Analysis Procedure
4.2.2 Interviewees Profile
4.3 Chapter Summary
Chapter 5. Empirical Results and Analyzes
5.1 Description of the Interviews
5.2 Reduction of the Interview Data
5.2.1 What are the challenges Northern European entrepreneurs have in building trust in China?
5.2.2. What are the competencies/skills needed by Northern European entrepeneurs to bring about successful trust building in China?
5.2.3 Which method can be used in building trust in China?
5.3 Interpretation
5.3.1 Explication of the Northern European entrepreneurs’ essential structure of lived experience of trust building in China
6. Discussion and Conclusion
6.1 Discussion
6.1.1 Practical Contribution
6.1.2 Theoretical Contribution
6.1.3 Suggestions of Future Research
Research Objectives and Themes
The primary aim of this dissertation is to investigate the lived experiences and essential structures of trust building among Northern European entrepreneurs operating in the Chinese market. The research addresses how these entrepreneurs adapt their native trust models to the distinct social and environmental realities of China, specifically focusing on overcoming challenges and identifying effective trust-building competencies.
- Phenomenological analysis of trust-building experiences
- Comparative analysis of "surviving trust" vs. "thriving trust"
- Influence of cultural ecology on entrepreneurial behavior
- Role of "guanxi," face-saving, and due diligence in business
- Identification of essential personal competencies (e.g., humility, patience)
Excerpt from the Book
When a Yes means No
A lot of distrust was caused by non-fulfillment of verbal agreement. Chris complained, “if I ask a Chinese counterpart do you understand this? Yes, …and then I go, they didn’t understand it.” Albin said “quite often in China, you will get a yes answer and then the things turn out to be completely different.” Carl noticed “there was greater tendency they would do something when I asked…then they didn’t do it.” Martin described his bad experience of outsourcing a designer “I didn’t have in house designers, so I asked a company to help me with this and I gave them deadline, and they breached the deadline.” Ingo has tried to question his distributor in China about their sales progress “they start to tell me a lot start to happen. And then months later, nothing still has happened.” Sara said “they just say yes, yes…we can do this and then the reality shows that the don’t even know what I’m talking about from the beginning.” Arne said “Chinese are friendly and they always say yes…when a Chinese says yes, you must also find out what kind of yes he was saying.” Most of these initial agreements of saying yes by Chinese are due to the fact of preserving their faces. Chris continued “maybe they don’t understand at all, and they just don’t want to lose their faces.” Sara also recognized “they won’t admit even if they don’t know…because that is embarrassing for them…they don’t want to lose their faces.” She also noticed “you can’t trust them always because they always want to please you.” Albin said “maybe that has to do with losing face or not losing face.” And quite often, when the Northern European entrepreneurs confront the issues, the needs of preserving face among Chinese transformed into avoidance. Carl connected with his experience in this matter “…then you ask for later, they would try to avoid the issues.” Martin remembered, “…they breached the deadline…then I tried to call them, they don’t pick up the phone.” Ingo said “it makes me feel that they are hiding something that they don’t want to tell the truth.”
Summary of Chapters
Chapter 1: Introduction: This chapter establishes the context of increasing Sino-Northern European trade and identifies the critical lack of human science-oriented research regarding trust building for Northern European entrepreneurs in China.
Chapter 2: Review of Related Literature: This section provides an interdisciplinary overview of trust, comparing Chinese and Northern European cultural concepts, and introduces the theoretical lens of cultural ecology.
Chapter 3: Theoretical Framework: The framework introduces the distinction between "surviving trust" and "thriving trust," conceptualizing the transition process for international entrepreneurs as an ecological adaptation.
Chapter 4: Phenomenological Methodology: This chapter justifies the choice of phenomenology as a method to explore subjective lived experiences and details the research protocol, including data collection and analysis steps.
Chapter 5: Empirical Results and Analyzes: This section presents the findings from 12 in-depth interviews, reducing data into thematic categories such as language barriers, patience, corruption, and network importance.
6. Discussion and Conclusion: The concluding chapter synthesizes the empirical findings, offering practical and theoretical contributions while providing recommendations for future research in diverse cultural and market contexts.
Keywords
Trust building, China, Northern European entrepreneurs, Phenomenology, Cultural ecology, Guanxi, Face, Surviving trust, Thriving trust, International entrepreneurship, Due diligence, Cross-cultural management, Personalization, Vigilance, Human science.
Frequently Asked Questions
What is the core subject of this dissertation?
The work focuses on the lived experiences of Northern European entrepreneurs building trust within the Chinese business environment, examining how they adapt to cultural and ecological differences.
What are the primary themes investigated?
Key themes include the differences between "thriving trust" (Northern European context) and "surviving trust" (Chinese context), the role of personal relationships (guanxi), and the impact of the communist institutional environment.
What is the primary objective of this research?
The goal is to provide a deeper understanding of trust-building processes by moving beyond traditional economic models and using an interdisciplinary human science approach.
Which methodology is applied?
The research employs a phenomenological approach, conducting one-on-one, in-depth interviews with 12 Northern European entrepreneurs to uncover the "essence" of their experiences.
What topics are covered in the main body?
The main body covers the theoretical framework of cultural ecology, empirical interview data regarding challenges like administrative hurdles and corruption, and a synthesis of required personal competencies.
Which keywords best characterize this research?
The work is defined by concepts such as trust building, phenomenology, cultural ecology, guanxi, and international entrepreneurship.
How do Northern European and Chinese trust structures differ according to the author?
The author argues that Northern European countries generally operate under "thriving trust" (taken-for-granted, institutionalized), whereas China, shaped by historical resource constraints, operates under "surviving trust" (conditional, relationship-based).
What role does "due diligence" play in this study?
The author identifies due diligence as a necessary "hard" verification method that complements the "soft" approach of building personal relationships to mitigate risks such as corruption or unethical business practices.
- Citation du texte
- Linjie Chou Zanadu (Auteur), 2015, Phenomenology of Trust Behaviour in China, Munich, GRIN Verlag, https://www.grin.com/document/538077