An Exploratory Study on Guanxi Measurement of Network Theory
Young-Sik Seo, Soon-Woo Kim, Chunsu Lee · 2014
This is an exploratory study on Hyundai Motors, which ranked in the Top 5 in automobile sales in China, to make them rise continuously in sales rankings and ensure their competitiveness. There are studies under way to claim that Guanxi is one of the key success factors with respect to competitiveness in China. There are similarities and differences between Chinese Guanxi and Western relationship marketing. However, scientific approaches with respect to social capital and social network or networks are very insubstantial. This study attempts an exploratory examination of Guanxi in network in order to improve competitiveness of Hyundai Motors. Firstly, this study investigates the current state and trend of the automobile industry in China. Secondly, this study reviews the correlationship between Guanxi and network theory in extant studies. Thirdly, this study investigates network centrality which can objectively measure and use Guanxi and also the measurability of Guanxi through network theory. This study will contribute to establishing marketing strategies and sustainable competitiveness by seeking a method to scientifically and objectively measure Guanxi in China from the network theory perspective.