The many faces of trust and guanxi behavior: Evidence from marketing channels in China |
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Authors: | Zhigang Shou Rui Guo Qiyuan Zhang Chenting Su |
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Institution: | a Department of Marketing, Economics & Management School, Wuhan University, Wuhan 430072, PR Chinab Economics & Management School, China University of Geosciences, No. 388, Lumo Road, Wuhan 430074, PR Chinac School of Business, The University of Hong Kong, Pokfulam, Hong Kongd Department of Marketing, College of Business, City University of Hong Kong, Tat Chee Avenue, Kowloon, Hong Kong |
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Abstract: | This study examines how a trusting relationship influences firm boundary agents' guanxi behavior which involves saving face (wei hu mianzi), and affect investment (ganqing tou zi). At the individual level, we decompose trust into its competence and goodwill forms and examine their relative and interactive effects on guanxi behavior. A study conducted among 354 Chinese purchasing managers reveals that both competence trust and goodwill trust promote guanxi behavior, and these two types of character trust are substitutive for each other in terms of motivating the use of guanxi. At the firm level, calculative trust directly affects guanxi behavior and also negatively moderates the effect of competence trust on guanxi behavior. These results imply that calculative trust may substitute for competence trust in facilitating economic transactions and thereby reduce the use of guanxi in business interactions. |
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Keywords: | Goodwill trust Competence trust Calculative trust Guanxi behavior |
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