| dc.description.abstract | Guanxi has been classified as an important factor to facilitate business
transactions in the Chinese business community. While previous studies mainly
focused on some general kinds of risk, this study explored other aspects of guanxi
throughout the internal to supply chain risk, which consists of two dimensions supply
side risk and demand side risk. In addition, until now, there are a few empirical
studies that have integrated the three advantages created by guanxi in business
behavior. That are effective communication, trust in supplier and strategic purchasing
considered as main factors to influence on business performance. Therefore, we build
up a new conceptual model that links internal to supply chain risk, guanxi, effective
communication, trust in supplier, strategic purchasing and business performance in an
empirical study. We have conducted 10 in-depth interviews with business owners to
modify and develop our survey questionnaire design. Survey data was collected from
the Chinese business community in Ho Chi Minh City, Vietnam with the sample size
of 374 observations. We apply a Structural Equation Modeling (SEM) approach to
analyze and test our research model. The results show that three factors of effective
communication, trust in supplier and strategic purchasing have positive relationships
with guanxi in business behavior. Furthermore, this paper also points out that strategic
purchasing enhances the effective communication and in turn, the effective
communication has a positive relationship with trust in supplier. As a result, guanxi
has a significant role in improving business performance | en_US |
