Articles » Business Culture in Guangzhou

Guangdong's geography and weather have contributed to the cultural differences that have evolved in this southern province. In ancient times, large areas of Guangdong were swampy, and typhoons often wreaked havoc along Guangdong's coast. Difficult living conditions led the Cantonese to emphasize practicality in order to survive. As a result, Cantonese, like Shanghainese, were also less interested in politics and officialdom than Beijingers.

Mountainous terrain separated Guangdong into various small, independent units and prevented much exchange with the culture and social systems of central China. Traditional Chinese culture, particularly Confucian ideals and the philosophy of moderation, weakened as they passed through Hunan, Jiangsu and Zhejiang and reached Guangdong in a modified form. Distance from mainstream Chinese culture has also led to a greater belief in local superstitious practices, such as face reading, fengshui (an ancient Chinese practice that configures work or home environments in ways that promote health, happiness, and prosperity) and belief in fate.

Guangdong's location between mountains and seas contributed to the open and free cultural tradition of the Cantonese. Well-developed agriculture, along with convenient sea and river transportation, provided excellent conditions for commercial activities. Guangdong businesspeople have long traveled overseas for business; during the Qing Dynasty (1644-1911), Guangdong was the only official Chinese trade port until the advent of treaty ports in the 1840s.Cantonese businesspeople are also usually more welcoming to outsiders, whether Chinese or foreign, and have also introduced foreign ideas to China. For instance, Kang Youwei, a Guangdong native and the grandfather of Chinese modern reform, introduced Western political systems. Dr. Sun Yat Sen, the founder of the Republic of China, led China's republican revolution in 1911. In business, Cantonese prefer to take advantage of new opportunities, because it is, in their view, relatively easy to get monopoly profits from new business. In this sense, Cantonese are risk takers.

But Guangdong's long business experience has led to some negative traits as well. Having benefited from earlier opening to the outside and from their business acumen, many Cantonese tend to take advantage of inexperienced people from other parts of China. And though many Cantonese make legitimate profits by following good business practices, others have taken to counterfeiting and smuggling. Numerous underground workshops produce counterfeit branded products from daily necessities to electronics, from labor intensive to technology intensive products. In one investigation, more than 30 companies in Guangdong alone were discovered to be counterfeiting compact discs.