The effect of channel relationships and guanxi on the performance of inter-province export ventures in the People's Republic of China

Relationship marketing in the People's Republic of China (PRC) is examined in the context of inter-province trade, i.e., `exports' from one province of China to another. The focus is on the dyadic channel relationships between the exporter and the importer/distributor in the new province. Relationships and guanxi (loosely translated as `connections') in the PRC are compared with relationship marketing as it has emerged in the West. The hypotheses are tested using data from 102 ventures within the PRC. The results confirm that the nature of the channel relationships and guanxi have a positive impact on the performance of these ventures.