||The family business is a common business model among the Chinese community, and it has played an important role in the Taiwan society as well. However, this type of organization structure often causes communication problems between supervisor and subordinate, and it is because that the management, ownership and other pivotal positions of management are assigned to family or close friends. Thus, how to manage between family affairs, business, and distribution of responsibilities for the family business becomes an issue. The purpose of this study is to investigate the guanxi type and personalities of managers in the family business, as well as the correlation between managers’ power and their influence tactics to the subordinates. |
The core of this study is based on the guanxi theory, and it is divided to guanxi type and perceived guanxi. The research model has combined locus of control, power based and influence tactics. We conducted a questionnaire survey from the 147 family businesses of metal processing industry in midland and south Taiwan, collecting 332 valid samples from all returned questionnaires. Through ANOVA and hierarchical regression analysis, it is learnt that the manager’s power and influence tactics to the subordinates vary as the managers’ guanxi type changes. For managers, who possess more position power, especially those in the family guanxi, they are more likely to use assertive attitude when treating subordinates. As for the internal personality pattern managers, the power and the ingratiatory strategies are in direct proportion.
For the internal corporation, guanxi is an unique and vital resource, because it can fill the gap, which the system is vague or the law cannot contain, and ensure the personal power. Therefore, maintaining a good guanxi in business may not get you somewhere for sure, but it will not be a loss definitely. Besides, managers, who are in the friend guanxi, often play a bridging role to complement the function of those managers, who may use the assertive attitude too significantly in the family guanxi. In addition, this type’s managers also provide a “lubricant” effect in order to keep the family business running smooth. We recommend that family business owners should pay more attention to harmonious relationship, working environment, and internal communication channels in the organization as to attain the objectives and improve the overall performance in the family business.