Management and China: A Paradigm Shift That Has Been Overlooked
- Business Science Institute
- 2 days ago
- 6 min read
Dr. Fabien Gargam
Associate Professor at Renmin University of China
Research Associate at Paris-Saclay University, RITM
Writer, speaker, and trilingual consultant
Graduate of Renmin University of China
*Staff members of the Executive DBA Paris-Saclay/Business Science Institute in China (Shanghai)
Introduction: A Brief Overview
Western management—particularly American management—represents the dominant approach worldwide. This is mainly because management theories were developed in the Western world. Chinese management, on the other hand, is rarely discussed in this context. Yet the Middle Kingdom’s significant weight, meteoric rise, and growing influence are evident in every field on the international stage. This therefore represents both a paradox and a major enigma that must be resolved. It is all the more essential to study Chinese management because it differs significantly from Western management. The primary stakeholders are practitioners, faculty members, and students, as they will be increasingly affected by this topic.
Method: A Franco-Chinese partnership on the ground
The two authors have been analyzing the Middle Kingdom on its own soil every day—for eight years in the case of the French author and for 20 years in the case of the Chinese author. Their various investigations have resulted in several publications. These all point to the fact that China differs from Western countries. Its history, size, language, and culture, in particular, make its vision, mission, strategy, and tactics unique. All of these reasons compel us to consider Chinese management as a distinct entity. The two authors chronologically draw upon some of their work to outline the contours of this paradigm shift across six dimensions. By this term, we mean a major shift that requires thinking and acting differently from a certain dominant period. The omitted qualifier implies a deliberate or unintentional omission of this shift.
The temporal dimension: a history spanning five millennia
The first dimension concerns time. Management is defined first and foremost as a practice, and China boasts 5,000 years of uninterrupted managerial practices—a feat unmatched anywhere else in the world. Over the centuries, China has built up a vast repertoire of ideas and actions for both the public and private spheres. The Middle Kingdom constantly draws on its history to address the present and future challenges it faces. On two occasions, the authors have drawn upon Chinese philosophy (Gargam & Xie, 2020) and Chinese mythology (Gargam & Xie, 2023a) to address two Western topics. Chinese expressions and illustrations provided them with a sense of distance in space and time, allowing them to shed light on two Western issues.
The leadership dimension: collective leadership
The second dimension pertains to leadership. Management is intimately dependent on the leadership style adopted. The trilingual literature review on leadership, conducted by the two authors, presents a panoramic view of how individuals and organizations are led (Gargam & Xie, 2021) . Deeply rooted in a U.S.-centric mindset, the Western world places boundless emphasis on the individual in the conduct of business. Grounded in its own logic, the Chinese world acts and thinks collectively to achieve its shared destiny. More specifically, the Middle Kingdom’s approach encompasses paternalistic and collectivist leadership and combines the philosophical wisdom of ancient China with the practical experience of modern China.
The overlooked dimension: Western ignorance
The third dimension relates to ignorance. The management practices in question are accessible only to those living in China and, to a lesser extent, to those who speak Mandarin. This means that the vast majority of Westerners remain ignorant of Chinese management practices, since these are inseparable from a detailed understanding of the country. There are two types of ignorance: that of which we are aware and that of which we are unaware. The latter is more detrimental than the former. The two authors have explained in French (Gargam & Xie, 2022a) and in Mandarin (Gargam & Xie, 2022b) the reasons why France and other Western countries can no longer afford to ignore the Middle Kingdom—in other words, “the elephant in the room.” This is all the more critical given that the 21st century has already shifted into the Asian era.
The Unconsidered Dimension: Western Misunderstanding
The fourth dimension pertains to misunderstanding. Management practices in China are often misunderstood because they are not properly grasped. Individuals who are aware of their ignorance regarding the Middle Kingdom do not address this topic. Conversely, those who are unaware of it do address it, and their analysis is inevitably irrelevant. The two authors studied the Covid-19 lockdown in Shanghai by adopting both an external and an internal perspective (Gargam & Xie, 2022c). This same phenomenon creates vast differences in interpretation between the Western and Chinese perspectives. A well-known Chinese pro , ‘盲人摸象’ (literally, “blind men feeling an elephant”), illustrates this misunderstanding well. It conveys the idea of confusing a part with the whole and the inability to see the bigger picture.
The cultural dimension: a combination of collectivism and long-termism
The fifth dimension pertains to national values. Contrary to popular belief, management is not a universal concept. It depends on cultural contingencies. The two authors have devoted two books—one in French (Gargam & Xie, 2023b) and the other in Mandarin (Xie & Gargam, 2024)—as well as a paper in Mandarin (Xie & Gargam, 2025a) to a comprehensive and detailed comparison between China and France, a Western reference point. Collectivism and long-termism govern behavior in the Middle Kingdom, while individualism and short-termism govern behavior in France. It is therefore important not to impose a Western framework on the Chinese world, nor a Chinese framework on the Western world. This requires everyone to exercise great self-reflection so as not to automatically activate their own frame of reference.
The strategic dimension: a logic of leaps forward
The sixth dimension pertains to strategy. The management implemented depends on the strategies formulated. The two authors studied two industries in China: the automotive industry (Xie & Gargam, 2025b; Xie & Gargam, 2025c) and the low-altitude economy (Xie & Gargam, 2026a ; Xie & Gargam, 2026b). Their works, published in French and Mandarin, highlight how the Middle Kingdom develops its strategies. In both cases, China follows the same trajectory, which consists of avoiding pitfalls, capitalizing on its strengths, and making leaps forward. This logic is called ‘换道超车’ in Mandarin and literally means “overtaking by changing lanes.” To achieve this, the automotive industry combines several phases—following, catching up, and leading—and the low-altitude economy combines the first-mover advantage with the late-mover advantage.
Conclusion: The Imperative of Understanding Chinese Management
These six dimensions succinctly outline the contours of Chinese management, and it is clear that it represents a paradigm shift compared to Western management. This is why Western practitioners, faculty, and students are strongly advised to familiarize themselves with the Chinese context. As for Western organizations, it is urgent that they establish ties with Chinese organizations to (un)learn alongside them. An increasing number of Western executives are beginning to sense this major shift. In late 2025, former Airbus CEO Louis Gallois stated that France is now an emerging country in several areas relative to China. In early 2026, Renault Chairman François Provost stated bluntly that we must emulate China. Those wishing to explore this crucial topic further will have the opportunity in 2027 to read the two authors’ new books—one in French and the other in Mandarin—on the substance of this paradigm shift.
References
Gargam, F., Xie, Y. 2020. The Doctrine of the Mean: The Way of the Gentleman – Balance: A Valuable Approach to Integrity. Annual Review of the Association of Friends of Roger Toulouse, 24(1): 65–68.
Gargam, F., Xie, Y. 2021. Who Is the Leader? The Individual or the Collective. A Trilingual Literature Review on Leadership. Study Day “Head, Power, Society: Multidisciplinary Approaches to the Figure of the Leader,” IFC at Renmin University of China, Suzhou.
Gargam, F., Xie, Y. 2022a. 2022 Presidential Election: What About China?. LinkedIn.
Gargam, F., Xie, Y. 2022b. Can China Turn a Blind Eye to the 2022 French Election? LinkedIn.
Gargam, F., Xie, Y. 2022c. Shanghai Lockdown: A Test of the Chinese People’s Resilience. The Conversation France.
Gargam, F., Xie, Y. 2023a. Dual Leadership: A Transposition Across Space and Time – 互比：穿越时空的启迪. Annual Review of the Association Les amis de Roger Toulouse, 27(1): 37-45.
Gargam, F., Xie, Y. 2023b. The China-France Behavioral Compass. Caen: Editions EMS.
Xie, Y., Gargam, F. 2024. The China-France Behavioral Compass. Caen: Editions EMS.
Xie, Y., Gargam, F. 2025a. New Methods in Sino-French Comparative Studies: The Case of the “Bird’s Nest” and the “Seine River.” HAL.
Xie, Y., Gargam, F. 2025b. The Leap Forward of the Chinese Automotive Industry from 1953 to the Present. The Conversation France.
Xie, Y., Gargam, F. 2025c. China’s Automotive Industry: Past, Present, and Future. HAL.
Xie, Y., Gargam, F. 2026a. How China Is Developing the “Low-Altitude Economy.” The Conversation France.
Xie, Y., Gargam, F. 2026b. Strategic Emerging Industries Changing Lanes to Overtake: A Perspective from the Low-Altitude Economy. HAL
Check out:
Gargam, F. and Xie, Y. (2023). The China-France Behavioral Compass: Understanding China Through France – Understanding France Through China. EMS Éditions. https://doi.org/10.3917/ems.garga.2023.01.
