THE POWER STRUCTURE OF CHINESE ENTERPRISES.

The article discusses the power structure in business enterprises of China. The different states and cultures of the world are more and more in contact with each other because of better communication, traffic, and growing trade, and because of worldwide mutual dependence in important economic matters. The article presents a comparison between China as a socialist country that has a different cultural tradition and Western capitalist countries. The management of enterprises in capitalist and socialist countries differs especially in the relations between the macro- and the micro-structures, or in the extent to which the state controls enterprises. In capitalist and socialist systems, the power structure does not differ only with respect to the distribution of power: the kind of power used is also different. It is possible to find many different bases of power. When analyzing the behavior of individuals and organizations and taking into account their effects at both the macro- and the micro- level, it seems appropriate to divide them into basic and instrumental power, according to their basis. Basic power represents relatively enduring resources, whereas the kind of instrumental power used can be changed by a basic power to another kind of instrument for seeking a definite goal.