Guanxi and Wasta: 20 Years of Evolution and Future Directions for Informal Network Research

ABSTRACT This article provides an examination of the evolution of networking in China and the Arab world over two decades and provides an update to, and new insights arising from, an article called Guanxi and Wasta; A Comparison , published in Thunderbird International Business Review in 2006. This article highlights the continued theoretical and practical importance of guanxi in China and wasta in the Arab World and how research, understanding, and practice of guanxi and wasta have developed over 20 years including integrating (limited) focus on diversity, equity, and inclusion. As well as presenting the ‘dark’ and ‘light’ sides of guanxi and wasta, the article explores how institutional development has weakened use of informal networks but to a greater extent for guanxi than wasta. The article provides practical insights into managing informal networks in international business. The article suggests future directions for research and practice in guanxi and wasta in respect to responding to major foci of business internationally including digitalisation, artificial intelligence, and diversity and inclusion.