It is all about cultural aspects and how actions are perceived by the other party. Having a good relationship is important. Giving a token of appreciation is a

It is all about cultural aspects and how actions are perceived by the other party. Having a good relationship is important. Giving a token of appreciation is accepted and often expected? Consider a student who studies abroad and gives such a token to his professor. Totally unaware that a few days later he gets dismissed from the university for bribing. (Or involves a lot of back and forth between the universities to explain the behaviour. This is something we have seen many times) Now let's look at the foreign manager working in China. Building relationships by exchange of a businesscard is normal. A small gift, like a pen is accepted. But he doesn't know how to respond to a situation when some rituals are involved; such as paying for a dinner. But often relationships extend beyond a business situation and people can ask you for a small 'favour' that is unrelated to business... but can put someone in a very awkward position, as it does influence further business (and often complicates it). Managers who go abroad are sometimes even warned about this when going here. Note: which I believe is also bad as it creates a stigma and prevents from understanding it. Maybe after a few months he understands more of it, but he will likely ignore the reasoning or the actual intent. But again, this is not specific to China (happens in most Asian countries and the West or anywhere else in some form or way).