 A "guanxi" network may also violate bureaucratic norms, leading to corporate corruption.Note that the aforementioned organizational flaws "guanxi" creates can be diminished by having more efficient institutions (like open market systems that are regulated by formal organizational procedures while promoting competition and innovation) in place to help facilitate business interactions more effectually.In East Asian societies, the boundary between business and social lives can sometimes be ambiguous as people tend to rely heavily on their closer relations and friends.