A Contested System: Decision-Making Dynamics in China

AbsoluteAutocracydespotism, dictatorship autocracyAutocracy—where central institutions exert a strict monopolyMonopoly on all aspects of power—exists only in theory. In reality, a state must rely on a network of trusted individuals to implement orders from the centre. This chapter discusses the complex power dynamics between the central and local governmentsLocal governments in China, arguing that the policy-making process is a contested one, characterised by inter- and intra-government competitionCompetition, as opposed to being driven by a unitary rational actorRational actor. To understand these dynamics, the chapter proposes examining them through the lenses of ‘trust’ and ‘agent’ relationships, as well as ‘formal’ and ‘informal’ interactions between the Chinese central and local governmentsLocal governments. Additionally, it explores various historical strategies China has adopted to unify normsNorms and valuesValues across civilian and military bodies, balance national unityUnity/unified with regional diversityDiversity, and how these historical approaches are currently being put into practice. Drawing on this analysis, the chapter offers a practical approach for external parties to engage in more effective advocacy and diplomacyDiplomacy with China by unpacking the core of the Chinese decision-makingDecision-making process and identifying key points of influence to achieve desired outcomes.