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The purpose of this paper is to employ a Yin-Yang harmony perspective to propose a novel circled 5C model to understand the unique harmonizing process of how conflicts are resolved in China. Despite increasing research on labor conflicts in Chinese manufacturing, Western theories still can not explain how Chinese culture influences conflict management. The authors investigate a large manufacturer where a severe labor strike happened in South China. A mixed-methods research design is adopted. The scale of Chinese harmony and analysis of variance are used to identify the underlying unharmonious factors triggering the labor strike. The grounding theory approach (a case study) was adopted to further examine the proposed 5C model. "Harmony with corporate system", "Harmony between departments" and "Harmony with firm leader" were found to arouse employee grievances the most. Differences in age, gender, marital status, educational level, tenure and position were discovered to affect workers' perceptions of workplace harmony. The proposed 5C model was supported. Practical implications - As a lesson in handling escalating labor conflicts, this study allows foreign investors to better understand how to cope with relevant labor strife issues in China. In addition, this project integrates research with consultancy service, which can be seen as an exciting step forward in bridging academics and practitioners. Based on Yin-Yang harmony thinking, this study suggests an integrative, context-specific concern - concern for harmony for China to transcend the Western dual-concern model regarding the choice of coping with conflicts. The paper constructs a novel circled 5C model of the Chinese harmonizing process (conflict, clash, communication, comprise and consensus), which characterizes the dynamic, contingent and art-oriented nature of Chinese conflict management.
