Universalism vs. Particularism indicates how a society applies rules of morals and ethics. In a Universal society such as the U.S., rules and contracts are developed which can apply in any situation. There is a belief that what is good or true can be discovered, defined, and applied to every situation. Because of their Universalist approach, in a business situation Americans will want to rely on a contract to communicate the terms of an agreement and to define the relationship between the parties. China is a particularisticic culture where people look at relationships and circumstances in a specific situation to decide what is right. For the Chinese, the legal contract communicates a starting point for an agreement. As circumstances change so too should the terms of the agreement. For the Chinese, the situation and the particular individuals involved are what define relationship.” *5