This article tries to elucidate the nature and strategy of the formation of new associations in a Chinese City Sozhou after the sixteenth century. There are many kinds of associations consist of merchants or artisans in Chinese history, albeit "Hang" and "Hui-Kuan" (or "Kung-so")are two major kinds among them. This article does not propose a dichotmy, but being to explicate the distinctions did exist in the two major associations. Namely, the compulsory associations of "Hang" and the voluntary associations of "Hui-Kuan" (or "Kung-so"). It is not a short run process of tranisition from the compulsory to the voluntary ones, the sixteenth century seeming the timing overshed. Market economy had made progress since the sixteenth century in China, Suzhou having become then one of the most prosperous cities until the late nineteenth century. During that period the transition did occur in this affluent city, a kind of new associations never existing before in Chinese cities was emerging. Clarifying the distinct nature and interesting strategy that those new associations had made and adopted in Suzhou is the theme of this article.