Earlier quoted context omitted.
Face is important because it came from a family oriented culture. If you were made to look bad, you'd feel even worse when the rest of your family finds out (Grandparents, relatives would talk negatively about this aka gossip). This morphed into businesses that build on relationships, the Chinese term for that is 'guanxi'. For China, they would 'lose face' if Hong Kong became independent (or Xinjiang or Tibet for tha…
If by "lose face" you mean display of weakness, then you probably right. The government don't actually care about face here, they only care about outcome. In mainland, people sees the government as the ruler. They are not there to serve you, they are there to manage you. They never make mistake, and you must follow their lead. The government needs Hongkong, and hey need Hongkong under control, just like the rest of C…
There are interesting historical issues, economical issues, geopolitics (especially Taiwan) and international politics at play.
But yes, in a certain sense the PRC want to turn HK into "the rest of China" alike, in the sense that you can have economic freedom and many other things, however politically one must submit to the supreme rule of the party.