On questions like these, I usually turn to Lin Yutang. If you haven't read My Country, My People, do so ASAP.
On "face", here are a few nuggets from old Lin:
"It is easier to give an example of Chinese face than to define it..." He then goes on to give an example which I'll paraphrase: A city official drives 60 MPH through the streets even though the speed limit is 35 MPH. By doing so, he gains "a lot of face". If his car hits someone and the cops come, he hands them his card and then drives away. He gains "greater face still." However, if the cop fails to give him "face" based on the card, the official starts talking about his connections and then drives away, "his face waxes still greater." If the cop insists on taking the man to the police station, and the official picks up the phone and calls the chief of police who orders him released and then fires the police officer, "the face of the official becomes truly beatific."
Lin again: "To confuse "face" with Western "honor" is to make a grievous error." And he provides another example. If the ugly son of a well-connected official goes to a whorehouse, is insulted, and returns with the police to order the arrest of the girl and the closing of the house, the boy is "getting 'face,' but we would hardly say he is guarding his "honor."
I would add that the official in the first story and the boy in the second story obviously exhibit no shame either in the process of gaining (or increasing) their face.