Tal AvivFeb 2011

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➲ 1- InequalityMore equal than others

Inequality & SocietyExists in every societyAthletes, artists enjoy status, wealth in some

societiesPoliticians enjoy power & wealth without

status in other societiesInequality considered good in some societies

while equality a law in others.

PDI scores informs dependence relationship in a country

Power distance defined as the extent to which the less powerful members of institutions and organizations within a country express and accept that power is distributed unequally

Power Distance Index

Countries Power Index (PDI)

Family, School, Workplace, Country.Nature and NurtureRole TransitionHigher EducationEffectiveness

Social Class OccupationEducational LevelOccupations with lowest status and

educational level – highest PDI values

Power Distance Difference in Countries

Large power distance situationsObedient, respect towards parentsNot allowed to experiment themselvesParental authority continuesMental software: Dependence on seniors

Power Distance Difference in Countries:Roots in the family

Small–Power distance situations Treated as equals Take control of their own affairs Active experimentation encouraged Parent make their own provision when old Mental software: Need for independence

Power Distance Difference in Countries:Roots in the family

Large Power DistanceStudents respect teachers, even outside the

classTeachers takes all the initiativeTeachers are gurus who transfers personal

wisdomQuality of learning depends on excellence of

students

Power Distance In School

Small Power distanceStudents treat teachers as equalsTeachers expect initiative from studentsTeachers are experts transferring impersonal

truthsQuality depends on communication and

excellence of students

Power Distance In School

Large Power distance situation Subordinates and superiors- existentially

unequal Organizations centralized Subordinates takes no initiative Wide gap between salary systems Manual work has lower status than office work

Power Distance at Workplace

Small Power Distance Situations Subordinates and superiors- existentially equal Organizations fairly decentralized Subordinates expects to be consulted Relatively small gap between salary systems Manual work has equal status compared to

office work

Power Distance at Workplace

Small Power Distance Use of power is legitimateSkills, wealth power and status need not go

togetherMost wealthier countries with a large middle classAll have equal rightsWay to change the political system- changing the

rulesPluralist government based on outcome of majority

votesSmall income differentials

Power Distance at State

Large Power Distance Whoever holds the power is right and good Skills, wealth power and status go together Most wealthier countries with a small middle

class Powerful have privileges The way to change the political system-

revolution Autocratic government based on cooptation Large income differentials

Power Distance at State

Corruption: When people use their position to illegally enrich themselves or when citizens buy the collaboration of authorities for their private purposes.

More in large PDI countriesAccording to Bribe Payers Index

Exporting countries with large PDI more likely to use side payments

Power Distance And Corruption

Dimensions of natural cultures

I, We, and They.The individual and collective in society.The degree of individualism in society.

Cross-National studies.Two separate dimensions?Individualism index (IDV) vs. Power index

(PDV)

Individualist / Collectivist Poles

Individualist Pole:Personal time.Freedom.Challenge.

Collectivist Pole:Training.Physical conditions.Use of skills.

Individualism Index (IDV)

Cross National StudiesIndividualist:

Tolerance to others.Harmony with others.No competitiveness.Close intimate friends.Trustworthiness.Solidarity with others.Being conservative.

Collectivist:Filial piety.Chastity in women.Patriotism.

Two Separate Dimensions ?

Large PDI collectivist.Small PDI

individualist.Power Distance vs.

Individualism figure.Third factor in

correlation: Economic Development.

Context

Comparison between individualist and collectivist societies:

OccupationFamilyLanguage, Personality, and BehaviorSchoolWorkplaceStateIdeasOrigins of Individualism-Collectivism

Differences.The future of Individualism and Collectivism.

Collectivist & Individualist Societies: Occupation

To distinguish occupation cultures:Intrinsic factors are real motivatorsExtrinsic factors represent the psychological

hygiene of the job.High education occupations: intrinsic

elements are more important.Lower-status & lower education occupations:

extrinsic elements preferred.

Collectivist & Individualist Societies: General Norm and Family

Collectivist:Extended families /in-

groupsThink of “we”.Maintain harmony /

avoid confrontations.Predetermined

friendships.Shared resources.High-context

communication prevails.Trespassing shame

and loss of face.Young, industrious and

chaste brides / Older grooms.

Individualist:Nuclear family

Think of “I”.Speaking one’s mind /

honest person.Voluntary friendships.Individual ownership.Low-context

communication prevails.Trespassing guilt and

loss of self respect.Criteria for marriage

are not predetermined.

General Norm & Family

Examples:Indonesian Javanese noble family.

No appointment needed to visit relatives.Marriage in different societies (ex. India).

Importance of love vs. other considerations.

Language, Personality, and Behavior in Individualist and Collectivist Cultures

Key aspects to compare:Use of word “I”.Ways people experience their self.Personality tests.Emotions.Walking speed.Consumption patterns.Primary sources of information.Health care.Disabled persons.

Language, Personality, and Behavior in Individualist and Collectivist Cultures (Summary)

Collectivist societyUse the word “I” is avoided.Interdependent self.On personality tests, people score

more introvert.Showing sadness is encouraged,

and happiness discourage.Slower walking speed.Dependence on others.Social network is the primary

source of information.A smaller share of both private and

public income is spent on health care.

Disabled person is a shame on the family.

Individualist societyUse of the word “I” is encouraged.Independent self.On personality tests, people score

more extrovert.Showing sadness is discouraged,

and happiness encourage.Faster walking speed.Dependence on yourself.Media is the primary source of

information.A lager share of both private and

public income is spent on health care.

Disabled person should have the same range of activities as a normal person.

Individualism and Collectivism at School

Key aspects to compare:Behavior at class (participation).Preferential treatment.Confrontations and open discussions.Adaptation to the new skills and methods.Purpose of education.Purpose of diploma.

Individualism and Collectivism at School (Summary)

Collectivist classroom Hesitation to speak up. Ways to increase students’

class participation:Ask personallyAssign a spokesperson Expect preferential treatment. Conflicts are unacceptable. Stress on adaptation to the

new skills and methods. Diploma as a “ticket” to be

socially accepted.

Individualist classroom

Expect to be treated as individuals.

Confrontations and open discussions are norms.

Easy adaptation in groups.

Positive attitude toward what is new.

Diploma as a sense of self achievement.

Individualism and Collectivism at Workplace

Key aspects to compare:Occupational mobility.Employees’ and company's interests.Hiring and promotion process.Employees’ earnings.Employee’s performance.Management (appraisal interviews).Customers treatment (in-group vs. regular).Relationship vs. task

Individualism and Collectivism at Workplace (Summary)

Collectivist society Sons follow their fathers’

occupations. Employee acts according to

the interest of the group. Earnings are often shared

with relatives. In-group hiring. Poor performance is not

the reason for termination. Management of groups.

Personal relationship prevails over the task.

Individualist society Sons of fathers choose

personally preferred occupation.

Employed persons act as “economic man.”

Hiring a family member is undesirable.

Poor performance is unacceptable.

It is normal to leave the company for the better pay.

Management of individuals. The task prevails any

personal relationship.

Individualism, Collectivism and State

Key aspects to compare:Personal opinion.Personal interests.Economic system.Gross National Product (GNP).Ownership of companies.Private life.Laws and rights.Human rights.

Individualism, Collectivism and State (Summary)Collectivist society

Opinions are predetermined by group membership.

Collective interests prevail over individual interests.

The state holds s dominant role in the economic system.

Per capita Gross National Product (GNP) tends to be low.

Companies are owned by families or collectives.

Private life invaded by group(s).

Laws and rights differ by group.

Lower human rights rating.

Individualist society Private opinion. Individual interests prevail

over collective interests. The role of the state in the

economic system is restrained.

Per capita Gross National Product (GNP) tends to be high.

Joint stock companies are owned by individual investors.

Everyone has a right to privacy.

Laws and rights are supposed to be the same for all.

Higher human rights rating.

Individualism, Collectivism and Ideas

Key aspects to compare:Ideologies (individual freedom vs. equality).Economic theories.Ultimate goals of society.Psychological experiments.

Individualism, Collectivism and Ideas (Summary)

Collectivist society Ideologies of equality

prevail over ideologies of individual freedom.

Imported economic theories are unable to deal with collective and particularist interests.

Harmony and consensus in society are ultimate goals.

Patriotism is the ideal. Outcome of psychological

experiments depends on in-group-out-group distinction.

Individualist societyIdeologies of individual

freedom prevail over ideologies of equality.

Native economic theories are based on pursuit of individual self-interest.

Self-actualization by every individual is an ultimate goal.

Autonomy is the ideal.Outcome of psychological

experiments depends on ego-other distinction.

Origins of Individualism-Collectivism Differences

Types of society:• Hunter-gatherer tribes.• Agricultural.• Urbanized.Individualism index value (IDV) can be

predicted from:• The country’s wealth.• The country’s geographical latitude.

The Avoidance of Uncertainty

Different approaches in in different cultures◦ The unexpected behavior of the British army with

the German soldier◦ Britain and Germany are so much alike: Power

Distance both 36, Masculinity 66◦ Britain has higher individualism index◦ The major dimension of difference: Uncertainty

Avoidance

The Avoidance of Uncertainty (cont’d.)Human beings have to face the fact that they

do not know what hill happen tomorrowExtreme ambiguity brings intolerable anxietyWays of handling uncertainty are part and

parcel of any human institution in any countryFamily, school and state can transfer ways of

handling uncertainty Human societies have developed ways to

handle the anxietyTechnologyLawReligion

Technology, Law, and ReligionTechnology from the most primitive to

the most advanced helps to avoid uncertainties caused by nature

Laws and rules try to prevent uncertainties in the behavior of other people

Religion is a way of relating to the transcendental forces that are assumed to control man’s personal lifeLife after death

The Uncertainty Avoidance Index (UAI) Power Distance Index Individualism- Collectivism Masculinity- Femininity Uncertainty Avoidance Index

By product of power distance The question was: “How often do you feel

nervous or tense at work?” UAI for Germany: 65 UAI for Britain: 35

Uncertainty Avoidance and AnxietyAnxiety is taken from psychology that expresses a diffuse “ state of being uneasy or worried about what may happen.”

Different from fear, because fear has an object

Anxiety levels differ from one culture to another

High UAI countries are more anxious than low UAI

High UAI cultures are expressive, aggressive, busy, and emotional

Low UAI cultures are quiet, controlled, lazy, and dull

Difference Between Uncertainty Avoidance and AnxietyRisk and fear are both focused on something

specificAn object in the case of fearAn event in case of risk

Risk is expressed through a percentage of a probability

Example of speed limit:Higher UAI, higher speed limit, more fatal

accidents , more riskssaving time over saving life

Uncertainty Avoidance According to Occupation, Gender, and Age

For occupation and gender, the study on three questions (stress, rule orientation, and intent to stay), was not conclusive

The study on age showed correlation between high UAI and higher age

In higher UAI countries people intended not to change their employer more frequently

Uncertainty Avoidance in The FamilyCultural interpretation of safe and danger, clean

and dirtyRacism and Ideas to be categorized --- Clean and

dirty races, or safe and dangerous ideas are taught to children by their familiesAngel/ Evil; Truth/ Sinful

Xenophobia: What is Different is Dangerous vs. What is different is Curious

Children in high UAI societies tend to learn that the world is a hostile place, more solid rules, less freedom to discover

Low UAI countries also have their own interpretation of safe and danger/ clean and dirt, but they are less precise, give benefit of the doubt, more flexible rules

Uncertainty Avoidance, happiness, and HealthHappiness is negatively correlated with UAI

based on the 1999 World Values surveyNowadays wealth has no effect on happiness!

Very happy people live in both high UAI and low UAI, but very UNHAPPY people live in high UAI (according to the study done by Veenhoven before 1990)

Health is also negatively correlated with UAIIn high UAI societies patients can spend

more time with the doctors than nursesPeople in low UAI societies live longer!

Uncertainty Avoidance at SchoolLow UAIStudents are comfortable

with open-ended learning situations and concerned with good discussions

Teachers may say, “I don’t know”

Results are attributed to a persons’ own ability

Teachers involve parents

High UAIStudents are

comfortable in structured learning situations and concerned with the right answers

Teachers are supposed to have all the answers

Results are attributed to circumstances or luck

Teachers inform parents

Uncertainty Avoidance in Shopping

Low UAI In shopping the

search is for convenience

Used cars, do-it-yourself home repairs

Fast acceptance of new products such as internet and email

More books and newspapers

Risky Investment Appeal of humor in

advertising

High UAI In shopping the search is

for purity and cleanlinessNew cars, homes, repairs

by expertsThere is a hesitance

towards new products and technologies

Fewer books and newspapers

Conservative investmentAppeal of expertise in

advertising

Uncertainty Avoidance in The Workplace

Laws, rules, and regulations are supposed to prevent uncertain events

In high UAI societies, there are more formal law and internal regulations in order to control work process and duties of employers and employees

People are programmed since their early childhood to work in structured environments, belief in expertise on the work floor

Emotional need for rules can lead to a rule-oriented behavior that sometimes is ritual, inconsistent, and maybe dysfunctional

Uncertainty Avoidance in The Workplace (cont’d.)Low UAI countries have less formal laws.

They establish formal laws if necessaryIn low UAI cultures many problems can

be solved without formal rulesGermans: Very disciplinary

Equally dispersed expertise as workforceIn Britain top managers occupied

themselves with more strategic problems and less with daily operations (unlike France and Germany)

Uncertainty Avoidance in The Workplace (cont’d.)

In high UAI countries, less trademarks were granted due to many regulations, the result can lead to less creativity and innovation

However, low UAI countries may be stronger in the basic steps of innovation, but they do not have the detailed structure in order to implement those innovations into real products or serviceBritain has produced more Nobel prize winners

than Japan, but Japan has produced more new products on the world market

Uncertainty Avoidance, Masculinity and MotivationDavid Mc Clelland from Harvard School of

Psychology conducted a study base on combining UAI and masculinity- femininity factor

Three types of motives:AchievementAffiliationPower

Uncertainty Avoidance, Masculinity and Motivation (cont’d.)

Low UAIMotivation by achievement

and esteem or belongingThere are fewer self-

employed people Intrapreneurs are

relatively free from frameworks

High UAIMotivation by security

or esteem or belonging

There are more self-employed people

Intrapreneures are constrained by existing rules

Uncertainty Avoidance, The Citizen, and The State

In societies with weak UAI if feelings prevails that laws don’t work, they should be withdrawn or changed

In societies with strong UAI laws need to fulfill a need for security even if they are not followed, very similar to to religious commandments

Case study: ◦ Collecting a bounced check◦ Evicting a tenant for nonpayment of rent

More uncertainty avoidance are well provided with laws, but for the citizens to make them work, takes more time

Uncertainty Avoidance, The Citizen, and The State (cont’d.)Low UAI

Fast Result in case of appeal to justice

There is high participation in voluntary associations and movement

Citizen protest is acceptable

Citizens are interested in politics

Liberalism Positive attitude toward

young people Tolerance, even of

extreme ideas

High UAI Slow result in case of

appeal to justice There is low participation

in voluntary associations and movement

Citizens protest should be repressed

Citizens are not interested in politics

Negative attitude toward young people

Extremism, and repression of extremism

Uncertainty Avoidance, Xenophobia, and Nationalism The case of student exchange program between

The Netherlands and Austria◦ Racism

Data from the European Commission report Racism and Xenophobia in Europe (1997) showed that the immigrants should be sent was strongly correlated with UAI. In IBM data it was already found out that foreign managers were less accepted in high UAI cultures

Fascism and racism are often found in high UAI countries that have high value of masculinity as well

Uncertainty Avoidance, Xenophobia, and Nationalism (cont’d.)

The relationship between uncertainty avoidance and individualism/ collectivism:Collectivist countries try to eliminate intergroup

conflicts by denying or repressing it such as Serbia, Arab countries, and Turkey

Some other countries with lower individualism attribute but have different ethnic groups try to be more tolerant and give each other complements such as Malaysia

The United States in theory a majority try to support integration of minorities and equal rights

Uncertainty Avoidance, Religion and IdeasReligious beliefs and rituals help us to accept

the uncertainties we can not defend ourselves against◦ The ultimate certainty: Life after death

UAI review:◦ Most Orthodox and Roman Catholic Christian countries score

high, except for Philippines and Ireland◦ Muslim countries tend to score in the middle◦ Protestant Christian countries below average◦ Buddhist and Hindu countries medium to very low, except for

Japan Different regions, different religious beliefs under the

same religion such as Indonesian, Iranian, Saudi, and Balkan Muslims

Uncertainty Avoidance, Religion and Ideas (cont’d.)

Low UAIMore ethnic toleranceDefensive nationalismOne religion’s truth

should not be imposed on others

Human rights: no one should be prosecuted for their beliefs

Scientist opponents can be personal friends

High UAI More ethnic prejudice Aggressive nationalism In religion, there is

only one truth and we have it

More religious, political, and ideological intolerance and fundamentalism

Scientist opponents can not be personal friends

ASSERTIVENESS VERSUS MODESTY

Masculine pole

Earnings Recognition Advancement challenge

Feminine pole

ManagerCooperationLiving areaEmployment

security

Masculine Culture

Challenge and earning are important

Men should be assertive and tough

Women are supposed to be tender and take care of relationship

Father deal with fact and mother with feeling

Feminine Culture

Relationship and quality of life are important

Both men and women should be modest

Both men and women can be tender and take care of relationship

Both father and mother deal with fact and feelings

Sales Representatives Engineers and Scientists Technicians and skilled craftspeople Managers of all categories Semiskilled and unskilled workers Office workers

Both boys and girls learn their place in society

Children controlled by Parents Children socialize in family Role distribution between husband and

wife Role of men and women

Masculine culture

According to research the teachers don’t praised for the effort

Failing in school is a disaster

Job choices are guided by career opportunities

They follow the same academic curricula

Feminine culture

Teachers rather praised weaker students to encourage them

Failing is a minor incident

Job choices are guided by the interest in subject

academic curricula vary if the country is wealthy or poor

Masculine Culture

People buy more expensive watches and jewelry

People more often fly on business class on pleasure trips

People prefer foreign good than local product

Women shop for food, men shop for cars

More nonfiction is read

Feminine Culture

People spend more on the products for home

People take their carven or trailer with them for vacation

People spend more on making their own stuff

Women and men shop for food and cars

More fiction is read

Masculine Culture Feminine Culture

Resolution of conflicts: by the strongest

Rewards are based on equity

Live in order to work More money preferred

over more time Careers are

compulsory for men, optional for women

Resolution: by compromise and negotiation

Rewards are based on equality

Work in order to live More time preferred

over more money Careers are optional

for both

The masculinity-femininity dimension affects priorities: Solidarity with the weak VS reward for the

strong Aid to poor countries VS investing in armaments Protection of the environment VS economic

growth

Do you know which culture is which and why?What do you conclude?

Masculine Culture Feminine Culture

Tough religions In Christianity: stress

on believing in God Dominant religions

stress the male privilege

Religions approve sex for reproduction rather than recreation

Tender religions In Christianity: stress

on loving one’s another

Dominant religions stress balancing of the sexes

Religions are positive or neutral about sexual pleasure

ReferenceHofstede, Geert (1997). Culture and Organizations: Software of the Mind. New York: McGraw