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Hofstede’s Hofstede’s Dimensions:Review Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism Masculinity/Femininity Masculinity/Femininity http://www.geert-hofstede.com/geert_hofste http://www.geert-hofstede.com/geert_hofste de_resources.shtml de_resources.shtml This link will show you the values reached This link will show you the values reached for 56 different countries as well as for 56 different countries as well as allowing you to compare any 2 countries allowing you to compare any 2 countries . .

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Page 1: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Hofstede’s Dimensions:Review Hofstede’s Dimensions:Review

Power DistancePower Distance Uncertainty AvoidanceUncertainty Avoidance Individualism/ CollectivismIndividualism/ Collectivism Masculinity/FemininityMasculinity/Femininity http://www.geert-hofstede.com/geert_hofstede_rehttp://www.geert-hofstede.com/geert_hofstede_re

sources.shtmlsources.shtml

This link will show you the values reached for 56 This link will show you the values reached for 56 different countries as well as allowing you to different countries as well as allowing you to compare any 2 countriescompare any 2 countries..

Page 2: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Attitudinal Dimensions of Attitudinal Dimensions of CultureCulture

Work value and attitude similaritiesWork value and attitude similarities Smallest space analysis (SSA) yields clusters of Smallest space analysis (SSA) yields clusters of

countries similar to each othercountries similar to each other

1.1. Anglo-American (U.S., U.K., Australia)Anglo-American (U.S., U.K., Australia)

2.2. Nordic (Norway, Finland, Denmark)Nordic (Norway, Finland, Denmark)

3.3. South American (Venezuela, Mexico, Chile)South American (Venezuela, Mexico, Chile)

4.4. Latin European (France, Belgium)Latin European (France, Belgium)

5.5. Germanic (Germany, Austria, Switzerland)Germanic (Germany, Austria, Switzerland) Other researchers have found other clusters, Other researchers have found other clusters,

depending on variables useddepending on variables used

Page 3: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Synthesis of Country ClustersSynthesis of Country Clusters

Adapted from Figure 4–8: A Synthesis of Country Clusters

Page 4: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Ronen-Shenker quote:Ronen-Shenker quote: As multinational companies increase their direct As multinational companies increase their direct

investment overseas, especially in less developed and investment overseas, especially in less developed and consequently less studied areas, they will require more consequently less studied areas, they will require more information concerning their local employees in order to information concerning their local employees in order to implement effective types of interactions between the implement effective types of interactions between the organization and the host country. The knowledge organization and the host country. The knowledge acquired thus far can help one to understand better the acquired thus far can help one to understand better the work values and attitudes of employees throughout the work values and attitudes of employees throughout the world. America theories work very well for Western world. America theories work very well for Western nations. Are they equally applicable in non-Western nations. Are they equally applicable in non-Western countries? Clearly, more cluster research is called for, countries? Clearly, more cluster research is called for, including research in countries from all parts of the including research in countries from all parts of the globe.globe.

Page 5: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

GROUP EXERCISEGROUP EXERCISE Go back to page 95 in your textbook.Go back to page 95 in your textbook. Which of Hofstede’s dimensions of culture would you use Which of Hofstede’s dimensions of culture would you use

to explain how the management approaches listed were to explain how the management approaches listed were affected by culture?affected by culture?

1/Centralized vs. Decentralized Decision Making1/Centralized vs. Decentralized Decision Making

2/Safety vs. Risk2/Safety vs. Risk

3/Individual vs.. Group Reward3/Individual vs.. Group Reward

4/Informal vs.. Formal Procedures4/Informal vs.. Formal Procedures

5/High vs.. Low Organizational Loyalty5/High vs.. Low Organizational Loyalty

6/Cooperation vs.. Competition6/Cooperation vs.. Competition

7/Short-term vs.. Long-term Horizons7/Short-term vs.. Long-term Horizons

8/Stability vs. Innovation8/Stability vs. Innovation

Page 6: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Universalism: belief that ideas and practices can be Universalism: belief that ideas and practices can be applied everywhere in the world without modificationapplied everywhere in the world without modification In countries with high universalism, focus is more In countries with high universalism, focus is more

on formal rules, business contracts are adhered to on formal rules, business contracts are adhered to closely, people believe “a deal is a deal”closely, people believe “a deal is a deal”

Includes Canada, U.S., Germany, U.K., Includes Canada, U.S., Germany, U.K., Netherlands, France, Japan, Singapore, Thailand, Netherlands, France, Japan, Singapore, Thailand, and Hong Kong.and Hong Kong.

VS.Universalism Particularism

Page 7: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Particularism: belief that circumstances dictate how Particularism: belief that circumstances dictate how ideas and practices should be applied and something ideas and practices should be applied and something cannot be done the same everywherecannot be done the same everywhereIn countries with high particularism, legal contracts In countries with high particularism, legal contracts

often modified, well-acquainted people often often modified, well-acquainted people often change the way in which deals are executedchange the way in which deals are executed

Includes China and South KoreaIncludes China and South Korea

VS.Universalism Particularism

Page 8: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Individualism: people regard themselves as individualsIndividualism: people regard themselves as individualsIn countries high on individualism, people stress In countries high on individualism, people stress

personal and individual matters, and are more likely personal and individual matters, and are more likely to make negotiated decisions on the spot by a to make negotiated decisions on the spot by a representative, achieve things alone and assume representative, achieve things alone and assume great personal responsibilitygreat personal responsibility

Includes Canada, Thailand, U.K., U.S., Includes Canada, Thailand, U.K., U.S., Netherlands, France, Japan, China, Singapore, and Netherlands, France, Japan, China, Singapore, and Hong KongHong Kong

VS.Individualism Communitarianism

Page 9: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Communitarianism: people regard Communitarianism: people regard themselves as part of a groupthemselves as part of a groupIn countries high on communitarianism, In countries high on communitarianism,

people value group-related issues, refer people value group-related issues, refer decisions to committees, achieve things in decisions to committees, achieve things in groups and jointly assume responsibilitygroups and jointly assume responsibility

Includes Malaysia and KoreaIncludes Malaysia and Korea

VS.Individualism Communitarianism

Page 10: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Neutral: culture in which emotions are held inNeutral: culture in which emotions are held inIn high neutral culture countries, people try not to show In high neutral culture countries, people try not to show

their feelings, act stoically and maintain their composuretheir feelings, act stoically and maintain their composureIncludes Japan and the U.K.Includes Japan and the U.K.

Emotional: culture in which emotions are expressed openly Emotional: culture in which emotions are expressed openly and naturallyand naturallyIn high emotional culture countries, people smile a great In high emotional culture countries, people smile a great

deal, talk loudly when excited and greet each other with deal, talk loudly when excited and greet each other with enthusiasmenthusiasm

Includes Mexico, the Netherlands and SwitzerlandIncludes Mexico, the Netherlands and Switzerland

VS.Neutral Emotional

Page 11: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Specific culture: individuals have a large Specific culture: individuals have a large public space shared with others and a small public space shared with others and a small private space they guard closely and share private space they guard closely and share only with close friends and associatesonly with close friends and associatesIn high specific cultures, people are more open In high specific cultures, people are more open

and extroverted, and there is a strong and extroverted, and there is a strong separation of work and private lifeseparation of work and private life

Includes Austria, U.K., U.S. and SwitzerlandIncludes Austria, U.K., U.S. and Switzerland

VS.Specific Diffuse

Page 12: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Diffuse culture: public and private space Diffuse culture: public and private space are similar in size, individuals guard public are similar in size, individuals guard public space carefully because it is shared with space carefully because it is shared with private spaceprivate spaceIn high diffuse cultures, people often appear In high diffuse cultures, people often appear

to be indirect and introverted, and work and to be indirect and introverted, and work and private life often are closely linkedprivate life often are closely linked

Includes Venezuela, China, and SpainIncludes Venezuela, China, and Spain

VS.Specific Diffuse

Page 13: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Achievement culture: status is accorded Achievement culture: status is accorded based on how well people perform their based on how well people perform their functionsfunctionsIncludes Austria, U.S., Switzerland and the U.K.Includes Austria, U.S., Switzerland and the U.K.

Ascription culture: status is based on who or Ascription culture: status is based on who or what a person iswhat a person isIncludes Venezuela, Indonesia, and ChinaIncludes Venezuela, Indonesia, and China

VS.Achievement Ascription

Page 14: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Sequential approachSequential approachPeople do only one activity at a time, keep People do only one activity at a time, keep

appointments strictly, prefer to follow plans as laid appointments strictly, prefer to follow plans as laid out (United States)out (United States)

Synchronous approachSynchronous approachPeople tend to multi-task, view appointments as People tend to multi-task, view appointments as

approximate, schedules are seen as subordinate to approximate, schedules are seen as subordinate to relationships (Mexico/Middle East)relationships (Mexico/Middle East)

Time

Page 15: Hofstede’s Dimensions:Review Power Distance Power Distance Uncertainty Avoidance Uncertainty Avoidance Individualism/ Collectivism Individualism/ Collectivism

Trompenaars’ Cultural Trompenaars’ Cultural DimensionsDimensions

Inner-directed: people believe in controlling Inner-directed: people believe in controlling outcomesoutcomesIncludes U.S., Switzerland, Australia, Belgium, Includes U.S., Switzerland, Australia, Belgium,

Indonesia, Hong Kong, Greece, Singapore, and Indonesia, Hong Kong, Greece, Singapore, and JapanJapan

Outer-directed: people believe on letting Outer-directed: people believe on letting things take their own coursethings take their own courseIncludes China and many other Asian countriesIncludes China and many other Asian countries

The Environment