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8/3/2019 Geet Hofstead Model
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Geert Hofstede Cultural Dimensions
G. Surya Prakash Rao
Visiting Professor IIPM
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" Culture is more often a source of conflict than of
synergy. Cultural differences are a nuisance at best
and often a disaster.
Prof. Geert Hofstede, Emeritus Professor,
Maastricht University.
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Geert Hofstede's research gives us insightsinto other cultures so that we can be more
effective when interacting with people in other
countries.If understood and applied properly, this
information should reduce your level of
frustration, anxiety, and concern.But most important, Geert Hofstede will give
you the 'edge of understanding' which
translates to more successful results
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An example?
One example of cultural differences in business is between
the Middle Eastern countries and the Western countries,
especially the United States.
When negotiating in Western countries, the objective is to
work toward a target of mutual understanding and agreement
and 'shake-hands' when that agreement is reached - a cultural
signal of the end of negotiations and the start of 'working
together'.
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Example (cont)
In Middle Eastern countries much negotiation takes placeleading into the 'agreement', signified by shaking hands.
However, the deal is not complete in the Middle Eastern
culture. In fact, it is a cultural sign that 'serious' negotiations
are just beginning.
Imagine the problems this creates when each party in a
negotiation is operating under diametrically opposed 'rules
and conventions.'
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Power Distance Index (PDI)
focuses on the degree of equality, or inequality,focuses on the degree of equality, or inequality,between people in the country's societybetween people in the country's society
A High Power Distance ranking indicates that
inequalities of power and wealth have been allowedto grow within the society. These societies are morelikely to follow a caste system that does not allowsignificant upward mobility of its citizens.
A LowPower Distance ranking indicates the societyde-emphasizes the differences between citizen'spower and wealth. In these societies equality and
opportunity for everyone is stressed.
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Individualism (IDV)
focuses on the degree the society reinforcesfocuses on the degree the society reinforcesindividual or collective achievement andindividual or collective achievement and
interpersonal relationships.interpersonal relationships.
A High Individualism ranking indicates thatindividuality and individual rights are paramountwithin the society. Individuals in these societies maytend to form a larger number of looser relationships.
A Low Individualism ranking typifies societies of amore collectivist nature with close ties betweenindividuals. These cultures reinforce extended
families and collectives where everyone takesresponsibility for fellow members of their group.
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Masculinity (MAS)
focuses on the degree the society reinforces, orfocuses on the degree the society reinforces, ordoes not reinforce, the traditional masculine workdoes not reinforce, the traditional masculine work
role model of male achievement, control, androle model of male achievement, control, and
power.power.
A High Masculinity ranking indicates the countryexperiences a high degree of gender differentiation.
In these cultures, males dominate a significant
portion of the society and power structure, with
females being controlled by male domination.
A LowMasculinity ranking indicates the country
has a low level of differentiation and discrimination
between genders. In these cultures, females are
treated equally to males in all aspects of the society
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Uncertainty Avoidance Index (UAI)
focuses on the level of tolerance for uncertainty andfocuses on the level of tolerance for uncertainty and
ambiguity within the societyambiguity within the society -- i.e. unstructured situations.i.e. unstructured situations.
A High Uncertainty Avoidance ranking indicates the countryhas a low tolerance for uncertainty and ambiguity. This
creates a rule-oriented society that institutes laws, rules,
regulations, and controls in order to reduce the amount of
uncertainty.
A LowUncertainty Avoidance ranking indicates the country
has less concern about ambiguity and uncertainty and has
more tolerance for a variety of opinions. This is reflected in a
society that is less rule-oriented, more readily accepts change,
and takes more and greater risks
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Long-Term Orientation (LTO)
fo
cuseso
n the degree the so
ciety embraces,o
r do
es no
tfo
cuseso
n the degree the so
ciety embraces,o
r do
es no
tembrace, longembrace, long--term devotion to traditional, forwardterm devotion to traditional, forward
thinking values.thinking values.
High LongHigh Long--Term OrientationTerm Orientation ranking indicates the country
prescribes to the values of long-term commitments and
respect for tradition. This is thought to support a strong workethic where long-term rewards are expected as a result of
today's hard work. However, business may take longer to
develop in this society, particularly for an "outsider".
A Low Long-Term Orientation ranking indicates the country
does not reinforce the concept of long-term, traditional
orientation. In this culture, change can occur more rapidly as
long-term traditions and commitments do not become
impediments to change.
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Assignment
Match 5 countries for each of the
dimensions
...thank you