Monday, December 17, 2007

Culture Guru:

A summary of Geert Hofstede’s ideas about national culture differences

Hofstede’s ideas were first based on a large research project into national culture differences across subsidiaries of a multinational corporation (IBM) in 64 countries. Subsequent studies by others covered students in 23 countries, elites in 19 countries, commercial airline pilots in 23 countries, up-market consumers in 15 countries, and civil service managers in 14 countries. These studies together identified and validated five independent dimensions of national culture differences:

1. Power distance:
the extent to which the less powerful members of organizations and institutions (like the family) accept and expect that power is distributed unequally.

2. Individualism
(everyone is expected to look after him/herself and his/her immediate family). Contrasts with collectivism (societies in which people from birth onwards are integrated into strong, cohesive in-groups, often extended families (with uncles, aunts and grandparents) which continue protecting them in exchange for unquestioning loyalty.)

3. Masculinity
versus femininity. The assertive pole has been called 'masculine' and the modest, caring pole 'feminine'. Studies show (a) women's values differ less among societies than men's values (b) men's values from one country to another contain a dimension from very assertive and competitive and maximally different from women's values on the one side, to modest and caring and similar to women's values on the other.

4. Uncertainty avoidance:
a society's tolerance for uncertainty and ambiguity. It indicates to what extent a culture programs its members to feel either uncomfortable or comfortable in unstructured situations. Unstructured situations are novel, unknown, surprising, different from usual. Uncertainty avoiding cultures try to minimize the possibility of such situations by strict laws and rules, safety and security measures, and on the philosophical and religious level by a belief in absolute Truth; 'there can only be one Truth and we have it'.

5. Long-term versus short-term orientation. This fifth dimension was found in a study among students in 23 countries around the world, using a questionnaire designed by Chinese scholars It can be said to deal with Virtue regardless of Truth. Values associated with Long Term Orientation are thrift and perseverance; values associated with Short Term Orientation are respect for tradition, fulfilling social obligations, and protecting one's 'face'.


Power distance scores are high for Latin, Asian and African countries and smaller for Germanic countries.

Individualism prevails in developed and Western countries, while Collectivism prevails in less developed and Eastern countries; Japan takes a middle position on this dimension.

Masculinity is high in Japan, in some European countries like Germany, Austria and Switzerland, and moderately high in Anglo countries; it is low in Nordic countries and in the Netherlands and moderately low in some Latin and Asian countries like France, Spain and Thailand.

Uncertainty avoidance scores are higher in Latin countries, in Japan, and in German speaking countries, lower in Anglo, Nordic, and Chinese culture countries.

A Long Term Orientation is mostly found in East Asian countries, in particular in China, Hong Kong, Taiwan, Japan, and South Korea.



The country scores on the five dimensions are statistically correlated with a multitude of other data about the countries.
For example, power distance is correlated with the use of violence in domestic politics and with income inequality in a country.

Individualism is correlated with national wealth (Per Capita Gross National Product) and with mobility between social classes from one generation to the next.

Masculinity is correlated negatively with the share of their Gross National Product that governments of the wealthy countries spend on development assistance to the Third World.

Uncertainty avoidance is associated with Roman Catholicism and with the legal obligation in developed countries for citizens to carry identity cards.

Long Term Orientation is correlated with national economic growth during the past 25 years, showing that what led to the economic success of the East Asian economies in this period is their populations' cultural stress on the future-oriented values of thrift and perseverance.

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