The Light Of Cultural Distance

Understanding the differences and similarities inherent in other cultures may provide opportunities when working with individuals (or groups) who may have different cultural values, beliefs, and/or norms. There are multiple ways to explore different cultures. One way is through Hofstede’s (2017) cultural dimension; which are currently made up of six broad categories, including high-low power distance, individualism-collectivism, masculinity-femininity, uncertainty avoidance, long-short term orientation, and indulgence-restraint. It is beyond the scope of this paper to explore all these cultural dimensions in great detail; however, it is important to understand some of the implications of these scores. The scores for both the US and China can be seen in Table 1, along with the differences between each score.

Management Summary This Bachelor Thesis will yield insights in the applicability of motivational theories across cultures. Within a globalizing working environment this research will provide relevant information on how to motivate employees with a different cultural background. The research combines the theory of Hofstede’s four dimensions (Power Distance, Uncertainty Avoidance, Individualism/Collectivism and Masculinity/Femininity) with two theories of

The impact of national cultures on marketing practices has been such that it brought about the creation of an academic field, with as a lead-researcher, Geert. Hofstede, on whose writings I have based my analysis.

Everyone has a different way of life, whether it be by the way you talk, dress, or eat. Or maybe how you dance, sing, and perform. These aspects of everyday life is called culture. Everybody in the world has a culture, but not all cultures are the same from person to person. In the book, The Miles Between, a group of teens, who attend a boarding school, have a different way of life than I do. Even though there is many differences between our cultures, there are still some similarities peeping through all the differences.

Hofstede defined the culture as “the collective programming of the mind which distinguishes the members of one group from that another”. His five types of cultural dimensions are the most popular in many cultural area studies, include: (1) power distance; (2) individualism vs. collectivism; (3) uncertainty avoidance; (4) masculinity vs. femininity; and (5) long-term vs. short-term orientation. These dimensions offer an insight towards behaviors and standards in the cultural context which are useful for many motivators to explore the people in different culture. The text suggested that countries with high uncertainty avoidance will lead to more job security, whereas people with low uncertainty avoidance (for example, U.S.) are motivated by new ideas and innovation. People with high power distance are motivated by relationships between subordinates and their boss, while people with low power distance are motivated by team work and relationships with their peers. On the other hand, individuals from high individualism are motivated by opportunities and autonomy; collectivism (for example, Japan) suggests that motivation should be done with group goals and support. Individuals from high masculine culture are comfortable with the tradition and division of works and roles; in a feminine culture, the motivators help people through flexible roles and work

It is this gap in cultural understanding and increase in globalization that makes cultural models, such as Hofstede’s, that much more important to learn and apply during business relations. Many companies that try to expand beyond their current borders end up failing due to refusing to recognize the differences between cultures. An American company that expands into foreign markets, yet tries to run their operations and marketing as they would in America, is going to have a difficult time. Products and well as company practices need to be adapted to suit the country’s business culture, current market climate, taste/preferences of the citizens, etc.

Introduction: There are around 196 countries in the world and the cultures and values differ between the different countries. There are still similarities in some of the culture traits. In today’s world people are more willing to engage in global business and for this reason they need to be able to adapt to the different cultures. As the cultures vary from country to country, people around the world may face many difficulties during their communication. Many businesses have failed due to the fact that they failed to fully assess the market they were entering in. The paper will portray three different approaches that will aid in understanding cultural differences that can be utilized as effective tools in conducting global business. These approaches are known as the context approach, the cluster approach and the dimension approach.

     Cultures are varying among different parts of the globe. People with different cultures have different characteristics and viewpoints on the subjects due to diverse understanding and method of learning. During the past few decades, the international trade grows in a very rapid rate due to the advantages that it provides; “increased sales, operational efficiencies, exposure to new technologies and broader consumer choices” (Heslin). Therefore, when considering the culture aspect to current business world, it is crucial for business to understand the culture aspect because of the tremendous growth of international business as well as utilize the international market to its maximum

Dr. Hofstede performed a comprehensive study of how values in the workplace are influenced by culture. In the 1970’s, as a Dutch researcher Dr. Geert Hofstede, collected and analyzed data from 116,000 surveys taken from IBM employees in forty different countries around the world. From those results, Hofstede developed a model that identifies four primary dimensions of differentiate cultures. These include: Uncertainty Avoidance (UA), Masculinity-Femininity (MAS), Individualism-Collectivism (IND), Power and Distance (PD). After a further study of the Asian culture by researcher Michael Bond in 1991, Hofstede added a fifth dimension in his theory, Long- and Short-term time orientation (LTO), also referred to as the Confucian Dynamism. His research has framed how cultural differences can be used in professional business transactions. Geert Hofstede 's dimensions analysis can assist the business person in better understanding the intercultural differences within regions and between countries.

As Japanese economy soared, its media products such as manga, TV shows, movies and music spread out across Asia. Especially, the young people in Asia began to embrace Japanese culture rather than the culture from the most dominant culture exporter- the United State, and this phenomenon was analyzed by Koichi Iwabuchi in his Feel Asian Modernities. His account of this intra-regionalization in Asia is cultural proximity that Japanese culture shares intimate similarities with other Asian countries and appeal to the audience to perceive this cultural flow.[ Iwabuchi, K(2004), Introduction: Cultural globalization and Asian media connections. Feeling Asian Modernities, pp 12.] In this way, American

Geert Hofstede is an influential Dutch researcher in the fields of organizational studies and more concretely organizational culture, also cultural economics and management. He is a well-known pioneer in his research of cross-cultural groups and organizations and played a major role in developing a systematic framework for assessing and differentiating national cultures and organizational cultures. His studies demonstrated that there are national and regional cultural groups that influence behavior of societies and organizations.

When a business decides to venture internationally into different countries with its products, services, and operations, it is very important that the company gains an understanding of how the culture of the different societies affects the values found in those societies. Geert Hofstede conducted one of the most famous and most used studies on how culture relates to values. Hofstede study enabled him to compare dimensions of culture across 40 countries. He originally isolated four dimensions of what he claimed summarized different cultures — power distance, uncertainty avoidance, individualism versus collectivism, and masculinity versus femininity (Hill, 2013, p.110). To cover aspects of values not discussed in the original paradigm Hofstede has since added two more dimensions — Confucianism or long-term orientation and indulgence versus self-restraint (Hofstede, n.d.). Because of the way Hofstede’s cultural dimensions are given an index score from 0-100, it is easy for a company to get a general comparison between the cultures they are expanding into and the culture they are already in.

The research paper is based on the concept of cultural distance along with different theories and model to understand its working in the current business environment. It further aims to highlight the role of Hofstede model of cultural distance in marketing along with its strength, weakness, and criticism. It also compares the Hofstede model with other different models like Schwartz, Trompenaars, and Hampden-Turner to highlight their differences and research pattern. Moreover, it also highlights the current business scenario in regards of

Understanding the influence of culture in business practices and managerial decision-making requires explaining the differences between cultures. This is why, Hofstede (appendix 1) presents a well-known model based on four dimensions of culture:

There are four cultural dimensions that were defined in Hofstede's research: Power distance, Uncertainty avoidance, Individualism, Masculinity, and recently Hofstede add one more: long-term-short-term orientation. In this part of paper, comparison between Singapore and Saudi Arabia will be discussed, by focusing Hofstede's cultural dimensions as a point of reference