Culture and Values Frameworks Used to Characterize Cultures

1. Culture and Values Frameworks Used to Characterize Cultures

2. Class Outline • Mini debate on the implications of cultural values in different economies • Mini-lecture on Frameworks for assessing dimensions of culture • Hofstede • Bond • Trompenaars • Ronen & Shenkar

3. What is culture? Umbrella term often used for differences in: • etiquette (e.g. greetings) • individual customs (e.g. routines for sleeping, bathing) • ways of thinking Definition: the way people understand their world and make sense of it, a shared system of meanings. • Culture is learned and imprinted (it is a collective phenomenon). Cultural programming deals with both values and practices. • There are different layers of cultural programming: national culture, professional culture, corporate culture.

4. Resolution • Let it be resolved that distinct Chinese values explain the extraordinary growth rates of China

5. Culture is Difficult to Study • Ethnic, religious, class, age and other sources of heterogeneity • Individual variation within groups • Danger of ethnocentric stereotypes • Intra-cultural vs. cross-cultural behaviour • Evolution as circumstances change

6. “Measuring” Culture • Cultural differences can be inferred from data about a collectivity of people: • Direct measurement through asking well designed questions about people’s values or beliefs. • Data “clustering” methods • Matched samples can then be compared to discover similarities and differences. • At the individual level we speak of cultural attitudes and orientations (but these may not be representative of one’s culture).

7. Cultural Classifications • Hofstede • Bond • Trompenaars By and large, these classifications show similar dimensions and classify countries in the same clusters. • Ronen and Shenkar – “Country Clusters” based on multiple studies

8. Hofstede • A study of IBM employees in 50 countries. Studying values (“the broad tendencies to prefer certain states over others” • Four dimensions • power distance • uncertainty avoidance • individualism/collectivism • femininity/masculinity

9. Power Distance • The extent to which less powerful members of institutions and organizations accept that power is distributed unequally. • A bottom-up view of power differences • Large: Mexico, South Korea, India • Small: U.S.

10. Uncertainty Avoidance • The extent to which members are intolerant of ambiguity and rely on formal rules • A proxy for risk propensity and tolerance • High (i.e. risk averse): Japan, Greece • Low (i.e. risk taking): U.S., Hong-Kong

11. Individualism/Collectivism • The tendency of people to look after themselves and their immediate family versus belonging to groups or collectives and looking after each other in exchange for loyalty • There is an association between collectivism and wealth per capita • High individualism: U.S. • High collectivism: China, Brazil, Venezuela

12. Applications of PD & UA • Small PD, Weak UA • Examples: USA, UK • Less formal rules, less “unnecessary layers of hierarchy”. Control and coordination through mutual adjustment of people through informal coordination • Small PD, Strong UA • Examples: Israel, Austria, Germany • Clearly defined rules and procedures without imposing strong hierarchy • Large PD, Strong UA • Examples: Japan, Korea, Portugal, Mexico • Pyramids, clear authority lines • Large Power Distance, Weak UA • Examples: Singapore, Hong Kong • Family structure. Allocation of duties, strong patriarch

13. Masculinity/Feminity • Values concerning work goals and assertiveness (masculinity) as opposed to personal goals (getting along, having friendly atmosphere) and nurturance (femininity). • A proxy for assertiveness • High: Brazil, Chile, Sweden • Low: Japan, Mexico

14. Bond: The Chinese Connection • Confucian Dynamism Important: persistence ordering relationship by status and observing this order thrift having a sense of shame (sensitivity to social contacts) Less important: personal steadiness and stability protecting your face respect for tradition reciprocation of greetings, favors and gifts.

15. Trompenaars • Individualism versus collectivism • Universalism versus particularism • Neutral versus affective relationships • Specific versus diffuse relationships • Achievement versus ascription

16. Universalism/Particularism • Universalism is the belief that ideas and practices can be applied everywhere without modification. • Universalistic: Germany, U.K. • Particularism is the belief that circumstances dictate how ideas and practices should be applied. • Particularistic: China, Hong-Kong, Venezuela

17. Neutral vs. Affective • A neutral culture is one where emotions are held in check (repressed) • Neutral: Japan, U.K. • An affective country is one in which emotions are openly and naturally expressed • Affective: Mexico, Netherlands, Switzerland

18. Specific Vs. Diffuse • Public versus private spaces • In specific cultures people tend to have a larger public area and small private area. They prefer to keep private life separate. • Highly mobile; Separate work and private life • Direct, open • “To the point” – may appear abrasive • In diffuse cultures the private space is usually larger while the public area is smaller and more guarded. People come across as cool initially the private space is more accessible. • Low mobility; Work and private life closely linked • Indirect, close and introvert • Flexibility is very important

19. Achievement vs. Ascription • Achievement: people are accorded status based on how well they perform their functions. • Achievement: U.K., Argentina • An ascription culture in one in which status is attributed based on who or what a person is. • Ascription: China

20. Questions for Discussion • What are the similarities and differences between the dimensions of uncertainty avoidance and universalism/particularism? • What are the similarities and differences between masculinity/feminity and neutral/affective? • What are the similarities and differences between power distance and achievement/ascription?