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Buying Behavior in International Markets. M.R. Hofstede‘s Cultural Dimensions. Individualism Power distance Uncertainty avoidance Masculinity. Individualism. Relationship between an individual and his fellow individuals in the society
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Hofstede‘s Cultural Dimensions • Individualism • Power distance • Uncertainty avoidance • Masculinity
Individualism • Relationship between an individual and his fellow individuals in the society • USA, GB, Netherlands: highly individualistic cultures;loose ties between individuals – allow a large degree of freedom - individuals look after their own self interests and their own current family • Japan and other Asian countries: ties between individuals are strong – collectivist societies expect individuals to look after the interest of the group they belong to and to hold beliefs and opinions sanctioned by the group
Power distance • Physical and intellectual capacities of a society‘s people are unequeal – but some societies are more unequal than others • Power distance – the way societies deal with human inequality • High power distance: Philippines, India, Hong Kong and France – allow inequalities in power and wealth to grow • Low power distance: Germany, Austria, Denmark and Sweden – try to de-emphasise such inequalities
Uncertainty avoidance • Weak uncertainty avoidance cultures – individuals are socialised to accept and handle uncertainty – they accept each day as it comes, take risks easily, do not work too hard, tolerate opinions and behaviour different from their own e.g. Denmark, Sweden, Hong Kong • In contrast societies with a strong uncertainty avoidance display greater nervousness, aggressiveness and emotional stress – Greece, Belgium, Japan and France
Masculinity • The extent to which typical stereotypes are associated with males and female • High acceptance of masculine values: making money, male brilliance and power, idolise the superman or macho; men are expected to be competitive – women take the role of nurturer and are concerned with the welfare of children -. E.g. Japan, Venezuela, Italy and Austria • Female societies emphasise values associated with female roles and people rather than money: Sweden, Norway, the Netherlands, Denmark
Marketing implications • Analysis of cultural dimensions provides help for international marketers in deciding how to communicate with and operate in different nations. • It facilitates the process of developing long-lasting relationships • Chinese/East Asians often hide their real feelings; they are concerned with group harmony and the feelings of others