Professional Documents
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Conceptual Foundations of Cultural Management Research
Conceptual Foundations of Cultural Management Research
Cross Cultural
2006 Vol 6(3): 361–376 Management
Conceptual Foundations of
Cultural Management Research
Hamid Yeganeh
Laval University, Quebec, Canada
Zhan Su
Laval University, Quebec, Canada
Over the last decades organizational studies Schaffer and Riordan, 2003; Sekaran, 1983;
have witnessed an increasing interest in cul- Tayeb, 1994, 2001; Usunier, 1998). How-
ture. Despite this trend, cultural studies seem ever, it seems that despite some attempts,
to lag behind other fields of management conceptual issues have not received enough
science. While some shortcomings encoun- attention.
tered in cultural management research may This article is a study of the conceptual
be categorized solely as methodological foundations of cultural management research.
issues, others have their origins in conceptual By relying on extant literature, a few major
and theoretical foundations on which research conceptual underpinnings are examined and
hinges. The methodology of cultural research criticized, and some suggestions for improve-
has commonly been discussed (e.g. Bhagat ment are provided. Discussing such issues
and McQuaid, 1982; Cavusgil and Das, can be useful not only for conducting future
1997; Fischer et al., 2005; Nasif et al., 1991; research but also for achieving a more pro-
found understanding of previous studies and attention and support from both scholars and
their limitations. practitioners. As a matter of fact, it is widely
accepted that studies adopting positivistic
Ontological Orientations and and quantitative approaches have more
chance of being published in highly ranked
Research Approaches
management journals, especially in the USA
A review of the literature reveals that much (Johnson and Duberley, 2000).
of cultural management research is based on Despite the popularity of the positivistic
a realist perspective both at ontological and approach, the extent to which it can be used
epistemological levels, and adopts a positivis- to examine an abstract and multi-level notion
tic approach (Aycan, 2000). Accordingly, such as culture is questionable. The positivis-
culture is considered as existing and real sys- tic approach emphasizes the importance of
tems of beliefs and values with deterministic generalizations and universal laws, however
relations among the constituent parts. The cultural studies based on this approach have
goal of research is to explain culture as an established few generalizations. Most impor-
objective reality as fully as possible, and most tantly, the results are neither general nor
of the time it is supposed that there is only exact like those in natural sciences, and
one possible answer to each research ques- therefore they are of limited practical utility
tion (Arbnor and Bjerke, 1997). The posi- in the real world and in predicting organiza-
tivistic approach recognizes that culture as an tional behavior. Since culture is a very com-
objective phenomenon can be accurately plicated concept, the researchers adopting a
measured, observed and investigated. There- positivistic/analytical approach try to choose
fore, research is inclined towards so-called parsimonious models utilizing as few vari-
objective measurement through the use of ables as possible, with the variables being of
questionnaires, surveys and mathematical an objective kind. By operationalization, they
techniques. Definitions and frameworks put try to reduce complex concepts such as cul-
forward by Hofstede (1980), Schein (1999) ture to concrete indicators. Parsimonious
and House et al. (2004) are some examples. measures facilitate the research design, but
The proponents of positivism maintain that by trying to increase the internal validity
operationalization and reductionism seen in (whether or not what has been identified as
this approach are useful for simplifying and the cause produces the effect), they may
explaining an abstract concept such as cul- sacrifice the external validity (the extent to
ture. Most of these studies are characterized which the research findings can be extra-
by rigor and internal validity and intelligible polated to other cases). Since most of these
results. Since the results are relatively con- studies are looking for supposed narrow
text-free they may be replicated for similar causal relationships, they focus only on very
cases. The predictability is in line with the limited aspects of cultural phenomena and
instrumentalist perspective of knowledge they neglect an in-depth understanding.
creation that dominates the modern world. This character of the positivistic approach
Hence, the value of knowledge is equal to its renders cultural research a process of simple
practical use. This can explain why the aim hypothesis-testing rather than thoughtful
of the researcher is to discover narrow cause- investigation (Earley and Singh, 1995). Over-
and-effect relationships and generalizable emphasis on hypothesis-testing has rendered
law-like solutions that permit the prediction culture ahistorical, linguistically naïve and
of implications of culture for organizations. psychologically unaware. In this respect,
Since these studies create practical and hard some scholars assert that positivistic research
knowledge, they are more likely to receive can be employed to produce meaningful
Yeganeh & Su: Conceptual Foundations of Cultural Management Research 363
quantitative measures, but the nature of develop appropriate strategies to collect and
culture renders its understanding through analyze data. Contrary to positivistic studies,
these techniques very difficult to achieve which rely on standardized tools and tech-
(Von Krogh and Roos, 1995). niques such as questionnaires, surveys and
In contrast to the positivistic approach, scales, the whole process of constructivist
social constructivism focuses especially on the research is unstructured, and qualitative
actors’ interpretations or constructions of methods are used for both collecting and
cultures. Viewing culture as a mental con- analyzing the data. The researcher has to
struction implies a hermeneutic approach to engage in a meticulous study of the historical,
investigation rather than using standardized social, political, economical and institutional
etic measures. In this way, the researcher is systems of cultures prior to designing research
looking for the ‘meaning’ of cultural phe- and collecting data (Aycan, 2000). This
nomena rather than possible relationships approach requires much effort and renders
among constituents. Geertz (1974) maintains research a long and tedious enterprise. The
that culture is essentially a semiotic concept results of interpretive studies have been
and its analysis should not be experimental in described as ‘thick’ (Geertz, 1974), in-depth,
search of law, but rather interpretive in meaningful, historical and linguistically rich.
search of meaning. Therefore, interpretive These studies describe details and provide
analysis of culture requires an empathic us with a comprehensive understanding of
approach in which an attempt is made to cultural phenomena, but because of the
understand culture holistically and from the interpretive character of the investigation,
perspective of the participants, rather than the findings remain subjective and context-
through objective analysis by surveys and bound. Once removed from their original
questionnaires. Geertz (1974) compares the context, the results are hardly reliable or
methods of an anthropologist analyzing cul- replicable. The lack of generalizability in this
ture to those of a literary critic analyzing a approach weakens the value of created
text: sorting out the structures of significance knowledge and reduces the likelihood of dis-
and determining their social ground and semination.
import. For that reason, studies adopting a To overcome shortcomings inherent in
constructivist approach rely mostly on quali- every approach, we propose that the organi-
tative methods and try to provide delicate, zational sciences need to take into account
thick, interpretive and microscopic under- not only real and explicit manifestations of
standing of cultural phenomena. These culture, but also implicit and semiotic ones
studies are generally rich in meaning and that need to be interpreted. Thus a practical
incorporate historical and contextual ele- and useful view in cultural research can
ments to offer a holistic picture. imply some degree of rapprochement between
The interpretive approach is very popular the two approaches. It is suggested that
among anthropologists and ethnographers; rather than being contradictory paradigms,
however we know of only a few researchers the positivist and constructivist perspectives
who have adopted this procedure in the area correspond to two different epistemological
of organizational sciences (e.g. Gertsen and levels, and both of them can contribute to a
Søderberg, 1998; Kunda, 1992; Parker, better understanding of culture and its
2000; Vaara, 2000). Brett et al. (1997) sug- impacts on organization. At the ontological
gested that an interpretative approach can be level, a Kantian perspective implies that the
more appropriate for cross cultural organiza- process of perception does not consist only in
tional research. The main challenge for these passive reception of a reality independent of
researchers is to structure their studies and us, but it is a creative process in which our
364 International Journal of Cross Cultural Management 6(3)
minds produce those objects (Delanty, 1997). The proponents of culture-bound man-
Therefore, cultures are not only real systems agement insist on the importance of culture
of beliefs and values, but also products of in organizations. Hofstede (1999) asserts that
mental constructions. At the methodological management is about people, and therefore,
level, it is proposed that the two approaches it is part of the culture of society in which it
can be considered as complementary. While takes place. The culture-bound management
constructivist studies are rich in meaning, approach rejects the convergence thesis by
they are context-bound and poor in general- maintaining that cultural values are deeply
izability. On the other hand, positivistic rooted in individuals and will not converge
investigations involve precision marked by as a result of industrialization or economic
analytical relations and predictability. The ideology. According to this view, cultures
thick description of culture produced by con- differ across borders and managerial prac-
structivist/qualitative research can help us to tices cannot be considered as universal and
define variables and frame hypotheses in context-free (Barkema and Vermeulen,
quantitative research. In a similar way, preci- 1997). For this group of scholars, manage-
sion and intelligible measures provided by ment should be tailored to cultural values.
positivistic/quantitative approaches can lead The literature reveals that most researchers,
to the clarification of abstract and hard-to- especially during last decade, adhere to a
study cultural concepts. culture-bound perspective and accept that
culture has some important implications for
organizational behaviour and management
Incorporating Culture in the
practices (Barkema and Vermeulen, 1997;
Research
Hofstede, 1980, 1999; Sekaran, 1983).
While most scholars (e.g. Hampden-Turner Over the past years, this trend has gained
and Trompenaars, 1993; Hofstede, 1980; momentum and led to overemphasizing the
Schein, 1999) see culture as central to inter- importance of culture to the detriment of
national management, a few others view cul- other social, economic or contextual variables.
tural elements as being of less importance. As a matter of fact, many cross cultural
Proponents of a culture-free approach insist researchers simply compare some aspects of
on two arguments. They maintain that cul- organizational behavior and then, in the
ture is not essentially a significant variable in absence of other explanations for these dif-
management, and that much of its alleged ferences, attribute them to culture (Tayeb,
importance is based more on speculation than 1994). Since culture is a broad and nebulous
on facts (Ajiferuke and Boddewyn, 1970). concept, most of time it is very difficult to dis-
According to this argument, the effects of cul- tinguish between cultural and non-cultural
ture are erased by those of other structural, variables because they are closely entangled.
economic and hard factors. The second argu- Even when it is possible to distinguish
ment for a culture-free perspective rests on between culture and non-cultural variables,
cultural convergence suggesting that during it is difficult to separate their effects. For
the last decades the barriers between different example, the high volume of trade between
cultures have diminished and the world, espe- the US and Canada can be attributed to cul-
cially the business world has become more tural similarities between the two countries;
homogeneous (Levitt, 1983; Ohmae, 1985). however, this may be simply because of their
This homogenization trend can be observed geographical and structural proximities.
in areas such as rationalism, secularism, Many factors that are not fully cultural and
democratization, and increasing interest in some others that are non-cultural may have
capitalism and market-based economies. implications for organizational behavior.
Yeganeh & Su: Conceptual Foundations of Cultural Management Research 365
While culture can be considered as a variable psychology and tried to redefine it according
affecting some aspects of organizations, in to their interests and research orientations.
many cases it is problematic to incorporate it The management literature abounds with
as the only independent variable of research. definitions of culture; however, most of them
We propose that the goal of research are limited in scope and overlook different
should be to provide large variations of inde- facets of this vague and complex notion.
pendent and dependent variables (Kerlinger, Roberts and Boyacigiller (1984) suggested
1986). Therefore, considering culture as the that the most fundamental problem in cul-
principal independent variable can be justi- tural studies is the definitional issue. In fact,
fied only if there are substantial variations in the problem is not the lack of definition, but
both independent and dependent variables. rather the lack of an exhaustive and generally
When it is not possible to separate non- accepted definition. This problem can be
cultural and cultural factors, researchers can attributed to an agreement on general scien-
incorporate both groups of variables by tific paradigms in the field of cultural
defining broader measures. These broader research. According to Kuhn (1970), scien-
measures may not be completely cultural, but tific paradigms are universally recognized
they can serve researchers with more mean- scientific achievements that for a time pro-
ingful findings for predicting dependent vari- vide model problems and solutions to a com-
ables (effects). For example, Goodnow and munity of practitioners. This community of
Hansz (1972) defined geocultural distance as practitioners is a community of scientists who
a broad measure referring to a number of find solutions to the problems defined by the
variables including the level of development paradigm. Those whose research is based on
and political stability, and suggested that shared paradigms are committed to the same
it can be considered as a factor affecting rules and standards for scientific practice
foreign investment. In the same vein, Johan- (Kuhn, 1970). Therefore, an agreement on
son and Vahlne (1977) referred to psychic general paradigms may serve as the definition
distance as the differences in economic devel- and operationalization of culture in organiza-
opment, language, level of education and tional studies (Ronen, 1986). The classical
legal systems. They suggested that structural work of Hofstede (1980), Culture’s Consequences,
differences and language differences should had a considerable impact on the community
be added to cultural differences. We suggest of researchers in organizational disciplines
that in many studies, it would be better to use and, for a while, served as a model. Affected
socioeconomic indices which are much more by Hofstede’s cultural dimensions, many
clear-cut and reliable than so-called cultural researchers tried to define and conceptualize
variables. Some examples include GDP, culture in terms of four (or five) bipolar
GNP, population size and density, market dimensions to study some aspects of organi-
size, stock market characteristics, political zational behavior. Despite its popularity,
system, religious dominance, class structures, Hofstede’s work has been subject to extensive
or education statistics, which are widely avail- criticism from researchers in the area of
able and relatively accurate (Baskerville, organizational science (McSweeney, 2002).
2003; Lindridge, 2005). Hofstede’s cultural dimensions ignore impor-
tant characteristics of culture such as religios-
ity, language, historicity and context. An
Culture Conceptualization
analysis of social science journal articles
Organizational researchers have borrowed showed that Hofstede’s model received very
the concept of culture from other disciplines little attention from other disciplines such as
of the social sciences such as anthropology/ anthropology and sociology, which naturally
366 International Journal of Cross Cultural Management 6(3)
the interaction of existing opposite traits. ture from two different perspectives: cogni-
In contrast with dimensions, cultural ori- tive- and value-based. The cognitive-based
entations can be considered as notions that view emphasizes the importance of cognition
are not necessarily dichotomous and linear. rather than appealing to a set of values.
Models proposed by Hampden-Turner and Cognitive systems can be defined as con-
Trompenaars (1993) and Kluckhohn and sistent modes of thought that introduce
Strodtbeck (1961) represent examples of systematic preferences for particular kinds of
these cultural orientations. Hampden- information that are used in the problem-
Turner and Trompenaars (1993) view cul- solving process. Accordingly, it is argued that
tures as circular and as dancing from one culture can be translated as cognitive systems
preferred point to its opposite. According to that affect behavior at individual and collec-
this assumption, cultural categories do not tive levels. Abramson et al. (1993) argued
exclude each other, but seek to manage their that defining cultural differences in terms of
opposites (Hampden-Turner and Trompen- cognitive processes related to information
aars, 1993). While identifying and measuring gathering and decision making would be
some dimensions/orientations across cul- more useful for managers than defining
tures seems a very pragmatic approach, the differences in values and attitudes that are
extent to which this technique can be used to attributable to national culture. Hall’s frame-
study such a multifaceted concept as culture work (1960) represents a classic model for
is limited. Culture dimensions/orientations analyzing culture that hinges rather on cog-
are essentially etic notions that have been nitive systems and communication process.
developed by relying on predetermined char- The high-/low-context concepts and notions
acteristics and are imposed on other cultures. of monochronic/polychronic time and space
Moreover, cultural dimensions/orientations are narrowly related to cognitive structures
rely solely on cultural means and fail to dis- and can explain many cultural phenomena.
cern the effects of intra-cultural variations As a matter of fact, very few cultural typolo-
within the population (Au, 1999). Intra- gies focus on cognitive structures (Erez and
cultural variation (ICV) refers to the popula- Gati, 2004).
tion distribution of a characteristic within a In contrast with the cognitive-based view,
culture and it can explain much of inter- most authors emphasize the importance of
cultural variation (Au, 1999). It is argued that value systems in shaping and affecting indi-
relying on cultural dimensions/orientations vidual/collective behavior. Hofstede (1980)
can be more useful in cross cultural com- considered values as the building blocks of
parisons that involve numerous cultures. culture and what he has been able to meas-
However, the use of such indices is of limited ure as a manifestation of culture. According
value in explaining and predicting organiza- to Kluckhohn (1951) and Hofstede (1980),
tional behavior at a micro/organizational values have both direction and intensity.
level. One suggestion to enhance the applic- That is, if we hold a value, it implies that
ability of cultural dimensions/orientations at there is some relevance (intensity) attached to
an organizational level is to use them by this value, and with respect to this value
making sense of the context and its history, we consider some good or bad outcomes
and by use of accompanying qualitative (direction). The cross cultural literature
approaches (Osland and Bird, 2000). provides us with different conceptual frame-
Another important issue in studying cul- works based on value systems along which
ture is the emphasis put on value or cognitive cultures may be studied (e.g. Hampden-
systems (Aycan, 2000; Morris and Peng, Turner and Trompenaars, 1993; Hofstede,
1994). In this regard, it is possible to view cul- 1980; Kluckhohn and Strodtbeck, 1961;
368 International Journal of Cross Cultural Management 6(3)
Rokeach, 1973; Schwartz, 1992; Schwartz an index defined by Kogut and Singh (1988).
and Bilsky, 1987). In addition to intensity These authors defined national culture dis-
and direction, the ranking and structure of tance as the degree to which the cultural
values should be taken into consideration norms in one country are different from
since they have important implications for those in another. They constructed cultural
attitudes, and consequently for organiza- distance (CD) as a composite index based on
tional behavior. Values can be ranked the deviation from each of Hofstede’s four
because they have different relative impor- national culture scales: ‘power distance’,
tance; some are central to individual/collec- ‘uncertainty avoidance’, ‘masculinity’ and
tive behavior and overshadow the effects of ‘individualism’. Mathematically, the CD
others. Among the typologies, Rokeach’s index is represented as following:
framework (1973) ranks cultural values. The
model proposed by Schwartz (1992) provides 4
CDj = Σ {(Iij – Iiu)2 /Vi}/4
insight into the structure of value types. i=1
According to Schwartz (1992, 1994) the
values are organized into structures that are Where: CD is cultural distance, Iij is the
almost consistent and universal across cul- index for the ith cultural dimension for the
tures. jth country, Iiu is the index for the ith cultural
dimension for the uth country, Vt is the vari-
ance for the ith cultural dimension.
Cultural Distance
Cultural distance as a quantitative meas-
The mainstream of cross cultural research is ure is quite convenient to be employed in
based on describing differences and irregu- statistical models, but it should be used and
larities across borders. By assuming that two interpreted cautiously. Viewing cultures in
cultures are necessarily different, researchers terms of a few dimensions is an oversimpli-
look for differences and overlook existing fication of reality, but aggregating these
commonalities (Cray and Mallory, 1998). In dimensions into one index might create even
that way, researchers try to build theories more conceptual inaccuracies. Even if we
explaining the effects of culture by relying rely on Hofstede’s model for defining the CD
only on cultural differences. While pointing index, it should be noted that Hofstede’s
out differences is a very useful approach, dimensions do not all affect organizational
overlooking commonalities may reduce the behavior evenly. It is plausible to consider
capacity of research for building compre- that among Hofstede’s dimensions some are
hensive theories. It is argued that regularities more significant than others. In this regard,
can be as valuable as irregularities in under- Hofstede (1994) pointed out that power dis-
standing cultural phenomena. tance and uncertainty avoidance are particu-
An important issue that may cause con- larly relevant for organizations’ functioning.
fusion is the way cultural differences are Shenkar (2001) discussed some hidden
conceptualized. Most of the time cultural assumptions in cultural distance by dividing
difference is taken as equivalent to cultural them into two categories: conceptual and
distance and many authors use the terms methodological.
‘cultural difference’ and ‘cultural distance’ The methodological properties of CD are
interchangeably or without considerable dis- related to some extent to instrumentation;
tinction. Only a few authors have distin- however, conceptual properties are at the
guished between these two terms or defined core of the CD construct and undermine its
them precisely (Harzing, 2003; Shenkar, very validity. Shenkar (2001) criticized the
2001). The term ‘cultural distance’ refers to conceptual properties of cultural distance
Yeganeh & Su: Conceptual Foundations of Cultural Management Research 369
Table 1 Correlations among four cultural dimensions for 56 countries based on Hofstede’s
scores (1980)
Note: PDI = power distance; IND = individualism; MAS = masculinity; UAI = uncertainty avoidance
Similar Dissimilar
(1) Similar (2) Complementary (3) Unrelated (4) Conflictual
Collaboration Conflict
Figure 1 Configurations between two interacting cultures and their expected levels of
collaboration and conflict
increase their overall capability. Unrelated According to the Political Economy Para-
cultures are basically different, do not offer digm (PEP) one motive for a firm to partici-
complementarities to each other and are not pate or remain in a venture might be the
in an antagonistic relation. Finally, conflict- superior bargaining power resulting from its
ual cultures are those that manifest some resources and capabilities (Hersch and Style,
degree of animosity and conflict toward each 2001). When two culturally different organi-
other. Figure 1 summarizes possible configu- zations are brought together, there will be
rations for two interacting cultures and their an interaction between them that can be
expected levels of collaboration and conflict. explained in terms of an acculturation
In our view, this configuration can provide a process. Acculturation is defined as a cultural
better understanding of relationships between change initiated by the unification of two or
two organizations and their respective cul- more autonomous cultural systems (Berry,
tures. It implies that not all cultural differ- 1980). The four identified modes of accul-
ences lead to conflict; some may be useful turation are integration, assimilation, separa-
(complementary), some may be harmful, and tion, and deculturation, which are hardly
others may be unrelated and neutral. This symmetrical (Nahavandi and Malekzadeh,
make-up can explain the proposition of 1988). The asymmetry is of great importance
Morosini et al. (1998) indicating that differ- as power relationships between the parties
ences between two cultures can be sources of may affect how cultural differences are per-
value and synergy in inter-firm ventures. ceived. Having the upper hand in the rela-
Therefore, it is proposed that instead of tionship makes a culture more dominant and
focusing on measuring cultural differences, less vulnerable when confronting the other
cross cultural researchers should try to one. Therefore, it is possible to hypothesize
understand the nature of similarities and dis- that the dominant culture is more likely to
similarities. impose its values on the subordinate partner.
Another important issue concerning inter- The asymmetries may be of greater impor-
actions between two cultures is the shape of tance in the case of cross cultural ventures
their relationships. As mentioned earlier, by between developing and developed coun-
introducing some quantitative measures such tries. There is some empirical support for this
as cultural dimensions or the CD index, most hypothesis. For instance, in their study of
researchers build on the implicit assumption Dutch international joint ventures, Barkema
that the relationship between two organiza- and Vermeulen (1997) found that the effects
tions and their cultures is necessarily sym- of cultural differences were especially signifi-
metrical and linear. However, the relation- cant in the case of ventures formed in devel-
ships between two cultures are rarely even. oping countries.
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Résumé
Sur les fondements conceptuels de la recherche en matière de management
culturel (Hamid Yeganeh et Zhan Su)
Cet article est une réflexion sur les fondements conceptuels de la recherche en matière de
management culturel. En nous appuyant sur la littérature existante, nous examinons quelques
bases conceptuelles, en proposons une analyse critique et faisons quelques suggestions
d’amélioration. Il peut être utile de débattre de ces questions non seulement pour faire
avancer la recherche mais également pour parvenir à une compréhension plus approfondie
des études précédentes et de leurs limites.