Professional Documents
Culture Documents
Entrepreneurial
Culture
Chapter 4
Entrepreneurial Transformation
LEADERSHI
P
CULTURE STRATEGIE
S
STRUCTURE
S
Culture
Cornwall &
Perlman
Hofstede’s Dimensions of Culture
• Individualism v collectivism – the degree to
which people prefer to act as individuals
rather than as groups
• Power distance – the degree of inequality
accepted by the community
• Uncertainty avoidance – the degree to which
people avoid ambiguity/uncertainty & prefer
structure
• Masculine vs feminine – quality of life issues
like individual achievement & assertiveness vs
relationships & concern for others
National Culture
Low High
South America,
USA, UK, France,
Saudi Arabia, INDIVIDUALISM
Australia, Canada
Pakistan
USA, UK, South America,
Germany, POWER DISTANCE France, Malaysia,
Scandinavia Saudi Arabia
USA,
USA UK,
UK Austria,
North Europe MASCULINITY
Japan, Germany
Cultural Web
POWER STORIES
CULTURAL
PARADIGM
ROUTINES SYMBOLS
CONTROL
RITUALS
SYSTEMS
Cultures & Learning
Enhances learning Inhibits learning
Balances interests of Tasks more important
stakeholders than people
Focuses on people Focus on systems
Empowers people & Allows change only
makes them believe when necessary
Makes time for Preoccupied with short
learning term
Takes holistic Compartmentalises
approach to problem problem solving
solving
Encourages open Restricts information
communication & communication
Believes in teamwork Believes in individual
competition
Has approachable Has controlling leaders
leaders
Balance between Low uncertainty
collectivism & avoidance
Close relationships with
individualism customers
Opportunistic
Creative &
Close relationships with suppliers innovative
Balance between Close relationships with Close relationships with Low power
masculinity & customers customers
distance
femininity
Dimensions of Entrepreneurial Culture
LOW HIGH
INDIVIDUALISM
POWER DISTANCE
UNCERTAINTY AVOIDANCE
MASCULINITY
Organization National/Individual
entrepreneurial entrepreneurial
culture culture
Influences on Culture
Organizational processes Cognitive processes
• Leadership styles • Ethics, beliefs, assumptions
• Structures & attitudes
• Controls & rewards • Norms & rules of conduct
• Empowerment
• Routines, rituals, rites & taboos
• Stories, symbols & myths
CULTURE
Behaviors
•How things actually get done
- rational v politicking,
- rule following v bending
• Vocabulary – job titles, slogans, metaphors, signals, gossip
Ways to Destroy a Rich Culture