Hofstede Cultural Framework

1. Power Distance
2. Individualism vs.
Collectivism
3. Masculinity vs.
Femininity
4. Uncertainty
Avoidance
5. Long Term
Orientation
 Power Distance
• “...the extent to which
the less powerful
members of
institutions and
organizations within a
country expect and
accept that power is
distributed unequally.”
 0
10
20
30
40
50
60
70
80
90
100

U.S.A.

Canada

Germany

Japan

France

PD
Netherlands

Hong Kong

Indonesia

West Africa

Russia

P.R.C
 Power Distance at Work
• Hierarchy
• Centralization
• Salary range
• Participation
• Ideal Boss
• Privilege & status
symbols
 Individualism vs. Collectivism
• Individualist societies:
ties are loose and
everyone looks out for
himself or herself
• Collectivist societies:
people integrated into
strong, cohesive
groups; protection is
exchanged for loyalty
 0
10
20
30
40
50
60
70
80
90
100

U.S.A.

Canada

Germany
Japan

France

ID
Netherlands
Hong Kong

Indonesia

West Africa
Russia

P.R.C
 Individualism / Collectivism
at Work
• Employee-employer
relationship
• Hiring and promotion
decisions
• Managerial focus
• Task vs. relationship
priority
 Masculinity vs. Femininity
• Masculine societies:
social gender roles are
distinct (men focus on
material success; women
on quality of life)
• Feminine societies:
social gender roles
overlap (both quality of
life)
 0
10
20
30
40
50
60
70
80
90
100

U.S.A.

Canada

Germany

Japan

France

MA
Netherlands

Hong Kong

Indonesia

West Africa

Russia

P.R.C
Masculinity / Femininity at Work
• Centrality of work
• Ways of managing &
decision making
• Fem: equality,
solidarity, quality of
work life
• Mas: equity, compete,
performance
• Conflict resolution
 Uncertainty Avoidance
• “…the extent to which
the members of a
culture feel threatened
by uncertain or
unknown situations.”
• NOT the same as risk
avoidance
• Presence of rules
 10
20
30
40
50
60
70
80
90

0
100

U.S.A.

Canada

Germany

Japan

France

UA
Netherlands

Hong Kong

Indonesia

West Africa

Russia

P.R.C
 Uncertainty Avoidance at Work
• Necessity of rules
• Time orientation
• Precision &
punctuality
• Interpretation of
“What is different…”
• Appropriateness of
emotional displays
 Long term orientation
Confucian Dynamism
• The ‘newest’
dimension
• three universal
dimensions and two
fourth dimensions
• Truth vs. Virtue: What
one believes vs. What
one does
 100
120

0
20
40
60
80
U.S.A.

Canada

Germany

Japan

France

LT
Netherlands

Hong Kong

Indonesia

West Africa

Russia

P.R.C
 Confucian Dynamism
• Short-term orientation • Long-term orientation
• Social pressure to • Thrift: being sparing
‘keep up with the with resources
Joneses’ • large savings
• small savings • perseverance toward
• expect quick results slow results
• concern with • concern with respecting
possessing Truth the demands of Virtue
 Hofstede Framework Comparisons

140

120

100

80 U.S.A.
Canada
Japan
Netherlands
60 P.R.C

40

20

0
PD ID MA UA LT
 Idiosyncrasies of North
American Management Theory
• Stress on Market
Processes
• Stress on the
Individual
• Stress on Managers
rather than Workers