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Chapter1MeaningsandDimensionsofCultureOutlineChap1-1Cross-culturalmanagementChap1-2GlobalizationChap1-3DefinitionsofcultureChap1-4NatureofcultureChap1-5CulturalvaluesChap1-6DimensionsofcultureChap1-7AttitudinalDimensionsofCultureChap1-8Trompenaars’sCulturalDimensions1Chap1-1Cross-culturalmanagement2WhatisCross-CulturalManagement?CCMisafairlynewfieldthatisbasedontheoriesandresearchfrom:CrossCulturalPsychologyInternationalBusinessOrganizationalBehaviourHumanResourcesAnthropology3GoalsforCross-CulturalManagementCrossCulturalManagementseekstounderstandhownationalculturesaffectmanagementpracticesidentifythesimilaritiesanddifferencesacrossculturesinvariousmanagementpracticesandorganizationalcontextsincreaseeffectivenessinglobalmanagement4GlobalizationChap1-25GlobalizationLikeitornot,globalizationishere…tostay.Mostlargecompanieshavesomekindofbusinessrelationswithcustomers,companies,employeesorvariousstake-holdersinothercountries…andcultures.(Globalcorporations)ManyemployeesandmanagersdealwithpeoplefromotherculturesonaconstantbasisMostofushaveacloseexperiencewithonlyoneortwocultures…=>6GlobalizationWedonotunderstandpeoplefromotherculturesasreadilyandintuitivelyaspeoplefromourownculture=>Crossculturalmanagementhelpsorganizationmemberstogainbetterunderstandingofothercultures,oftheircultureandoftheconsequencesofpeoplefromdifferentculturesworkingtogether7DefinitionsofcultureChap1-38CultureDefinition:acquiredknowledgethatpeopleusetointerpretexperienceandgeneratesocialbehavior.Cultureformsvalues,createsattitude,influencesbehavior.9NatureofcultureChap1-410CultureCharacteristicsofcultureinclude:LearnedSharedTransgenerationalSymbolicPatternedAdaptive11Culturaldiversity(P4:Cultureandtypesofhandshake)Culturalvalues(P5:Prioritiesofculturalvalues:US,Japan)(P5:exampleswhereculturecanaffectmanagementapproaches)Depictculturaldiversitythroughconcentriccircles.12CulturalvaluesChap1-513PrioritiesofCulturalValuesUnitedStates1.Freedom2.Independence3.Self-reliance4.Equality5.Individualism6.Competition7.Efficiency8.Time9.Directness10.OpennessArabCountries1.Familysecurity2.Familyharmony3.Parentalguidance4.Age5.Authority6.Compromise7.Devotion8.Patience9.Indirectness10.HospitalityJapan1.Belonging2.Groupharmony3.Collectiveness4.Age/seniority5.Groupconsensus6.Cooperation7.Quality8.Patience9.Indirectness10.Go-between14ManagementApproachesAffectedbyCulturalDiversityCulturalDiversitySort-termvs.long-termhorizonsStabilityvs.innovationIndividualvs.grouprewardsCooperationvs.competitionCentralizedvs.DecentralizeddecisionmakingInformalvs.formalproceduresSafetyvs.riskHighvs.loworganizationalloyalty15Introductiontothecourseofcross-culturalmanagementandourinternationalteachingteamGoalsforCross-culturalmanagementNatureofcultureSummaryofwhatwelearnedlastweek

16Amodelofculture:concentriccirclesComparingcultureasanormaldistributionValuesincultureHofstede’sculturaldimensions

Wewilllearntoday

17Amodelofculture:concentriccirclesExplicitartifactsandproductsofthesocietyImplicit,basicassumptionsthatguidepeople’sbehaviorNormsandvaluesthatguidethesocietyOuterlayer:observable,e.g.language,food,buildings,art.Middlelayer:helpspeopleunderstandhowtheyshouldbehave.Innerlayer:intangible,helpfulforproblem-solvingandwellinteractionswithotherpeople.18ComparingCulturesasOverlappingNormalDistributionChineseCulture?U.S.Culture?19StereotypingfromtheCulturalExtremes:BrughaandDu’sresearchChineseCultureU.S.CultureHowAmericansseetheChinese

incommunityavoidconfrontation(keepinharmony)respectforauthoritiesandseniorsHowChineseseeAmericans

individualismfaceconfrontation(argumentsanddebates)respectforachievements20ValuesinCultureValues:basicconvictionsthatpeoplehaveregardingwhatisrightandwrong,goodandbad,importantandunimportant.Valuedifferencesandsimilaritiesacrosscultures:P10:“commonpersonalvalues”U.S.ValuesandpossiblealternativesValuesintransition:workvalueschangeovertime.21DominantWesternValues

inWorkforceCareerStageEnteredtheWorkforceApproximateCurrentAgeDominantWorkValues1.ProtestantWorkEthic2.Existential3.Pragmatic4.GenerationXMid-1940stoLate1950s1960stoMid-1970sMid-1970stoMid-1980sMid-1980sthrough1990s50to6535to5035to35Under25Hardworking;loyaltofirm;conservativeNonconforming;seeksautonomy;loyaltoselfAmbitious,hardworker;loyaltocareerFlexible,valuesleisure;loyaltorelationships22DimensionsofcultureChap1-623Hofstede’sCulturalDimensionsDutchresearcherGeertHofstedefoundtherearefourdimensionsofculture.Hofstede’sinitialdata:questionnairesurveyswithover116000respondentsfromover70differentcountrieswhoworkedinthelocalsubsidiariesofIBM.Thefifthdimensionwasaddedlater.Criticizedbecauseofitsfocusonjustonecompany.Popularintheresearchfieldofcross-culturalmanagement.24Hofstede’sFiveCulturalDimensionsPowerDistanceUncertaintyAvoidanceIndividualismMasculinityLong-TermOrientation25PowerDistance:

theextenttowhichlesspowerfulmembersoforganizationsacceptthatpowerisdistributedunequally.Low:peopletreatedasequalsdespitesocialstatusHigh:peopleacceptauthorityrelationsUncertaintyavoidance:

theextenttowhichpeoplefeelthreatenedbyambiguoussituationsandhavecreatedbeliefsandinstitutionsthattrytoavoidthese.Low:preferfewformalrulesHigh:wantclearbehavioralguides26Individualism/collectivism:

thetendencyofpeopletolookafterthemselvesandtheirimmediatefamilyonly(belongtogroupsorcollectivesandtolookaftereachotherinexchangeforloyalty).Low:groupbehaviorimportantHigh:individualbehaviorimportant

AbipolarcontinuumIndividualismCollectivism

IndividualismCollectivism

Individualism

27Masculinity/femininity:

asituationinwhichthedominantvaluesinsocietyare

success,money,andthings(caringforothersandthequalityoflife).Low:cooperation;friendlyatmosphere;employmentsecurity;lowstress;warminterpersonalrelationships.High:competition;challenge;recognition;wealth;advancement;highstress;tightcontrol.

AcontinuumFemininity

Masculinity28Long–termorientation:

valueplacedonpersistence,status,thriftLow:respectfortradition,personalstability,focusedonthepastHigh:perseverance,thrift,focusedonthefutureThisdimensionwasaddedtodepicttheinfluenceofConfucianisminAsia.Thisdimensionissimilarto“Adjusting”proposedbyBrughaandDu.29ExamplesofCulturalDimensionsCountryPowerDistanceIndividualism*Masculinity**UncertaintyAvoidanceLong-termOrientation***ChinaHighLowModerateModerateHighFranceHighHighModerateHighLowGermanyLowHighHighModerateModerateHongKongHighLowHighLowHighIndonesiaHighLowModerateLowLowJapanModerateModerateHighModerateModerateNetherlandsLowHighLowModerateModerateRussiaHighModerateLowHighLowUnitedStatesLowHighHighLowLowWestAfricaHighLowModerateModerateLow*Alowscoreissynonymouswithcollectivism**Alowscoreissynonymouswithmasculinity***Alowscoreissynonymouswithashort-termorientationAdditionalFrameworksTwoadditionalperspectives,ofsocial/cross-culturalpsychologistsmeritattention:Markus&Kitayama:Independent&InterdependentConstrualsTriandis:Individualism-Collectivism31Vertical&HorizontalIndividualism&CollectivismHarryTriandis:CombinationofIndividualismvs.collectivismandpower&achievementvs.benevolence&universalismVI:achievement+individualism(USA)HI:universalism+individualism(Sweden)VC:power+collectivism(India)HC:benevolence+collectivism(Israel;rare)32Schwartz’sValuesUniversalismBenevolenceConformity&traditionSecurityPowerAchievementHedonismStimulationSelfDirection33Schwartz’sValueMap34EmpiricaltestoftheTheory75,000+respondents,variedsamplesin68countriesInstrumentlists57abstractvalueitems“Howimportantiseachitemasaguidingprincipleinyourlife?”35Tasksinthenextsession:Students’talksandpresentationsDiscussioningroups:howtolearnCross-culturalmanagement?Assignmentafterclass:ReadapaperonHofstede’sculturaldimensions.36PreviewIntegratingHofstede’sculturaldimensionsAttitudinaldimensionsofcultureTrompenaars’sculturaldimensionsIntegratingcultureandmanagement37Chap1-7AttitudinalDimensionsofCulture

WorkValueandAttitudeSimilaritiesResearchhasrevealedmanysimilaritiesinbothworkvaluesandattitudesRonenandKrautSmallestspaceanalysis(SSA)-mapstherelationshipamongcountriesbyshowingthedistancebetweeneachonvariousculturaldimensionsCanidentifycountryclustersRonenandShenkarExaminedvariablesinfourcategoriesImportanceofworkgoalsNeeddeficiency,fulfillment,andjobsatisfactionManagerialandorganizationalvariablesWorkroleandinterpersonalorientation38ASynthesisofCountryCultures39GLOBEProjectMulti-countrystudyandevaluationofculturalattributesandleadershipbehaviorAretransformationalcharacteristicsofleadershipuniversallyendorsed?170countryco-investigators65differentcultures17,500middlemanagers800organisations40GLOBEProjectWhattraitsareuniversallyviewedasimpedimentstoleadershipeffectiveness?BasedonbeliefsthatCertainattributesthatdistinguishoneculturefromotherscanbeusedtopredictthemostsuitable,effectiveandacceptableorganizationalandleaderpracticeswithinthatcultureSocietalculturehasdirectimpactonorganizationalcultureLeaderacceptancestemsfromtyingleaderattributesandbehaviorstosubordinatenorms41Variable Highest Medium Lowest Ranking Ranking RankingGLOBECulturalVariableResultsAssertiveness Spain,U.S. Egypt,Ireland Sweden,New ZealandFutureorientation Denmark,Canada Slovenia,Egypt Russia,ArgentinaGenderdifferentiation SouthKorea, Italy,Brazil SwedenDenmark EgyptUncertaintyavoidance Austria,Denmark Israel,U.S. Russia,HungaryPowerdistance Russia,Spain England,France Demark,NetherlandsCollectivism/Societal Denmark, HongKong,U.S. Greece,Hungary SingaporeIn-groupcollectivism Egypt,China England,France Denmark, NetherlandsPerformanceorientation U.S.,Taiwan Sweden,Israel Russia,ArgentinaHumaneorientation Indonesia,Egypt HongKong, Germany,Spain SwedenChap1-8Trompenaars’CulturalDimensions

ResearchproducedfiveculturaldimensionsthatarebasedonrelationshiporientationsandattitudestowardbothtimeandtheenvironmentUniversalismvs.ParticularismUniversalism-beliefthatideasandpracticescanbeappliedeverywhereintheworldwithoutmodificationFocusonformalrulesandrelyonbusinesscontactsParticularism-beliefthatcircumstancesdictatehowideasandpracticesshouldbeappliedandsomethingcannotbedonethesameeverywhereFocusonrelationships,workingthingsouttosuittheparties43Trompenaars’CulturalDimensions(cont.)Individualismvs.CommunitarianismIndividualism-peopleregardthemselvesasindividualsRelyonindividualstomakedecisionsCommunitarianism-peopleregardthemselvesaspartofagroupSeekconsultationandmutualconsentbeforemakingdecisionsNeutralvs.EmotionalNeutral-cultureinwhichemotionsareheldincheckPeopletrynottoshowtheirfeelingsEmotional-cultureinwhichemotionsareexpressedopenlyandnaturallyPeoplesmile,talkloudly,greeteachotherwithenthusiasm44Specificvs.DiffuseSpecific-cultureinwhichindividualshavealargepublicspacetheyreadilysharewithothersandasmallprivatespacetheyguardcloselyandsharewithonlyclosefriendsandassociatesPeopleoftenareopenandextrovertedWorkandprivatelifeareseparateDiffuse-cultureinwhichbothpublicandprivatespacearesimilarinsizeandindividualsguardtheirpublicspacecarefully,becauseentryintopublicspaceaffordsentryintoprivatespaceaswellPeopleoftenappearindirectandintroverted,andworkandprivatelifeoftenarecloselylinkedTrompenaars’CulturalDimensions(cont.)45Trompenaars’CulturalDimensions(cont.)Achievementvs.AscriptionAchievement-cultureinwhichpeopleareaccordedstatusbasedonhowwelltheyperformtheirfunctionsAscription-cultureinwhichstatusisattributedbasedonwhoorwhatapersonisForexample,statusmaybeaccordedonthebasisofage,gender,orsocialconnectionsTimeSequentialapproachtotime-peopledoonethingatatime,keepappointmentsstrictly,followplanstotheletterSynchronousapproach-peopledomorethanonethingatatime,appointmentsareapproximate46Trompenaars’CulturalDimensions(cont.)EnvironmentInner-directedPeoplebelieveincontrollingenvironmentaloutcomesOuter-directedPeoplebelieveinallowingthingstotaketheirnaturalcourseCulturalPatternsorClustersDefinedgroupsofcountriesthataresimilartoeachotherintermsofthefivedimensionsandtheorientationstowardtimeandtheenvironment47Trompenaars’CulturalGroupsAngloclusterRelationship UnitedStatesUnitedKingdomIndividualismxxCommunitarianism SpecificrelationshipxxDiffuserelationshipUniversalismxxParticularismNeutralrelationshipxEmotionalrelationshipxAchievementxxAscription48Trompenaars’CulturalGroupsAsianclusterRelationship JapanChinaIndonesiaHongKongSingaporeIndividualismCommunitarianism xxxxxSpecificrelationshipDiffuserelationshipxxxxxUniversalismParticularismxxxxxNeutralrelationshipxxxxEmotionalrelationshipxAchievementAscriptionxxxxx

49Trompenaars’CulturalGroupsLatinAmericanclusterRelationship ArgentinaMexicoVenezuelaBrazilIndividualismxxxCommunitarianism SpecificrelationshipDiffuserelationshipxxxxUniversalismParticularismxxxxNeutralrelationshipxxxEmotionalrelationshipxAchievementxxAscriptionxx

50Trompenaars’CulturalGroupsLatin-EuropeanclusterRelationship FranceBelgiumSpainItalyIndividualismxCommunitarianism xxxSpecificrelationshipxxDiffuserelationshipxxUniversalismxxxParticularismxNeutralrelationshipxEmotionalrelationshipxx

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