Hofsted cultural dimensions

Question 1

Hofstede’s cultural dimensiosn

Answer 1

Way of understanding culture of a business based on its beliefs and cultures
- can help improve communication / cooperation between people from differnet cultures
- provides framework for understanding how differnet cultures can affect business dealings

Question 2

Power distance

Answer 2

Extent to which less powerful members of organisations expect and accept that power distributed inequally

Question 3

Individualism

Answer 3

Degree of interdependence a business maintains among members
- Individualists: People supposed to look after themselves and direct family only
- Collectivists: People belong in groups that take care of them in exchange for loyalty

Question 4

Motivation towards success

Answer 4

• Decisive: driven by by competiton, achievement, sucess
• Consensus: Caring for others and quality of life

Question 5

Uncertainty avoidance

Answer 5

Extent to which business tolerates or avoids uncertainty / ambiguity. Extent to which business creates beliefs / institutions that try to avoid unknown situations

Question 6

Long term orientation

Answer 6

Extent to which business has links to own pasts when dealing with challenges of present / future
- Low score: maintain traditions / norms
- High score: encourage modern education as way to prepare for future

Question 7

Indulgence

Answer 7

Extent to which people try to control desires and impulses based on way they were raised. Defined as restraint or indulgent business cultures.