HOFSTEDE’S DIMENSIONS OF CULTURE
Greet Hofstede Cultural Dimensions was developed based on collecting the data drew from IBM and its subsidiaries which covered more than 70 countries during 1967 and 1973. Hofstede's Framework discusses the dimensions of national culture as a result of the findings of a survey involving 116,000 employees working in IBM selected from 40 countries around the world. The study was conducted in the year 1970 to find out the variations seen among the employees and managers (Stephen P. Robbins, James, 2003). The dimensions are useful to illustrate the different values and beliefs hide in different nations. However, the different values and beliefs lead to different behavior towards people’s daily life as well as their workplace.
Power distance refers to the degree of people expect or can accept the distribution of power unequally in the society or organization. The power distance is distributed un equally in the firms and organizations. Power distance measures this degree to which people are separated or accept power in a firm. A high power distance means domination of the senior management and the employees have to bear or obey the orders of the senior management. This type is characterized by dominant culture. In a low power culture, there will be more stress on opportunity and equality (Stephen P. Robbins, James, 2003).
First world nations have low power distance and perceive everyone as equal. People in the country with lower power distance urge to seek for justification towards equalities of power. In United States, a First world nation, equal employment opportunity is stressed and followed to a great extent. Third world nations have high power distance and this implies that the people are seldom sharing their opinions and disagreement to their superior. People feel comfortable with the distribution power unequally. In Egypt, one of the Third world nations, management has more power and there will be less interaction between the management and the employees. There is a mismatch between First world nations and Third world nations in this cultural dimension and Companies have to change their marketing practices according to the power distance aspect.
Individualism versus Collectivism
Individualism refers that the individual is only concern about himself or herself and their family. They take less care of the people around them and emphasize on their individual goals. The relationship between the individuals is loose and a lack of interpersonal connection. In an individualistic culture, focus is given to individuals and excellent leaders arise from this culture. Americans follow an individualistic culture.
Collectivism is definitely with opposite behavior comparing with individualism. The relationship between each individual is very tight. People perceive each other in a strong cohesive group and would happy to share things among the group. They are more loyalty and...