A basic overview of Hofstede's country culture indeces for students in a Global Marketing or Global Citizenship class.

1. MKTG 2000 Global Marketing
OCT Spring 2014
Dr. Nick De Bonis
Understanding Culture

2. Ethnocentrism
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3. Geert Hofstede
• A Dutch social
psychologist who did a
pioneering study of
cultures across modern
nations.
• Developed a theoretical
framework which
analyzed the
relationships between
cultural beliefs and
organizational actions.
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4. Hofstede on Culture
• Culture = “The collective programming of the
mind distinguishing the members of one group or
category of people from another.”
• “This programming influences patterns of
thinking which are reflected in the meaning
people attach to various aspects of life and which
become (crystallized) in the institutions of a
society.
• “This does not imply that everyone in a given
society is programmed in the same way: there
are considerable differences between
individuals.”
404 April 2014

5. Global Citizenship Terminology
• Enculturation
– Learning one’s own culture
• Acculturation
– Learning a culture other than
one’s own, especially when
living in that other culture
• Immigration
– Entering and residing in a
country not your home
country
– An immigrant
• Emigration
– Leaving your home country to
reside in another
– An emigrant
504 April 2014

6. Hofstede on Culture
• “The collective programming of the mind
distinguishing the members of one group or
category of people from another.”
• The “category” can refer to nations, regions
within or across
nations, ethnicities, religions, occupations, org
anizations, or the genders.
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7. Dimensions of National Culture
• Analyzed employee values scores
– IBM 1967-73, >70 countries, extended to 50
countries and 3 regions.
• Subsequent studies
– 23 countries: commercial airline pilots and
students
– 14 countries: civil service managers
– 15 countries: 'up-market' consumers
– 19 countries: 'elites'
704 April 2014

8. Hofstede’s Cultural Dimensions
• PDI (Power Distance)
• IDV (Individualism vs.
Collectivism)
• MAS (Masculinity vs.
Femininity)
• UAI (Uncertainty
Avoidance)
• PRA (Pragmatic versus
Normative)
• IND (Indulgence versus
Restraint)
804 April 2014
HOFSTEDE’S ORIGINAL FOUR
CULTURAL DIMENSIONS
HOFSTEDE’S LATEST
CULTURAL DIMENSIONS

9. Power Distance Indicator (PDI)
• Measure: the degree of equality/inequality
between people in a particular society.
• High score
– Society accepts, perpetuates inequalities
– Society’s less powerful members accept and
expect that power is distributed unequally.
• Low score
– Society doesn’t emphasize differences in people’s
status, power or wealth.
– Equality is seen as the collective aim of society.
– Upward mobility is common.
904 April 2014

10. PDI World Map
– Click on the map; point at countries on the
website to see the data. After it opens, click on
the slide again to resume the PPT slide show.
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11. PDI: U.S. and Mexico
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100

12. Individualism v. Collectivism (IDV)
• Measure: the degree of interdependence maintained in a
society among its members.
• High score (individualism)
– Societal preference for a loosely-knit social framework in which
individuals are expected to take care of themselves and their
immediate families only.
– Individuality and individual rights are dominant.
– Self-image defined by “I” and independence.
• Low score (collectivism)
– Societal preference for family and strong ties among individuals.
– Individuals expect relatives or members of a particular in-group
to look after them in exchange for unquestioning loyalty toward
the in-group.
– Self-image is defined by “we.”
1204 April 2014

13. Marlboro Advertising
1304 April 2014

14. IDV World Map
– Click on the map; point at countries on the
website to see the data. After it opens, click on
the slide again to resume the PPT slide show.
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15. IDV: U.S. and China
1504 April 2014

16. Masculinity v. Femininity (MAS)
• Measure: the degree society reinforces the traditional
masculine work-role model of male
achievement, control, and power.
• High score (masculine)
– A higher degree of gender differentiation; males tend to
dominate a significant portion of the society and power
structure.
– Society is driven by competition, achievement and success to be
a “winner” or “best-in-the-field.”
• Low score (feminine)
– A lower level of differentiation and inequity between genders;
females are treated equally to males in all aspects of the society.
– Society’s dominant quality of life values is caring for others.
– Success -- standing out from the crowd – isn’t admirable.
1604 April 2014

17. MAS World Map
– Click on the map; point at countries on the
website to see the data. After it opens, click on
the slide again to resume the PPT slide show.
1704 April 2014

18. MAS: U.S. and China
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19. Uncertainty Avoidance (UAI)
• Measure: the level of acceptance for uncertainty and
ambiguity within a society.
• High Score
– Low tolerance for uncertainty and ambiguity.
– Usually a very rule-orientated society which follows well-
defined laws, regulations and controls.
– Society is intolerant of unorthodox behavior and ideas.
• Low Score
– Less rule-orientated, more tolerance for variety and
experimentation.
– Society readily accepts change and is willing to take
risks, to try something new or different, whether it
pertains to technology, business practices, or foodstuffs.
1904 April 2014

20. UAI World Map
– Click on the map; point at countries on the
website to see the data. After it opens, click on
the slide again to resume the PPT slide show.
2004 April 2014

21. UAI: U.S. and China
2104 April 2014

22. Long- v. Short-term Orientation (LTO)
• Measure: to try to distinguish the difference in thinking
between the East and West, it’s the extent to which a
society has a Confucian future-oriented vs. a short-term
perspective.
• High score: Long-term orientation
– Social behavior oriented toward future rewards.
– Thrift and persistence are rewarded by culture.
– Social relationships are ordered by status
– There are many truths based on time and context
• Low Score: Short-term orientation
– Culture emphasizes quick results and the bottom line.
– Society values personal steadiness and stability (individualism).
– Culture has a strong concern with establishing absolute Truth.
• U.S. LTO = 29, CHINA 118
22

23. Pragmatic versus Normative (PRA)
• Measure: how most people in the past culture, as well as today, relate to
the fact that so much that happens around us cannot be explained.
• High score: Pragmatic orientation
– People believe that it’s impossible to understand fully the complexity of life.
– People believe that truth depends very much on situation, context and time.
– They show an ability to accept contradictions, adapt according to the
circumstances, a strong propensity to save and invest, thriftiness and
perseverance in achieving results.
• Low Score: Normative orientation
– People have a strong desire to explain as much as possible.
– People in such societies have a strong concern with establishing the absolute
Truth and a need for personal stability.
– They exhibit great respect for social conventions and traditions, a relatively
small propensity to save for the future and a focus on achieving quick results.
2304 April 2014

24. PRA: U.S. and China
2404 April 2014

25. Indulgence v. Restraint (IND)
• Measure: the extent to which people try to control
their desires and impulses, based on the way they were
raised.
• High score: Indulgence
– People tend to have a relatively weak control over their
impulses.
– Society allows relatively free gratification of basic and
natural human drives related to enjoying life and having
fun.
• Low Score: Restraint
– People tend to have a strong control over their impulses.
– It suppresses gratification of needs and regulates need
gratification by means of strict social norms, e.g., Higher
number of police officers/100,000 people
2504 April 2014

26. IVR World Map
• Click on the map to go to the website.
2604 April 2014

27. IND: U.S. and China
2704 April 2014
IND Scores
Mexico 97
Columbia 83
Sweden 78
Australia 71
Canada 68
India 26
China 24

28. U.S. Cultural Dimension Scores
0
25
50
75
100
PDI IDV MAS UAI LTO IND
40
91
62
46
26
68
2804 April 2014

29. U.S.A. & Top Countries for U.S. Imports
0
25
50
75
100
125
PDI IDV MAS UAI LTO IVR
40
91
62
46
26
68
80
20
66
30
118 USA
Canada
Mexico
China
Japan
2904 April 2014

30. In Step or Out?
• The one thing that's
common between all of
them regardless of whether
. . .
– They’re from a metro or a
village
– They're north, south, east or
west Indian
– They're vegetarians or non-
vegetarians
– they worship four gods or 40
– They're going on a three-mile
walk or going around the
corner to Starbucks. . .
• the men always walk four to
five paces ahead of the
women.
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31. The World Today Is Global
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32. Hofstede References
3204 April 2014
• Click on Hofstede’s photo to view Geert
Hofstede on Culture