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The Impact of
National
Culture
Dimitar Bakardzhiev
© 2013 Rexintegra Ltd.
What is culture?
• Definition: the way people understand
their world and make sense of it, a shared
system of meanings.
• ...
“Measuring” Culture
 Cultural differences can be inferred from data about
a collectivity of people:
 Direct measurement ...
Definition 1
• “Knowledge, belief, art, morals, law,
custom, and any other capabilities and
habits acquired by man as a me...
Definition 2
• “A set of distinctive spiritual, material,
intellectual and emotional features of
society or a social group...
Definition 3
• Collective programming of the minds –
Geert Hofstede

© 2013 Rexintegra Ltd.
Definition 4
• ”Culture is the way in which a group of
people solves problems” - Trompernaars’
and Hampden-Turner’ model

...
Cultural Classifications
• Hofstede (Minkov)
• Trompenaars
By and large, these classifications show
similar dimensions and...
Hofstede Model
• Based on global research, Geert Hofstede
‘measures’ country culture on 5 cultural
dimensions
• Power Dist...
Power Distance Index (PDI)
Power Distance has been defined as the
extent to which the less powerful members
of organizatio...
Ten Differences Between Smalland Large- PDI Societies

© 2013 Rexintegra Ltd.
Individualism (IDV)
The fundamental issue addressed by this
dimension is the degree of interdependence
a society maintains...
Ten Differences Between Weakand Strong- IDV Societies

© 2013 Rexintegra Ltd.
Masculinity (MAS)
A high score (masculine) on this dimension
indicates that the society will be driven by
competition, ach...
Ten Differences Between Weakand Strong- MAS Societies

© 2013 Rexintegra Ltd.
Uncertainty Avoidance (UAI)
The dimension has to do with the way that a
society deals with the fact that the future
can ne...
Ten Differences Between Weakand Strong- UAI Societies

© 2013 Rexintegra Ltd.
Long-term Orientation (LTO)
The long term orientation dimension is
closely related to the teachings of Confucius
and can b...
Ten Differences Between Weakand Strong- LTO Societies

© 2013 Rexintegra Ltd.
What about Bulgaria?

© 2013 Rexintegra Ltd.
Bulgaria PDI
Bulgaria scores high on this dimension
(score of 70) which means that people
accept a hierarchical order in w...
Bulgaria IDV
Bulgaria, with a score of 30 is considered a
collectivistic society. Loyalty in a collectivist
culture is par...
Bulgaria MAS
Bulgaria scores 40 on this dimension and is
thus considered a relatively feminine
society. The focus is on “w...
Bulgaria UAI
Bulgaria scores 85 on this dimension and
thus has a very high preference for avoiding
uncertainty. Maintains ...
Bulgaria/USA

© 2013 Rexintegra Ltd.
Bulgaria/Germany/France

© 2013 Rexintegra Ltd.
Trompenaars Model
•
•
•
•
•
•
•

Individualism vs. Collectivism
Universalism vs. Particularism
Neutral vs. Affective relat...
Universalism
• rules or laws that can be applied to
everyone;
• agreements and contracts are used as the
basis for doing b...
Particularism
• placing emphasis on friendships and
looking at the situation to determine what
is right or ethically
• acc...
Individualism
• frequent use of “I”,
• decision are made on the spot by
representatives,
• people ideally achieve alone an...
Collectivism
• frequent use of “we”
• decisions referred back by the delegates
to the organization
• people ideally achiev...
Neutral Relationships
• not revealing what one is thinking or
feeling
• only accidental revelation of tension in
face and ...
Affective Relationships
• nonverbal and verbal display of thoughts
and feelings
• transparency and expressiveness in
relea...
Specific Relationships
• a small private life that is kept private;
• large social/public life that is very open to
others...
Diffuse Relationships
• a large private life that includes a relatively
large number of people;
• small public space that ...
Achievement
• It is awarding status based upon
accomplishments. Characterized by:
– use of titles only when relevant to th...
Ascription
• It is ascribing status based upon social
position, age, etc.
– extensive use of titles, especially when these...
Sequential Time vs. Synchronic
Time
“Do we do things one at a time or several
things at once?”
The degree to which individ...
Sequential Time vs. Synchronic
Time
• In a sequential culture, people structure
time sequentially and do things one at a
t...
Time Orientation (Past,
Present, Future)
• Past orientation
– talk about history, origin of family, business
and nation
– ...
Time Orientation (Past,
Present, Future)
• Present orientation
– activities and enjoyments of the moment are
most importan...
Time Orientation (Past,
Present, Future)
• Future orientation
– much talk of prospects, potentials, aspirations,
future ac...
Examples of Country Ratings
on Trompenaars’ Dimensions

© 2013 Rexintegra Ltd.
Universalism vs.
Particularism

© 2013 Rexintegra Ltd.
Inner vs. Outer Direction

© 2013 Rexintegra Ltd.
Neutral vs. Affective
relationships

© 2013 Rexintegra Ltd.
Individualism vs.
Collectivism

© 2013 Rexintegra Ltd.
Specific vs. Diffuse
relationships

© 2013 Rexintegra Ltd.
Achievement vs. Ascription

© 2013 Rexintegra Ltd.
Conclusion / Hofstede /
In Bulgarian culture are predominated :
•collectivism;
•high power distance;
•strong uncertainty a...
Conclusion / Trompenaars /
In Bulgarian culture are predominated:
•particularistic culture;
•collectivistic culture;
•spec...
Literature
• Hofstede, G. (2001) Culture’s
consequences.
• Cultures and Organizations - Software for
the Mind [Revised & E...
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The impact of national culture

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The impact of national culture

  1. 1. The Impact of National Culture Dimitar Bakardzhiev © 2013 Rexintegra Ltd.
  2. 2. What is culture? • Definition: the way people understand their world and make sense of it, a shared system of meanings. • Culture is learned and imprinted. Cultural programming deals with both values and practices. • There are different layers of cultural programming: national culture, professional culture, corporate culture. © 2013 Rexintegra Ltd.
  3. 3. “Measuring” Culture  Cultural differences can be inferred from data about a collectivity of people:  Direct measurement through asking well designed questions about people’s values or beliefs.  Data “clustering” methods  Matched samples can then be compared to discover similarities and differences.  At the individual level we speak of cultural attitudes and orientations (but these may not be representative of one’s culture) © 2013 Rexintegra Ltd.
  4. 4. Definition 1 • “Knowledge, belief, art, morals, law, custom, and any other capabilities and habits acquired by man as a member of society” – Sir Edward Taylor, English anthropologist, 1832-1917 © 2013 Rexintegra Ltd.
  5. 5. Definition 2 • “A set of distinctive spiritual, material, intellectual and emotional features of society or a social group” & includes art and literature, lifestyles, ways of living together, value systems, traditions and beliefs – UNESCO 2002 © 2013 Rexintegra Ltd.
  6. 6. Definition 3 • Collective programming of the minds – Geert Hofstede © 2013 Rexintegra Ltd.
  7. 7. Definition 4 • ”Culture is the way in which a group of people solves problems” - Trompernaars’ and Hampden-Turner’ model © 2013 Rexintegra Ltd.
  8. 8. Cultural Classifications • Hofstede (Minkov) • Trompenaars By and large, these classifications show similar dimensions and classify countries in the same clusters. © 2013 Rexintegra Ltd.
  9. 9. Hofstede Model • Based on global research, Geert Hofstede ‘measures’ country culture on 5 cultural dimensions • Power Distance Index (PDI) • Individualism (IDV) • Masculinity (MAS) • Uncertainty Avoidance (UAI) • Long-term Orientation (LTO) © 2013 Rexintegra Ltd.
  10. 10. Power Distance Index (PDI) Power Distance has been defined as the extent to which the less powerful members of organizations and institutions (like the family) accept and expect that power is distributed unequally. This represents inequality (more versus less), but defined from below, not from above. It suggests that a society's level of inequality is endorsed by the followers as much as by the leaders. © 2013 Rexintegra Ltd.
  11. 11. Ten Differences Between Smalland Large- PDI Societies © 2013 Rexintegra Ltd.
  12. 12. Individualism (IDV) The fundamental issue addressed by this dimension is the degree of interdependence a society maintains among its members. It has to do with whether people´s self-image is defined in terms of “I” or “We”. In Individualist societies people are supposed to look after themselves and their direct family only. In Collectivist societies people belong to ‘in groups’ that take care of them in exchange for loyalty. © 2013 Rexintegra Ltd.
  13. 13. Ten Differences Between Weakand Strong- IDV Societies © 2013 Rexintegra Ltd.
  14. 14. Masculinity (MAS) A high score (masculine) on this dimension indicates that the society will be driven by competition, achievement and success. A low score (feminine) on the dimension means that the dominant values in society are caring for others and quality of life. The fundamental issue here is what motivates people, wanting to be the best (masculine) or liking what you do (feminine). © 2013 Rexintegra Ltd.
  15. 15. Ten Differences Between Weakand Strong- MAS Societies © 2013 Rexintegra Ltd.
  16. 16. Uncertainty Avoidance (UAI) The dimension has to do with the way that a society deals with the fact that the future can never be known: should we try to control the future or just let it happen? This ambiguity brings with it. The extent to which the members of a culture feel threatened by ambiguous or unknown situations and have created beliefs and institutions that try to avoid these is reflected in the UAI score. © 2013 Rexintegra Ltd.
  17. 17. Ten Differences Between Weakand Strong- UAI Societies © 2013 Rexintegra Ltd.
  18. 18. Long-term Orientation (LTO) The long term orientation dimension is closely related to the teachings of Confucius and can be interpreted as dealing with society’s search for virtue,the extent to which a society shows a pragmatic future-oriented perspective rather than a conventional historical short-term point of view. © 2013 Rexintegra Ltd.
  19. 19. Ten Differences Between Weakand Strong- LTO Societies © 2013 Rexintegra Ltd.
  20. 20. What about Bulgaria? © 2013 Rexintegra Ltd.
  21. 21. Bulgaria PDI Bulgaria scores high on this dimension (score of 70) which means that people accept a hierarchical order in which everybody has a place and which needs no further justification. Hierarchy in an organization is seen as reflecting inherent inequalities, centralization is popular, subordinates expect to be told what to do and the ideal boss is a benevolent autocrat. © 2013 Rexintegra Ltd.
  22. 22. Bulgaria IDV Bulgaria, with a score of 30 is considered a collectivistic society. Loyalty in a collectivist culture is paramount, and over-rides most other societal rules and regulations. The society fosters strong relationships where everyone takes responsibility for fellow members of their group. Employer/employee relationships are perceived in moral terms (like a family link), management is the management of groups. © 2013 Rexintegra Ltd.
  23. 23. Bulgaria MAS Bulgaria scores 40 on this dimension and is thus considered a relatively feminine society. The focus is on “working in order to live”, managers strive for consensus, people value equality, solidarity and quality in their working lives. Conflicts are resolved by compromise and negotiation. Incentives such as free time and flexibility are favored. Focus is on well-being, status is not shown. © 2013 Rexintegra Ltd.
  24. 24. Bulgaria UAI Bulgaria scores 85 on this dimension and thus has a very high preference for avoiding uncertainty. Maintains rigid codes of belief and behaviour and is intolerant of unorthodox behaviour and ideas. There is an emotional need for rules (even if the rules never seem to work), time is money, people have an inner urge to be busy and work hard, security is an important element in individual motivation. © 2013 Rexintegra Ltd.
  25. 25. Bulgaria/USA © 2013 Rexintegra Ltd.
  26. 26. Bulgaria/Germany/France © 2013 Rexintegra Ltd.
  27. 27. Trompenaars Model • • • • • • • Individualism vs. Collectivism Universalism vs. Particularism Neutral vs. Affective relationships Specific vs. Diffuse relationships Achievement vs. Ascription Time orientation Internal vs External orientation © 2013 Rexintegra Ltd.
  28. 28. Universalism • rules or laws that can be applied to everyone; • agreements and contracts are used as the basis for doing business; • rules are used to determine what is right; • contracts should not be altered. © 2013 Rexintegra Ltd.
  29. 29. Particularism • placing emphasis on friendships and looking at the situation to determine what is right or ethically • acceptable • deals are made based upon friendships; • agreements are changeable; • different people hold different views about reality. © 2013 Rexintegra Ltd.
  30. 30. Individualism • frequent use of “I”, • decision are made on the spot by representatives, • people ideally achieve alone and assume personal responsibility, • vacations taken in pairs or even alone vs. group orientation. © 2013 Rexintegra Ltd.
  31. 31. Collectivism • frequent use of “we” • decisions referred back by the delegates to the organization • people ideally achieve objectives in groups and assume joint responsibility • vacations are taken in organized groups of with extended family © 2013 Rexintegra Ltd.
  32. 32. Neutral Relationships • not revealing what one is thinking or feeling • only accidental revelation of tension in face and posture • hidden emotions that may occasionally explode out • cool and self-possessed conduct that is admired • lack of physical contact, gesturing © 2013 Rexintegra Ltd.
  33. 33. Affective Relationships • nonverbal and verbal display of thoughts and feelings • transparency and expressiveness in release of tensions • easy flow of emotions • the admiration and display of heated, vital, animated expressions • fluent and dramatic delivery of statements © 2013 Rexintegra Ltd.
  34. 34. Specific Relationships • a small private life that is kept private; • large social/public life that is very open to others; • extroversion; • “no nonsense” - direct in communications; • clear distinction between work and personal life. © 2013 Rexintegra Ltd.
  35. 35. Diffuse Relationships • a large private life that includes a relatively large number of people; • small public space that is difficult to enter • indirect communication - does not always say what is really meant; • no clear distinction between work and private life. © 2013 Rexintegra Ltd.
  36. 36. Achievement • It is awarding status based upon accomplishments. Characterized by: – use of titles only when relevant to the competence brought to the task – respect for superior in the hierarchy is based on how effectively his or her job is performed and the adequacy of their knowledge – a company where most senior managers have obtained their positions through accomplishments © 2013 Rexintegra Ltd.
  37. 37. Ascription • It is ascribing status based upon social position, age, etc. – extensive use of titles, especially when these clarify status in the organization – respect for superior in the hierarchy is seen as a measure of commitment to the organization and its mission – a company where most senior managers are male, middle-age, and qualified by their backgrounds © 2013 Rexintegra Ltd.
  38. 38. Sequential Time vs. Synchronic Time “Do we do things one at a time or several things at once?” The degree to which individuals do things one at a time versus several things at once. Cultures developed their own response to time. Time orientation has two aspects: the relative importance cultures assign to the past, present and future, and their approach to structuring time. © 2013 Rexintegra Ltd.
  39. 39. Sequential Time vs. Synchronic Time • In a sequential culture, people structure time sequentially and do things one at a time. • In a synchronic time culture, people do several things at once, believing time is flexible and intangible. © 2013 Rexintegra Ltd.
  40. 40. Time Orientation (Past, Present, Future) • Past orientation – talk about history, origin of family, business and nation – motivated to recreate a golden age – respect shown for ancestors, predecessors and older people – everything is viewed in the context of tradition or history © 2013 Rexintegra Ltd.
  41. 41. Time Orientation (Past, Present, Future) • Present orientation – activities and enjoyments of the moment are most important – good at making plans but poor on execution – intense interest in present relationships, focus on here and now – everything is viewed in terms of its contemporary impact and style © 2013 Rexintegra Ltd.
  42. 42. Time Orientation (Past, Present, Future) • Future orientation – much talk of prospects, potentials, aspirations, future achievements – planning and strategizing done enthusiastically – great interest in the youthful and future potentials – present and past used, even exploited for future advantage © 2013 Rexintegra Ltd.
  43. 43. Examples of Country Ratings on Trompenaars’ Dimensions © 2013 Rexintegra Ltd.
  44. 44. Universalism vs. Particularism © 2013 Rexintegra Ltd.
  45. 45. Inner vs. Outer Direction © 2013 Rexintegra Ltd.
  46. 46. Neutral vs. Affective relationships © 2013 Rexintegra Ltd.
  47. 47. Individualism vs. Collectivism © 2013 Rexintegra Ltd.
  48. 48. Specific vs. Diffuse relationships © 2013 Rexintegra Ltd.
  49. 49. Achievement vs. Ascription © 2013 Rexintegra Ltd.
  50. 50. Conclusion / Hofstede / In Bulgarian culture are predominated : •collectivism; •high power distance; •strong uncertainty avoidance; •femininity; •short term orientation. © 2013 Rexintegra Ltd.
  51. 51. Conclusion / Trompenaars / In Bulgarian culture are predominated: •particularistic culture; •collectivistic culture; •specific/diffuse culture; •ascription status; •neutral/affective culture; •external locus of control; •short term orientation. © 2013 Rexintegra Ltd.
  52. 52. Literature • Hofstede, G. (2001) Culture’s consequences. • Cultures and Organizations - Software for the Mind [Revised & Expanded Third Edition] (2010) by Geert Hofstede, Gert Jan Hofstede & Michael Minkov • Trompenaars, F. & Hampden-Turner, C. (1997) Riding the Waves of Culture. © 2013 Rexintegra Ltd.

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