The Hofstede’s Cultural Dimensions Theory. The aim of the study was to determine the dimensions in which cultures vary. Hofstede identified six categories that define culture: Power Distance Index. Collectivism vs. Individualism. Uncertainty Avoidance Index.

1. HOFSTEDE’S
CULTURAL
DIMENSIONS THEORY
BY- BHAVIKA SINGH

2. WHAT IS THE HOFSTEDE CULTURAL
DIMENSION THEORY?
• Hofstede’s Cultural Dimensions Theory, developed by Geert
Hofstede, is a framework used to understand the differences
in culture across countries. In other words, the framework is
used to distinguish between different national cultures, the
dimensions of culture, and assess their impact on a business
setting.
• Hofstede’s Cultural Dimensions Theory was created in 1980
by Dutch management researcher, Geert Hofstede. The aim
of the study was to determine the dimensions in which
cultures vary.

3. WHO IS GEERT HOFSTEDE
• Gerard Hendrik (Geert) Hofstede (2 October 1928 – 12 February 2020) was a
Dutch social psychologist.
• He was a well-known pioneer in his research of cross-cultural groups and
organizations and played a major role in developing a systematic framework for
assessing and differentiating national cultures and organizational cultures.
• His studies demonstrated that there are national and regional cultural groups that
influence the behavior of societies and organizations.
• He is best known for developing one of the earliest and most popular frameworks
for measuring cultural dimensions in a global perspective.
• He described six dimensions of national cultures.

4. HOFSTEDE’S CULTURAL DIMENSIONS
THEORY
• Power Distance Index
• Collectivism vs. Individualism
• Uncertainty Avoidance Index
• Femininity vs. Masculinity
• Short-Term vs. Long-Term Orientation
• Restraint vs. Indulgence

5. POWER DISTANCE INDEX
• The first dimension of Hofstede’s Cultural Dimension theory is Power Distance
Index. It refers to the inequality that exists between individuals with power and
without power.
• High power distance index indicates that a culture accepts inequity and power
differences, encourages bureaucracy, and shows high respect for rank and
authority.
• Low power distance index indicates that a culture encourages organizational
structures that are flat and feature decentralized decision-making responsibility,
participative style of management, and place emphasis on power distribution.
• According to the model, in a high PDI country, such as Malaysia, team members
will not initiate any action, and they like to be guided and directed to complete a
task. If a manager doesn't take charge, they may think that the task isn't
important.
• China and Saudi Arabia are countries with a high Power Distance index.

6. COLLECTIVISM VS. INDIVIDUALISM
• The next dimension of Hofstede’s Cultural Dimension theory is Individualism
Versus Collectivism (IDV). It explores the extent to which individuals in a
society are integrated into a specific group, the ties that people have within
their community and the perceived dependence and obligation on groups.
• Individualism indicates that there is a greater importance placed on attaining
personal goals. A person’s self-image in this category is defined as “I.”
• Collectivism indicates that there is a greater importance placed on the goals
and well-being of the group. A person’s self-image in this category is defined
as “We”.
• The USA is considered as one of the most individualistic countries in the
world.

7. UNCERTAINTY AVOIDANCE INDEX
• The next dimension of Hofstede’s Cultural Dimension theory is the
Uncertainty Avoidance Index (UAI). It refers to how people cope with
anxiety in a society and is often described as the tolerance level of society for
uncertainty or vagueness.
• Countries exhibiting a high Uncertainty Avoidance maintain rigid codes of
belief and behavior and are intolerant of unorthodox behavior and ideas.
These countries often need many rules to constrain uncertainty.
• Countries with a low Uncertainty Avoidance index maintain a more relaxed
attitude in which practice counts more than principles, tolerance for
ambiguity is accepted and the need for rules to constrain uncertainty is
minimal.
• South American countries such as Peru and Argentina are highly uncertainty
avoiding countries.

8. MASCULINITY VS FEMININITY
• The next dimension of Hofstede’s Cultural Dimension theory is Masculinity
versus Femininity (MAS). It refers to role distribution between males and
females in society.
• Masculine side of this dimension represents a preference in society for
achievement, heroism, assertiveness and material rewards for success.
Society at large is more competitive.
• Its opposite, femininity, stands for a preference for cooperation, modesty,
caring for the weak and quality of life. Society at large is more consensus-
oriented.
• High MAS score indicates that people are motivated by specific targets.
Low MAS score indicates that success is achieved through collaboration
and negotiation, and work-life balance is essential in terms of organizational
culture.
• Japan is considered to be a very masculine country, whereas countries such
as Norway and Sweden are considered highly feminine.

9. SHORT-TERM VS. LONG-TERM
ORIENTATION
• The long-term orientation vs. short-term orientation dimension considers
the extent to which society views its time horizon.
• Long-term orientation shows focus on the future and involves delaying
short-term success or gratification in order to achieve long-term success.
Long-term orientation emphasizes persistence, perseverance, and long-
term growth.
• Short-term orientation shows focus on the near future, involves delivering
short-term success or gratification, and places a stronger emphasis on the
present than the future. Short-term orientation emphasizes quick results
and respect for tradition.
• Asian countries such as China and Japan are known for their long term
orientation. Morocco is a short term oriented country.

10. RESTRAINT VS. INDULGENCE
• The indulgence vs. restraint dimension considers the extent and tendency for a
society to fulfill its desires. In other words, this dimension revolves around how
societies can control their impulses and desires.
• Indulgence indicates that a society allows relatively free gratification related to
enjoying life and having fun.
• Restraint indicates that a society suppresses gratification of needs and regulates it
through social norms.
• Countries with a high IVR score allow or encourage relatively free gratification of
people's own drives and emotions, such as enjoying life and having fun. In a society
with a low IVR score, there is more emphasis on suppressing gratification and more
regulation of people's conduct and behavior, and there are stricter social norms.
• According to the model, Eastern European countries, including Russia, have a low
IVR score.

11. CONCLUSION
• Hofstede’s Cultural Dimension theory is used widely in several
cross-cultural fields like cross-cultural communication,
international management and cross-cultural psychology.
• Hofstede’s cultural dimensions can be used as a starting point for
those who are entering a foreign culture to gain better
appreciation without causing offense to those who live inside.
• THANK YOU!!