Slide 1Slide 2Chapter OutlineWhat is Culture?Characteristics of CultureValues and FolkwaysTable 4-1: Cultural ValuesSub-cultures and Cultural ChangeHow Cultures View Each OtherHow Culture Affects Management PracticesHofstede’s Cultural DimensionsHofstede’s Cultural Dimensions Power DistanceHofstede’s Cultural Dimensions Individualism and CollectivismSlide 14Hofstede’s Cultural Dimensions Uncertainty AvoidanceSlide 16Hofstede’s Cultural Dimensions Masculinity and FemininitySlide 18Trompenaars’ Cultural DimensionsTrompenaars’ Cultural Dimensions Universalism vs. ParticularismTrompenaars’ Cultural Dimensions Neutral vs. Emotional CulturesTrompenaars’ Cultural Dimensions Achievement vs. AscriptionTrompenaars’ Dimensions for Selected CountriesTrompenaars’ Cultural Dimensions Use of TimeTrompenaars' Dimensions of Culture Inner-directed vs. Outer-directedThe Meanings and Dimensions of Culture chapter fourMcGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.4-3Chapter Outline•The nature of culture–What is culture?–Values and folkways–Comparing cultural values–Sub-cultures and cultural change–How cultures see each other•Cultural dimensions – how people look at life–Hofstede's dimensions–Trompenaars’ dimensions4-4What is Culture?•Culture defined: Acquired knowledge that people use to interpret experience and generate social behavior. This knowledge forms values, creates attitudes, and influences behavior.•Not everyone in a culture has the same values.4-5Characteristics of Culture•Learned•Shared among members of a society•Trans-generational: passed down from one generation to the next•Symbolic: uses symbols to represent values•Patterned: has structure. A change in one part of a culture produces changes in other parts.•Adaptive: changes over time4-6Values and Folkways•Culture sets norms (expectations) for behavior–Values are cultural beliefs about what is right or wrong, good or bad, important or unimportant. Values have moral significance and are often included in law.–Folkways are customary ways of behaving, with little or no moral significance.Examples: wedding customs, what to wear to a funeral, gift giving4-7Table 4-1: Cultural Values1. Freedom2. Independence3. Self-reliance4. Equality5. Individualism6. Competition7. Efficiency8. Time9. Directness10.OpennessUnited States1. Belonging2. Group harmony3. Collectiveness4. Age/seniority5. Group consensus6. Cooperation7. Quality8. Patience9. Indirectness10. Go-betweenJapan1. Family security2. Family harmony3. Parental guidance4. Age5. Authority6. Compromise7. Devotion8. Patience9. Indirectness10. HospitalityArab Countries4-8Sub-cultures and Cultural Change•Groups within a culture may be part of a sub-culture that varies in some ways from the national culture.•Cultures can change gradually over time.•People who have worked outside their own country or have friends from other cultures may pick up some attitudes or behaviors from the other culture.4-9How Cultures View Each Other•Stereotyping: assumes that all people within one culture or group behave, believe, feel, and act the same.•Ethnocentrism: occurs when people from one culture believe that theirs are the only correct norms, values, and beliefs.•Self-reference criterion: the assumption that people in another culture will behave like people in your culture4-10How Culture Affects Management Practices•Centralized vs. decentralized decision making•Safety vs. risks•Individual vs. group rewards•Informal vs. formal procedures•Cooperation vs. competition•Short-term vs. long-term horizons•Stability vs. innovationNote: vs. = versus. Shows a contrast between two things.4-11Hofstede’s Cultural Dimensions1. Power distance2. Uncertainty avoidance3. Individualism/collectivism4. Masculinity/femininity4-12Hofstede’s Cultural DimensionsPower Distance•Power distance: The extent to which less powerful members of institutions and organizations accept that power is distributed unequally–High power distance countries: people obey the orders of their superiors and are less likely to question authority. Companies tend to use centralized decision-making and tall organization structures (many levels of management)–Low power distance countries: flatter and decentralized organization structures, smaller ratio of supervisors. Employees are more likely to question their bosses. Participative management may be used.4-13Hofstede’s Cultural DimensionsIndividualism and Collectivism•Individualism: Tendency of people to look after themselves and their immediate family only–Countries high in individualism: High individual initiative. Promotions are based on achievement. Salaries are based on market value.•Collectivism: Tendency of people to belong to groups or collectives and to look after each other in exchange for loyalty–Countries high in collectivism: Low individual initiative. Salaries and promotions may be based on seniority4-15Hofstede’s Cultural DimensionsUncertainty Avoidance•Uncertainty avoidance: Extent to which people feel threatened by ambiguous situations and have created beliefs and institutions that try to avoid such situations–High uncertainty avoidance countries: people have high need for security, strong belief in experts and their knowledge, more written rules and procedures, less risk taking by managers–Low uncertainty avoidance countries: people are more willing to accept risks associated with the unknown, fewer written rules and procedures, more risk taking by managers, higher employee turnover, more ambitious employees4-17Hofstede’s Cultural DimensionsMasculinity and Femininity•Masculinity: the dominant social values are success, money and things–Countries high in masculinity: People place great importance on earnings, recognition, advancement, challenge, and wealth. High job stress.•Femininity: the dominant social values are caring for others and the quality of life–Countries high in femininity: great importance on cooperation, friendly atmosphere, employment security, and the natural environment. Low job stress.•This dimension is also called success vs. quality of life.4-19Trompenaars’ Cultural Dimensions•Universalism vs. Particularism•Neutral vs. Emotional•Achievement vs. Ascription•Sequential vs. Synchronous use of time•Inner-directed vs. Outer-directed4-20Trompenaars’ Cultural DimensionsUniversalism