Hofstede National Cultural Diversity

Hofstede surveyed 116,000 IBM employees in 40 countries about their work-related values. He identified five cultural dimensions on a continuum in which employees differ (countries in parentheses are very high or low compared to other countries on the dimension). These cultural dimensions continue to be studied. Power distance inequality versus power equality—Power distance being distributed between levels of management down to employees can be more accepted or rejected as employees want to participate in decisions that affect them.

Individualism versus collectivism—Individualist cultures believe individuals should be self-sufficient with loyalty to themselves first and the group and company second, whereas collectivism places the group and company first. Assertiveness versus nurturing—Assertive cultures are more aggressive and competitive, with a focus on achievement and material possessions, whereas nurturing cultures emphasize the importance of relationships and quality of life.

Uncertainty avoidance or acceptance—Uncertainty-avoidance cultures like structure and security and are less likely to take risks, whereas uncertainty-acceptance cultures are more comfortable dealing with the unknown and change. Long-term versus short-term orientation is about looking at the future.

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