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Culture and Organizational Behavior Chapter 2 IBUS 681, Dr. Yang 2 -1 Culture and Organizational Behavior Chapter 2 IBUS 681, Dr. Yang 2 -1

Learning Objectives Define culture and levels of culture Explain how culture develops Describe the Learning Objectives Define culture and levels of culture Explain how culture develops Describe the major frameworks for explaining the cultures of different societies Discuss the relation of culture to the study of OB Debate the issue of cultural convergence Vs. divergence IBUS 681, Dr. Yang 2

What is Culture? A way of life of a group of people That complex What is Culture? A way of life of a group of people That complex whole which includes knowledge, belief, art, morals, law, custom, and any other capabilities and habits acquired by people as members of society Everything that people have, think, and do as members of society IBUS 681, Dr. Yang 3

Sathe’s Levels of Culture Manifest culture Expressed values Water line Basic assumptions Iceberg Onion Sathe’s Levels of Culture Manifest culture Expressed values Water line Basic assumptions Iceberg Onion IBUS 681, Dr. Yang 4

How is Culture Learned? Enculturation Primary Socialization Cultures and Subcultures Secondary Socialization IBUS 681, How is Culture Learned? Enculturation Primary Socialization Cultures and Subcultures Secondary Socialization IBUS 681, Dr. Yang 5

Frameworks for Examining Cultures Cultural Orientations Work-related Values Dimensions Communication Patterns Chinese Value Survey Frameworks for Examining Cultures Cultural Orientations Work-related Values Dimensions Communication Patterns Chinese Value Survey Cultural Metaphors IBUS 681, Dr. Yang 6

Kluckhohn and Strodtbeck’s Variations in Values Orientations Framework to describe how different societies cope Kluckhohn and Strodtbeck’s Variations in Values Orientations Framework to describe how different societies cope with various issues or problems Includes six value orientations A culture may prefer one or more variations of a value orientation IBUS 681, Dr. Yang 7

Kluckhohn and Strodtbeck’s Variations in Values Orientations Values Orientation Variations Relation to Nature Subjugation Kluckhohn and Strodtbeck’s Variations in Values Orientations Values Orientation Variations Relation to Nature Subjugation Harmony Mastery Time Orientation Past Present Future Basic Human Nature Evil Neutral/Mixed Good Activity Orientation Being Containing/Controlling Doing Relationships among People Individualistic Group Hierarchical Space Orientation Public Private Mixed IBUS 681, Dr. Yang 8

How we cook and eat quite differently You cook this way! You cook like How we cook and eat quite differently You cook this way! You cook like that! IBUS 681, Dr. Yang 9

Hofstede’s Four Dimensions of Cultural Values Individualism/Collectivism Power Distance Uncertainty Avoidance Masculinity/Femininity IBUS 681, Hofstede’s Four Dimensions of Cultural Values Individualism/Collectivism Power Distance Uncertainty Avoidance Masculinity/Femininity IBUS 681, Dr. Yang 10

Masculinity vs. Femininity Masculinity culture countries strive for a performance society In Boy Scouts Masculinity vs. Femininity Masculinity culture countries strive for a performance society In Boy Scouts movement, a book was called “Rovering to Success” Femininity culture countries for a welfare society When translated to Dutch, it is “Roving on the road to Happiness” IBUS 681, Dr. Yang 11

To help the poor Austria spent. 24% of the GNP Norway spent 1. 12% To help the poor Austria spent. 24% of the GNP Norway spent 1. 12% of the GND IBUS 681, Dr. Yang 12

The Chinese Value Survey Confucian Work Dynamism Long Term Vs. Short Term Orientation § The Chinese Value Survey Confucian Work Dynamism Long Term Vs. Short Term Orientation § Future § Thrifty § Persistence IBUS 681, Dr. Yang 13

Hofstede’s and CVS Cultural Dimension Scores for 10 Countries PD ID USA Germany Japan Hofstede’s and CVS Cultural Dimension Scores for 10 Countries PD ID USA Germany Japan France Netherlands Hong Kong Indonesia West Africa Russia China MA UA LT 40 L 35 L 54 M 68 H 38 L 68 H 77 H 95 H 80 H 62 H 66 H 95 H 43 M 14 L 57 H 46 M 40 L 50 M 91 H 67 H 46 M 71 H 80 H 25 L 14 L 20 L 50 M 20 L IBUS 681, Dr. Yang 46 L 65 M 92 H 86 H 53 M 29 L 48 L 54 M 90 H 60 M 29 L 31 M 80 H 30 L 44 M 96 H 25 L 16 L 10 L 118 H 14

Schwartz's Value Survey Focuses on universal aspects of individual value content and structure Based Schwartz's Value Survey Focuses on universal aspects of individual value content and structure Based on issues that confront all societies Collected data over ten years from over 60, 000 people in 63 countries Identified three cultural dimensions Embededness vs. autonomy Hierarchy vs. egalitarianism Mastery vs. Harmony IBUS 681, Dr. Yang 15

Embeddedness Versus Autonomy Embeddedness: People view others as inherently part of collectives Meaning in Embeddedness Versus Autonomy Embeddedness: People view others as inherently part of collectives Meaning in life comes from social relationships, identification with the group, and participation in shared way of life and goals. Value social order, respect for tradition, security and wisdom. Autonomy: Individuals are seen as autonomous, bounded entities who find meaning in their own uniqueness Intellectual autonomy - people follow their own ideas and value curiosity, creativity, and open-mindedness Affective autonomy - individuals independently pursue positive experiences that make them feel good IBUS 681, Dr. Yang 16

Hierarchy Versus Egalitarianism Hierarchy Use a social system with clearly defined roles to make Hierarchy Versus Egalitarianism Hierarchy Use a social system with clearly defined roles to make sure people behave responsibly Egalitarianism Think of each other as moral equals sharing basic human interests IBUS 681, Dr. Yang 17

Mastery Versus Harmony Mastery Encourages people to master, change, and exploit the natural and Mastery Versus Harmony Mastery Encourages people to master, change, and exploit the natural and social environment for personal or group goals. Harmony Emphasizes understanding and fitting in with the environment, rather than trying to change it. IBUS 681, Dr. Yang 18

Trompenaars’ Dimensions of Culture Dimensions represent how societies develop approaches to managing problems and Trompenaars’ Dimensions of Culture Dimensions represent how societies develop approaches to managing problems and difficult situations Over a 14 year period, data collected from over 46, 000 managers representing more than 40 national cultures Identified six cultural dimensions IBUS 681, Dr. Yang 19

Trompenaars’ Six Dimensions of Culture Universalism Vs. Particularism Individualism Vs. Communitarianism Specificity Vs. Diffusion Trompenaars’ Six Dimensions of Culture Universalism Vs. Particularism Individualism Vs. Communitarianism Specificity Vs. Diffusion Achieved Vs. Ascribed Status Inner Direction Vs. Outer Direction Sequential Vs. Synchronous Time IBUS 681, Dr. Yang 20

Hall’s High-Context and Low-Context Cultural Framework High-Context Low-Context China Egypt France Italy Japan Lebanon Hall’s High-Context and Low-Context Cultural Framework High-Context Low-Context China Egypt France Italy Japan Lebanon Saudi Arabia Spain Syria Austria Canada Denmark England Finland Germany Norway Switzerland United States IBUS 681, Dr. Yang 21

Ronen and Shenkar’s Country Clusters Within each cluster, countries generally have similar work values, Ronen and Shenkar’s Country Clusters Within each cluster, countries generally have similar work values, geographic location, language and religion; Similarity of countries and clusters are associated with economic levels, with countries higher on GNP per capita located closer to the center; There are independent countries not fit into any cluster, and not similar to each other, but they are likely more economically and technologically developed than their geographic neighbors. IBUS 681, Dr. Yang 22

Ronen and Shenkar’s Country Clusters Near Eastern Arab Nordic Turkey Bahrain Finland Norway Iran Ronen and Shenkar’s Country Clusters Near Eastern Arab Nordic Turkey Bahrain Finland Norway Iran Abu-Dhabi Greece United Arab Emirates Oman Denmark Sweden Kuwait Saudi Arabia Malaysia Singapore Far Eastern Argentina Venezuela South Vietnam Indonesia Taiwan Thailand Germany Switzerland Chile Mexico Latin American Anglo Latin European Italy Colombia Japan Australia Canada New Zealand France United Kingdom Belgium Ireland South Africa Spain Peru Brazil Austria ` United State Hong Kong Philippines Germanic Independent IBUS 681, Dr. Yang Portugal Israel India 23

The World Values Survey Study of sociocultural and political change Collected data from more The World Values Survey Study of sociocultural and political change Collected data from more than 65 societies Four waves of data collection: 1981, 1990 -1991, 1995 -1996, and 1999 -2001 IBUS 681, Dr. Yang 24

Traditional Vs. Secular-Rational Orientations Toward Authority Traditional values reflect pre-industrial society and the centrality Traditional Vs. Secular-Rational Orientations Toward Authority Traditional values reflect pre-industrial society and the centrality of the family Importance of God, obedience, religious faith over independence and determination Absolute standards of good and evil Support deference to authority National pride and nationalistic outlook Secular-rational values have opposite preferences IBUS 681, Dr. Yang 25

Survival Vs. Self-Expression Values Survival values Priority on economic and physical security over self-expression Survival Vs. Self-Expression Values Survival values Priority on economic and physical security over self-expression and quality of life Self-expression values Priority on self-expression and quality of life Generational differences in values Higher in ex-communist societies and advanced industrial democracies Lower in developing and low income societies IBUS 681, Dr. Yang 26

Gannon’s Cultural Metaphors Identifies an important phenomenon, activity, or institution that members of a Gannon’s Cultural Metaphors Identifies an important phenomenon, activity, or institution that members of a culture see as important as a metaphor for that culture Helps outsiders to describe and understand the essential features of a society IBUS 681, Dr. Yang 27

Cultural Metaphors Country Metaphor England Germany Italy Japan Nigeria Russia Turkey United States the Cultural Metaphors Country Metaphor England Germany Italy Japan Nigeria Russia Turkey United States the traditional British house the symphony the opera the garden the marketplace the ballet the coffeehouse football IBUS 681, Dr. Yang 28

American Football and the U. S. Corporate Culture Members of the team come together American Football and the U. S. Corporate Culture Members of the team come together and decide what to do as a group Individuals receive rewards based on individual performance and contribution to the team A masculinity culture that emphasis “tough values” such as “Competition” IBUS 681, Dr. Yang 29

Trompenaars’ Seven Dimensions of Culture Universalism Vs. Particularism Individualism Vs. Collectivism Achievement Vs. Ascription Trompenaars’ Seven Dimensions of Culture Universalism Vs. Particularism Individualism Vs. Collectivism Achievement Vs. Ascription Neutral Vs. Affective Relationships Specific Vs. Diffuse Relationships Relationship to Time Relationship to Nature IBUS 681, Dr. Yang 30

Brown’s Cultural Universals Contends that significant elements of human behavior are the same throughout Brown’s Cultural Universals Contends that significant elements of human behavior are the same throughout societies A list of 375 cultural universals that compose the "Universal People”, e. g. Conflict, cognition, decision making, play Concepts about death, ethnocentrism, metaphor Cooking, marriage, rituals IBUS 681, Dr. Yang 31

Do the Frameworks Explain Cultural Differences? Represent average behavior within a culture Subcultures and Do the Frameworks Explain Cultural Differences? Represent average behavior within a culture Subcultures and within cultural variations Individual differences Countries classified similarly may still be very different (e. g. , U. S. vs. U. K. or Canada) Reliability may vary IBUS 681, Dr. Yang 32

Convergence or Divergence? Closer communication and trade links Worldwide marketing and product distributions Globalization Convergence or Divergence? Closer communication and trade links Worldwide marketing and product distributions Globalization of businesses and business education Cultural impact and penetration Different cultural interpretations Need to maintain cultural identity Adaptation to different markets Trade disputes IBUS 681, Dr. Yang 33

Implications for Managers Understanding culture is important even in one’s home country Organization’s stakeholders Implications for Managers Understanding culture is important even in one’s home country Organization’s stakeholders could be from another culture Need to look for underlying cultural meanings IBUS 681, Dr. Yang 34