Unit 6 Cultural Dimension Model Cultural Dimension Index

Unit 6 Cultural Dimension Model Cultural Dimension Index Value and Communication

Challenge One: Cultural problem at Euro Disneyland • Analyze the major problems of Euro Disneyland encountered by using Hofstede’s four cultural dimensions as a point of reference

Challenge Two • Why should foreign investors pay a lot of attention to the following when they come to China? • • Guanxi Mianzi Keqi

Challenge Three • 一个和尚挑水喝，两个和尚抬水喝，三个 和尚没水喝。 • Try to explain the proverb from the perspective of Cultural value of individualism and collectivism

Values Across Cultures: Hofstede’s Framework • • • Individualism vs. Collectivism Power Distance Masculinity vs. Femininity Uncertainty Avoidance Long-term and Short-term Orientation PDI Power Distance Index IDV Individualism MAS Masculinity UAI Uncertainty Avoidance Index LTO Long-Term Orientation

A British General Manager in Thailand • A British GM upon arrival in Thailand refused to take his predecessor’s car and asked for a Suzuki铃木 or Mini, anything that could be handled easily in the congested traffic in Bangkok曼谷. • Three days later the GM asked about the prospects for the delivery of his car. The finance manager said: “We can get you a new Mercedes奔驰 by tomorrow, but Suzuki take much, much longer. ” The GM asked hi to speed up the process. • After four weeks the GM asked to see the purchase order for the car. The purchasing department replied that because it would take so long to get a small car, they had decided to order a Mercedes.

A British General Manager in Thailand • The GM ‘s patience had run out. At the first management meeting he brought the issue up and asked for an explanation. Somehow shyly, the Thai management team explained that they could hardly come to work on bicycle. • Question: Why did the GM have difficulties in getting a Suzuki? • Why did the management team say they could hardly come to work on bicycle?

Hofstede’s Framework for Assessing Cultures Power Distance The extent to which a society accepts that power in institutions and organizations is distributed unequally. Low distance: Relatively equal power between those with status/wealth and those without status/wealth High distance: Extremely unequal power distribution between those with status/wealth and those without status/wealth

PDI, the second dimension While the Western countries have a low PDI, China has a score of 80. This shows a high inequality between people. This condition is not necessarily forced upon the population but, rather, accepted by the society as the cultura

High or Low power distance 1. The actions of authorities should not be challenged H or questioned. L 2. People use power only for legitimate purpose. L 3. The subordinates expect a great deal of autonomy and independence as they do their work. H 4. Children are expected to obey their parents without challenging or questioning them. L 5. People believe in the importance of minimizing social or class inequalities, reducing hierarchical H structure. H 6. Managers are likely to prefer directive decisionmaking style. L 7. The curriculum is likely to involve a great deal of rote learning.

Culture focus: China http: //www. youtube. com/watch? v=ijpbhile 6 a. Y&feature=related

• • • Guan Relationships or connections Minimizing difficulties and frustrations Mianzi Face Personal pride and basis of an individual’s reputation and social status Saving face, losing face and giving face are vital for successful business Keqi Ke=guest, and qi=behavior Thoughtful, courteous and refined behavior

Chinese Government Structure National People’s Congress State Council Central Committee of the CPC Central Military Commission People’s Political Consultative Conference

Government Relations - Structure REPUTATION/POLICY SHAPING: The center merits the most attention State Council Ministries ISSUES: The lower levels of government require and merit the most attention, not the least… Regional/Provincial Local & Municipal

A British General Manager in Thailand • A British GM upon arrival in Thailand refused to take his predecessor’s car and asked for a Suzuki铃木 or Mini, anything that could be handled easily in the congested traffic in Bangkok曼谷. • Three days later the GM asked about the prospects for the delivery of his car. The finance manager said: “We can get you a new Mercedes by tomorrow, but Suzuki take much, much longer. ” The GM asked hi to speed up the process. • After four weeks the GM asked to see the purchase order for the car. The purchasing department replied that because it would take so long to get a small car, they had decided to order a Mercedes.

A British General Manager in Thailand • The GM ‘s patience had run out. At the first management meeting he brought the issue up and asked for an explanation. Somehow shyly, the Thai management team explained that they could hardly come to work on bicycle. • Question: why did the GM have difficulties in getting a Suzuki? • Why did the management team say they could hardly come to work on bicycle?

Swedes and Americans are not alike • Swedes tend to think Americans are superficial and overly proud of themselves they talk a lot. • Swedes generally don’t mind silence. If you pause discussed, it tells a Swede that you’re intelligent. • Swedes don’t like it when people talk about how good they are at something. You’re supposed to deny it and say you need to learn more. • If someone offered you a lift, it would be suitable to seem a bit embarrassed or moved, and always offer to pay for your meal if you go out together.

Hierarchical structure • different levels of power or authority. Diagram: Hierarchical Organization

Hierarchical structure • • Teacher vs student Parent vs children Boss vs employee Ordinary people vs govenment

The common people to sue government departments “民告官”是“以卵击石 ”? • 温州是全国“民告官”第一案的发生地。1988年 8月，苍 南县农民包郑照因不服政府强制拆除其房屋，将县政 府告上法庭，时任苍南县县长的黄德余出庭应诉，引 起社会轰动，甚至有人称该案在一定程度上推动了《 行政诉讼法》于1989年 4月4日出台。 • Person vs government • 从“我们永远不会坐在被告席上” • 到“一把手”亲自出庭 • 曾有政府机关的领导跟他说，“我们永远不会坐在你们 的被告席上。”而现在，越来越多的行政领导已经改变 意识，亲自坐在被告席、旁听席上了解案情，以便做 出适当的解决办法。

The Boss is always right? EMC’s Email Gate • An email exchange between a secretary and her boss became widely circulated in the Chinese internet. Lately it was published in an influential newspaper Beijing Youth. • The event generated heated discussions and as in any debates, people have different view. But one thing seems certain that the company, EMC, a well-known international IT company and both the supervisor and the secretary would hardly benefit from this. • Boss VS • Secretary

It all started with Soon Choo Loke, the number one person of EMC China, sent an email to his secretary Rebecca (Hu Rui) complaining that he was locked out. • From: Loke, Soon Choo Sent: Saturday, April 08, 2006 1: 13 AM To: Hu, Rui Cc: Ng, Padel; Ma, Stanley; Zhou, Simon; Lai, Sharon Subject: Do not assume or take things for granted Rebecca, I just told you not to assume or take things for granted on Tuesday and you locked me out of my office this evening when all my things are all still in the office because you assume I have my office key on my person.

秘书的反击：强！注意是抄送给所有EMC员 • From: Hu, Rui [mailto: Hu_Rui@emc. com] Sent: 2006年 4月10日 13: 48 To: Loke, Soon Choo Cc: China All (Beijing); China All (Chengdu); China All (Guangzhou); China All (Shanghai); Lai, Sharon Subject: • FW: Do not assume or take things for granted • Soon Choo, • 首先，我做这件事是完全正确的，我锁门是从安全角度上考虑的，北 京这里不是没有丢 过东西，如果一旦丢了东西，我无法承担这个责任。 其次，你有钥匙，你自己忘了带，还要说别人不对。造成这件事的主 要原因都是你自己 ，不要把自己的错误转移到别人的身上。 第三， 你无权干涉和控制我的私人时间，我一天就 8小时 作时间，请你记 住中午和晚 上下班的时间都是我的私人时间。 第四，从 到EMC的第 一天到现在为止，我 作尽职尽责，也加过很多次的班，我也没有 任 何怨言，但是如果你们要求我加班是为了 作以外的事情，我无法做 到。 第五，虽然咱们是上下级的关系，也请你注重一下你说话的语气， 这是做人最基本的礼 貌问题。 第六，我要在这强调一下，我并没有 猜想或者假定什么，因为我没有这个时间也没有这 个必要。

Rebecca apparently was not happy about the email. She responded, in Chinese. Mr. Loke is a Sigaporean Chinese • Soon Choo, • First, What I did is absolutely right. Out of concern for security, I locked the door. It is not that it didn’t happen here in Beijing things got lost. If it happens, I can’t afford to take the responsibility. • Second, you have your own key. You forgot to take it with you and now you blame others for it. The reasons for this incidents are all from yourself and don’t shift your own mistakes to others. • Thirdly, you don’t have rights to control my private time. I work here for 8 hours a day. Please remember the lunchtime and the time after work are all mine, my private time. • Forth, since I joined EMC, I have been working diligently to fulfill my responsibilities. I worked overtime too many times without complaint. But if you ask me to work overtime for things that are not part of my job description, I can’t do that. • Fifth, though our relationship is that of a supervisor and a subordinate, but please pay the attention to the way you speak. This is the most fundamental courtesy of human being. • Sixth, let me emphasize here, I didn’t assume anything or take anything for granted. I don’t have time or necessity to do that.

The Pros • It is indeed a heroic action of Hu Rui who stood up to her abusive boss and defended her rights. What a shame that an internationally renowned company like EMC placed an arrogant, discriminative and abusive employee on its management team. • This incident should be an alarm to any companies that the days that Chinese employees' rights can be ignored are over. Chinese, particularly the young generation, has increasingly becoming conscious about their rights and demanding respect from their employers • If there is evidence that Hu Rui was fired because of her email, then Hu Rui will have a claim against EMC for wrongful termination. Hats off to Hu Rui!

The cons • From my personal perspective, and on the basis of this email content, i don’t think this email is rude at all. this kind of mails are sent everyday in a us office setting. Based on the content of the email, I think it is fair to say Rebecca was childish and overreacted to the boss request (and not demand). • What Rebecca did has completely shamed the professional secretaries. No one would want a secretary who seemed to think she is the Boss!

Sino-Singapore incident 1) Singapore has a very fast paced "move fast or be left behind" mentality engrained into all levels of the work force. This mindset has often been translated into a perceived "bully" notion of the typical Sg boss by other cultures. 2) 2) As employees of western corporations, if there is a wish to embrace the western work culture and its associated benefits, we also need to adapt to their (CEO Inc) management style and laid policies. Shooting off a mass email to all levels by a worker is certainly not professional conduct becoming of a senior Administrator of the company. It might even reek of a childish nature I would expect in the typical kid and not from a working professional.

There is nothing about culture conflict in this case, but only respect issue matters. • Chinese have adopted an open, accepting attitude to western styles ever since China's open-door policy, but not necessarily to take arrogance from any sense of superiority. Singaporean, Taiwanese, Hong Kong managers - and most of them dominated in the senior management level - are very infamous for their arrogance among local employees, though they share a same Chinese culture in any sense.

Hofstede’s Framework (cont’d) Masculinity The extent to which the society values work roles of achievement, power, and control, and where assertiveness and materialism are also valued vs. Femininity The extent to which there is little differentiation between roles for men and women

Masculinity-Femininity (M/F) • Exhibit 6 -10: Masculinity/femininity: country examples and organizational implications

MAS, the third dimension This is the one dimension in which China most aligns itself to the rest of the world,

Swedes and Americans are not alike • Swedes tend to think Americans are superficial and overly proud of themselves they talk a lot. • Swedes generally don’t mind silence. If you pause in discussion, it tells a Swede that you’re intelligent. • Swedes don’t like it when people talk about how good they are at something. You’re supposed to deny it and say you need to learn more. • If someone offered you a gift, it would be suitable to seem a bit embarrassed or moved, and always offer to pay for your meal if you go out together.

Swedes and Americans are not alike • In Sweden, men on the average do forty per cent of the housework. Younger men do more, and older men do less. In the US men can’t stay home with their babies. In Sweden they can receive several months of paid leave to take care of their babies. In the US you find more women in top executive positions but it seems they had to give up a lot to get there.

Hofstede’s Framework (cont’d) Uncertainty Avoidance Risk avoidance The extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them • High Uncertainty Avoidance: Society does not like ambiguous situations and tries to avoid them. • Low Uncertainty Avoidance: Society does not mind ambiguous situations and embraces them.

Uncertainty Avoidance (UA) • Uncertainty avoidance: country examples and organizational implications

UAI, the fourth dimension the USA scored just 46, indicating that it's a society with fewer rules and does not attempt to control all outcomes and results. China scored lower, at just 32, indicating an even more liberal society. This

High or Low uncertainty avoidance H 1. People develop many rules to control social L behaviors. 2. They believe in accepting and encouraging dissent L among cultural members. 3. They have a high tolerance for uncertainty and H ambiguity. 4. They try to ensure certainty and security through an L extensive set of rules and regulations. H 5. Conflict and competition are natural, dissent is H acceptable, and individual achievement is regarded as beneficial. L 6. People tend to be worried about the future, and they have high levels of anxiety and highly resistant to change.

Hofstede’s Framework (cont’d) Long-term Orientation A national culture attribute that emphasizes the future, thrift, stability and persistence vs. Short-term Orientation A national culture attribute that emphasizes the present and the here and now

LTO, the fifth dimension China ranked far higher than most other countries in this dimension, with a score of 114. This dimension indicates a society's time perspective and an attitude of perseverance, that is, the society's willingness to overcome obstacles over time (with a

Long-Term Orientation (LTO) • Originally called Confucian Dynamism because of anchoring in the Confucian value system. • Represents such values as thrift, persistence, and traditional respect of social obligations. • Organizations likely to adopt longer planning horizon, with individuals ready to delay gratification.

Disneyland in Anaheim, California • The first Disneyland opened in Anaheim, California on July 17, 1955. Disneyland strives to generate the perfect fantasy “Disneyland is the world’s biggest stage, and the audience is right here on http: //v. youku. com/v_s • the stage, ” how/id_XNz. Ux. ODk 4 O A==. html Trip to HK disney land • • •

Disney World in Orlando, Florida • • Two major hotels: Disney’s Grand Floridian Beach Resort – 1987 Disney’s Caribbean Beach Resort – 1989 In October 1982, Disney made a new addition to theme park—the Experimental Prototype Community of Tomorrow or EPCOT.

Tokyo Disneyland • “Oriental Land” Co. bought the 204 -acre from the Walt Disney Co. •

Building Euro Disneyland • On March 24, 1987, Michael Eisner and Jacques Chirac, the French prime minister, signed a contract for the building of a Disney theme park at Marne-la-Vallee. •

Protests of Cultural Imperialism • Disney faced French communists and intellectuals who protested the building of Euro Disneyland. • •

Questions # 1 • Using Hofstede’s four cultural dimensions as a point of reference, what are some of the main cultural differences between the United States and France? • We determine that there are strong uncertainty avoidance, high individualism, centralized power structures and lower masculinity at French culture.

Uncertainty Avoidance • Uncertainty Avoidance Index (UAI) is a cultural dimension that scores the degree to which people feel threatened by ambiguity. The uncertainty avoidance is much lower in America than in French. • In 1992, Euro Disneyland was designed to copy the American Disney theme parks back in California and Florida with very few concessions to French culture. • French people found this highly ambiguous, and only 29% of visitors to Euro Disneyland in its first year were from France. If the French want a U. S. -style Disneyland experience, they will go to Disney parks in America.

Individualism • Individualism is the cultural dimension that measures to what extent people to look after themselves and their immediate family members only. • • In both countries individualism is higher. American executives at Disney imposed a strict dress code at Euro Disneyland that required extremely short hair and banned beards and moustaches. Disney’s dress code was based on Walt Disney’s highly individualized, squeaky clean American family values. By imposing the Walt Disney appearance code, the Americans insulted French family traditions. Many of the highly

Power Distance • Hofstede’s Power Distance Index (PDI) measures the extent to which less powerful members of organizations and institutions accept unequal distribution of power. The US has lower power distance. • But France has higher power distance. The French were confused when Disney appointed mostly American-born managers into the front-line supervisory positions at Euro Disneyland - many of whom were not fluent in the French language.

Masculinity • A high masculine society places greater value on • • success, money and material possessions. Americans have higher masculinity. A country with a lower masculinity score places more emphasis on caring for others and quality of life. France has a relative low masculinity. Clearly, French culture was not a priority for Disney during the first year of Euro Disney. Like the other cultural dimensions in this analysis, Disney executives should have adapted to France’s need for low masculinity values like cooperation, friendly

Criticism of Hofstede • Single company’s data, with a large Multinational Enterprise having a strong corporate culture. • Business culture, not values culture, representing a reflection of business culture at IBM and not national culture of the countries IBM operates within. • Non-exhaustive, doesn’t identify all the cultural dimensions possible, but just a few. • Partial geographic coverages, cover only a portion of the world’s cultures and countries. • Western bias, which values western business ideals. • .

The drawbacks of applying the Hofstede Model • The Hofstede Model of Cultural Dimensions can be of great use when it comes to analyzing a country’s culture. There are however a few things one has to keep in mind. • Firstly, the averages of a country do not relate to individuals of that country. Even though this model has proven to be quite often correct when applied to the general population, one must be aware that not all individuals or even regions with subcultures fit into the mould. It is to be used as a guide to understanding the difference in culture between countries, not as law set in stone. As always, there are exceptions to the rule. • Secondly, how accurate is the data? The data has been collected through questionniares, which have their own limitations. Not only that, but in some cultures the context of the question asked is as important as its content. Especially in group-oriented cultures, individuals might tend to answer questions as if they were addressed to the group he/she belongs to. While on the other hand in the United States, which is an individualistic culture, the answers will most likely be answered and perceived through the eyes of that individual. • Lastly, is the data up to date? How much does the culture of a country change over time, either by internal or external influences? • For more indepth information you can find this model clearly outlined in Geert Hofstede’s book, Cultures and Organizations, Software of the Mind.