Tag (SQ): cultural dimensions

Hofstede identified ways or ‘dimensions’ in which the culture in organisations differs between countries.

Required

In each of the following four cases, which of the dimensions identified by Hofstede would explain the differences in culture between the two countries?

(a) In Country A, it is usual for the senior management of stock market companies to defer major expenditures in order to improve the reported current year profits. In Country B, it is common for the annual report of major stock market companies to explain at length the company’s strategies and commitment to plans for capital expenditure.

(b) In Country C, it is usual for investment banks to pay large annual cash bonuses to individual bankers on the basis of their performance in the year. In Country D, it is usual for similar banks to determine annual cash bonuses on the basis of performance by groups or teams within the bank.

(c) In Country E, a much-praised quality of office workers such as accountants is an ability to turn up for work on time every day, regardless of difficulties with transport or weather. In Country F, late arrival at work due to transport problems is accepted as a normal fact of life, and poor time-keeping does not matter as long as the work gets done.

(d) In Country G, it is normal practice for decisions to be taken collectively and by consensus of management and employees. In Country H, it is the usual business culture for decisions to be taken by the boss without consultation with anyone else.