Ecrea3k Brengman Malaika Paper

Cultural differences reflected on the internet:

a comparison between Belgian and Dutch e-commerce websites

Malaika Brengman

Malaika Brengman Department of Business Economics and Strategic Management Faculty of Economic, Social and Political Sciences, and Solvay Business School Vrije Universiteit Brussel Pleinlaan 2 1050 Brussel Tel: +32 (0)2 629 20 65 Fax: +32 (0)2 629 20 60 E-mail: [email protected]

Cultural differences reflected on the internet:

a comparison between Belgian and Dutch e-commerce websites

Abstract

The current research investigates whether cultural differences between Belgium and the

Netherlands are actually reflected in their respective commercial websites. With this purpose

e-commerce websites from both countries have been subjected to an elaborate content

analysis. Results indicate that Belgian transaction-oriented websites reflect a higher degree of

‘Power Distance’ (i.e. appreciation for social inequality and hierarchy) in comparison to their

Dutch counterparts. This is manifested in the exceeding amount of information they provide

with regard to company hierarchy, the more frequent depiction of CEO’s and the more

frequent use of proper titles. In comparison with Dutch websites, Belgian websites also appear

to be more ‘Masculine’ (i.e. appreciation of more masculine values, such as the need for

achievement and competition). This is reflected in the fact that they use superlatives more

regularly, distinguish more often between the sexes and use explicit comparisons more often.

Contrary to expectations, Belgian web shops do not seem to reflect a higher degree of

‘Uncertainty Avoidance’ (i.e. the degree to which individuals tend to avoid risks) in

comparison with their Dutch counterparts. Finally, as expected, no difference could be

revealed in the degree of ‘Collectivism’ (i.e. importance attached to group ties) reflected in

Belgian and Dutch websites.

Keywords

Internet communications, cultural differences, e-commerce, website design & localization

1 – Introduction

The growth of the internet as an international communication medium raises the question

whether to standardize or to adapt international marketing communications via the World

Wide Web. On the one hand, the internet is a mass-communication medium with worldwide

accessibility, which may speak in favor of standardization. On the other hand, it is a very

interactive medium, providing the opportunity to gather information on internet user

segments, and making it practically possible to implement a high degree of audience

adaptation.

The current study investigates whether cultural differences between Belgium and the

Netherlands are actually reflected in their respective commercial websites.

2 – Culture and cultural sensitivity of websites

According to a socio-scientific approach, culture can be conceived as a mental predisposition

in attitudes and behaviour, acquired and preserved by education and social relations. It is a

collective phenomenon, with at its core a number of positive and negative values, which can,

according to research by Hofstede (1980, 2001) and Trompenaers (1994), be summarized in 5

to 7 cultural dimensions.

Having studied the convergence and divergence of consumer behaviour across countries for a

long time, Marieke de Mooij (1998, 2000, 2004) argues that cultural differences are becoming

even more pronounced with growing welfare and emphasizes that they should be taken into

account to ensure the efficiency of global marketing strategies.

Some recent academic research investigated more specifically the cultural sensitivity of

websites and the need for localization or standardization.

On the one hand, some researchers are convinced that cultural factors have no influence on

website perceptions and recommend standardization (Hermans and Shanahan, 2002;

Sackmary and Scalia, 1999; Yang and Kang, 2002). Based on content analysis of non-

commercial websites, De Troyer et al. (2006) even assume that the internet has promoted “the

emergence of a cosmopolitan online culture, a hybrid culture overriding traditional cultural

differences”.

On the other hand, do studies by Fink and Laupase (2000), Luna et al. (2002), Fock (2000),

Simon (2001), Kanso and Nelson (2002), Singh and Baack (2004) and Singh et al. (2004)

demonstrate that the internet is not a culturally neutral medium. They confirm that there are

intercultural differences in perception of website content and stress that values, image, themes

and symbols should be adapted to local cultures.

While the internet fosters globalization, the necessity of localized websites seems to have

become more and more obvious (Plumley, 2000; Boston Consulting Group, 2000; Fletcher et

al., 2004). According to Forrester Research, the more a website is transaction-oriented, the

more it should be localized (Torris, 1998). Therefore, especially ‘e-retailers’, eager to enter

foreign markets, should focus on the local customers. A locally adapted language, content and

interface design may be needed to attract the attention of the local user and to win his

confidence. According to Forrester Research localized websites can draw more attention and

lead to more ‘stickyness’ and sales. Therefore they recommend profoundly localized websites

(Fletcher et al., 2004).

3 – Cultural differences between Belgium and the Netherlands

Local (Dutch and Belgian) companies assume that Belgium and the Netherlands (as

neighbours with a common language) are the ideal countries to make their first steps towards

international expansion. Often however in this case cultural differences tend to be ignored

(Kotler et al., 2006). In their studies investigating cross-national cultural differences, Hofstede

(1980, 2001) and Trompenaers (1994) have, nevertheless, discovered large differences in

value-orientations between Belgium and the Netherlands (see table 1).

“In fact, no two countries (…) with a common border and a common language are so

culturally apart (…) as (Dutch) Belgium and the Netherlands”

Geert Hofstede, 1980, p228

The Netherlands Belgium

Flanders

Wallonia

France

Power Distance Appreciation of social inequality and hierarchy

38 65 61 67 68

Masculinity The extent to which masculine values as assertiveness, competition, urge for achievement and success prevail in comparison to more feminine values such as life quality, nurturing, helpfulness and solidarity

14 54 43 60 43

Uncertainty Avoidance The degree to which individuals tend to avoid ambiguous situations and to take risks when making decisions

53 94 97 93 86

Individualism The degree to which ties between members of a community are rather loose (i.e. individualistic) or tight (i.e. collectivistic)

80 75 78 72 71

Table 1: Scores for The Netherlands, Belgium (Flanders & Wallonia) and France

with respect to Hofstede’s four cultural dimensions (Hofstede, 1980, 2001)

Belgium scores, for instance, much higher than the Netherlands on the dimension ‘Power

Distance’, concerning the relative appreciation of social inequality and hierarchy (B=65

versus Nl=38). Belgium also appears to score considerably higher on the dimension

‘Masculinity’, which reflects the urge for achievement, competition and assertive and

aggressive behaviour, in comparison with the appreciation for modest and obliging behaviour

and solidarity (B=54 versus Nl=14). Finally, Belgium also seems to score significantly higher

on the dimension ‘Uncertainty Avoidance’, which is reflected in a higher number of rules,

formal procedures and rituals (B=94 versus Nl=53).

As a matter of fact, Hofstede (1980, p228) even claims that there are no two neighbouring

countries with the same language that are so culturally different as (Dutch) Belgium and the

Netherlands. With regard to the Belgian sub-regions of (Dutch-speaking) Flanders and

(French-speaking) Wallonia, Hofstede (1980) argues that there are almost no cultural

differences between them and that their cultures resemble in fact the French culture.

Thus, although Belgium and the Netherlands share the same language, they obviously don’t

share the same culture. The remarkable cultural differences between Flanders and the

Netherlands have been confirmed in more recent studies (Claes and Gerritsen, 2006; see table

2 for an overview).

Findings with regard to the cultural differences between Belgium and the Netherlands are also

supported by several other researchers (Schwartz and Ross, 1995; Inglehart, 1997;

Matthyssens and Wursten, 2003).

Hofstede

(1980) Hofstede

(2001) Orriëns (1998)

Claes & Gerritsen (2004)

Gerritsen (2001)

IBM ’60 -‘70

Managers 1990

Banking-sector 1998

Students 1998

ICT-sector 2001

Power Distance +23 +16 +25 +18 +20

Masculinity +29 +21 +13 +18 +12

Uncertainty Avoidance +44 +53 +47 +47 +43

Individualism -2 -4 -26 -4 no data

Table 2: Differences between Flanders and the Netherlands with respect to Hofstede’s

four cultural dimensions as reported in several more recent studies

(based on Gerritsen, 2001 and Claes & Gerritsen, 2004).

These cultural dimensions seem, amongst others, to have an impact on internet adoption and

use. Park (2000), for instance, found strong support for the hypothesis that internet-use is

higher in ‘feminine’ cultures than in ‘masculine’ cultures. Comparing the internet penetration

between Belgium and the Netherlands, our findings reveal that indeed already 65,9% of the

‘more Feminine’ Dutch population uses the internet, in comparison with only 48,7% of the

‘more Masculine’ Belgian population, which has an internet penetration rate which lies close

to the European average of 49,8% (Internet World Stats, 2006).

4 – Research

4.1 – Research question and hypotheses

Are cultural differences in mentality between Belgium and the Netherlands

reflected in their respective commercial websites?

The current study investigates whether the cultural differences in mentality between Belgium

and the Netherlands are being reflected in their respective commercial websites or not. The

aim is thus to reveal whether the websites of online retailers of these respective neighbouring

countries, also reflect the specific cultural values characteristic of these countries.

Based on the review of the literature, we formulate more specifically the following

hypotheses:

H1 – We propose that Belgian commercial websites will reflect a higher level of

‘Power Distance’ in comparison to their Dutch counterparts.

H2 – We assume that Belgian online retailers in comparison to Dutch ones will

display a higher level of ‘Masculinity’.

H3 – We expect Belgian commercial websites to reflect a higher level of ‘Uncertainty

Avoidance’ in comparison to their Dutch counterparts.

H4 – We do not expect a significant difference in the level of ‘Collectivism’ reflected

in Dutch or Belgian transaction-oriented websites, because both countries have

a rather ‘individualistic’ orientation, in contrast to Eastern countries, for

example, where more importance is attached to strong group and family ties.

4.2 – Method

To verify these hypotheses, an elaborate content analysis of commercial websites from both

countries was performed (cf. Singh and Baack, 2004). For this purpose, coding schemes

provided by Singh and Matuso (2002) have been used. These schemes make it possible to

register in a quantitative way to what degree Hofstede’s cultural dimensions are being

displayed in the website.

To assess, for example, the level of ‘Masculinity’ reflected in the website, we verified

whether the site contains quizzes or games, whether ‘hard’ sales techniques are being used

(e.g. discounts, coupons,…), whether explicit comparisons are being made, whether the

‘effectiveness’ is emphasized of the products offered for sale, etc… (see tables 4-7).

In the present study, 40 Dutch and 40 Belgian commercial websites have been analysed in a

systematic way. For the Belgian websites, 20 Flemish and 20 Walloon sites were selected.

We focused more specifically on five sectors, namely online sellers of clothing, books, music,

computers and travel. For each of these sectors, 8 websites per country have been analysed

(for Belgium evenly divided between Flemish and Walloon sites). Thus, we tried to overcome

a shortcoming of the study by Singh and Baack (2004), who compared US and Mexican

websites of U.S. Fortune 500 companies, without taking into account the specific sectors

represented in both samples. In the current study the online retailers were identified through

search engines (like Google, Alta Vista and Yahoo).

4.3 - Results

All online retailers studied, are assigned 4 summated scores that indicate to what extent their

website reflects Hofstede’s cultural dimensions (respectively ‘Power Distance’,

‘Masculinity’, ‘Uncertainty Avoidance’ and ‘Individualism’).

Subsequently, we can calculate per country to what extent these cultural dimensions are

reflected in the respective websites of that country. That way, we can evaluate the differences

between the countries in the degree to which their websites reflect the respective cultural

dimensions.

0

1

2

3

4

5

Power Dist

ance

Masc

ulinity

Uncerta

inty

Avo

idance

Collect

ivism

The Netherlands Belgium Flanders Wallonia

Figure 1: Scores with regard to Hofstede’s cultural dimensions reflected in Dutch and

Belgian (Flemish & Walloon) commercial websites (cfr. Singh & Baack, 2004)

The Netherlands Belgium

Flanders

Wallonia

t-test

t-test

Power Distance (7 items) 1.50 2.40 1.90 2.90 n.s. p = .036

Masculinity (7 items) 2.80 3.53 2.90 4.15 p = .009 p = .014 Uncertainty Avoidance (9 items) 3.35 3.73 3.10 4.35 p = .002 n.s. Collectivism (8 items) 2.13 2.53 2.10 2.95 p = .050 n.s.

Table 3: Scores with regard to Hofstede’s cultural dimensions reflected in Dutch and

Belgian (Flemish & Walloon) commercial websites (cfr. Singh & Baack, 2004)

4.3.1 – Power Distance

We assumed that Belgian websites would reflect a higher level of ‘Power Distance’ in

comparison to their Dutch counterparts. Our findings (illustrated in figure 1) seem to confirm

this hypothesis. The summated score over all websites on the 7 items reflecting ‘Power

Distance’ (see table 3) amounts to 2.40 for Belgium in comparison with 1.50 for the

Netherlands, a significant difference according to the t-test (p=.036).

The Netherlands

Belgium Flanders Wallonia χ2-test

χ2-test

Power Distance (%) (%) (%) (%)

Company Hierarchy Information 7.5 32.5 25 40 n.s. p = .005 Pictures of CEO’s 2.5 20 25 15 n.s. p = .014 Quality Information and Awards 20 27.5 25 30 n.s. n.s. Vision Statement 25 40 20 60 p = .011 n.s. Rank or Prestige of the Company 22.5 30 5 55 p = .001 n.s. Pride of Ownership appeal 65 47.5 45 50 n.s. n.s. Proper Titles 7.5 42.5 45 40 n.s. p < .000

Table 4: Scores with regard to Hofstede’s cultural dimension “Power Distance”,

reflected in Dutch and Belgian (Flemish & Walloon) commercial websites

(cfr. Singh & Baack, 2004)

When we take a look at the individual items (see table 4), we notice that significantly more

Belgian than Dutch online retailers give information about their company hierarchy

(respectively 32,5% versus 7,5%; χ2-test, p=.005). Moreover, whereas in 20% of the Belgian

websites CEO’s are depicted, this appears to be the case in only 2,5% of the Dutch websites

(χ2-test, p=.014). Finally, in considerably more Belgian than Dutch websites appropriate

personal titles are being used (42,5% versus 7,5%; χ2-test, p<.000). These findings

demonstrate clearly that a higher level of ‘Power Distance’ is reflected in the Belgian

commercial websites, compared to their Dutch counterparts.

Whereas, within Belgium, the level of ‘Power Distance’ reflected in Flemish commercial

websites seems to be considerably lower than the level reflected in Walloon sites, this

difference between both sub-regions appears in general not to be significant (see table 3).

From the results, conveyed in table 4, we can, however, clearly establish that in more Walloon

than Flemish websites, a company vision statement is provided (respectively 60% compared

to 20%; χ2-test, p=.011) and that in more Walloon than Flemish websites the ranking and

prestige of the company is emphasized (55% versus 5%; χ2-test, p=.001), thus unexpectedly

revealing some higher level of ‘Power Distance’ reflected in Walloon websites.

4.3.2 – Masculinity

We assumed that Belgian commercial websites would be more likely to reflect ‘Masculinity’,

while Dutch sites would appear more ‘Feminine’. Our findings (illustrated in figure 1) seem

to support this hypothesis. The summated score over all websites on the 7 items indicative for

‘Masculinity’ (see table 3), amounts to 3,53 for Belgium, compared to 2,80 for the

Netherlands. A t-test reveals that this difference is in fact significant (p=.014).

When we examine the individual items more carefully (see table 5), we can establish that

significantly more Belgian than Dutch online retailers are using superlatives in their websites

(respectively 65% versus 35%; χ2-test: p=.007). More Belgian websites, in comparison with

Dutch ones, distinguish clearly between the sexes (42,5% versus 20%; χ2-test, p=.026).

Furthermore, it becomes apparent that only Belgian online retailers are using explicit

comparisons in their websites (12,5% versus 0%; χ2-test, p=.027). These results illustrate

clearly that Belgian websites reflect a higher level of ‘Masculinity’ than their Dutch

counterparts. When we examine the individual items that reflect ‘Masculinity’, however, we

notice one exception. More Dutch sites appear to emphasize the effectiveness of their

products than Belgian sites (respectively 85% versus 65%; χ2-test, p=.035).

The Netherlands


χ2-test

Masculinity (%) (%) (%) (%)

Quizzes and games 10 22.5 20 25 n.s. n.s. Hard Sell Approach 57.5 72.5 65 80 n.s. n.s. Explicit Comparisons 0 12.5 0 25 p = .024 p = .027 Realism Theme 72.5 72.5 75 70 n.s. n.s. Product Effectiveness 85 65 65 65 n.s. p = .035 Use of Superlatives 35 65 40 90 p = .001 p = .007 Clear Gender Roles 20 42.5 25 60 p = .027 p = .026

Table 5: Scores with regard to Hofstede’s cultural dimension “Masculinity”,



When we take a look at the differences within Belgium between Flemish and Walloon sites,

we notice that the earlier reported distinction in reflected ‘Masculinity’ between Belgian and

Dutch websites is almost solely a reflection of the higher level of ‘Masculinity’ displayed in

Walloon sites. In comparison to Flemish e-commerce sites, Walloon e-retailers use

superlatives considerably more often in their websites (90% versus 40%; χ2-test, p=.001).

They also seem to make explicit comparisons more often (25% versus 0%; χ2-test, p=.024)

and they make more often clear distinctions between the sexes (60% versus 25%; χ2-test,

p=.027). Table 3 shows clearly that the summated score, over all the websites of the 7 items

that reflect ‘Masculinity’, amounts to 2,90 for Flanders and differs in this respect hardly from

the Dutch summated score of 2,80. Wallony, on the other hand, attains a significantly higher

score on reflected ‘Masculinity’, namely 4,15 (t-test, p=.009).

4.3.3 – Uncertainty Avoidance

We hypothesized that Belgian transaction-oriented websites would reflect a higher level of

‘Uncertainty Avoidance’ than their Dutch counterparts. Our findings (illustrated in figure 1),

however, do not seem to support this hypothesis. The summated score over all the sites of the

9 items that reflect ‘Uncertainty Avoidance’ does not prove to be significantly different

between Belgium and the Netherlands (see table 3). Within Belgium, however, there appears

to be a considerable difference between Flemish and Walloon sites. Walloon sites seem to

reflect significantly more ‘Uncertainty Avoidance’ than Flemish ones (respective scores of

4,35 and 3,10; t-test, p=.002).

The Netherlands


χ2-test

Uncertainty Avoidance (%) (%) (%) (%)

Customer Service 90 95 95 95 n.s. n.s. Secure Payment 70 70 50 90 p = .007 n.s. Guided Navigation 82.5 87.5 75 100 p = .024 n.s. Tradition Theme 20 25 20 30 n.s. n.s. Local Stores 52.5 57.5 50 65 n.s. n.s. Local Terminology 2.5 5 0 10 n.s. n.s. Free Trials and Downloads 2.5 27.5 15 40 n.s. p = .002 Customer Testimonials 12.5 5 5 5 n.s. n.s. Toll Free Numbers 2.5 0 0 0 n.s. n.s.

Table 6: Scores with regard to Hofstede’s cultural dimension “Uncertainty Avoidance”,



When we take a look at the individual items (see table 6), we notice that more Belgian sites

offer free downloads and trials than Dutch ones (27,5% versus 2,5%; χ2-test, p=.002). Within

Belgium, especially Walloon sites seem to offer this possibility (40% compared to 15%

Flemish sites), however this difference appears not to be significant. Still, more Walloon than

Flemish online retailers appear to emphasize the security of payments on their sites (90%

versus 50%; χ2-test, p=.007) and the possibility of guided navigation (100% versus 75%; χ2-

test, p=.024), confirming the higher level of reflected ‘Uncertainty Avoidance’.

4.3.4 – Collectivism

We assumed that there would be no significant difference in the level of ‘Collectivism’

reflected in Belgian and Dutch e-commerce websites. Our findings (illustrated in figure 1)

seem to support this hypothesis. The summated score over all websites of the 8 items that

reflect ‘Collectivism’ does not appear to be significantly different between Belgium and the

Netherlands (see table 3). When we consult the individual items (see table 7), we do notice

however that more Belgian sites appear to offer loyalty programs than Dutch sites (40%

versus 20%; χ2-test, p=.043).

The Netherlands


χ2-test

Collectivism (%) (%) (%) (%)

Community Relations 7.5 2.5 0 5 n.s. n.s. Clubs or Chat room 15 27.5 30 25 n.s. n.s. Newsletter 57.5 57.5 60 55 n.s. n.s. Family Theme 27.5 45 25 65 p = 0.012 n.s. Country Specific Information 22.5 12.5 10 15 n.s. n.s. Symbols & Pictures of Nation 10 17.5 5 30 p = .046 n.s. Loyalty Programs 20 40 45 35 n.s. p = 0.043 Links to Local Web sites 52.5 50 35 65 n.s. n.s.

Table 7: Scores with regard to Hofstede’s cultural dimension “Collectivism”,



Within Belgium, we notice that Walloon sites seem to reflect more ‘Collectivism’ than

Flemish ones (respective scores of 2,95 versus 2,10; t-test, p=.050). More Walloon than

Flemish commercial websites appear to make use of family themes (65% versus 25%; χ2-test,

p=.012), and symbols and images of national identity (30% versus 5%; χ2-test, p=.046),

pointing to a higher level of ‘Collectivism’ reflected.

5 – Conclusion

According to the literature, there are major cultural differences between Belgium and the

Netherlands, which should be taken into consideration with respect to marketing

communications (e.g. FEM, 1998; Gerritsen, 2002; Claes & Gerritsen, 2006). The current

study demonstrates that these cultural differences in mentality between Belgium and the

Netherlands are also reflected in their respective commercial websites.

The websites of Belgian online retailers seem, as could be expected, to reflect a higher level

of ‘Power Distance’ in comparison to their Dutch counterparts. This is manifested by the

exceeding frequency to which they provide information with regard to company hierarchy, the

more frequent depiction of CEO’s and the more frequent use of proper titles of address.

Although the level of reflected ‘Power Distance’ does not seem to differ significantly between

Flemish and Walloon sites, more Walloon than Flemish sites appear to provide a company

vision statement and emphasize the ranking and prestige of the company, revealing

unexpectedly some higher level of ‘Power Distance’ reflected in Walloon commercial

websites.

As expected, Belgian e-commerce websites also appear to be more ‘Masculine’ than their

Dutch counterparts, which is reflected in the fact that they use superlatives more regularly,

that they distinguish more often between the sexes and that they use explicit comparisons

more often. Walloon sites, however, seem to be almost exclusively responsible for these

detected differences, as they do also significantly differ from Flemish sites in this regard. On

the other hand, Dutch websites do appear to emphasize the effectiveness of their products

more often than Belgian sites, possibly indicating that the Netherlands are getting more

‘Masculine’ (cfr. Gerritsen, 2001).

Contrary to our expectations, Belgian web shops do not seem to reflect a higher degree of

‘Uncertainty Avoidance’ in comparison to their Dutch counterparts. We notice, nevertheless,

that more Belgian sites offer free downloads and trials than Dutch ones. This is especially

apparent for Walloon sites, which seem to reflect a higher degree of ‘Uncertainty Avoidance’

than the Flemish ones, which is also manifested in the fact that they emphasize the security of

payments on their sites and the possibility of guided navigation more often.

Although, as expected, no difference in ‘Collectivism’ between Belgian and Dutch e-

commerce sites could be revealed, we do notice that more Belgian sites offer loyalty programs

than Dutch ones. Within Belgium, Walloon sites appear to reflect more ‘Collectivism’ than

Flemish websites, which is apparent from the fact that they seem to make more use of family

themes and symbols and images of national identity.

6– Discussion

The present study did not investigate the effectiveness of locally adapted commercial

websites. In a subsequent phase of this research project, an experimental study will be carried

out to investigate this crucial question. At this point, however, we did establish that there are

important cultural differences between Belgium and the Netherlands, but also between

Flanders and Wallonia, which appear to be reflected in their respective e-commerce websites.

If online retailers wish to exploit the possibilities of the internet to attract consumers on the

other side of the border, they may want to take this into consideration.

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