MKT 769 CULTURE, Part II Lars Perner, Instructor 1 CULTURE, Part II Hofstedes Dimensions...

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MKT 769 CULTURE, Part II Lars Perner, Instructor 1 CULTURE, Part II • Hofstede’s Dimensions • Globalization and anti- globalization • Negotiations Western vs. Asian culture

Transcript of MKT 769 CULTURE, Part II Lars Perner, Instructor 1 CULTURE, Part II Hofstedes Dimensions...

Page 1: MKT 769 CULTURE, Part II Lars Perner, Instructor 1 CULTURE, Part II Hofstedes Dimensions Globalization and anti-globalization Negotiations Western vs.

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CULTURE, Part II• Hofstede’s

Dimensions• Globalization and

anti-globalization• Negotiations• Western vs. Asian

culture

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Globalization of Culture

• Books by Thomas Friedman– The Lexus and the Olive

Tree– The World is Flat

• Technology allows easier communication and exchange between people

– International media

– Internet

• Increased trade among nations

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Anti-Globalism

• Johny Johansson, In Your Face: How American Marketing Excess Fuels Anti-Americanism– “Three strikes:”

• Strike 1: Anti-marketing• Strike 2: Anti-globalism• Strike 3: Anti-Americanism

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Hofstede’s Cultural Dimensions• Individualism (vs.

collectivism)• Power distance• Masculine vs. feminine• Strong vs. weak uncertainty

avoidance• Short vs. long term

orientation (Confucianist dynamics)– “The Foolish Old Man Who

Moved the Mountain”

Based on interviews withIBM executives throughoutthe World--1980s

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Individualism vs. collectivism

• The extent to which– Individuals as opposed to groups are rewarded– It is desirable to “stand out” from others

• In collectivism, the unit of responsibility can be (sometimes depending on context)– Work group– Family– Nation, community, or society as a whole

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Power Distance

• The extent to which “rank” is important in work and relationships

• Rank can be based on– Position– Family/ethnic status– Age

• Implications for – Strategy formation– Delegation– Correcting mistakes

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“Masculine” vs. “Feminine”

• “Masculine” values: Dominating environment, “conquering” nature, “progress”– E.g., damming, tunnels, land

development, land reclamation

• “Feminine” values: Harmony, preserving environment– E.g., environmental impact, working

around nature

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Uncertainty Avoidance

• Low uncertainty avoidance– Willingness to

• Take risks – Investments– Social situations

– Consider new ideas

• High uncertainty avoidance– Reliance on authority for decision

making

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Long vs. short term orientation

• Not included in Hofstede’s original work• Complications—is U.S. shortsighted?

– Short term financial performance– Investment in new technologies; firms with high

price/earnings ratios

• Net present value (NPV) analysis/discounted cash flows

• Economic structure– Accountability to stockholders; disclosure of

information

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Characteristics of Culture

• Comprehensive• Acquired (learned)• Manifested in boundaries of

acceptable thought and behavior--norms and sanctions

• Conscious awareness limited (frequently taken for granted)

• Dynamic vs. static

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Homogeneity of Culture—Some Dimensions• Linguistic

• Religious

• Ethnic

• Climatic

• Geographic

• Institutional/political

• Social/income

Source: Usinier and Lee, 2005

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Issues in Negotiation

• Non-verbal messages• What the other side is likely to hear

(or fail to “hear”)• Background of individual

– Within the given society (ethnic issues)– Within the company– Within the negotiating group

• Timing of concessions

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Negotiation Content

• Non-task sounding

• Task-related exchange of information

• Persuasion

• Concessions and agreements

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Eastern vs. Western Culture

• Differences in– Values– Perceptions of

• Objects• Reality

– Stability vs. change

– Control

– Perceived roles

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Time Issues in Culture• Time as tangible, valuable

commodity– “Time is money” vs.– Traditional means of

relations

• Monochronic vs. polychronic approach to combining events

• Eating times– Regularity vs. flexibility– Social purpose– Meal purpose and content– Distribution of food

consumption across the day

• Life as “single continuous event” vs. a series of repeating cycles– Impact of religion,

attachment to nature’s cycles

• Preferred temporal orientation– Past– Present– Future

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Relating to Outsiders

• Perceptions of outsiders—may be seen as– “barbarian”– “lazy”– “backward”– “inefficient” vs. “un-

cultured”– profane (relative to

in-group’s religion)

• Tendency to perceive “out-groups” as more homogeneous than one’s own group—the Sherif Boys’ Camp studies

• Locus of in-group—may depend on context

Source: Usinier and Lee, 2005

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Cultural “borrowing”

• Adoption of elements from other cultures—e.g.,– Language and writing systems– Products (e.g., jeans, pizza)

• Adjustments/adaptations

• Hidden process; origin may be unknown to contemporary members of the culture

Source: Usinier and Lee, 2005

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Some Examples of Borrowing

• Japanese writing system (sound and concept pictorals)—adapted with difficulty from Chinese (concept only pictorals)

• Arabic numeral system and mathematics

• English language words from– Latin– Arabic– Germanic and

Nordic languages

• Major world religions

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Perceived Control Over Reality

• World is not generally seen as predictable– Trends are not expected to

continue

• Individual has little control over the world

• BUT– Outcome is believed to be

tied to effort, not individual skill

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Some TendenciesIssue Western Culture Eastern Culture

Focus of attention Objects Environment

Composition of the World

Objects Substances

Controllability of environment

More perceived control

Less perceived control

Perceived stability More stable More change

Organization of the world

Categories Relationships

Reasoning Formal logic Less use of formal logic

Resolution of disagreement

Dialectic “Middle way”

Source: Richard E. Nisbett, The Geography of Thought: How Asians and Westerners Think Differently … and Why, New York, 2003, The Free Press

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More Tendencies

• Westeners tend to rate themselves– More unique than average and what

they are– “Above average” in ability

• Easteners tend to rate themselves– Less unique than they really are– “Below average”

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Parenting

• Western– Child given choices– In play, parent asks questions about objects

• Eastern– Choices made for the child– Child reared to stay with mother most of the

time– Parent asks questions about feelings– Feelings in disciplinary talks

• “The farmer feels bad that you did not eat everything…”

• “The toy is crying because you threw it.”

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Teaching Language to Children

• Emphasis is on verbs, not on– Nouns– Adjectives, adverbs (except if related to

emotions)

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Categorization

• Tendency to group into categories based on members that go together (e.g., monkey/banana rather than monkey/panda)

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Proverbs

• Western: “The early bird gets the worm”

• Eastern:– “The first bird in the flock gets shot”– “A nail that stands out will be hammered

down.”

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ValuesIssue Western

ValueEastern Value

Distinctiveness of people

Want to be distinctive Not valued; emphasis on tie to group

Perceived control Significant; values determine choices

Modest—societal values are already established

Emphasis Success and achievement; relationships may get in the way

Best outcome for relevant group (e.g., family, work group)

Self-esteem Strive to feel good; assurances wanted

Tied to belonging with group

Relationships Equality or superior position

Clearly defined; hierarchical

Rules Same rules apply to all Depend on context and relationship

Source: Richard E. Nisbett, The Geography of Thought: How Asians and Westeners Think Differently … and Why, New York, 2003, The Free Press

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Some implications

• Thanking people—for things they are clearly supposed to do?

• Why the need for a choice between 40 different brands of cereal?

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Socialization

• Western textbook: “See Dick run. See Dick play. See Dick run and play.”

• Chinese: “Big brother takes care of little brother. Big brother loves little brother. Little brother loves big brother.”

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Perception of People

• Western: People have characteristics independent of the situation– Fundamental attribution error: People

attribute their own behavior to the circumstances but that of others to innate characteristics.

• Eastern: Person is connected; behavior is the result of specific roles played at the time

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Contrasting Advertising Perspectives (Aithison 2002)• Western

– “Atomistic”—broken down to smallest component parts

– “Unique selling propositions”

– “How to”– Positioning– May be “dull and

boring”– “Copy focused”

• Asian– Holistic– “Everything relates

to everything else”– How things “fit

together” and “relate”

– Visual and oral

Jim Aitchison, How Asia Advertises, New York: Wiley, 2002.

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Advertising Content Comparisons• American:

– Individual benefit and pleasure (e.g., “Make your way through the crowd)

• Korean– Collective values (e.g., “We have a way

of bringing people together)

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“Priming” and learning in a culture• U.S. professor in Hong Kong started

letter apologizing for his unworthiness for the job

• U.S. manager left room so that an employee could “snoop” on unfavorable report

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Debate and Conflict

• “The first person to raise his voice has lost the argument.” (Chinese proverb)

• Use of indirection and projection

• Face-to-face vs. anonymous comments

• Western adversarial “rule of law” based on consistent universal ideals vs. solution for the case at hand in context

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Resolving Disputes

• Not based on– Universal principles– Formal logic (not because of inability but

because this is not a “mature way” to resolve disputes)

• Emphasis on– Compromise– Discouragement of bringing about conflict

• Inherent belief that “contradicting” statements can each have some truth (attraction to paradoxes)

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Relationships, Education, and Work• Western

– Standing out; being “better”– Self perceived favorably– Self-esteem building– Work longer on successful job

• Eastern– Harmony– Must “weed out” personal characteristics that might

annoy others– Taught self-criticism– Not recognized in profession until after many years of

practice– Work longer on unsuccessful job

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Chinese Involvement in Product Selection• Low for products consumed

individually in private—emphasis on price and quality

• Higher for products consumed in public setting—social significance becomes more important—e.g.,– Status– Harmony with others

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Mexican vs. U.S. culture

• Cautions– Mexico is a large, heterogeneous

country– “Urban” areas vs. indigenous cultures– Large regional variations– Some differences based on income and

lifestyle– Some impact of religion

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Mexican Culture: General Issues• High power distance• Strong uncertainty avoidance• Tendency toward “theoretical” education• Strong patriotism• Relatively formal etiquette• Strong emphasis on family

– Extended family– Strong family emphasis within private life– Relatives may be favored for jobs/business

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Wealth, Positions, Power, and Privileges• “He can’t be the owner; he works there!”• Emphasis on titles—e.g.,

licenciado/licenciada• Titles may be part of address• Importance of connections

– U.S.: “Networking”– Mexico: Greater emphasis on family and

social class connections

• Manager/subordinate relationships:– Less question of “why” directions are given

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Time and Planning

• Balance of reality and stereotypes

• Often less of a feel of urgency

• Speech may be less clear on timing (e.g., “I did” vs. “I am going to”)

• Keeping customer waiting may not be recognized as inconvenience—but…

• Planning may be limited due to changing environment (e.g., laws)