Hofstede’s Model of National Cultures

• What is the focus of organizational culture in multinational businesses?

  Different cultures around the world
• Who developed a model of national cultures?

  Kurt Hofstede
• What was the initial research context for Hofstede's model?

  IBM's global operations
• How many employees did Hofstede study at IBM?

  Over 100,000 employees
• What are the six categories that define national culture according to Hofstede?

  Individualism, power distance, masculinity, uncertainty avoidance, long-term orientation, indulgence
• What is the difference between individualism and collectivism?

  • Individualism: Values individual performance
  • Collectivism: Values teamwork and group performance
• How does cultural attitude towards individualism affect motivational strategies?

  It influences reward systems for performance
• What does Hofstede's power distance category measure?

  • Recognition of authority
  • Bureaucracy and organizational hierarchy
  • Emphasis on delegation and empowerment
• What characterizes a high power distance culture?

  Encourages tall hierarchies and command control
• What does masculinity versus femininity refer to in Hofstede's model?

  Differences in decision-making styles
• How does a masculine decision-making style differ from a feminine one?

  Masculine is aggressive; feminine is consultative
• What does uncertainty avoidance measure in Hofstede's model?

  • Attitude towards risk
  • Willingness to accept uncertainty
  • Impact on decision-making processes
• What does a low level of uncertainty avoidance indicate?

  Willingness to embrace risk and change
• What is long-term orientation in Hofstede's model?

  Focus on future rewards and planning
• How does long-term orientation affect business decisions?

  Encourages planning for future performance
• What is the difference between indulgence and restraint in Hofstede's model?

  • Indulgence: Free gratification of desires
  • Restraint: Curbing of desires and impulses
• Which country is noted for a long-term orientation in Hofstede's research?

  South Korea
• Which country has a low level of indulgence according to Hofstede?

  China
• How does Hofstede's model apply to multinational businesses?

  It helps understand cultural challenges globally
• What are the implications of Hofstede's cultural dimensions for multinationals?

  • Recognizing cultural differences
  • Adapting management strategies
  • Enhancing employee motivation and performance