According to Hofstede’s Cultural Taxonomy, differences in cultural lifestyle can be explained by:

• Individualism and collectivism• Power distance• Uncertainty avoidance• Masculinity• Time orientation

Dimensions of culture

Definitions

• Individualism: People look after themselves and their immediate blood relations only.

-Loosely knit social framework

• Collectivism: A tight social framework in which people expect others in groups of which they are a part to look after them and protect them

-Tightly knit social framework

Individualism-Collectivism Individualism= “I”• High value on autonomy -

Self is most important• Freedom• Individual achievement• Privacy• Personal goals• More direct language• View conflict as positive

and tend confront it head on

Collectivism= “We”• High value on group-

Other is more important• Interdependent with

others• Loyalty• Family relations• Social harmony• Less direct language• View conflict negatively

and avoid it

Determining Factors

• Power Distance

• Economical development

Some of Individualistic Cultures

• Australia• Canada• England• Ireland• New Zeeland• South Africa• U.S.A.

On the other hand

• Latin American, Sub-Saharan African, Middle East and Asian societies tend to be more collectivistic.

Why is this concept important for work

environment?

• Competition vs. harmony• Motivation• Reward

As a result

• Members of collectivistic cultures have a clear demarcation between in-group and out-group members while those of individualistic cultures do not have such a clear demarcation between the two.

• In resolving conflicts, members of individualistic cultures are encouraged to speak out while those of collectivistic cultures use avoidance, the third party intermediaries, and face-saving strategies.

How reliable is Hofstede’s Individualism vs. Collectivism

dimension?

• Ignores differences within clusters

• Culture is not static- It evolves over time

References

• Lustig, M. W., Koester, J. (2006). Cultural patterns and communication: Taxonomies. In M.W. Lusting & J. Koester Intercultural competence: Interpersonal communication across cultures, (pp. 116-124). Boston: Pearson Education.

• Hill, Charles W.L. (2011). International Business: Differences in Culture. In Hill Charles W.L. Competing in the global marketplace, (pp. 120-135). New York: McGraw-Hill Irwin.