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The impact of national culture and economic ideology on managerial work values: a study of the United States, Russia, Japan, and China David A Ralston1, David H Holt2, Robert H Terpstra3 and Yu Kai-Cheng4 2007 DECADE AWARD WINNING ARTICLE

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Page 1: The impact of national culture and economic ideology on ... · US managers higher (Power, Achievement, Hedonism, Stimulation, Self-Direction) while the Chinese managers scored higher

The impact of national culture and economic ideology on managerial work values: a study of the United

States, Russia, Japan, and China

David A Ralston1, David H Holt2, Robert H

Terpstra3 and Yu Kai-Cheng4

2007 DECADE AWARD WINNING ARTICLE

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תרבות עסקית

Hofstedeאפיין את המשפחות התרבותיות עסקיות שהוגדרו על ידי Trompenhaarsוהועמקו על ידי

?מה השוני העיקרי בין תרבות עסקית של ארבעת המדינות

? מה בודק המאמר ולאיזו מסקנות הוא המאמר

?מהן ההשלכות העסקיות

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HOFSTEDE INDEX

Uncertainty

Avoidance

Masculinity Individualism Power

Distance

65 66 67 35 Germany

35 66 89 35 U.K.

86 43 71 68 France

92 95 46 54 Japan

46 62 91 40 USA

68 53 38 80 Arab

Countries

81 47 54 13 Israel

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0

20

40

60

80

100

120

PDI IDV MAS UAI LTO

CHINA

USA

JAPAN

GERMANY

UK

FRANCE

WORLD

Source: ITIM 2003

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Sweden

U.S.

Ireland

UK

Denmark

Germany

Netherlands

Japan

Singapore

China

France

Taiwan

South Korea

Universalism

Particularism

Universalism—Particularism

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United States

Denmark

Netherlands

UK

Sweden

Germany

Ireland

China

Taiwan

France

Singapore

South Korea

Japan

Individualism

Communitarian

Individualism—Communitarian (cont’d)

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Japan

China

South Korea

Singapore

Taiwan

Sweden

Netherlands

United Kingdom

USA

Germany

Denmark

France

Ireland

Venezuela

Spain

Egypt

Kuwait

Neutral

Emotional

Neutral—Emotional (cont’d)

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national culture and economic ideology. the convergence–divergence–crossvergence (CDC) framework National Culture East-West contrast Eastern cultures, place similar Importance of the group in society the Judeo-Christian emphasis on personal achievement the good of-the-group (Collectivism) in the East versus the good-of-the-individual (Individualism) in the West.

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Economic Ideology capitalism a self-serving economic system socialistic philosophy good of all is everyone’s concern Convergence theory perspective Those who believe that economic ideology drives values Socialistic economics, would subsequently be expected to assimilate ideologically driven values common to industrialized, capitalistic Divergence approach National culture, not economic ideology, drives values Crossvergence: Melting pot philosophy of values formation will be an integration of cultural and ideological influences

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Hofstede’s (1980) initial analysis of the Individualism– Collectivism values construct – our dependent measure, the United States scored highest Japan did score higher than Hong Kong and Taiwan Japanese interpretation of capitalism is not identical to the US model. Russia is quite similar to the US in being heterogeneous and largely European in its history and cultural characteristics (Dobrokhotov,

1993.) ) To assign China to the socialism side of the economic ideology continuum, as well as the Eastern side of the East-West national culture continuum.

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The Ten Universal Schwartz-Value Survey (SVS) Motivational

Subdimensions

The SVS consists of fifty-six items. Each of the fifty six items is measured with a nine-point Likert scale that ranged from opposed to my values [-1] through important [3] to of supreme importance [7]. ten universal subdimensions I-Power I-Achievement I-Hedonism: pleasure or sensuous gratification for oneself. I-Stimulation I-Self-direction Universalism C-Benevolence C-Tradition C- Conformity Security

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Convergence scores on the Individualism measures for the US. and Japan – who share the same economic ideology scores for Russia and China cannot differ significantly. scores on Individualism for the US and Japan must be significantly higher than those for Russia and China. Divergence scores US and Russia – who share a common Western culture – cannot differ significantly scores for Japan and China cannot differ significantly. scores for the US and Russia must be significantly higher than those for Japan and China. Crossvergence different US highest on the Individualism measures and for China lowest. Japan and Russia fall between those of the US and China,

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Hypothesis: The relationships among the US, Russia, Japan, and China will indicate crossvergence with a national culture-dominant effect Hypothesis Tests of the Three Higher-Order Dimensional Continual support the crossvergence with national culture-dominant hypothesis. the American managers scored higher than the Russians, the Russians scored higher than the Japanese, and the Japanese scored higher than the Chinese. Russia will be more likely than China to adopt more fully the current Western capitalism ideology of the US

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Crossvergence different US highest on the Individualism measures and for China lowest. Japan and Russia fall between those of the US and China,

Divergence scores for Japan and China cannot differ significantly. scores for the US and Russia must be significantly higher than those for Japan and China.

Convergence scores for Russia and China cannot differ significantly. scores on Individualism US and Japan higher than those for Russia and China

Cr, D

D

D

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C

Cr?

C Cr\======

=

C

C

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C,D?

Cr?

D?

Cr?

?

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Individualism–collectivism subdimensions. US managers higher (Power, Achievement, Hedonism, Stimulation, Self-Direction) while the Chinese managers scored higher on the Collectivism subdimensions (Benevolence, Tradition, Conformity). the Power and Benevolence subdimension both the Chinese and US managers’ scores were high and not significantly different from one another. Power (Ind) and Benevolence (Coll)) findings might be indicators of a convergence trend. Chinese seek to embrace the ‘‘new way’’ of capitalism, as epitomized by Individualism values, without forsaking traditional Confucian-based cultural values. Japan’s case could be referred to as cultural-based Collectivism. Russia scoring high ideology-based Collectivism.

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Openness-to-change-conservation subdimensions Russian and Japanese scores US score and significantly above the Chinese score Tradition and Conformity, Russia was significantly lower than Japan, Japanese managers’ higher scores on Conformity and Tradition. Self-enhancement-self-transcendence subdimensions. US managers had the highest scores on Self-Enhancement Japanese scored relatively high on Universalism when compared to the Chinese and significantly lower than the Chinese on Benevolence. Japanese managers scored lower than the US managers on Hedonism, they both scored significantly higher than the Russian and Chinese managers Correlation Hedonism and economic development