1. Managing in the Global Environment chapter six lecture 3 McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.

2. The Role of National Culture Values – Ideas about what a society believes to be good, right, desirable and beautiful. – Provide the basic underpinnings for notions of individual freedom, democracy, truth, justice, honesty, loyalty, love, sex, marriage, etc. 6-2

3. The Role of National Culture Norms – Unwritten rules and codes of conduct that prescribe how people should act in particular situations. – Folkways, mores – Many differences in mores from one society to another 6-3

4. Hofstede’s Model of National Culture 6-4 Figure 6.4

5. Hofstede’s Model of National Culture Individualism – A worldview that values individual freedom and self- expression and adherence to the principle that people should be judged by their individual achievements rather their social background. Collectivism – A worldview that values subordination of the individual to the goals of the group and adherence to the principle that people should be judged by their contribution to the group 6-5

6. Hofstede’s Model of National Culture Power Distance – Degree to which societies accept the idea that inequalities in the power and well-being of their citizens are due to differences in individuals’ physical and intellectual capabilities and heritage 6-6

7. Hofstede’s Model of National Culture Achievement orientation – A worldview that values assertiveness, performance, success, and competition Nurturing orientation – A worldview that values the quality of life, warm personal friendships, and services and care for the weak. 6-7

8. Hofstede’s Model of National Culture Uncertainty Avoidance – The degree to which societies are willing to tolerate uncertainty and risk. – Low uncertainty avoidance cultures value diversity and tolerate a wide range of opinions and beliefs. – High uncertainty avoidance societies are more rigid and expect high conformity in their citizens’ beliefs and norms of behavior. 6-8

9. Hofstede’s Model of National Culture Long-term orientation – A worldview that values thrift and persistence in achieving goals. Short-term orientation – A worldview that values personal stability or happiness and living for the present. 6-9