How do national cultures impact the operations strategy process?

2018 ◽  
Vol 38 (10) ◽  
pp. 1937-1963 ◽  
Author(s):  
Camila Lee Park ◽  
Ely Laureano Paiva
Keyword(s):  
Corporate Strategy ◽  
Power Distance ◽  
Functional Integration ◽  
Uncertainty Avoidance ◽  
Operations Strategy ◽  
Manufacturing Strategy ◽  
National Cultures ◽  
Content Type ◽  
Cultural Aspects

PurposeThe purpose of this paper is to analyze the extent to which different patterns of cross-functional integration and the operations strategy (OS) process may be explained by national cultures differences.Design/methodology/approachPerceptual survey data from 105 manufacturing plants in four countries were used to validate the constructs and to test the hypotheses. The plants are located in two Western and two Eastern countries with different industrialization and development backgrounds (Brazil, China, Germany and South Korea). CFA validated the constructs, and ANOVA andt-tests evaluated the differences between levels of four Hofstede’s elements (i.e. power distance, individualism vs collectivism, uncertainty avoidance and long-term vs short-term orientation) on the OS process enablers (i.e. leadership for cross-functional integration and functional integration) and elements (i.e. manufacturing strategy linkage to corporate strategy and formulation of manufacturing strategy).FindingsResults suggest that different OS and OM processes are present in different national cultures. Leadership for cross-functional integration and manufacturing strategy linkage to corporate strategy differ between levels of power distance, individualism vs collectivism and uncertainty avoidance. Functional integration and formulation of manufacturing strategy also present differences according to the degree of individualism vs collectivism and long-term orientation.Originality/valueResults indicate that national culture is a key aspect for the OS process. Prior studies usually do not consider cultural aspects. Therefore, the OS process varies in different countries and contexts. Managers need to adjust their OS process when they are developing a global OS.

Brand and firm values in distinct national cultures

2020 ◽  
Vol 32 (8) ◽  
pp. 1737-1758 ◽  
Author(s):  
Reza Chowdhury ◽  
Wootae Chun ◽  
Sungchul Choi ◽  
Kurtis Friend
Keyword(s):  
Cultural Values ◽  
Firm Value ◽  
Power Distance ◽  
Uncertainty Avoidance ◽  
National Cultures ◽  
Content Type ◽  
Brand Values ◽  
The Relationship

PurposeThe objective of this article is to investigate the moderating role of national cultures in the relationship between brand value and firm value.Design/methodology/approachThis article examines the topic in the context of different national cultural attributes, including individualism, uncertainty avoidance, masculinity, power distance, and long-term orientation. We use brand values of the Financial Times Global 500 companies and national cultural values reported by Hofstede, GLOBE, and Schwartz.FindingsResults exhibit that brands are more value-additive to companies in highly individualistic cultures. Furthermore, a valuable brand contributes more to firm value in countries with low uncertainty avoidance, high masculine, low power distance, and short-term oriented cultures.Originality/valueThe evidence suggests that while a valuable brand contributes to firm value, the level of its effect on firm value varies by national cultures.

Emotional intelligence and entrepreneurial intentions: an exploratory meta-analysis

2018 ◽  
Vol 23 (5) ◽  
pp. 497-512 ◽  
Author(s):  
Chao Miao ◽  
Ronald H. Humphrey ◽  
Shanshan Qian ◽  
Jeffrey M. Pollack
Keyword(s):  
Emotional Intelligence ◽  
Positive Relationship ◽  
Meta Analysis ◽  
Power Distance ◽  
Entrepreneurial Intention ◽  
Uncertainty Avoidance ◽  
Entrepreneurial Intentions ◽  
Content Type ◽  
Meta Analyses

Purpose The topic of entrepreneurial intention, which refers to a person’s degree of interest in creating a new business venture, has received close scrutiny in the entrepreneurship literature. The empirical results regarding the relation between emotional intelligence (EI) and entrepreneurial intention were nevertheless mixed across studies. Based on fit theory and trait activation theory, the purpose of this paper is to explain the fundamental reason for the mixed findings in the extant literature thus far. Design/methodology/approach Random-effects meta-analyses, based on 12 studies (along with 12 effect sizes), were performed to not only investigate the overall relation between EI and entrepreneurial intention but also to examine the moderators (i.e. individualism (vs collectivism), masculinity (vs femininity), power distance, long-term orientation (vs short-term orientation), uncertainty avoidance, and indulgence (vs restraint)) that influence this relation. Findings The results of this meta-analysis demonstrated that EI is positively related to entrepreneurial intention; the positive relationship between EI and entrepreneurial intention is stronger in long-term-oriented cultures; and the positive relationship between EI and entrepreneurial intention does not significantly differ based on a culture’s level of collectivism, masculinity, power distance, uncertainty avoidance, and indulgence. Originality/value This meta-analysis advances the current understanding of the relation between EI and entrepreneurial intention from cross-cultural perspectives.

scholarly journals Environmental and social sustainability priorities

2015 ◽  
Vol 35 (2) ◽  
pp. 216-245 ◽  
Author(s):  
Annachiara Longoni ◽  
Raffaella Cagliano
Keyword(s):  
Business Strategy ◽  
Social Sustainability ◽  
Operations Strategy ◽  
Manufacturing Strategy ◽  
Competitive Priorities ◽  
Content Type ◽  
Short And Long Term ◽  
Using Data ◽  
Term Performance

Purpose – Environmental and social sustainability are becoming key competitive priorities for companies, but the way in which they are integrated in operations strategies remains an open issue. The purpose of this paper is to determine whether established operations strategy configuration models (i.e. price-oriented, market-oriented and capability-oriented models) are modified to include environmental and social priorities and whether different operations strategy configuration models are equally successful in the short and long term. Design/methodology/approach – Analyses were performed using data from the International Manufacturing Strategy Survey (2009), including companies in the assembly industry in 21 different countries. According to previous studies, cluster analysis of competitive priorities and ANOVA analysis of the business strategy and short- and long-term performance were performed. Findings – The results show that traditional operations strategy configuration models are slightly modified. Market-oriented and capability-oriented operations strategies are complemented by environmental and social sustainability priorities. These operations strategies are adopted by companies with a differentiation and innovation business strategy. Moreover, capability-oriented companies, which are the most committed to environmental and social sustainability, perform better in both the short and long term. Practical implications – This research shows to companies that traditional operations strategies focusing on specific competitive priorities (e.g. low price) are being replaced by more holistic strategies that include sustainability priorities. However, environmental and social priorities contribute to competitive advantage when complementing capability-oriented operations strategies. Originality/value – This paper extends operations strategy configuration models highlighting how environmental and social sustainability priorities can be deployed together with traditional competitive operations priorities.

The effect of individual cultural values and phantasy on risky investment intention

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Selim Aren ◽  
Hatice Nayman Hamamci
Keyword(s):  
Cultural Values ◽  
Power Distance ◽  
Uncertainty Avoidance ◽  
Content Type ◽  
Unconscious Processes ◽  
Risky Investment ◽  
Investment Intentions ◽  
The Impact ◽  
The Relationship

PurposeThis study aims to examine the impact of conscious and unconscious processes on risky investment intention. In this framework, the effect of individual cultural values and phantasy on risky investment intentions was investigated. In addition, the mediating role of phantasy in the relationship between individual cultural values and risky investment intentions was also analyzed.Design/methodology/approachData were collected between May 14, 2020 and June 01, 2020, when our graduate students voluntarily shared the online survey link on their social networks. In this way, 1,934 people in total answered the questionnaire. To test the study model, structural equation modeling (SEM) was performed using the AMOS program. In addition, ANOVA and independent sample t-test analyses were conducted using the SPSS program to analyze whether individual cultural values and risky investment intent differ according to demographic variables.FindingsAccording to the analysis results, power distance, collectivism, masculinity and long-term orientation are seen as antecedents of phantasy. While a positive relationship was found between power distance, collectivism and risky investment intention, a negative relationship was found between uncertainty avoidance and risky investment intention. Statistical findings regarding the mediating effect of phantasy on the relationship between individual cultural values and risky investment intentions were also determined. In addition to these, the differences in individual cultural values and risky investment intentions according to age, education level, sex and marital status were investigated. Individuals with the highest uncertainty avoidance level were in the 41–50 age group. Individuals with the highest long-term orientation level were individuals aged 41 and over. Individuals with the lowest risky investment intentions were in the +51 age group. Collectivism and power distance did not differ according to age. There were no differences in the relevant variables according to the level of education. Males have higher levels of risky investment intention, power distance, masculinity and collectivism than females, and married individuals have higher levels of uncertainty avoidance, masculinity and collectivism than singles.Originality/valueThis study is the first to investigate the impact of conscious and unconscious processes on risky investment intentions together. On the other hand, the number of studies empirically investigating the relationship between phantasy and risky investment intention is quite limited, and the authors have also provided the findings for the existence of a relationship between these two variables.

scholarly journals Culture and profitability: empirical evidence at a European level

2016 ◽  
Vol 13 (2) ◽  
pp. 580-588
Author(s):  
Maria Manuela Martins ◽  
Ilídio Tomás Lopes
Keyword(s):  
National Culture ◽  
Statistical Tests ◽  
Power Distance ◽  
Uncertainty Avoidance ◽  
Cultural Dimensions ◽  
Return On Assets ◽  
National Cultures ◽  
Return On Equity ◽  
Lower Uncertainty

Organizational cultures distinguish different organizations within the same country or countries. When comparing the organizations within the same country differences in national cultures are not relevant but become relevant in comparison between different countries. This paper intends to evidence whether the profitability of companies can be influenced by the national culture. In order to characterize the culture of each country, we used the Hofstede measure of cultural dimensions (1. Power Distance (PDI); 2. Uncertainty Avoidance (UAI); 3. Individualism (IDV); 4. Masculinity (MAS); 5. Long-Term Orientation (LTO); and 6. Indulgence vs Restraint (IND)). Sample was based on the 500 largest European companies rated by the Financial Times 2015. Profitability was measured by the ratios Return on Assets (ROA) and Return on Equity (ROE). Statistical tests were performed to test whether the means of the variables used to measure profitability are statistically equal. The results indicate that companies with higher profitability are from countries with lower Power Distance, lower Uncertainty Avoidance, Long-Term Orientation, and Higher Indulgence

Social network behavior inappropriateness: the role of individual-level espoused national cultural values

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Manjul Gupta
Keyword(s):  
Social Network ◽  
Cultural Values ◽  
Power Distance ◽  
Interdisciplinary Approach ◽  
The United States ◽  
Uncertainty Avoidance ◽  
Network Behavior ◽  
Content Type ◽  
Individual Level

PurposeThe purpose of the current study is to investigate the effects of individual-level (espoused) cultural values (collectivism, power distance, uncertainty avoidance, masculinity and long-term orientation) on the individuals' acceptability of inappropriate social network behaviors.Design/methodology/approachThe study employs survey data collected from 482 social network users (261 in the United States and 221 from India).FindingsResults show that individuals with high power distance, masculinity and long-term oriented cultural values are more accepting of inappropriate social network behaviors of others, while those with strong uncertainty avoidance cultural values have high degree of social network behavior inappropriateness, which is defined as the extent to which behaviors of social network users are considered unacceptable by others.Research limitations/implicationsThe paper highlights the need for more academic research on the intersection of culture and social network behaviors. This study emphasizes the need for adopting an interdisciplinary approach to understand individuals' social network behaviors.Practical implicationsThe paper offers recommendations to global organizations pertaining to the need for creating social network policies in such a way that encourages their global workforce to openly, yet respectfully, share their ideas using social networks.Originality/valueUsing an interdisciplinary approach, the present study extends our understanding of a recently proposed social network behavioral inappropriateness construct and explains how differences in cultural values may lead to differences in individuals' social network behaviors.

Hotel’s online reviews and ratings: a cross-cultural approach

2019 ◽  
Vol 31 (5) ◽  
pp. 2054-2073 ◽  
Author(s):  
Ramona Diana Leon
Keyword(s):  
Power Distance ◽  
Online Reviews ◽  
Uncertainty Avoidance ◽  
Hospitality Management ◽  
Web Based ◽  
Content Type ◽  
Cultural Specificity ◽  
Hotel Managers ◽  
The Impact

Purpose This paper aims to examine the impact of cultural specificity on hotel’s online reviews and ratings. Design/methodology/approach Using Hofstede’s scale of cultural differences, it analyzes 1,821 comments about the Catalonia Sagrada Familia Hotel across 77 countries. Logistic regression is used for data analysis. Findings It is found that detailed reviews tend to be provided by the guests who belong to a low-power distance culture, are collectivistic, are masculine, have a low uncertainty avoidance, are long-term orientated or are indulgent. On the other hand, the customers who tend to deviate from the prior average ratings come from high-power distance societies, are individualists, are feminists, belong to a high uncertainty avoidance culture, are long-term oriented or are indulgent. Originality/value These findings extend the hospitality management literature and potentially help the hotel managers to better understand their customers’ behavior in a web-based environment.

Green product preferences considering cultural influences: a comparison study between Malaysia and Indonesia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ihwan Ghazali ◽  
Salwa Hanim Abdul-Rashid ◽  
Siti Zawiah Md Dawal ◽  
Hideki Aoyama ◽  
Novita Sakundarini ◽  
...  
Keyword(s):  
Cultural Values ◽  
Structural Equation ◽  
Power Distance ◽  
Reliability And Validity ◽  
Cultural Influences ◽  
Uncertainty Avoidance ◽  
Equation Modeling ◽  
Green Products ◽  
Content Type

PurposeThere is an increasing awareness among manufacturers to make production more sustainable in Southeast Asian countries such as Malaysia and Indonesia. Manufacturers are now urged to not only focus on the business profit but also concern on environment protection by producing green products. However, issues may arise regarding the preferences of customers on green products, which will vary due to the influence of cultural values. This will give an impact on the marketing of green products. The aim of this study is to identify the influence of cultural values on the green products design in Malaysia and Indonesia.Design/methodology/approachA pretest on the survey instruments was performed to ensure the reliability and validity of the questionnaire. The collected data were statistically analyzed based on the satisfaction level, confirmatory factor analysis and structural equation modeling.FindingsThe results showed that customer preferences in Malaysia were mostly influenced by uncertainty avoidance, long-term orientation and power distance, excluding collectivism and masculinity. In Indonesia, the dimension of uncertainty avoidance and long-term orientation had significant influence, whereas power distance, masculinity and collectivism dimension had no influence. Eco-label was identified as the most important factor for green products in Malaysia and having product services characteristics factor for product lifetime extension in Indonesia.Practical implicationsFor practices, the cultural values and preferred characteristics identified in this study provide valuable information to policymakers and businesses on what draws customers toward green products in Malaysia and Indonesia. This finding can be used as supported data for the policymakers in order to achieve sustainable development goal (SDGs) in Malaysia and Indonesia.Originality/valueThe findings of this study provide valuable information for designers to design products with green characteristics that cater to the consumer market in Malaysia and Indonesia, as well as other countries which may have similar cultural traits.

Intertwining CSR with strategy – the way ahead

2014 ◽  
Vol 14 (2) ◽  
pp. 211-219 ◽  
Author(s):  
Shital Jhunjhunwala
Keyword(s):  
Business Strategy ◽  
Design Methodology ◽  
Business Models ◽  
Corporate Strategy ◽  
Sustainable Business ◽  
Socially Responsible ◽  
Content Type ◽  
Sustainable Business Models ◽  
Corporate Social

Purpose – The purpose of this paper is to emphasize the importance and means of making corporate social responsibility (CSR) an integral part of corporate strategy with the help of case studies. Design/methodology/approach – The article explores the transformation of business from being egocentric to socially responsible. With the use of examples it demonstrates how integrating CSR into strategy can create sustainable business models. Findings – Firms need to develop a framework for integrating CSR into their business strategy for long term successful survival. Social implications – Corporates and society are intertwined and mutually dependent. Business cannot survive without society's acquiescence nor succeed without its active support. Originality/value – The article explains the benefits of CSR and how to make it an integral part of business strategy to gain a competitive advantage.

scholarly journals The Comparative Study of Cultural Differences of Slovak Inbound Tourists: A Need of Innovations

2016 ◽  
Vol 9 (36) ◽  
pp. 373-383
Author(s):  
Iveta Fodranová ◽  
Viera Kubičková
Keyword(s):  
Power Distance ◽  
Negative Attitude ◽  
Two Dimensions ◽  
National Cultures ◽  
Linguistic Group ◽  
Slovak Population ◽  
Efficient Communication ◽  
Marketing Activities ◽  
The Comparative Study

Abstract The aim of this article was to identify the cause of the negative attitude of Slovak population towards visitors by comparing the differences in national cultures on six primary Hofstede’s dimensions: power distance, individualism, masculinity, uncertainty avoidance, long-term orientation and indulgence and provide comparison with Slovakia. The results revealed high score on power distance and masculinity. The high score of this two dimensions′ correlates with elements of expressions of superiority and negatively affects not only the way of communication between people from the same cultural and linguistic group, but also with individuals that come from a different cultural environment. Based on these results, it is necessary to develop a smarter marketing approach - strive for innovation and unique marketing activities for a more efficient communication.

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