Connections Between Cultures: Using Empirical Distributions for Measuring Cultural Differences

2020 ◽  
pp. 002202212098237
Author(s):  
Wolfgang Messner

The past few decades have seen an explosion in the interest in cultural differences and their impact on many aspects of business management. A noticeable feature of most academic studies and practitioner approaches is the predominant use of national boundaries and group-level averages as delimiters and proxies for culture. However, this largely ignores the significance that intra-country differences and cross-country similarities can have for identifying psychological phenomena. This article argues for the importance of considering intra-cultural variation for establishing connections between two different cultures. It uses empirical distributions of cultural values that occur naturally within a country, thereby making intracultural differences interpretable and actionable. For measuring cross-country differences, the Gini/Weitzman overlapping index and the Kullback-Leibler divergence coefficient are used as difference measures between two distributions. The properties of these measures in comparison to traditional group-level mean-based distance measures are analyzed, and implications for cross-cultural and international business research are discussed.

2021 ◽  
pp. 1069031X2110057
Author(s):  
Frauke Mattison Thompson ◽  
Keith D. Brouthers

The digital ecosystem makes entry into foreign markets easier and provides new ways for consumers to engage with marketing materials (through content clicking, sharing, and electronic word-of mouth behavior). While there is emerging evidence that between-country cultural differences may impact digital consumer engagement (particularly eWOM), we know far less about its impact on online advertising clicking and sharing engagement or how within-country cultural variation (tightness/looseness) moderates this activity. In this study we develop and test the notion that cultural differences between- and within-countries lead to variations in digital consumer engagement, especially clicking and sharing behavior. Based on industry data provided by a programmatic advertising firm, we find support for the idea that between-country differences in national cultural values impact digital engagement, and that within-country cultural variation moderates these relations. In this way we provide new insights for researchers and managers about international marketing in the digital age.


2020 ◽  
Vol 8 (3) ◽  
pp. 23-41
Author(s):  
Finn Schøler

We study the accuracy of using traditional multiples valuation method in a global setting. The method of comparables refers to the valuation of companies based on multiples of comparable (similar) companies, preferably from same industry. While this may lead to accurate valuations of comparables from one country, it is often not the case for global comparables due to cross-country differences in culture, economics and accounting practice. We selected all listed non-financial companies with non-negative earnings and equity from the global ORBIS-database, i.e. 16,898 companies from 112 countries. PWC’s publication on contemporaneous adoption and use of IFRS, helped us categorise each country’s accounting regime as requiring, permitting or disallowing IFRS for listed companies. Hofstede’s cultural indexes adapted to Gray’s accounting values where used to categorise cultural differences. Finally, we chose the P/E, P/B, P/S, EV/S and EV/EBITDA ratios as our multiples. We find that the traditional focus on industry alone is not the best way to estimate a company’s value based on multiples. Different attitudes towards selection of comparables lead to differences in valuation precision due to differences in accounting tradition and culture in various countries. Consequently, the cultural aspect should be taken into consideration when choosing comparables across countries.  


2014 ◽  
Vol 14 (3-4) ◽  
pp. 235-262 ◽  
Author(s):  
Kateryna Maltseva

A considerable body of data has been amassed to explain values structure and transmission. Values dimensions have been extracted and compared across societies in a number of values studies, many of which use quantitative methodology. However, there is little quantitative evidence of significant cross-cultural variation in values. This counterintuitive outcome has given rise to a doubt if an effective quantified comparison of values across societies is possible. The major reason for this objection to use quantitative techniques in cross-cultural values research is the loss of culture-specific meaning in quantitative procedures. Using ratings data from two American and Swedish samples the present research demonstrates that it is possible to compare values data and detect meaningful cross-cultural differences in values across societies, provided that several conceptual alterations in the instrument are made. Namely, it is proposed that collective- and individual level constructs should be separated when the informants are asked about their values. The traditional approach to values as implicitly individual construct is critiqued. The paper proposes to distinguish formulations of individual-level values items (that are more closely associated with personal projects and conative aspects) from formulations of cultural-identity relevant collective-level values items (which are acquired in more uniform processes of social learning and institutionalization). When elicitation of values considers this distinction during data collection, the depression of cross-cultural differences in values disappears.


2014 ◽  
Vol 6 (4) ◽  
pp. 238-257 ◽  
Author(s):  
Haithem Zourrig ◽  
Kamel Hedhli ◽  
Jean Charles Chebat

Purpose – This paper aims to investigate the cultural variability in assessing the severity of a service failure. Design/methodology/approach – Two separate studies were conducted. The first investigates differences in the perception of service failures across two cultural pools of subjects (allocentrics versus idiocentrics) and within a same country. The second contrasts two levels of comparisons: a cross-cultural values’ level and a cross-country level, to assess differences in the perception service failures’ severity. Findings – Results showed that cultural values differences, when investigated at the individual level (i.e. idiocentrism versus allocentrism) are more significant to understand the influence of culture on the perception of severity, that is, allocentrics perceive more severity in the service failure than idiocentrics. However, a cross-country comparison (i.e. USA versus Puerto Rico) does not show significant differences. Research limitations/implications – Customers may assess, with different sensitivities, the severity of a service failure. These differences are mainly explained by differences in cultural values’ orientations but not differences across countries. Even originating from a same country, customers could perceive with different degrees the seriousness of a same service failure as they may cling to different cultural values. Hence, it is increasingly important to examine the cultural differences at the individual-level rather than a country level. Practical implications – Firms serving international markets as well as multiethnic ones would have advantage to understand cultural differences in the perception of the severity at the individual level rather than at the societal or country level. This is more helpful to direct appropriate service recovery strategies to customers who may have higher sensitivity to the service failure. Originality/value – Little is known about the effect of culture on the severity evaluation, although investigating cross-cultural differences in the assessment of severity is relevant to understand whether offenses are perceived more seriously in one culture than another and then if these offenses will potentially arise confrontational behaviors or not.


2018 ◽  
Vol 6 (1) ◽  
pp. 23-47
Author(s):  
Nadine Waehning ◽  
Ibrahim Sirkeci ◽  
Stephan Dahl ◽  
Sinan Zeyneloglu

This case study examines and illustrates within country regional cultural differences and cross border cultural similarities across four western European countries. Drawing on the data from the World Values Survey (WVS), we refer to the Schwartz Cultural Values Inventory in the survey. The demographic variables of age, gender, education level, marital status and income vary across the regions and hence, have significant effects on the cultural value dimensions across regions. The findings help a better understanding of the homogeneity and heterogeneity of regions withinand across countries. Both researchers and managers will have to justify their sampling methods and generalisations more carefully when drawing conclusions for a whole country. This case study underlines the limited knowledge about regional within country cultural differences, while also illustrating the simplification of treating each country as culturally homogeneous. Cross-country business strategies connecting transnational regional markets based on cultural value characteristics need to take these similarities and differences into account when designating business plans.


2020 ◽  
Author(s):  
Fariborz Moshirian ◽  
Nguyen Thi Thuy ◽  
Jin Yu ◽  
Bohui Zhang

Author(s):  
Mina Jeon ◽  
Dagmara Dimitriou ◽  
Elizabeth J. Halstead

Recent studies have shown that sleep is influenced and shaped by cultural factors, including cultural values, beliefs and practices. However, a systematic understanding of how cultural factors in countries may influence sleep duration and sleep disturbances is still lacking. Therefore, we focused on a comparison of sleep duration and disturbances in young populations between countries. We report cross-cultural differences between the child, parent and environmental factors, and their association with sleep duration and disturbances. The review is based on literature searches of seven databases published until December 2020. Studies were included if they investigated sleep duration and disturbances of individuals up to 18 years across at least two or more countries. The results of this review have shown that sleep duration and disturbances vary between countries and regions and certain factors (e.g., bedtime routines, sleeping arrangement, physical activity and psychological functioning) have been associated with sleep duration or disturbances. This review also demonstrates that certain factors which were associated with sleep duration or disturbances in one country, were not shown in other countries, suggesting a need for recommendations for age-related sleep duration and sleep interventions to consider cultural differences that influence sleep duration or disturbances in individual countries or regions.


2012 ◽  
Vol 12 (2) ◽  
pp. 193-210 ◽  
Author(s):  
Audra I. Mockaitis ◽  
Elizabeth L. Rose ◽  
Peter Zettinig

This paper investigates the perceptions of members of 43 culturally diverse global virtual teams, with respect to team processes and outcomes. Despite widespread acknowledgement of the challenges presented by cultural differences in the context of global teams, little is known about the effect of these differences on team dynamics in the absence of face-to-face interaction. Using a student-based sample, we study the relationship between global virtual team members’ individualistic and collectivistic orientations and their evaluations of trust, interdependence, communication and information sharing, and conflict during the team task. Our results suggest that a collectivist orientation is associated with more favorable impressions regarding global virtual team processes and that cultural differences are not concealed by virtual means of communication.


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