Hofstede Cultural dimensions:
India is a vast country known for its diversified culture and traditions. The unique characteristic of India is its “unity in diversity”. In India Relationships and feeling plays a larger role in decisions. Indians tend to take larger risks with a person whose intentions they trust. Thus, one’s credibility and trustworthiness are critical in negotiating a deal. Indians are ‘polychronic’ people, ie they tend to deal with more than one task at the same time. Indians are cautious in accepting a new idea or proposals. The information about who has implemented it or who has proposed it has a major influence on the decision about a new idea.
One of the most significant culture influences on Indian culture is that of hierarchy. For example, only the owner or the most superior person of a company will make business decision. Even if you are dealing with a manager, they will always go to the boss for a final decision.
Hofstede’s Research on National culture:
Power Distance (77): Power Distance describes how a society deals with the inequalities in power that exists among people. Societies characterized by high power distance are relatively indifferent to inequalities and the gap between powerful and weak is maximum. By contrast, in societies with low power distance the gaps between the powerful and weak are minimal.
In India most of the people belongs to the middle class category. So the upper category people control most of the decision making and buying power. In Organizations, the degree of centralization of authority and autocratic leadership determines power distance. The social structure of organizations in India is based on superior – subordinate relationship. Once the hierarchy is establishes, juniors yield to seniors on every conceivable occasion. For example, they standup when the boss enters the office, speak humbly and politely.
India has to change a lot in this dimension. Even though they are many politicians...
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