Business communication - Assignment Example

An analysis of Egypt and Canada using the Theory of Cultural Dimensions Introduction The theory of cultural dimensions was developed by Geert Hofstede, after whom the theory is named after, to address the issue of communication between different cultures. This was important, especially in international political and business affairs. Different cultures, defined in the theory on a country basis, by nature, have different values and behavior. Therefore, it is important to know which cultural values the person(s) you are dealing with, whether in business or political affairs, hold in high regard.

The Five Cultural DimensionsPower Distance Index (PDI) The Power Distance index identifies to what extent the less powerful members of the society accept that there will always be inequality in power distribution in their countries. A low value signifies that the less members of the society ‘accept’ that there will always be inequality and a high value show that there is resistance to inequality.Individuality vs. CollectivismThis dimension measures the value that a society places on group achievement against individual achievement.

A low value in the index signifies that the society places more value on collective achievement, and is thus more independent, while a high value shows that the society places more value in individual achievement.Uncertainty avoidance indexThe uncertainty avoidance index, shows how the society’s attitude towards defining social structures. A high value in the index signifies that a society is uncomfortable operating in undefined social and political structures; it also signifies high levels of emotion (Schwartz, 1999) and the members prefer having a strong legal and regulatory governing framework.

A low score signifies that the society does not require strong structures from which to operate within, they are not afraid of certainty and are more pragmatic in their approach, not emotional.Masculinity vs. FemininityThis is a more straightforward dimension; it covers a society’s adherence to the hegemonic masculine social concept. A high value in the index signifies a society places high value on the more masculine attributes of competitiveness, power and ambition while a low value shows a society’s values are more feminine, with more value placed in the overall quality of life and strong relationships.

Long term OrientationThe long-term orientation index shows whether a society places more value on short term or long-term gratification. Psychologically, it can also be seen as a measurement of pragmatism. Long term oriented societies are more pragmatic, with emphasis placed on the ‘bigger picture’ while short term oriented societies are less pragmatic in their approach (Appadurai, 1996), adhering to their traditions and defined social obligations without a lot of emphasis on their long term goals.

An analysis of Egypt and Canada, according the theory of Cultural DimensionsThe individual scores within the two countries are (Hofstede, 1983)EgyptCanadaPower Distance7039Individualism vs. Collectivism2580Uncertainty avoidance index4552Masculinity vs. Femininity8048Long term orientation (pragmatism)736A scenario where two organizations from Canada and Egypt are dealing with each otherIn a scenario where a Canadian telecommunications company wants to merge with an Egyptian company, how will the Canadian firm handle the communications in the business dealings with the executives of the Egyptian company?

First, Canada has a very low power distance index (39) in comparison with Egypt’s (70). This means that in Egypt, the society is more accepting of the gap between the powerful and less powerful. Therefore, the Canadian firm should focus into negotiations on the more powerful executives of the Egyptian firm, as their subordinates are more likely to follow up on any decisions made by them.There is also a significant gap between the two country’s individualism vs. Collectivism index. Egypt is an interdependent society, therefore the benefits that are being offered by the Canadian Firm to the Egyptian company, should be spread more widely across the society for it to be acceptable to the Egyptians.

Instead of offering high salaries to the executives, they intend to retain after the merger, assurances that all employees will be retained will be a more effective negotiation approach.The two countries have similar score in the uncertainty avoidance index, this shows that both society’s can work within minimized regulatory and legal frameworks. There would therefore be no need for a heavy legal presence from both sides, if both companies have trustworthy reputations. A gentlemen’s agreement would be sufficient.

Egypt is a very masculine-oriented society. The Canadian negotiation team would be better served if it had a reduced female presence (purely from an academic standpoint, the morality of such a decision is another issue altogether). Egypt has a very low score in this index. This signifies that the society is very much rooted in its current social and traditional setup. Therefore, the Canadian firm needs to be knowledgeable on the customs that are considered acceptable in the Egyptian culture, and to avoid any social gaffes that might be interpreted as insulting.

The assumptions made in this scenario are that the Egyptian firm is in a position of power in these negotiations and as such, the Canadian company is trying to ‘woo’ them into selling their firm over to them. If the negotiation field were more even, then both companies would have to make compromises to establish a ‘middle-point’. ReferencesAppadurai, A. (Ed.). (1996). Modernity al large: cultural dimensions of globalization (Vol. 1). U of Minnesota PressHofstede, G. (1983). National cultures in four dimensions: A research-based theory of cultural differences among nations.

 International Studies of Management & Organization, 46-74Schwartz, S. H. (1999). A theory of cultural values and some implications for work. Applied psychology, 48(1), 23-47.