Differences in Cultures Increasingly, managers must deal with multiple ethnic groups with very different cultures. Thanks to globalization, you are likely to work with Japanese, French, Chinese, German and all sorts of other nationalities. In the US, a firm, short handshake indicates self-confidence and heterosexual masculinity. A limp handshake by a man can be interpreted usually wrongly as a sign of homosexuality or wimpiness.
Understanding the relationships among people of different ranks is an essential component of the business world. Power distance is the degree to which members of a society adhere to distinctions of importance and accept or adapt to inequalities of status. Cultures may have either a high or low power distance.
Countries with low power distances tend to minimize inequalities and encourge individual differences. These societies, such as the United States, Israel, Switzerland, and Ireland, have less formal social interaction. Roles are less rigid and demographics are not very relevant.
In low-power distance societies, equality governs most interaction between superiors and subordinates. High power distance societies use power and authority as their golden rule.
Social relationships, especially among those of differing ranks, are authoritarian and based on one's status within the heirarchy. In countries like Brazil, Asia, India, and Columbia demographic differences are magnified.
Acceptance is based solely upon gender, age, and seniority rather than the merit of one's work. Communication between members of opposing viewpoints is often filled with friction and frustration. Increased knowledge, respect and understanding about the differentiations between power distance groups is the only way to cancel out these difficulties.
Site created by Amanda Patton, heymandy ufl.Power Distance Essay Geert Hofstede identifies five cultural dimensions that assign mathematical scores designating a particular country’s beliefs about each of the dimensions.
The five cultural dimensions are Power Distance (PDI), Individualism (IDV), Masculinity (MAS), Uncertainty Avoidance Index (UAI), and Long-Term Orientation (LTO). The general manager in Russia is the leading person and hence linked to the fact of a high power distance culture; those people make all important decisions whereas the middle- management has lower chances of co- determination (Elenkov ).
The first dimension is the power distance index (PDI). The dimension refers to the inequality degree that exists between the people that are in power and the ones that lack power (Hofstede & Hofstede, ). They can discuss why some members of teams would prefer for the team to perform like a leaderless jazz band (high individuality) and others like an orchestra with a conductor (group orientation and high power distance).3 Differences in cultural preferences can be leveraged to improve creativity and work effectiveness.
5. To find out the moderating role of power distance in between leadership styles (transactional, transformational, charismatic, autocratic, democratic Organization with high power distance has clear managerial hierarchy. There is a line among supervisors and employees. As compare to high power distance.
High collectivist people define themselves by their group membership and develop harmonious relation in their group.
Power distance is the degree to which people accept unequal distribution of power .