Nowadays more and more companies want to extend their activities to other countries to expand their network or range and increase their competitiveness. Basically the right to found a company or even to establish a subsidiary or branch is valid for each citizen of the European Union. But what are lucrative locations? According to a survey, many international managers see China, the USA and Germany on the top. Economic external conditions as infrastructure, qualified employees, good social climate or the stable political environment led to a high eminence of the "location" Germany in the world, but nevertheless the country doesn’t get a look-in in the sector of digitalisation. The USA is pressing ahead. But which incentives really
attract and tempt companies? How attractive is the European Union or Europe? The survey places the next member state on place eight – the United Kingdom. How a culture itself influences the choice of location often isn’t evident and won’t be mentioned as a reason. But in which country is it ideal to extend or establish a company? Does a cultural dimension model point out if it’s appropriate to extend the marketing activities of a German company in another European country such as the United Kingdom? The objective of this assignment is to show if it is appropriate by applying the model of Hofstede. In the first part of the assignment the United Kingdom will be characterized by general information and its cultural values. Afterwards the model of Hofstede will be explained and the scores in the United Kingdom will be examined and interpreted by applying them to the cultural values. For simplification reasons, the last two dimensions of the Hofstede model won’t be included. The result of the two parts will lead to a recommendation for a business decision and in conclusion the main outcome will be summarized.
Table of Contents
1. Introduction
2. United Kingdom
2.1 General facts
2.2 Cultural values
3. Hofstede model
3.1 Definition
3.2 Scores in the United Kingdom
4. Recommendation for a business decision
Objectives and Topics
This assignment investigates whether the Hofstede model provides a suitable framework for a German company to evaluate the appropriateness of expanding marketing activities into the United Kingdom, focusing on key cultural dimensions.
- Cultural characteristics of the United Kingdom
- Application of Hofstede’s cultural dimension model
- Comparison of cultural values between Germany and the UK
- Strategic recommendations for international business expansion
- Analysis of social stratification and communication styles in Britain
Excerpt from the Book
3.2 Scores in the United Kingdom
To begin with the index of the Power Distance dimension, the low level of just a score of 35 is discernible. It clearly shows that the society believes that inequalities should be reduced amongst people and that everybody should be treated as equal what is promoted through a highly valued sense of fair play. This index is lower amongst the higher class in Britain than amongst working classes and in general reveals tensions in the British culture between the view that where you are born does not limit what you can achieve in life and the inconsistent high importance of the birth rank. On the one hand it indicates that the cultural aspect of the historical social stratification system still is clearly inherent in the peoples mind. On the other hand the score of 35 emphasizes again that especially in the working environment hierarchies become more and more flat, communication tends to be on equal terms as well as the distribution of power.
Secondly, the index of the dimension Individualism is amongst the highest of the Individualist scores with 89 what shows that the British are highly Individualist and private people. The country is only beaten by for example Australia and the USA with scores of 90 and 91. From the earliest days the children in the UK learn to think for themselves and to find out their unique purpose in life and how they uniquely can contribute to society. So the British “are more likely to value uniqueness over harmony, expression over agreement and to define themselves as unique or different from the group”. Moreover they “feel comfortable taking decisions on their own and do not hesitate to assume personal responsibility”.
Chapter Summary
1. Introduction: This chapter outlines the motivation for business expansion and defines the objective to apply the Hofstede model to analyze the UK market.
2. United Kingdom: This chapter provides a general overview of the UK and explores specific British cultural values, including religion, social stratification, and communication styles.
3. Hofstede model: This chapter defines the theoretical framework of the six dimensions of national culture and interprets the specific index scores for the United Kingdom.
4. Recommendation for a business decision: This chapter evaluates the utility of the model and provides a concluding recommendation for German companies considering market entry in the UK.
Keywords
United Kingdom, Hofstede Model, Cultural Values, Business Etiquette, Power Distance, Individualism, Masculinity, Uncertainty Avoidance, Market Expansion, Intercultural Competence, Social Stratification, British Culture, Business Communication, Decision Making, Globalization
Frequently Asked Questions
What is the primary focus of this assignment?
The assignment focuses on analyzing the cultural landscape of the United Kingdom using the Hofstede model to determine its suitability for guiding business expansion decisions.
What are the central themes discussed in this work?
The central themes include British cultural traits, social hierarchies, communication protocols, business etiquette, and the application of Hofstede’s dimensions of national culture.
What is the main research objective?
The main objective is to evaluate whether Hofstede’s model provides a meaningful basis for a German company to decide on expanding its marketing activities into the UK market.
Which scientific method is utilized?
The author uses a literature-based theoretical analysis and applies the Hofstede cultural dimension framework to specific data scores for the United Kingdom.
What topics are covered in the main body?
The main body covers a factual overview of the UK, an in-depth look at British values (family, religion, class system), communication etiquette, and a detailed breakdown of Hofstede’s index scores.
Which keywords characterize this study?
Key terms include United Kingdom, Hofstede Model, Individualism, Power Distance, Business Etiquette, and Intercultural Competence.
How does the UK score regarding the Individualism dimension?
The UK has a very high score of 89, indicating that the culture highly values individual achievement, independence, and personal responsibility over group harmony.
What does the low Power Distance score (35) imply for British business culture?
It implies that despite historical class systems, the modern business environment in the UK favors flatter hierarchies and communication based on equal terms.
Why is the "Uncertainty Avoidance" score relevant for business?
The score of 33 suggests that British culture is relatively comfortable with ambiguous situations and prefers flexible processes over rigid rules, which impacts how change is managed in a company.
What is the final recommendation regarding the Hofstede model?
The author concludes that while the model is an ideal construction and a useful tool for understanding cultural characteristics, it should be supplemented with real-world considerations for business decisions.
- Citar trabajo
- Anonym (Autor), 2017, The United Kingdom. A Hofestede Model, Múnich, GRIN Verlag, https://www.grin.com/document/442613