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Dutch social scientist Geert Hofstede famously developed the Power Dimension Index, which compares a number of characteristics that allows us to compare different cultures. Hofstede argued that these cultural differences can explain around half of the differences observed in how we react to various situations as managers.
The researchers used Geert Hofstede’s invididualist-collectivist spectrum alongside data from the World Value Survey to gauge the response of countries to policy directives. Good examples are South Korean, Taiwan and New Zealand, which are flourishing democracies.” ” Cultural importance.
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