WEBVTT Kind: captions Language: en 00:00:16.640 --> 00:00:24.880 Hi hi I will take you to the website of Hofstede and to show you the comparisons between the 00:00:24.880 --> 00:00:33.200 various countries and you can use this website to find out the various cultural dimensions 00:00:33.840 --> 00:00:40.880 between various countries so here first I have taken our country India you look at this here 00:00:40.880 --> 00:00:46.160 the power distance in India is very very high seventy seven power distance is very high so you 00:00:46.160 --> 00:00:52.800 can make it out the bureaucracy is very high it is more often the the bo the superiors or 00:00:52.800 --> 00:01:01.040 seniors will take most of the decision parents and the grandparents they will demand more 00:01:03.920 --> 00:01:11.840 but the they will they will be having more decision making process in the 00:01:12.560 --> 00:01:18.960 family they will take most of the decisions so here this is typically the power index is very 00:01:18.960 --> 00:01:22.720 high in India but you see The individualism or the 00:01:24.000 --> 00:01:31.520 masculinity index is also medium around fifty fifty six to forty eight is typically the 00:01:31.520 --> 00:01:38.400 individualism and fifty six that is there indulgence is very very low very very low 00:01:38.400 --> 00:01:43.840 indulgence you see in India indulgence is very low is hardly twenty six so the people are 00:01:44.400 --> 00:01:50.240 they do not really take out time for their self gratification and other so that is very very low 00:01:51.200 --> 00:01:57.360 and the long term orientation is also reasonably high is around medium is very high so that was the 00:01:57.360 --> 00:02:01.920 investments what the Indian companies are also making in an international market in 00:02:01.920 --> 00:02:08.400 the foreign markets there is a quite long term investment decision because based on the long 00:02:08.400 --> 00:02:13.280 term orientation you will see the typical Indian companies they are coming in Indian market and 00:02:13.280 --> 00:02:18.960 They are operating and having a very long term orientation for the market nothing short term so 00:02:18.960 --> 00:02:26.720 that is the advantage here now let us select here so another country first here in this list so let 00:02:26.720 --> 00:02:34.160 us select a country our neighbouring first let us go ahead with uppsalas theory that let us see the 00:02:34.160 --> 00:02:43.920 Bhutan and then let us select here the Bangladesh and then Bhutan and then maybe the Sri Lanka 00:02:43.920 --> 00:02:54.320 let us take our neighbouring countries I am not able to locate yeah Sri Lanka yeah see the India 00:02:55.840 --> 00:03:05.680 Bangladesh Sri Lanka India is green look at this here you know can we increase this size here 00:03:06.400 --> 00:03:17.760 no yeah look here little bit of more enlarging the screen yeah so see here the power distance 00:03:17.760 --> 00:03:24.960 is very high in Bhutan see the power distance is very high in Bhutan and almost 00:03:24.960 --> 00:03:29.840 The three countries India Bangladesh Sri Lanka almost the power distance are almost same 00:03:31.440 --> 00:03:41.680 whereas the uncertainty avoidance is very very high is in Bangladesh but uncertainty avoidance 00:03:41.680 --> 00:03:47.840 is comparatively low in all these countries and in Bhutan also uncertainty avoidance is very very low 00:03:49.520 --> 00:03:58.160 individualism is very high both in Bhutan and also in India is very high indulgence you see 00:03:58.160 --> 00:04:04.480 that we are almost at the same level on these two places to country four countries so here 00:04:04.480 --> 00:04:10.480 the from the uppsala theory if you are planning if you are an Indian company and if you are planning 00:04:10.480 --> 00:04:19.280 to go to these markets as a first step either to export or to start a distribution network there or 00:04:19.280 --> 00:04:25.680 to having a licensee agreement license agreement or maybe franchisee agreement or maybe 00:04:25.680 --> 00:04:32.175 Starting your sales subsidiary into that in that in these countries taking and trade advant trade 00:04:32.175 --> 00:04:39.440 been barrier advantages of saarc countries if you want to enter into these countries these are the 00:04:39.440 --> 00:04:46.560 nature so typically you can see that the almost the cultures are almost same most of the cultures 00:04:46.560 --> 00:04:53.280 are almost same the power distance individualism except the individualism is very very high in 00:04:53.280 --> 00:05:03.120 these two countries but it is low in Bangladesh and also low in Sri Lanka so there so and also the 00:05:03.120 --> 00:05:10.320 masculinity index is very high in India compared to Bhutan and very low in Sri Lanka 00:05:12.160 --> 00:05:16.960 so long term orientation also you can see from here the long term orientation in 00:05:16.960 --> 00:05:23.840 these countries so this can give you that you can make and based on this cultural 00:05:23.840 --> 00:05:29.760 dimension Hofstede culture dimensions You can make a long term orientation long term 00:05:29.760 --> 00:05:36.640 investment into these countries because they are all coming almost at at same power level and 00:05:37.440 --> 00:05:43.280 all these negotiations when you make in these countries you will have typically the same type 00:05:43.280 --> 00:05:48.800 of in power distance what you have in India so similar type of power index power distance 00:05:48.800 --> 00:05:54.640 index you will not have much problem there and also the individualism and uncertainty 00:05:54.640 --> 00:05:59.920 avoidance are almost same except in Bangladesh where uncertainty avoidance is very very high 00:05:59.920 --> 00:06:05.840 okay so that is about it now I am removing from here the Bhutan I am removing Bhutan here 00:06:06.640 --> 00:06:24.160 I am removing Bangladesh also from here and comparing the 00:06:25.680 --> 00:06:31.600 asia pacific countries so let us let us do let us compare here here with Singapore and 00:06:31.600 --> 00:06:37.760 Malaysia because we and let us consider Japan also here 00:06:47.440 --> 00:06:49.760 Japan and then take 00:06:56.000 --> 00:07:01.840 China and then take 00:07:09.440 --> 00:07:10.560 Malaysia okay 00:07:13.360 --> 00:07:21.120 see in Malaysia the power distance is very very high see Malaysia or distance is very high 00:07:21.760 --> 00:07:30.960 whereas power distance in Japan is comparatively low and India and China almost same power distance 00:07:30.960 --> 00:07:40.400 same power distance where whereas the indulgence is high in Malaysia whereas indulgence is low 00:07:40.400 --> 00:07:47.840 in Japan is not low I think it is medium in Japan but typically low in India and China so 00:07:47.840 --> 00:07:53.840 so the people will not really be taking much of gratification and all those that will be there 00:07:53.840 --> 00:08:00.400 typically in India but the long term orientation if you look see look the long term orientation 00:08:00.400 --> 00:08:08.080 both the China and Japan both having very long term orientation so that is why you see 00:08:08.080 --> 00:08:13.600 The companies making an investment Japanese companies making investment or the chinese 00:08:13.600 --> 00:08:20.640 companies making investment they have a very long term view about that market uncertainty avoidance 00:08:20.640 --> 00:08:26.240 see Japan is totally out absolutely apart stay apart because they do not want any short 00:08:26.240 --> 00:08:32.720 of an uncertainty in anything so that is like shinkansen express or a bullet train comes to a 00:08:32.720 --> 00:08:40.080 platform time mentioned is twelve fifty nine the train bullet trains shinkansen express 00:08:40.080 --> 00:08:46.240 will be at that platform say at Shinjuku station or maybe a Tokyo station exactly at twelve fifty 00:08:46.240 --> 00:08:52.480 nine not twelve fifty eight or not even at twelve thirteen hundred hours so that is the 00:08:52.480 --> 00:08:59.200 way they do not want any certain any nothing uncertainty so the uncertainty avoidance is 00:08:59.200 --> 00:09:05.360 very very high in Japan so if you are Dealing going from India to Japan and dealing 00:09:05.360 --> 00:09:11.040 with them so they do not want any short of an uncertainty in the decision making process 00:09:11.040 --> 00:09:17.520 in the delivery timing product specification whatever it exactly has to follow see the 00:09:17.520 --> 00:09:25.760 countries like Malaysia China and India we are almost at the same level of their uncertainty 00:09:27.520 --> 00:09:34.160 look at the masculinity and individualism the Japan masculinity index is very very high 00:09:34.160 --> 00:09:38.400 so what exactly the masculinity index decision making style 00:09:39.120 --> 00:09:45.760 is very hard aged very very hard aged and fact based decision making system so Japan 00:09:45.760 --> 00:09:53.680 decision making system is entirely different than the what is called your in India 00:09:53.680 --> 00:10:01.520 or in China or in Malaysia so the masculinity index is very very high in Japan individualism 00:10:02.080 --> 00:10:08.240 Japan and India are almost saved whereas In China and Malaysia individualism is very low 00:10:08.880 --> 00:10:16.800 power distance is maximum in Malaysia okay now I remove it here and bring a couple of maybe 00:10:16.800 --> 00:10:24.000 united states here and for an example we can see one us and maybe great Britain we can see here 00:10:24.000 --> 00:10:31.840 and how it changes with that so that can be an example for us so you can select from here 00:10:53.520 --> 00:11:03.840 and you select great Britain and Germany let us select Germany because lot of 00:11:08.800 --> 00:11:13.840 Germany and also take Britain 00:11:22.800 --> 00:11:35.680 or France let us take France yeah see here you can see the power distance is almost similar in India 00:11:35.680 --> 00:11:41.680 and France India of course the power distance very high France also the power distance 00:11:41.680 --> 00:11:47.840 is very high but you see in Germany and united states power distance is very low compared to 00:11:47.840 --> 00:11:55.840 India and China so you can make it out how This power distance pd score there high indicate 00:11:55.840 --> 00:12:04.480 a national culture where the bureaucracy is very very high so in us or in Germany the bureaucracy 00:12:04.480 --> 00:12:10.560 will be much low compared to the bureaucracy in India and the France bureaucracy will be much high 00:12:11.120 --> 00:12:18.560 okay the long term orientation which is very important for in international business what 00:12:18.560 --> 00:12:23.600 is a long term orientation see the Germany is very very high in long term orientation that is why you 00:12:23.600 --> 00:12:29.040 will see the German investments coming to this any of these countries these are all long term you can 00:12:29.040 --> 00:12:35.840 see various German companies like mercedes benz bmw audi they came into this market and they are 00:12:35.840 --> 00:12:47.040 all a long term player into this market see the here the about the uncertainty avoidance France 00:12:47.600 --> 00:12:52.080 Germany they are all very very High in uncertainty avoidance 00:12:52.080 --> 00:12:59.120 here and also the individualism united states you see everything is high individualism is very very 00:12:59.120 --> 00:13:06.160 high so more of I than we and whereas each of these countries also reasonably very high 00:13:06.800 --> 00:13:11.440 individualism in also in Germany and France also individualism is very very high 00:13:12.960 --> 00:13:19.360 and the indulgence is very high in the united states compared to as you see in India it is 00:13:19.360 --> 00:13:27.040 twenty six and you see the indulgence in France and Germany also reasonably high but around but 00:13:27.040 --> 00:13:33.360 in India is very very low so that is typically the way you should analyse this market so use 00:13:33.360 --> 00:13:41.600 this slide this website and courtesy to Hofstede India for allowing me to use this website and to 00:13:41.600 --> 00:13:48.640 give this comparison so you can use this for going for the negotiation or making an investment in any 00:13:48.640 --> 00:13:54.000 of these countries select the country and use this Hofstedes cultural dimensions there and 00:13:54.560 --> 00:13:59.600 that will be very useful for you that is all from my side thank you very much thanks a lot