Power Distance Index Case Study

a) Power Distance Index
Power Distance Index (PDI) refers to the degree of inequality that exists and is accepted between people with and without power. A high-PDI score indicates that a society accepts an unequal, hierarchical distribution of power, and that people understand “their place” in the system. A low-PDI score means that power is shared and widely dispersed, and that society members do not accept situations where power is distributed unequally (refer to figure 1.1.4).
Application: According to the model, in a high-PDI country, such as Malaysia (100), team members will not initiate any action; they like to be guided and directed to complete a task. If a manager does not take charge, they may think that the task is not important (as
Here, people focus on managing through discussion, consensus, compromise and negotiation.

d) Uncertainty Avoidance Index (UAI)
This dimension describes how well people can cope with anxiety. In societies that score highly for Uncertainty Avoidance, people attempt to make life as predictable and controllable as possible. If they find that they cannot control their own lives, they may be tempted to stop trying. These people may refer to "mañana", or put their fate "in the hands of God". People in low-UAI-scoring countries are more relaxed, open or inclusive.
Avoiding uncertainty is not necessarily the same as avoiding risk. Hofstede argues that you may find people in high-scoring countries who are prepared to engage in risky behaviour, precisely because it reduces ambiguities, or in order to avoid failure.
Application: In Hofstede’s model, Greece tops the UAI scale with 100, while Singapore scores the lowest with eight (refer to figure
Your aim is to encourage them to become more open to different ideas and approaches, but it may be helpful to provide a relatively limited, structured set of options or solutions.
e) Pragmatic versus Normative
Pragmatic versus Normative (PRA) dimension is also known as Long-Term Orientation. It refers to the degree to which people need to explain the inexplicable and is strongly related to religiosity and nationalism.
The above dimension was added recently, so it lacks the depth of data of the first four dimensions. However, in general terms, countries that score highly for PRA tend to be pragmatic, modest, long-term oriented and more thrifty. In low-scoring countries, people tend to be religious and nationalistic. Self-enhancement is also important along with a person’s desire to please their parents.
Application: The US has a normative score. This is reflected in the importance of short-term gains and quick results (for example, profit and loss statements are quarterly). It is also reflected in strong normative positions politically and