Question

Identify and evaluate the sensitivity of the four dimensions Hofstede national cultures (Uncertainty avoidance, Individualism vs. collectivism, Masculinity vs. femininity and Power distance) could impact e-business in Singapore. Explain details

Answer 1

Hofstede proposed certain cultural dimensions that affect the cultural environment of a nation. Singapore is a multi-ethnic country. The cultural dimensions proposed by Hofstede that are considered in the e-commerce business in Singapore are:

• Power Distance
• Individualism VS Collectivism
• Masculinity VS Femininity
• Uncertainty Avoidance

1. POWER DISTANCE: Power Distance refers to the willingness of the members of a culture to accept the differences in power among them. Singapore has a rather high power distance. They are more accepting of power distance and don't mind relying on power centralised managers and doing what they are told to do. This is because their roots are based on the principles of Confucianism that teaches them about unequal relationships between people for the stability of society. So, the e-commerce business must develop a strict hierarchy to adapt to this cultural dimension in Singapore.
2. COLLECTIVISM: This dimension of culture describes whether the members of a culture are individualistic or they prefer collectivism. The people of Singapore prefer collectivism. They prefer belonging to a part of a larger group and putting aside their own individual needs for the greater good. They avoid open conflicts and maintain a harmonious relationship with the members of the group they are a part of. So, the e-commerce business must encourage its employees to form groups so that employees feel a sense of belonging.
3. FEMININITY: A masculine culture means that people are driven by competition and achievement of success. A feminine culture means that people are driven by values, caring and nurturing. Singapore has a feminine culture which suggests that people are driven by the softer aspects of culture such as sympathy, consensus and modesty. They are encouraged by shared values. So, measures must be taken to motivate the workforce using feminine factors in the e-commerce business in Singapore.
4. UNCERTAINTY AVOIDANCE: Uncertainty avoidance means the extent to which people take risks and the ambiguity they feel while facing uncertain situations. Singapore culture has a low uncertainty avoidance ranking which means that they are more likely to take risks and bend the law to take a chance. So, the e-commerce business in Singapore must be willing to take the plunge for the betterment of its employees and the business itself.