Using Prof. Geert Hofstede's National Cultural Factors, Describe How They Can Be Used To Boast Entrepreneurship Development in Uganda

KYAMBOBO UNIVERSITY
SCHOOL OF MANAGEMENT AND ENTREPRENEURSHIP
DEPARTMENT OF ACCOUNTING AND FINANCE
COURSE: BACHELOR OF ACCOUNTING AND FINANCE
COURSE UNIT: ENTREPRENEURSHIP SKILLS
LECTURER: MRS. RITAH BISASO
YEAR OF STUDY: 2B
GROUP COURSEWORK
S/N NAME REG. NO SIGNATURE

1 AINEMBABAZI PROMISE 21/U/AFE/16367/PE
2 NGABIRANI BENON 21/U/AFE/16759/PE
3 NAMUTEBI PEACE 21/U/AFE/16741/PE
4 OPIA JOHN IVAN 21/U/AFE/16841/PE
5 FENI BENARD 21/U/AFE/16495/PE
Question
Using Prof. Geert Hofstede’s National Cultural factors, Describe how they can be used to boast
Entrepreneurship Development in Uganda
Introduction
Hofstede’s cultural Dimensions theory was published at the end of 1970s by Dutch management
social psychologist researcher Greet Hofstede, based on a decade of research. Since then, it’s
become an internationally recognized standard for understanding cultural differences. The aim of
the study was to understand the differences in culture a cross countries and discern the ways
business is done across different cultures and asses their impact on the business setting. In his
study he defined culture as the collective programming of the mind that distinguishes the
members of one group or category of the people from others.
Prof. Geert Hofstede studied people who worked for IBM (International Business Machines) in
more than 50 countries. Initially, he identified four dimensions that could distinguish one culture
from another later he added fifth in 1991 and sixth dimensions in cooperation with Drs. Michael
H. Bond and Michael Minkov.
These are;
1. Power Distance index

2. Individualism versus Collectivism
3. Masculinity Versus Femininity
4. Uncertainty Avoidance index
5. Long- term versus Short-term orientation
6. Indulgence Versus Restraint
Power Distance Index
This refers to the extent to which less powerful individuals in a country accept inequality in
organizations and institutions. According to Professor Geert Hofstede’s countries with high
power distance e.g. China are characterized by high levels of hierarchy, vertical communication
patterns and centralization of power. Supervisors have a high degree of control over subordinates
of power in contrast countries with low Power Distance Index show low levels of hierarchy,
horizontal communication and decentralized power. Therefore, high power distance index can
boast or increase entrepreneurship development in Uganda through high levels of hierarchy,
vertical communication patterns, and centralization of power which leads to thorough
supervision of all the entrepreneurship activities at all levels.
Individualism versus Collectivism
This refers to the strength of the ties that people have to others within their community.
Individualist society indicates weak interpersonal connection or loose ties between individuals.
Collectivist society, however, people are supposed to be loyal to the group to which they belong
and in exchange the group will defend their interests. There are strong ties between individuals in
collectivist society. To boast entrepreneurship, Uganda should embrace individualist society
where many people will tend to become entrepreneurs because of being self-reliant, as this will
encourage hard work and expression of people’s own ideas.
Masculinity versus Femininity dimension
This is about what values are considered more important in the society. This involves
distribution of roles between men and women. In masculine societies, the roles of men and
women overlap less and men are expected to behave assertively. The masculine side of this
dimension represents a preference in the society for achievement, heroism, assertiveness and
material rewards for success
In feminine societies, there is a great deal of overlap between male and female roles. There is a
preference for cooperation, modesty, caring for the week and quality of life
In Uganda, this dimension encourages both men and women to participate in business related
activities thereby creating competition thus leading to great innovation and creativity in the
business sector.
Uncertainty Avoidance.
This refers to a country’s tolerance for uncertainty and ambiguity. A country’s level of
uncertainty avoidance indicates the extent to which people feel either uncomfortable or
comfortable in unstructured situations. A high uncertainty avoidance indicates a low tolerance
for uncertainty, ambiguity and risk taking. The unknown is minimized through strict rules, laws
and regulations. A low uncertainty avoidance (uncertainty accepting) indicates a high tolerance
for uncertainty, ambiguity and risk taking. The unknown is more openly accepted, and there are
lax rules and regulations. Low uncertainty avoidance (Uncertainty accepting) can help Uganda to
boast entrepreneurship development since it encourages people to undertake risky ventures
which in turn can generate more incomes to the country.
Long-term orientation versus Short-term orientation
This dimension considers the extent to which society views its time horizon. Long-term
orientation Shows focus on the future and involves delaying short-term success. Long-term
orientation emphasizes persistence, perseverance and long term growth. Short-term orientation
shows focus on the near future, involves delivering short term success and places a stronger
emphasis on the present than the future. Uganda should embrace long-term orientation where
long term investments are considered to boast or increase entrepreneurship development than
short term investments.
Indulgence versus Restraint
The indulgence vs restraint dimension considers the extent and tendency for a society to fulfill its
desires. In other words, this dimension revolves around how societies can control their impulses
and desires. Indulgence indicates that a society allows relatively free gratification related to
enjoying life and having fun. Restraint indicates that a society suppresses gratification of needs
and regulates it through social norm. Therefore, in order to boast entrepreneurship development
in Uganda, indulgence should be implemented because it tends towards optimism, values leisure
time immensely and is willing to realize impulses desires which can increase on chances of new
ideals after refreshment of the mind.
References
www.geerthofstede.com
https://www.mindtools.com/pages/article/newLDR-66.htm

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KYAMBOBO UNIVERSITY

SCHOOL OF MANAGEMENT AND ENTREPRENEURSHIP

DEPARTMENT OF ACCOUNTING AND FINANCE

COURSE: BACHELOR OF ACCOUNTING AND FINANCE

COURSE UNIT: ENTREPRENEURSHIP SKILLS

LECTURER: MRS. RITAH BISASO

S/N NAME REG. NO SIGNATURE

1. Power Distance index

Power Distance Index

Masculinity versus Femininity dimension

Long-term orientation versus Short-term orientation

Indulgence versus Restraint

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