It’s Like Entering Another World : A field study examining cross-cultural differences among Swedish expatriates operating in Sri Lanka

(1)

It’s Like Entering Another World

A field study examining cross-cultural differences among Swedish expatriates operating in Sri Lanka

Authors: Danny Nelson 921005 Fredrik Nordin 920630

Spring Semester 2020

Business Administration, Independent Project, Second Cycle, 30 Credits Management

Örebro University School of Business Supervisor: Magnus Hansson Examiner: Andreas Nilsson

(2)

Abstract

Purpose - This study describes cross-cultural differences and the importance of cross-cultural

awareness from an individual perspective when operating in professional environments in Sri Lanka; identify cultural barriers that emerge during Swedish expatriates’ interaction with the Sri Lankan culture; examine how Swedish expatriates adapt to the new cultural context.

Research Design/Methodology - This is a field study, conducting a qualitative content

analysis to examine data collected through semi-structured interviews of Swedish expatriates operating in the professional environments of Sri Lanka.

Findings - National indexes used to estimate and perform cross-cultural comparisons between

countries are insufficient to detect, predict and estimate barriers occurring on an individual level caused by cross-cultural differences. Cultural subdimensions seem to exist within several dimensions, fractions that are crucial to be aware of since these affect expatriates’ abilities to perform a successful expatriation. Correlations between the national indexes and adaptation strategies seem to be hidden underneath the high degree of acceptance towards inequalities in Sri Lanka.

Implications & Limitations - Covid-19 outbreak during the data collection process, limited

amount of time to conduct the field study.

Trustworthiness - Sample design with great diversity, authors with diverse backgrounds,

using respondents with same origin as us (the authors), all transcribing and analysis processes are performed separately by each author, text revised by a certified English teacher.

Further Research - More thoroughly examine the existence of cultural subdimensions within

the current cultural dimensions, a suggestion that might be possible when The World Value Study completes their 7th wave of data collection. Explore potential correlations between the national indexes and expatriates’ conducted adaptation strategies, and further examine if a high degree of acceptance towards inequalities hides these. We also suggest that future research should examine individuals’ identity work for a longer period of time in terms of a longitudinal study.

Keywords: National Indexes, Cultural Dimensions, Cultural Subdimensions, Cross-Cultural

Differences, Cross-Cultural Management, Polarizations, Expatriations, Adaptation Strategies, Cultural Identity,

(3)

Table of Content

1. Introduction 1

1.1 Background 1

1.2 Country Introduction of Sweden & Sri Lanka 3

1.3 What is Culture? 5

1.4 National Culture 7

2. Problematization 8

3. Theoretical Framework 11

3.1 Hofstede’s Cultural Dimensions 11

3.1.1 Power Distance 12

3.1.2 Individualism versus Collectivism 13

3.1.3 Masculinity versus Femininity 15

3.1.4 Uncertainty Avoidance 17

3.1.5 Long Term versus Short Term Orientation 19

3.1.6 Indulgence versus Restraint 19

3.2 Trompenaars’ Cultural Dimensions 20

3.2.1 Universalism versus Particularism 22

3.2.2 Individualism versus Communitarianism 23

3.2.3 Specific versus Diffuse 23

3.2.4 Neutral versus Affective 24

3.2.5 Achievement versus Ascription 25

3.2.6 Sequential Time versus Synchronous Time 25

3.2.7 Internal Direction versus Outer Direction 26

3.3 Limitations and Criticism of the National Indexes 26

3.4 Identity Work 27

3.4.1 The Concept of Identity 27

3.4.2 Social Identity 28

3.4.3 Cultural Identity 29

3.4.4 Adaptation Strategies to Psychological Acculturation 29

3.5 Summary of the Theoretical Framework 31

(4)

4.1 Research Design 32

4.2 Sample 33

4.3 Data Collection Process 35

4.4 Location and Time of Data Collection 36

4.5 Data Analysis Method 36

4.6 Trustworthiness of the Study 38

5. Empirical Findings 40

5.1 General Description of Respondents 40

5.1.1 Respondent 1: The Aid Worker 40

5.1.2 Respondent 2: The Techie 40

5.1.3 Respondent 3: The CEO 41

5.1.4 Respondent 4: The Secretary General 41

5.2 Presentation of Empirical Findings 42

5.2.2 Individualism versus Collectivism/-Communitarianism 46

5.2.5 Long Term versus Short Term Orientation 55

5.2.11 Internal Direction versus Outer Direction 67

5.2.12 Summary 71

6. Analysis 78

6.1 Barriers 78

6.1.2 Individualism versus Collectivism/-Communitarianism 80

(5)

6.1.11 Internal versus Outer Direction 89

6.1.12 Summary 90

6.2 Adaptation Strategies 90

7. Conclusion 98

7.1 The Impact Originating in Cross-Cultural Differences 98 7.2 Identity Work of Swedish Expatriates Operating in Professional Environments in Sri

Lanka 99 8. Discussion 103 9. Sources 107 10. Attachments 112 10.1 Figures 112 10.2 Graphs 117 10.3 Interview Guide 119

(6)

Acknowledgements

We would like to show our appreciation and gratitude to the following persons, organizations, and agencies for supporting and/or enabling the writing of this thesis.

Initially, we would like to thank Associate Professor Magnus Hansson at Örebro University School of Business, our supervisor and guiding hand during the entire process of our thesis, pushing us to perform at a hundred and ten percent at all time. We are sincerely grateful for your support and efforts during the writing of our thesis. Thank you.

We would also like to thank the organization Sweden Sri Lanka Business Council for providing us with preparatory counseling, for helping us out with practical matters on site, and for helping us connect with Swedish expatriates in Sri Lanka. Your support and hospitality have been invaluable for us during the writing of this thesis. We hope that we’ll meet again. To all respondents participating in our study, thank you for your willingness to share your experiences and providing us with all necessary data, and especially for taking your time with us in the middle of the Covid-19 outbreak. Your cooperation has been most valuable for our study.

We would also like to address a special thanks to our fellow students, providing us with constructive and nuanced critique and feedback, during the entire writing process. We would also like to give a special thanks to English teacher Maria Fasth for thoroughly revising our text, supporting us to attain a high linguistic accuracy and correctness in our work.

Last, but not least, we would like to thank the governmental agency Sida for the honorable scholarship Minor Field Studies (MFS) and the preparatory training that enabled us to conduct this study on site in Sri Lanka. We are truly grateful for this opportunity; it has been an educative as well as an exciting experience to conduct this study.

Sincerely,

(7)

(8)

¹ “Acculturation comprehends those phenomena which result when groups of individuals having different cultures come into

continuous first-hand contact, with subsequent changes in the original culture patterns of either or both groups”

Redfield et al., (Redfield et al., 1936) p.149

² Defined by Graves (1967)

³ “Expatriate - a person settled outside their country of origin, often abbreviated as ‘expat’. In practice the term is generally

1. Introduction

Since the very beginning of mankind, people have urged to gather in-groups, a primitive phenomenon of human beings. Groups of people tend to form an intern homogeneity, strengthening the power of the group as a mechanism for survival. In-groups, members create bonds to each other by sharing artefacts. Yet, group belonging is more than a survival mechanism, it is a psychological need of the human nature, a desire to belong to something greater than themselves (Baumeister and Leary, 1995). Social scientists argue that one type of group belonging can be traced to culture (Boski et al., 2004; Sussman, 2000), individuals sharing the same norms and values. When groups of people from different cultures interact with each other, a phenomenon called acculturation¹ emerges. Berry (2005) argues that acculturation happens on two levels; on group level and on an individual level. When focusing solely on the latter part, the phenomenon is called psychological

acculturation². This thesis focuses on Swedish expatriates’ adaptation to psychological

acculturation in professional environments in Sri Lanka, meaning focusing solely on the individual level. Our study does not aspire to map the collectivistic processes surrounding the psychological acculturation, but rather aspires to identify cultural barriers among expatriates based on the national indexes containing cross-cultural differences between Sweden and Sri Lanka. These barriers are then being analyzed using a modified version of Berry’s fourfold model (Berry et al., 1987) to identify the degree of adaptation conducted by the expatriates in order to cope with the experienced barriers in their new cultural context.

1.1 Background

Due to the internationalization and globalization of the economy, the amount of multinational companies is growing in a rapid pace. When companies expand abroad, doing business is often more challenging compared to operating in a domestic business context, cultural differences being one main reason for this (Trompenaars and Hampden-Turner, 1997). Due to this, a large amount of research in business management emphasizes the importance of cross-cultural consciousness and awareness when companies expand abroad and interact with foreign cultures (Hofstede, 1984; Swaak, 1995; Trompenaars and Hampden-Turner, 2012), making this an interesting as well as important topic to examine. As a result of the internationalization and globalization of the economy, more western based companies have begun to invest in developing countries in terms of both outsourcing and local establishment (UNCTAD, 1998). One developing country with a rapidly increasing interest from foreign investors is Sri Lanka. After the civil war ended in 2009, Sri Lanka has been able to stabilize the country and the economy, which has provided a favorable and attractive foundation for companies to flourish (Ravinthirakumaran et al., 2015). In combination with an expanding market the Sri Lankan government is actively trying to attract foreign investors (Sri Lanka Country Review, 2020). Yet, as in every expatriation, companies commonly face

(9)

challenges when operating in new cultural contexts different from their native ones (Hofstede, 1984; Hofstede et al., 2010; Swaak, 1995; Trompenaars and Hampden-Turner, 2012, 1997).

After reviewing literature examining national cultures and their cross-cultural differences, we noticed a significantly lower amount of papers and articles performing studies on the Sri Lankan culture compared to other countries. Among the existing research, Hofstede et al. (2010) and Trompenaars & Hampden-Turner (2012) are the key contributors to this field of research, establishing indexes on a national level that perform cross-cultural comparisons between different countries. However, with regard to Hofstede et al. (2010) and Trompenaars & Hampden-Turner (2012) as well as other available research of the Sri Lankan culture, no studies have been examining cultural barriers from an individual perspective. Since the vast majority of cultural studies of Sri Lanka, which are relatively few, are performed on a national level, the cultural barriers expatriates experience when operating in professional environments in Sri Lanka are still unexplored, or at least not established to the degree of general knowledge, something to be considered most valuable for future expatriates aiming to operate in Sri Lanka, a lack of research that led us to the write this thesis.

A lack of cross-cultural studies made on an individual level in Sri Lanka was not the only gap of research found in this area. When looking at research regarding psychological acculturation, we realized that there was also a lack of research connected to the national indexes, examining expatriates’ adaptation to their new cultural context, an insufficiency also pointed out by Sussman (2011). This made us conduct a two-step analysis, initially identifying cultural barriers, and further on proceeding with examining expatriates’ adaptation strategies towards these. This enabled us to bind together the national indexes with the expatriates’ experiences. Ultimately, the lack of research combined with the fact that Sri Lanka grows into a more attractive market for foreign investors builds the foundation to gain greater knowledge about cultural barriers and expatriates’ approaches of managing these in professional environments in Sri Lanka.By collecting data from Swedish expatriates in Sri Lanka, focusing on their individual experiences of cultural barriers and their way of adapting to these, we are able to providecompanies and professionals with valuable knowledge when preparing their future expatriations, and further on when entering the Sri Lankan market, increasing their chances to perform a successful expatriation, whether it being an existing company expanding or a new business establishing.

This study addresses cultural barriers from an individual perspective, which means that we examine the Sri Lankan culture through the eyes of expatriates, describing the importance of cross-cultural awareness among expatriates, identify cultural barriers emerging during the expatriation, and examine the expatriates’ adaptation to the new cultural context. In order to do this, data will be collected from Swedish expatriates in Sri Lanka, individuals with the same nationality as ourselves (the authors). However, even if examining cultural barriers from Swedish expatriates, the findings and contributions of this study are of value for expatriates from other countries as well, especially from countries with similar cultural settings as Sweden.

(10)

1.2 Country Introduction of Sweden & Sri Lanka

Sweden

Sweden is one of the Scandinavian countries located in Northern Europe, east of Norway and west

of Finland. It is the fifth-largest country in Europe by area and measures a total country area of 450,295 square kilometers (Swedish Institute, 2020). Sweden’s total population estimates 10,3 million (by 2019) whereof 2,5 million with a foreign background (SCB, 2019). The official religion is Christianity with Protestantism being the main denomination (Swedish Institute, 2020). Sweden is a parliamentary democracy where the government, consisting of the Prime Minister, operates as the executive authority (Riksdagsförvaltningen, 2020). Sweden was officially a “neutral” nation during both world wars, and was consequently not affected by any severe physical damages (Central Intelligence Agency, 2016). Sweden transformed during the 19th century, going from an agriculturally based economy into being industrialized and urbanized (Baten, 2016). Due to the industrial revolution, powerful labor nations, and a generous social policy emerged to later form the “Swedish Model” (Birkinshaw, 2002). Today Sweden is an export-oriented country with a diverse economy, ranked as one of the top ten most competitive countries in the world (The World Economic Forum, 2018). Even if Sweden is highly influenced by norms and values originated in the Western world, Sweden is considered a rather unique country in many ways. For example, Birkinshaw (2002) describes Swedes as follow:

“The Swedes are a surprisingly homogeneous group. There is a strong work ethic. They have strongly held beliefs about equality. They feel they have to stick together in a big unfriendly world. There is a strong desire to fit in and conform to the norms and expectations of those around them.”

- (Birkinshaw 2002, p. 11-12)

Sri Lanka

Sri Lanka is an island located in South Asia outside the coast of India, the country area measures

65,610 square kilometers and it has a total population of 21,67 million people (The World Bank, 2020a). The official religion is Buddhism and 70,2% of the Sri Lankan population confess to this religion, the main language is Sinhala and it is spoken by 74% of the population (Central Intelligence Agency, 2016). Through history, Sri Lanka has been affected and influenced by numerous countries. In the 16th century the coastal areas were controlled by the Portuguese, in the 17th century the Portuguese lost the control of the coastal areas to the Dutch. Later on, after almost a hundred years of Dutch rule, the British military took control over Sri Lanka which thereby became a British colony in 1796 (official crown colony in 1802). Sri Lanka then received their independence in 1948 and changed its name from Ceylon to its current name Sri Lanka (Central Intelligence Agency, 2016). In 1983 tensions between the Sinhalese and the Tamils erupted into a civil war which was fought between the government and the Tamilian separatists called Liberation Tigers of Tamil Eelam (LTTE). The war went on and off until 2009 when LTTE was defeated (Central Intelligence Agency, 2016). At the end of 2004 a tsunami struck Sri Lanka and took 35,000 people's lives, leaving 400,000 people in desperate need of food, water, and shelter (United Nations, n.d.). During the Easter celebrations on the 21th April 2019, several bombings were conducted by Islamic radicals. The bombings were targeting churches and hotels and took 259 people’s lives, leaving at least 500 injured (Selvanayagam, 2019). The bombings severely affected

(11)

the tourism in Sri Lanka and the loss from tourist related incomes was estimated to reach 1,5 billion USD (De Silva, 2019). In summary, Sri Lanka has a turbulent history, leaving traces still to be found today. Even though Sri Lanka opened its economy in the late 1970s in order to attract foreign investments, the results of FDIs has been varying due to the problems aforementioned above. Today, foreign investments are still an important mechanism for the economic growth of Sri Lanka, whereat the Sri Lankan government actively works towards making the country more attractive to foreign investors (Sri Lanka Country Review, 2020).

Comparison in Graphs

Graph 1: Population - Sweden versus Sri Lanka Source: (The World Bank, 2020a)

Graph 2: GDP per capita (Current USD) - Sweden versus Sri Lanka Source: (The World Bank, 2020b)

(12)

These hard facts about these countries clearly show a clear-cut border between Swedish and Sri Lankan national prerequisites, indicating cross-cultural differences on an individual level as well. However, they also exemplified how historical events have influenced and formed the countries to what they are today, permeating everything from economic prerequisites to culture. With today’s travelling and information technology, cross-cultural interactions often cause consequences in terms of misunderstandings, irritation and confusion due to a lack of cross-cultural awareness. We will continue to emphasize the importance of cross-cultural awareness in the following chapters, but first we need to define the concept and meaning of culture.

1.3 What is Culture?

The term culture derives from the Latin word “colere” which means to till- or to care for the earth, alternatively in a more modern context, to cultivate (Irfan, 2016). In social anthropology, culture is referred to as patterns or settings of a person’s way of thinking, feeling, and acting. Each person holds a unique setting of values, beliefs, and behaviors that have been developed during the person’s lifetime according to the social contexts the person has been living in, and the people and institutions with whom the person has interacted with. Even if we are all human beings, we tend to understand and interpret things, and the world itself, differently due to our cultural settings. In other words, we are all socially incorporated into different cultures that shapes our way of living; the way we think, socialize, interpret, and understand things, etc. (Hofstede et al., 2010; Trompenaars and Hampden-Turner, 2012).

Hofstede et al. (2010) argues that each person’s setting, also known as the programming of the

mind, develops within these social contexts, as well as a person’s interaction within the social

context enhances the development for others’ settings. Culture is therefore a collective phenomenontransmitted to people, by people, within the same group. Hofstede et al. (2010) also argues that the collective programming of the mind is what separates people into groups or categories, developing and shaping the settings, thus the phenomenon of what we refer to as culture (Hofstede et al., 2010). Put alternatively, culture is the way groups of people understand and interpret the world (Trompenaars and Hampden-Turner, 2012), or as Geertz (1973) describes it: “culture is the fabric of meaning in terms of which human beings interpret their experience and

guide their actions.” - (Geertz 1973, p. 145)

All together, these definitions of culture clearly emphasize the collective character of the phenomenon. Next step is to examine how these settings of thoughts, emotions and acts embody themselves in our daily lives. This means that one group’s perception of something may have a different meaning to another group in a different culture. Trompenaars & Hampden-Turner (2012) states an example with eating hamburgers at McDonald’s. Eating hamburgers at McDonald’s in New York was nothing more than a quick and convenient way to grab a cheap meal. At the same time in Moscow, eating hamburgers at McDonald’s was a sign of high status and wealth. This exemplifies that the same activity, videlicet eating hamburgers, had different meanings to people in different cultures. The shared meanings of groups are therefore essential when examining cultures. One fundamental and thus important aspect of culture is that our interpretations of another

(13)

explicit culture say more about ourselves and the culture we derive from than the culture we are interpreting. To further delve into this, Trompenaars “model of culture” can be used to graphically illustrate the representation of culture. The model illustrates a sphere divided into three layers, where each layer represents different cultural manifestations (Trompenaars and Hampden-Turner, 2012).

Figure 1: The Onion

Source: (Trompenaars and Hampden-Turner, 1997)

The outer layer is called explicit culture. This layer describes the observable elements of a culture such as artifacts and products. These are often the first things a person experiences when interacting with a new culture in terms of language, monuments, and fashion for example. However, it is important to be aware that the shared meanings of the explicit culture are concealed beneath the observable layer. Explicit culture are just symbols that reflects the deeper levels of culture, which brings us to the second layer, norms and values. Firstly, norms are a group’s shared perceptions of what is “right” and “wrong”, the proper way to behave in terms of written laws (formal) as well as in socially developed rules (informal). Secondly, values are the shared perceptions of what is “good” and “bad”, the way in how the group aspires or desires to behave. People’s shared norms and values are therefore the foundation whereon the culture is developed and elaborated. The third and inner layer is called implicit culture, also known as the core, describing the basic assumptions of a culture. These assumptions are perceived as obvious solutions to the people within the culture, assumptions that have been socially developed for a period a time within the cultural context. Since they are perceived as obvious, people within the culture subconsciously perform these acts, behaviors and/or rituals without thinking- and being aware of them. Nevertheless, these obvious solutions may be unfamiliar and perceived as odd to other people in other cultures (Trompenaars and Hampden-Turner, 2012).

(14)

Sweden and Sri Lanka are both geographically and culturally diverse countries, emerged from different historical foundations and influencing events, creating and shaping their cultural contexts. As aforementioned, when people from different cultures interact, misunderstandings and confusion are common consequences of people’s dissimilar interpretations and understandings. From an expatriate’s point of view, these consequences easily transform into cultural collisions, or referred by us to as barriers. When expatriates enter a new cultural context, they are often being exposed to unfamiliar norms and values, different from the ones present in their home country’s culture (Hofstede, 1984; Hofstede et al., 2010; Trompenaars and Hampden-Turner, 2012). To fully grasp and conveniently refer to this phenomenon, we have consequently decided to use our own definition, videlicet as barriers. When referring to barriers, we refer to situations where expatriates in a particular context are being put in a position, alternatively explained as a crossroads, where they actively have to make a choice of how to cope with cross-cultural differences. Barriers could be seen as obstacles, induce expatriates to either reinforce, integrate, assimilate, or refuse to act according to norms and values present in their host country’s culture. In business contexts, it is not necessarily the launch of a company’s product or service itself that causes these barriers, it is what they mean to the people within the other culture. Culture is not about the actions themselves; it is the meaning people give these actions. Therefore, it is not only important to know how to act in certain situations, it is also crucial to know why you should act in a certain way and what your actions mean to people in other cultures (Trompenaars and Hampden-Turner, 2012).

1.4 National Culture

The world is divided into political units, commonly known as nations. Nations are based on societies where every society is a result of a socially developed organization with a shared culture. Even though nations are not to be equated with societies, the mental programming of citizens within a nation is very much alike (Hofstede et al., 2010; Trompenaars and Hampden-Turner, 2012). Cultural study researchers often use national networks when collecting country specific data in order to examine national cultures and cross-cultural differences (Hofstede et al., 2010). When analyzing national cultures, Hofstede et al. (2010) stress the importance of a “neutral” approach when studying cultural differences, so-called cultural relativism. The idea of cultural relativism is that the settings of one person’s values, beliefs, and behaviors should be understood from that person’s own culture and not by the judging of the observer, alternatively explained that norms and values in other cultures should not be seen as something to be either right or wrong, but rather different (Hofstede et al., 2010).

(15)

2. Problematization

In this chapter we will emphasize the underlying problem that led us to write this thesis. Thenceforth, we will describe the purpose of this study, followed by our research question. At the end of the chapter we will present how this thesis relate to UN’s Sustainable Development Goals (SDGs).

Today’s society allows us to travel to any part of the globe within 24 hours, but cultures are not being internationalized in the same rapid pace as the rate of globalization in the modern society (Hofstede et al., 2010; Trompenaars and Hampden-Turner, 2012). Information technology has indeed made it easier to gather information about other cultures, but we argue that it is not nearly enough to solely use this information in order to succeed as an expatriate. This is partially because culture goes way deeper than what is visible for the eye, as seen in Figure 1. (The Onion), but also because cross-cultural awareness is not only about understanding the opposite culture, it is also about understanding your own culture from the eyes of the opposite culture, where the relation itself between the cultures is the primary focus. Claiming to be fully aware of your own culture is therefore rather naive. If referring back to Trompenaars example of McDonald’s, is it not the action itself that matters when discussing cross-cultural awareness, it is the meaning behind these actions that matters (Trompenaars and Hampden-Turner, 2012).

Considering the complexity of culture, it is not surprising that cross-cultural differences and the associated barriers pose a great threat to companies expanding to foreign markets with different cultures. When companies expand their businesses to foreign markets, the risks of failure are increasingly higher compared to a domestic expansion. Cultural differences play a great role when interacting with a new culture on every level, resulting in severe consequences if not done with a high degree of awareness and consciousness, such as great economic losses for companies (Swaak, 1995). Management theorists have for a long period of time been searching for the “best way” of managing a company, but when these theories have been applied to companies operating in foreign markets, they often end up in disaster (Hofstede et al., 2010; Trompenaars and Hampden-Turner, 2012). Trompenaars & Hampden-Turner (2012) state an example of how an international consulting firm suggested a reorganization of an Italian company into a matrix structure in order to increase organizational performance. The consulting firm based their suggestions and built their strategy on American management theories. Not long after the reorganization, the company failed. It seemed like the task-oriented approach of the matrix structure made workers lose their loyalty to their superiors. Trompenaars & Hampden-Turner (2012) explained this by comparing the Italian relationship between workers and their manager to the relationship between a father and son, making it clear that having two fathers is not possible in the Italian culture. Due to this, Swaak (1995) argues that the rate of failed expatriations could be reduced by a number of different approaches, such as better internal/external selection of possible expatriates, and a better training/development before the expatriation. Regardless of whom it may concern, it is inevitable to ignore the relevance of cross-cultural awareness when interacting with other cultures at any level. In the 1970's, researchers started to focus on management in cultural contexts, trying to

(16)

contribute to a better understanding of management in an international environment (Trompenaars and Hampden-Turner, 2012).

Researchers from various disciplines stress the importance of cross-cultural awareness during intercultural meetings in many aspects. On a national level, scholars have conducted a large amount of studies where findings show how vital cross-cultural awareness is during intercultural interactions (Bond et al., 2004; Hofstede et al., 2010; Schwartz, 1994; Smith et al., 1996; Trompenaars and Hampden-Turner, 2012). Moreover, acculturation theorists have conducted research focusing on group and individual adaptation to the host country culture (Berry, 2005, 1997; Berry et al., 1987; Mao and Shen, 2015; Sussman, 2011). Yet, there is a need for further research of the impact of cultural dimensions on individuals’ adaptation to their host country’s culture as suggested by Sussman (2011):

“Better utilize the work of Dutch organizational psychology Geert Hofstede (Hofstede, Hofstede, & Minkov, 2010). His breakthrough research on dimensions of culture might provide predictors to help understand the extent to which cultural transitions in the workplace would be difficult or easy. One might suggest that the wider the gap between the sending and receiving cultures on one or more of the five dimensions, presumably the greater the adjustment. These ideas need to be tested more fully.” - (Sussman 2011, p. 403)

Sussman’s (2011) suggestion to further utilize Hofstede’s cultural dimensions theory coincides with the purpose of our study and further strengthens the incentives to conduct these kinds of studies. Among existing research, no studies have been found examining the impact of national indexes on individuals’ adaptation to the Sri Lankan culture. We argue that filling this knowledge gap with further research, this will be of great value for future expatriates operating in Sri Lanka. Therefore, we will aim to contribute with further knowledge in this field by conducting a field study of Swedish expatriates operating in professional environments in Sri Lanka. By doing this, further knowledge may be extracted and used in the future, favorably by Swedish companies and/or professionals aspiring to perform expatriations in Sri Lanka. Also, by contributing with greater knowledge in this field of research, future international collaboration between Sweden and Sri Lanka will be facilitated, supporting economic growth in both countries.

Purpose

The purpose of this study is to: describe cultural differences and the importance of cross-cultural awareness from an individual perspective when operating in professional environments in Sri Lanka; identify cultural barriers that emerge during Swedish expatriates’ interaction with the Sri Lankan culture; examine how Swedish expatriates adapt to the new cultural context.

(17)

Research Question

“What impact do cross-cultural differences have on Swedish expatriates’ identity work operating in professional environments in Sri Lanka?”

A thorough description of the research question is made to clarify each part:

● Impact = Barriers caused by cross-cultural differences which drives expatriates to actively make a choice of how to adapt to the new cultural context which they are being exposed to. ● Cross-Cultural Differences = The reason behind barriers experienced by expatriates, illustrated by Hofstede’s and Trompenaars’ indexes of national culture (cultural dimensions).

● Identity Work = Expatriates’ choice of adaptation strategies to the new cultural context which influences and alters the creation of expatriates’ cultural identity (CIT).

In order to examine what impact national culture and the associated cross-cultural differences have on Swedish expatriates in Sri Lanka, we first need to perform a cross-cultural comparison between these countries on a national level, using a cultural relativist approach while doing so, to get an insight in existing cultural differences existing between these countries before going further down to analyzing cultural barriers on an individual level.

A Contribution to the Sustainable Development Goals (SDGs)

Our study aims to provide valuable and favorable knowledge for future Swedish expatriates, which includes both companies as well as individual professionals, expanding and/or establishing in Sri Lanka. This aspires to contribute and support the eighth goal of the UN's Sustainable Development Goals (SDGs), Decent Work and Economic Growth, but also contributing supportive to several other SDGs since facilitating business between Sweden and Sri Lanka may have favorable indirect effects in other areas as well.

(18)

3. Theoretical Framework

This study uses Hofstede’s et al. (2010) and Trompenaars & Hampden-Turner’s (2012) national indexes, and Mao & Shen’s (2015) adaptations strategies, as theoretical preunderstandings. The theoretical framework used in this study builds upon these theories, which further on serves two purposes in this study. Firstly, the theoretical framework will function as the foundation for our initial codes when conducting a content analysis in order to sort out and categorize our data. Secondly, the theoretical framework will also serve as our theoretical glasses when analyzing our empirical findings. Our theoretical framework is divided into three parts. The first part includes Hofstede’s framework and his cultural dimensions, and the second part includes Trompenaars and Hampden-Turner’s model of national cultural differences. These two parts include the theoretical preunderstanding operating on a national level. The third and last part includes the literature of identity, which is successively funneled down to the theory of psychological acculturation, in this study used to examine expatriates’ way to adapt to a new cultural context.

3.1 Hofstede’s Cultural Dimensions

In this section we will introduce Hofstede’s framework followed by describing his six cultural dimensions. Each dimension (except for Indulgence versus Restraint) will have a graph illustrating scores of Sweden and Sri Lanka, and additionally the two most extreme countries in each dimension to help perceptualize and get a better understanding of the scale as well as the countries’ proportions to each other.

Hofstede (1984) developed a theoretical framework, targeting cross-cultural comparisons, as a result of a worldwide survey of employees at IBM during the late 1960’s. During the following decade Hofstede continued his research which resulted in the book Culture’s Consequences released in 1984 (Hofstede, 1984). Since 1991 the book has been revised, and in the 3rd edition, published in 2010, Hofstede started to cooperate with the Eastern European researcher Michael Minkov. Minkov collected data from different sources and combined these with Hofstede's existing data. Together they managed to reach 85,000 respondents from 76 different countries. Hofstede's theoretical framework originally consisted of four dimensions (Power Distance, Uncertainty

Avoidance, Individualism versus Collectivism, and Masculinity versus Femininity) (Hofstede et al.,

2010). Based on the findings in his first book Culture’s Consequences combined with Minkov’s findings in his book What makes us different and similar: a new interpretation of the world values

and other cross-cultural data two new dimensions were developed by Minkov and (Geert)

Hofstede (Long Term versus Short Term Orientation, and Indulgence versus Restraint) (Hofstede et al., 2010).

The following descriptions derive from the book Cultures and organizations: Software of the mind (Hofstede et al., 2010). Due to this, all information presented below is based on the authors’ explanations if nothing else is stated.

(19)

3.1.1 Power Distance

The Power Distance index measures to what degree cultures have an acceptance towards unequal power distributions, for example predetermined hierarchies (Hofstede, 1984). Hofstede et al. (2010) state an example with the Swedish King Charles XIV (former Bernadotte) of how he tried to address the Swedish parliament in their native tongue (Charles XIV having French as native language). Charles XIV’s Swedish is described as broken, and when trying to address the parliament speaking Swedish, the parliament started to laugh, but as a cheerful response to the king’s great effort of speaking Swedish rather than as humiliation. However, the king misinterpreted the parliament’s laughter and thought he was being humiliated, making him so furious that he never spoke Swedish again. Charles XIV’s originated from France, a country that scores very high in the Power Distance index (hereby called PD index), subordinates are not supposed to question a leader, and especially not make him lose his face in public. In France, leaders have the highest authority and should be treated and respected accordingly, while in Sweden, power is more equally distributed among people.

As illustrated in Figure 2, Sweden scores very low in the Power Distance index illustrating a different power relation where subordinates and leaders are considered equals, and leaders tend to have more of a consultative role. Countries with a low score in the Power Distance index do not accept inequalities and strives towards an equal power distribution. Sri Lanka on the other hand scores very high in the Power Distance index with a value of 80, which means that there is a bigger acceptance of inequalities and unequal power distributions. The Power Distance index also explains how dependent subordinates are of their leaders, and how the emotional bonds are assembled between them. The emotional distance between the subordinates and their leaders seem to be bigger in countries with a high score in the Power Distance index. When the emotional distance is bigger, the subordinates tend to avoid contradicting their leaders directly. The emotional distance creates a higher dependence on the leaders which leads to a less consultative approach from the manager.

Hofstede et al. (2010) describe three stages when Power Distance shapes the “software of the mind”, the first stage describing the relation between a child and his/her parents. In countries with high scores in the Power Distance index, children are supposed to show respect and strictly obey their parents and older siblings. They are also expected to support their parents, both financially and practically, when they get older and especially when having an income of their own.

Contrary, in countries with a lower score in the Power Distance index, children are considered as equals as soon as they are able to extort their will. These children are encouraged to take

initiative, questioning, and to start discussions with their parents. In low-scoring countries in the

Power Distance index, the goal is to create an independent individual as soon as possible that will

have a low- or non-existing dependence towards their surroundings, including their family who is expected to care for themselves without any support from their children. Power Distance also becomes visible in schools where teacher - student relationships are created. Hofstede et al. (2010) describe how the child - parent inequality is passed on to a teacher - student inequality in cultures that scores high in the Power Distance index. In these cultures, teachers are to be treated with great respect, and students are supposed to be disciplined, calm, and quiet during class unless they are spoken to. Furthermore, contradictions and criticism should never be raised

(20)

towards the teacher outside of school. This inequality is then passed onto the workplace, where the manager has a similar role, and is to be treated accordingly, like the teacher.

Figure 2. Power Distance

3.1.2 Individualism versus Collectivism

This index describes how individuals act towards their social surrounding. Individualistic people aspire towards goals and desires for themselves, while collectivistic people tend to care for their fellow beings and their community, being relatively relation oriented. Hofstede et al. (2010) state an example of how a Swedish mid-size company was introduced to a business opportunity in Saudi Arabia by a compatriot with a beneficially broad social network in the host country. The Swedish company sent one of their colleagues to Saudi Arabia in order to close the deal, but after several visits the Swedish colleague and his managers started to become inpatient. The meetings with the Saudi Arabian representatives never seemed to be about business, but rather small talk and discussions about personal matters, totally irrelevant according to the Swedes. Just as their patience started to run out, they received a fax from the Saudi Arabian company, saying that they wanted to sign a multi-million-dollar contract. After signing the contract, the colleague at the Swedish firm was promoted and was consequently no longer in charge of the business deal with the Saudi Arabian company. However, after a while the Saudi Arabian company started to complain and as a consequence wanted to terminate the contract. The Swedish firm tried to live up to their demands and negotiate about how to solve the problem. After several failed attempts, they decided as a last solution to reinstate the original colleague that further on managed to close the deal, making the Saudi Arabian company satisfied.

This is a nuanced example of a typical mishappening that may occur between an individualistic country (Sweden: 71) and a collectivistic country (Saudi Arabia: 25) doing business. The Swedish company thought that they made a deal with the Saudi Arabian company, a deal made between two

companies, meanwhile the Saudi Arabian business leaders perceived the deal as something more

relational, a deal established between them and the other person from the Swedish company, which they had come to know and trusted, rather than a transaction systematically made between two companies.

These types of cultural differences are included and described in the Individualism versus

Collectivism index. In individualistic cultures the ties between individuals are loose, everyone is

taking care of themselves and their immediate family. Contrary, in collectivistic cultures people are not seen as individuals, but as groups or communities. The group offers every individual

(21)

protection at the cost of unquestioned loyalty in return. This means that the group will care for its members, emotionally, and sometimes even financially, one example being the extended family. Collectivistic cultures support their members during their studies for example, and later ask for support in return. In individualistic cultures on the other hand, children are often expected to move out as soon as possible to look for a job, make their own money, and fend for themselves. In return, they are free to spend their earnings as they prefer. Individualism has a strong correlation with national wealth and a negative correlation with the PD index. Sweden and Sri Lanka differ a lot in this context as illustrated in Figure 3. Sri Lanka that scores 35 in this index is considered a collectivistic culture, meanwhile Sweden is considered to be an individualistic culture with a score of 75.

Another characteristic artefact in collectivistic cultures is the restrictive usage of the word “no”. Instead, loose responses like “you may be right” or “we will think about it” are common phrases to dismiss something you do not agree with (Hofstede, 1984; Hofstede et al., 2010). Hofstede et al. (2010) explain this by pointing out that “no” is considered a direct confrontation, whereon a direct confrontation with another individual, and especially a manager, is considered rude. However, in individualistic cultures telling the truth, which in many cases requires using the word “no”, is seen as a virtue. For example, children in individualistic cultures learn from an early age that they always should tell the truth even if it might hurt and/or offend the other person.

The individualistic and collectivistic cultures can also be described as shame and guilt cultures. In individualistic cultures, the individual tends to feel guilty when he/she breaks rules and policies developed by the society. Collectivistic cultures are instead described as a shame culture, where members of a group feel ashamed when they break the rules formed by the society and/or the group. Students in collectivistic cultures tend to not speak in class unless it is sanctioned by the group. These students also tend to be restrictive with speaking in larger groups outside school, especially if they are not heterogeneous. In collectivistic cultures, it is very common, and often expected, that students are to be treated differently, some might say unequally, by the teacher depending on their ethnicity and/or family background. This practice would be considered nepotism in an individualistic culture, where students are expected to be treated equally no matter their backgrounds. Both these types of behaviors are then transferred into the workplace later in life. In collectivistic cultures recruiters do not hire individuals, they hire group members. To hire a person that you already know and/or belongs to your family, is considered the best possible option in collectivistic cultures since this person can be perceived as trustworthy, loyal, and reliable. On the other hand, in individualistic cultures, family ties in workplaces are often undesirable. Individuals who initiate relationships at work can even be requested to resign or be transferred to another department since these types of relations are considered inappropriate in individual cultures. Hofstede argues that cultural differences affects the management in different cultures by pointing out some distinguishing behaviors. In individualistic cultures managers manage individuals, while in collectivistic cultures managers manage groups. Since the vast majority of management techniques are developed in individualistic countries they cannot be successfully applied in collectivistic cultures. For example, methods such as separating groups in workplaces based on their group belonging is generally frowned upon in individualistic cultures but can be considered a

(22)

good solution in collectivistic ones. Employees being paid by performance is another individualistic influenced management technique shown to be inefficient in collectivistic cultures, to such an extent where the technique may result in the opposite effect and actually lower the productivity. Individuals in collectivistic cultures do not want to outdo their group, they rather share their earnings with their colleagues, videlicet group members and/or extended family.

Figure 3: Individualism versus Collectivism 3.1.3 Masculinity versus Femininity

“Men are from Mars, women are from Venus, but in feminine cultures both sexes are from Venus.” - (Hofstede et al. 2010, p. 149)

The masculinity versus femininity dimension got its name from the differences between genders in Hofstede's original IBM sample (1984). The higher the score in masculinity, the higher the differences between the genders. Hofstede et al. (2010) describe how stereotypical gender roles can be created through external factors, but what individuals feel when acting and behaving according to these roles come from the inside. According to Hofstede et al. (2010) a masculine society is a society where gender roles are clearly separated in several aspects. For example, men are supposed to hold masculine characteristic such as assertiveness, being though, and focused on material gain, while feminine characteristics within a masculine society are considered to be modest, tender, caring for others, and focusing on the quality of life. Contrary, in feminine societies, gender roles overlap each other. This means that there is a greater acceptance towards men holding “feminine” characteristics as well as women having “masculine” ones. Sweden and Sri Lanka scores very similar in this dimension as illustrated in Figure 4, both being on the feminine side of the dimension (Sweden: 5 and Sri Lanka: 10) which implies that gender roles overlap in both cultures. Hofstede et al. (2010) also suggest that a better understanding can be reached by combining this dimension with the PD index. As illustrated in the graph below, when taking the PD into consideration, the countries’ scores suddenly differ more compared to solely looking at the

(23)

Graph 3. Power Distance and Masculinity versus Femininity

In this attachment, four different categories are displayed, where Sweden classifies as a “small power distance and feminine culture” and Sri Lanka as a “large power distance feminine culture”. These differences become more visible in the individual's upbringing and the role their parents play. In the right-hand section of the graph, the norm illustrates inequality between children and their parents, while in the left-hand section, children and their parents are treated as equals. In the lower part, inequality between the father and the mother is considered the norm. Contrary, in the upper part gender roles get blurred and overlaps. Sri Lanka is located in the upper right section, classified as unequal and tender. Parents act dominantly towards their children, and a mother and father share the same view on their relationship and on quality of life. Sweden is located in the upper left section, classified as equal and tender. In Sweden, the norm is to share the same concerns regarding the quality of life, feelings, and the meaning of gender roles.

These characteristics in feminine and masculine cultures are passed on to school and further on to the workplace. In feminine cultures, teachers tend to praise weaker students in public to encourage them. This also means that handing out awards for excellence to top performing students in school are considered negative, some might even say oppressing to non-performing students (if done in front of their class). However, in masculine cultures parents expect their children to be “the best kid in class”, and as a result of this students in masculine cultures feel obligated to perform well in school and often retake exams if they do not get a high grade, something that often is frowned upon in feminine cultures. Children in masculine cultures tend to compete against each other in class

(24)

unless collectivistic norms prevent them to. These characteristics can also be found in the workplace. For example, in countries like Sri Lanka and Sweden, scoring low in masculinity, disputes at work are often resolved through negotiation, while in cultures scoring high in masculinity, disputes often turn into a fight and are being resolved with a “let the best man win” mentality. The biggest difference between masculine and feminine cultures might be how they perceive the work-life balance; masculine cultures having a “live in order to work” ethos, and feminine cultures the “work in order to live” ethos.

Figure 4: Masculinity versus Femininity 3.1.4 Uncertainty Avoidance

Hofstede et al. (2010) describe that the term “uncertainty avoidance” has been borrowed from the American organization sociology, and explicitly points out how the work made by James G. March had a big influence on his choice of classification. Uncertainty Avoidance (UA) refers to the way individuals handle uncertainty and is defined by Hofstede et al. (2010) as:

“the extent to which the members of a culture feel threatened by ambiguous or unknown situations”

- (Hofstede et al. 2010, p. 191)

More thoroughly explained, uncertainty avoidance includes societies’ tolerance of uncertainty and ambiguity, alternatively explained as the need for written and unwritten rules. In cultures where uncertainty avoidance is high, a large number of rules are requested from the members of the culture, even if they are not to be followed. Higher uncertainty avoidance relates to higher amount of anxiety. However, Hofstede et al. (2010) point out that anxiety should not be confused with fear, fear is focused on an object while anxiety does not have a connection to an object, anxiety is related to the unknowingness and the uncertain outcomes of things. Sri Lanka scores higher in the UA index (Sri Lanka: 45) compared to Sweden (Sweden: 29) as illustrated in Figure 5. However, uncertainty avoidance should not be confused with risk avoidance. Hofstede et al. (2010) describe how risk has a probability connected to it, while uncertainty does not. For example, when you drive faster, you also expose yourself to a higher risk of causing an accident. However, the risk in this example is considered a familiar risk, therefore the reason behind people driving faster than the speed limits is instead an underlying stress which can be explained as a prioritization for saving time, rather than risk avoidance. This is an example of the positive correlation existing between freeway speed limits in a country and uncertainty avoidance.

During childhood, one of the first things a child learns is the difference between safe and dangerous. However, what is to be considered safe or dangerous differs among different cultures. In countries

(25)

that scores high in the uncertainty avoidance index, classifications of what is dangerous are very strict and absolute, dangerous things do not only refer to actions that might cause harm, but also include unfamiliar things. In these countries the mindset is what is different is dangerous, while in countries scoring low in the uncertainty avoidance index the mindset is what is different is curious. This might lead to a breeding ground for xenophobia where unfamiliar things are seen as something dangerous whereon this cognitive pattern are passed down from parents to children.

Another distinguishing characteristic of a culture with high score in the uncertainty avoidance index is that children in school prefer questions with only one correct answer and expect to be rewarded for accuracy and excellence. Contrary, children in cultures that scores low in uncertainty avoidance instead prefers open questions. The fact that something would only contain one correct answer was almost considered a taboo, and instead students were expecting to be rewarded for originality. In low scoring cultures the teacher was not expected to have all the answers to the students’ questions, instead the teacher was given respect for using an ordinary language to explain complex things. Teachers could also admit that they did not have the answer in a larger extent than teachers working in a culture that scored high in the uncertainty avoidance index. In high scoring cultures the teachers were instead expected to possess all correct answers and were given respect when advanced language was used to describe complex things. Hofstede et al. (2010) give an example on a German mindset (A country that scores 65 in the Uncertainty Avoidance index):

“German students are brought up in the belief that anything that is easy enough for them to understand is dubious and unscientific.” - (Hofstede et al. 2010, p. 205)

Similar to the other dimensions earlier explained, the uncertainty avoidance characteristics affecting the teacher-student relationship is further transferred to the manager-employee relationship. Workplaces in cultures with a high score in the Uncertainty Avoidance index tend to have both more formal and informal rules that regulate what is acceptable and appropriate in a workplace. Since uncertainty is to be avoided, people also tend to look for long-term employments in these cultures.

Additionally, Seleim & Bontis (2009) argue that there is a significant correlation between corruption and a country’s score in the Uncertainty Avoidance index. This argument corresponds with Transparency International’s 2019 ranking of corruption indexes (CPI), where Sri Lanka ranked: 93 (“Sri Lanka,” n.d.) and Sweden ranked: 4 (“Sweden,” n.d.). According to these rankings, corruption will be more likely to exist in Sri Lanka compared to in Sweden.

(26)

3.1.5 Long Term versus Short Term Orientation

Forgas & Bond (1985) found four dimensions in their research, where three of these had a strong correlation with Hofstede’s dimensions (1984), while the fourth dimension did not. However, the fourth dimension correlated with economic growth and also turned out to have the ability to predict future economic growth as well. Hofstede found this interesting and decided to expand his framework with an additional dimension, called Long Term versus Short Term Orientation. Hofstede et al. (2010) write the following definition for this dimension:

“long-term stands for the fostering of virtues oriented towards future rewards-in particular, perseverance and thrift. Its opposite pole, short-term orientation, stands for the fostering of virtues related to the past and present-in particular, respect for tradition, preservation of “face”, and fulfilling social obligations.” - (Hofstede et al. 2010, p. 239)

Sri Lanka and Sweden scores quite similar in this index (Sri Lanka: 45, Sweden: 53) as illustrated in Figure 6, Sweden being slightly more long term oriented than Sri Lanka. The time orientation of a culture also has an interesting correlation with economic growth. For example, countries in East Asia scoring high in long term orientation have also had a high economic growth during the last decades, something that baffled scientists since their estimations of these countries’ future economic growth suggested otherwise. Due to this, it became obvious that this index also had the ability to determine how people and/or organizations felt about long- versus short term investments. Hofstede describes how managers in short term-oriented cultures often evaluated accomplishments based on quarterly or yearly results. Additionally, bad results are often blamed on the current manager in charge, even if the bad result might be a consequence of a predecessor. This phenomenon is called milking (Jackall, 2010) and is caused by short-term oriented managers, and the short term orientation itself. Contrary, long term-oriented cultures tend to be more tolerant of “failures” that occur on a short-term basis, since success in the long term is aspired and therefore the primarily goal. Therefore, managers in long term-oriented cultures are often given more time to make their own contribution to the organizations.

Figure 6: Long-Term Orientation versus Short-Term Orientation 3.1.6 Indulgence versus Restraint

Indulgence represents citizens ability to fulfill their basic human desires with regard to having fun

and enjoying life, while the counterpart, restraint, suggests that such type of freedom should be limited and controlled by social norms. These two variables are based on two prominent questions used in the World Values Survey; a person’s ability to control their own life and make their own choices and having time to spend with their family and friends. The results of these questions

(27)

accurately forecast citizens level of happiness within a nation. Even though this definition of happiness is criticized to be vague and volatile, as well as if happiness is even possible to measure at all, several experts within this area confirm and support its importance and validity. The dimension strongly relates to norms and values of an anthropological perspective where a society can be described as either “loose” or “restricted” with regard to allowing people to gratify their needs and to enjoy their lives (Hofstede et al., 2010).

Not enough data have been collected to establish a reliable score for Sri Lanka in this index. Hofstede’s findings suggest that there is a modest correlation between the Indulgence versus

Restraint index and national wealth, and a modest negative correlation between the Power Distance

index and the Indulgence versus Restraint index. As seen in Graph 2. GDP per capita (Current

USD) - Sweden versus Sri Lanka the national wealth in Sri Lanka is considerably lower than in

Sweden, which also implies a lower score in the Indulgence versus Restraint index for Sri Lanka. This estimation is further on supported by Sri Lanka's’ higher score in the Power Distance index score which therefore indicates a lower score in the Indulgence versus Restraint index compared to Sweden. Due to this, our estimation suggests that Sri Lanka is likely to score lower in the

Indulgence versus Restraint index compared to Sweden.

Figure 7: Indulgence versus Restraint

3.2 Trompenaars’ Cultural Dimensions

Trompenaars & Hampden-Turner (1997) developed Trompenaars Model of National Culture

Differences in the first edition of the book Riding the Waves of Culture. The book was based on

the findings from the article National Culture and the Values of Organizational Employees: A

Dimensional Analysis Across 43 Nations by Smith et al. (1996). The article used data gathered

from 8841 people spread across 43 different nations. Since the first edition, the sample have grown to 80,000 participants with complete profiles, spreading across 60 nations in the third edition (Trompenaars and Hampden-Turner, 2012). The study aimed to replicate and test the different dimensions and cultural differences made by Hofstede (1984), Schwartz (1994) and Bond et al. (2004). More explicitly, the study aimed to include a wider spectrum of countries since the authors believed that the current research was focusing on cultures from an American point of view. The following cultural dimensions cover all of the seven dimensions presented by Trompenaars & Hampden-Turner (2012). The information presented below is based on these authors explanations if nothing else is stated.

(28)

Figure 8: Cultural Values in Sri Lanka According to Trompenaars’ Model National Culture

(29)

Figure 9: Cultural Values in Sweden According to Trompenaars’ Model of National Culture

Differences

3.2.1 Universalism versus Particularism

Universalism symbolizes the belief that rules are to be applied everywhere, no matter the context.

A country scoring high on the universalism side of the index tends to focus on formal rules, people are perceived as citizens which should obey these rules and consequently be treated equally under the law. Trompenaars & Hampden-Turner describe that in these cultures it seems to exist an underlying fear of breaking rules. If citizens start to obey rules, the entire legal system will be affected, and in the long run risks to fall apart. Contrary, particularism is the belief that rules are to be more subjectively perceived and applied depending on the context and circumstances present at the time. A country scoring high on the particularism side of the index sees people as individuals in a particular context. They are not collectively perceived as citizens, but rather as fathers, mothers, brothers and/or daughters. Since people in these cultures are individuals, operating in a particular context with certain circumstances, rules tend to be rejected if they are not “appropriate” to be followed in that particular context.

(30)

Sri Lanka scores high on particularism and therefore tends to see the individual in a particular context. Sweden on the other hand scores on the universalism side of the index and consequently tends to see the rules as something universal, applicable everywhere no matter the context. Countries scoring differently in this index can create various types of frictions. For example, when and wages are set, people in particularistic cultures will expect their manager to take their context into consideration, including their family situation or other external factors outside the professional environment, something not to be found to the same extent in a universalistic culture. The same principle also applies when a law has been violated, a universalist will hold the offender accountable solely according to the violation committed, while a particularist tends to take other variables into account when deciding a suitable punishment for the offender.

3.2.2 Individualism versus Communitarianism

This dimension has a strong correlation with Hofstede’s (2010) Individualism versus Collectivism index, also describing how individuals relate to each other, how they solve problems (like an individual or as a group), and how they relate their behavior and actions to the greater good of the collective. However, a difference between Hofstede’s Individualism versus Collectivism index and Trompenaars’ Individualism versus Communitarianism index is that Trompenaars describes the communitarian side as a sense of belonging to a broader community (nation, religion, profession, and so on), while Hofstede describes the group (community in this case) as an extended family. In a communitarian culture the strength lies in the group. Characteristics of a communitarian culture are for example that individuals are being ascribed a higher status when they are accompanied by group members holding higher statuses, and internal conflicting opinions are often being negotiated within the group including every member consent before taking any further decisions. With regard to decision making, a common problem in communitarian cultures is that decision making can be quite complicated and troublesome due to the need of counseling every member. Contrary, in individualistic cultures the decision making is often centralized, and one person tends to make all the calls, creating a more time efficient decision-making process, but consequently also results in resistance and/or failures since many of the involved actors do not get a saying.

3.2.3 Specific versus Diffuse

This dimension describes how far people get involved with others in different cultures, divided into

specific and diffuse cultures, also referred to as low- and high contexts. These illustrates two

different ways people engage with each other based of their setting of “life spaces”. In specific cultures, such as the US, people tend to have clear-cut borders between their public and private spaces. In the US in particular, the public spaces are clearly segregated which means that an American’s relations to others is limited to the framework of a certain public space. For example, if an American builds a relationship with another person on the golf course, this person will likely just become a “golf-buddy” with no further access to the American’s other life spaces. By the same principle, the relation between a boss and a subordinate in the US is isolated to the workplace. Outside work, the relation might be totally different or almost non-existing. Segregated public spaces create this type of specificness to each space, which also lead to the person being referred to in a certain way, depending on which space the interaction takes place. For example, the American can be referred to as Mr. Smith during office hours, but just as Robert on the golf course (Trompenaars and Hampden-Turner, 2012). Contrary, diffuse cultures tend to have overlapped life