Cultural differences have a strong influence on the work and study climate in cross-cultural environment. A difference in power distance has been shown to be a major factor in decreasing motivation, especially when the superior follows a hierarchical leadership style but the subordinates expect equality. This can lead to high turnover rates in companies and low learning outcomes in schools if not taken into consideration. In this paper, we use examples to demonstrate how the problems appeared in two case studies of Chinese companies operating in Europe. The findings have been categorized into five themes: hierarchy, authority, closed communication, promotion, and unequal treatment.
Citation: Shuo Wang, Pasi Fränti. Power distance in cross-cultural environment: Observations from two Chinese companies in Europe[J]. STEM Education, 2022, 2(3): 173-196. doi: 10.3934/steme.2022012
Cultural differences have a strong influence on the work and study climate in cross-cultural environment. A difference in power distance has been shown to be a major factor in decreasing motivation, especially when the superior follows a hierarchical leadership style but the subordinates expect equality. This can lead to high turnover rates in companies and low learning outcomes in schools if not taken into consideration. In this paper, we use examples to demonstrate how the problems appeared in two case studies of Chinese companies operating in Europe. The findings have been categorized into five themes: hierarchy, authority, closed communication, promotion, and unequal treatment.
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Power-distance indexes for a few selected countries, including those for the two cases studies (Norway and Germany), the home of the authors (Finland) and the country of the host company (China)
Core of family in Western and in Chinese cultures. In Western culture, the core family is based on one's own choice (marriage), whereas, in Chinese culture, it is something into which you are born. One cannot choose his or her parents, brothers and sisters
Lack of discussion was also interpreted as a lack of interest; as an example, the colleague was only interested in talking about the forthcoming lunch, rather than discussing the matter in more detail
Guanxi in Chinese society (left) can be described as a circle with multiple layers; the inner circle is trusted most and the outermost layers least. One KBB employer also described the company organization as a layered circle (right), wherein locals form the innermost circle