Cross-Cultural Management: Italy vs. Egypt Business Report

This report provides a comparative analysis of the cultures of Italy and Egypt, focusing on their implications for cross-cultural business management. It utilizes Hofstede's cultural dimensions framework, examining factors such as power distance, individualism, masculinity, uncertainty avoidance, long-term orientation, and indulgence to highlight cultural differences. The report delves into the value systems prevalent in both countries, illustrating how these differences influence business negotiations, communication styles, and decision-making processes. It emphasizes the importance of understanding these cultural nuances for successful international business ventures. The report concludes by summarizing the key findings and their significance in the context of global business strategy. References are provided to support the analysis and findings. This document, contributed by a student, is available on Desklib, a platform offering AI-based study tools and resources.

Management
Cross-Culture Management
1/13/2018

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Contents
Introduction......................................................................................................................................2
Hofstede’s cultural dimension.........................................................................................................3
Power Distance............................................................................................................................3
Individualism...............................................................................................................................4
Masculinity..................................................................................................................................4
Uncertainty Avoidance................................................................................................................4
Long-term orientation..................................................................................................................5
Indulgence....................................................................................................................................5
Value system....................................................................................................................................5
Italy Value system.......................................................................................................................5
Egypt Value system.....................................................................................................................6
Conclusion.......................................................................................................................................7
References........................................................................................................................................8

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Introduction
The report shows the comparison and contrast of the culture in two different countries. Italy and
Egypt have been selected for the analysis of the cross-culture that might create an impact the
negotiations between the business people from those nations. Cultural dimension and the value
system of the Italy and Egypt will be discussed.

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Hofstede’s cultural dimension
Hofstede’s cultural dimension theory is an effective framework for the cross-cultural
communication and the theory is developed by Geert Hofstede. The theory refers to the effect of
the society’s culture of countries and the values of its members (Samaha, Beck and Palmatier,
2014).
(Source: Hofstede Insights, 2018)
Power Distance
This dimension reflects the fact that all the individuals in the society are unequal. Northern Italy
has a tendency to select equality and decentralization of decision and power and the southern
part of Italy is totally opposite then the northern part. In Egypt, every person accepts the
hierarchical order in the organizations. Therefore, the subordinates of the company expect to be
told about their task that needs to be done by them. The centralization is popular in the
organizations of Italy (Hofstede Insights, 2018). The international companies like to perform the

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negotiation of the trade deals with the country that provide an opportunity to their employees to
develop skills and believe in equality which means Italy.
Individualism
This dimension shows the degree of interdependence a society keeps between its members.
Italians have their own opinions, ideas, and thoughts or objective in life due to which they get
motivated and become happy due to personal fulfillment. This shows that the society of Italy
follows individualism but on the other hand in Egypt, there is a presence of the collectivism. The
society of the country believes in the strong relationship and each member takes the
responsibility of their team members. Nowadays, to achieve the organization goals there are
needs of the teamwork but along with that, the company is also looking for the straightforward
society where the members can share their opinions towards. It totally depends on the company
with whom they want to negotiate for business deals (Hofstede Insights, 2018).
Masculinity
The high score (Masculinity) reflects that the society is going to be driven by the achievement
and victory. Apart from it, the low score (Feminine) reflects dominant values in the society.
Italians believe that the competition is necessary to win to achieve the success in the career.
Egypt is having low scored which shows Feminine society, where the members of the society are
working in order to live a quality life.
Uncertainty Avoidance
This dimension shows how the society deals with the future with the statement that the future
cannot be predicted. The planning approach of Italy is strong due to which they are can face the
uncertainty in the future. Egypt maintains rigid codes of behavior and belief due to which the

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company can deal with the uncertainty in future. Business can perform the negotiation deal with
both the countries as they can easily face the uncertainty in the near future (Hofstede Insights,
2018).
Long-term orientation
This dimension shows how the society has to maintain particular relations with its own past
while dealing with the difficulties of present-day and yet to come. The society of Italy is
pragmatic where people of society have faith that the truth depends on the time, circumstances
and context. The culture of Egypt is normative that indicates that the people believe in the truth
in their thinking.
Indulgence
This dimension demonstrates the level to which the people can try to regulate their impulses and
desires. Italian culture is Restraint in which society is not focused towards the leisure time and
control the gratification of their desires. Similarly, the culture of Egypt is very restrained more
than Italy (Hofstede Insights, 2018).
Value system
Italy Value system
Italians like to perform the business activities with the high-ranking people and this is the
reason due to which they often protracted the negotiations that leads to issue.
The country likes to form the business negotiations on the basis of the verbal agreements
and the failure of which leads to the ending of the business relationship (Commisceo
Global, 2017).

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While meeting the heated arguments and debates are often erupt in meeting due to the
free-flow of ideas as member believes in presenting their opinions and ideas.
Egypt Value system
Egyptians are tough negotiators but this is also a fact that they don't find themselves
comfortable while saying ‘no' so if they are not responding to that deal that ultimately
means negative sign which is an negative impact.
Egyptian believes in having string social side of the business because for them the
personal relationships are essential for the long-term business with Egyptian (Commisceo
Global, 2017).
Decisions are taken by the highest ranking person, if in case the government is involved
in the decisions then the approval must be given by the ministers of several departments.

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Conclusion
The report shows the comparison between the culture of the Italy and Egypt on the basis of
cultural dimensions and the value system of the nations. The culture affects the business who are
looking to expand the business.

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References
Commisceo Global, 2017, Egypt Guide, Accessed on: 13th January 2018, Accessed from:
https://www.commisceo-global.com/country-guides/egypt-guide
Commisceo Global, 2017, Italy Guide, Accessed on: 13th January 2018, Accessed from:
https://www.commisceo-global.com/country-guides/italy-guide
Hofstede Insights, 2018, Egypt, Accessed on: 13th January 2018, Accessed from:
https://www.hofstede-insights.com/country-comparison/egypt/
Hofstede Insights, 2018, Italy and Egypt, Accessed on: 13th January 2018, Accessed from:
https://www.hofstede-insights.com/country-comparison/egypt,italy/
Hofstede Insights, 2018, Italy, Accessed on: 13th January 2018, Accessed from:
https://www.hofstede-insights.com/country-comparison/italy/
Samaha, S.A., Beck, J.T. and Palmatier, R.W., 2014. The role of culture in international
relationship marketing. Journal of Marketing, 78(5), pp.78-98.