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ACCA Applied Knowledge · Business and Technology · Social and demographic factors

Hofstede's cultural dimensions are used by managers of an international business. A country scoring high on 'power distance' would typically be characterised by:

High power distance means people accept that power is distributed unequally and respect hierarchy and authority. Organisations in such cultures tend to be tall and centralised. Flat structures and equality indicate low power distance, while loose social frameworks relate to individualism.

  1. AAcceptance of unequal distribution of power and respect for hierarchyCorrect
  2. BA strong preference for loosely knit social frameworks
  3. CA focus on short-term results over tradition
  4. DEmphasis on equality and flat structures in organisations

Explanation

High power distance means less powerful members accept that power is distributed unequally, so hierarchy and authority are respected. Flat structures and equality are associated with low power distance. Loosely knit frameworks describe individualism.

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