5 Jun 2022

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Determinants of Culture and the Drivers of Globalization of Germany

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Academic level: College

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Culture refers to a set of values and norms among people. Culture brings peoples of a given country together through the influence of how they live with one another. Six factors determine the culture of a nation and determine their behaviors. German culture is characterized by low power distance, masculinity, high individualism, long term orientation, uncertainty avoidance, and indulgence. Also, Germany has three significant drivers of technology, including the internet of things and 5G, analytics and artificial intelligence, and new as a service business model. 

Power Distance 

Technically, all people in a society are not equal. Power distance is the measure of less powerful members of the community and organizations in an organization accepting the unequal power distribution. German is among the lower power distance nations with a high level of decentralization and support by the stable middle class. Among the German people, they need to take co-determination right, which is extensive inti consideration (Hofstede Insights, 2020). The distance between people in the community is low with the direct and interactive strategy of communication and meeting. There is a high dislike for control and leadership 

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Individualism 

Another essential determinant that identifies the German culture is individualism. It addresses the essence of interdependence among the members of society. In German, small families, focus on the parent-children relationship rather than a relationship with the external relatives. Germans believe in self-actualization, and loyalty is determined by their sense of preference and a sense of duty and responsibilities. 

Masculinity 

Germany, as a country, is characterized by a high level of masculinity, which denotes that competition, achievements, and success drive the community. Success is determined based on winners, a system that is practiced in all aspects of the Geman community right from schools to the organizations. In Germany, performance is highly valued, and people are focused on attaining self-esteem for the production of their tasks and performance. Leaders are required to make decisions and assertiveness. 

Uncertainty Avoidance 

This is the extent to which members of the community feel threatened bu unknown situations in the community. In this case, people develop beliefs through which they try to eliminate and avoid uncertainty (Hofstede Insights, 2020). A high level of risk characterizes German culture. In Germany, there is a high preference for deductive as opposed to inductive strategies. High-level of uncertainty is often reflected in the law system. Details are equally essential to create certain that a certain topic or project is well-thought-out. Considering the low power distance among the Germans, people tend to compensate for uncurtaining as a result of personal decisions by depending on experts to make decisions. 

Long Term Orientation 

This cultural dimension addresses how the society maintains some link with the past, while at the same time deal with problems of the present and future. This can be categorized as pragmatic and normative societies. German has a high level of long term orientation, thus being termed as a pragmatic culture. People in the country tend to believe that situations, time, and context determine the truth. German people show the ability to adapt to changing customs with strong property to save and invest easily. 

Indulgence 

This is the last determinant of culture in every nation. It is the extent to which people try to control their desires and wishes, depending on how they were raised. In German, the control is low as the culture is restrained by nature. People are, therefore, cynicism and pessimists. They often feel that society restains their actions, and indulging in anything is wrong. 

Drivers of Technology in Germany 

There are three primary drivers of technological advancement in Germany. The next generation of communication enablers of business in the country hence making the internet of Things more sophisticated. The implementation of these IoT services of the next generation requires new hardware, software, and services expertise, thus leading to the high technology sector. Another driver is the analytics and artificial Intelligence ( Naudé & Nagler, 2017) . The interaction of millionfold connectivity and new network infrastructures generates a substantial additional amount of data through the driver, potentially vast treasures of data generated by different applications such as the generation of location data. In the coming years, the German technology company is likely to benefit from new opportunities, where potentials for strong growth exists above all in the sector segment of “software and services.” 

New as a service business model (XaaS) 

Various business models in Germany are going through radical process change. Business providers continued to focus on providing pre-specified and guaranteed services as opposed to officials of similar products ( Naudé & Nagler, 2017) . Through-we-serve business models, business entities have edges for knowledge and experience, which is beneficial in the future. The introduction of AI as a service will enhance the spread of Artificial Intelligence, thus making it accessible to all businesses, including small and mid-sized companies. 

Conclusion 

Countries worldwide have six factors that determine the culture of the citizens. These factors influence their behavior and response in the business world. These factors include power distance, high individualism, masculinity, uncertainty avoidance, long term orientation, and indulgence, which differ in different nations. In Germany, the various factors that enhance the technological growth I the country include the Internet of Things and 5G, XaaS, and Analytics and AI. 

References  

Hofstede Insights. (202o). What about Germany? https://www.hofstede-insights.com/country/germany/ 

Naudé, W., & Nagler, P. (2017). Technological Innovation and Inclusive Growth in Germany. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3088958 

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StudyBounty. (2023, September 15). Determinants of Culture and the Drivers of Globalization of Germany.
https://studybounty.com/determinants-of-culture-and-the-drivers-of-globalization-of-germany-assignment

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