The Hofstede model applied to Oman
What is Power Distance?
Power distance is one of the cultural dimensions formulated by Dutch social psychologist and international business expert, Geert Hofstede. In his website, Hofstede defines power distance as the extent to which the less powerful members of organizations and institutions accept and expect that power is distributed unequally.(Geert Hofstede Cultural Dimensions)
The 2 measures of power distance are:
- High Power Distance – when a culture views a person of power as much more important and different from those who have less power.
- Low Power Distance – when a culture views everybody in a relatively equal position, regardless of power. (Sweo & Gordon, 2009)
Power Distance in Oman
Although there is no specific power distance index for Oman, it can be compared to other countries in the Arab world due to similarities in politics, religion and culture. According to Hofstede, the Arab world has a relatively high index of 80, which is indicative of a high level of inequality of power and wealth within the society.
The main factors that contribute to the high power distance in Oman are:
- Government
The type of government that exists within Oman is a monarchy, which has been under the rule of sultan Qabus Bin Sa’id Al Sa’id since 1970. (CIA World Fact Book Oman, 2010) Although the sultan has steadily liberalized Oman, the country still has censorship, strict immigration controls, and does not have any political parties. According to the U.S. State Department reports, the Omani government restricts freedom of expression and association, and does not guarantee full rights for workers and women. (Cordesman, 1997)
- Religion
The majority of Oman’s population, around 75%, belongs to the Ibadhi Muslim religion, with the rest belonging to Sunni Muslim, Shia Muslim, and others. (CIA World Fact Book Oman, 2010) Ibadism is known for its conservatism and tolerance. Ibadis place a great emphasis upon the “rule of the just” and generally have an aversion to political violence. (Lefebvre, 2009, p.110) This expectation and acceptance of a ruler plays a contributing role to power distance.
Consequences for international businesses
As a consequence of the high power distance, international businesses must truly be aware of how to conduct their business effectively while in Oman.
Some important aspects international businesses should consider include:
- Relationship with the government
Due to the monarchical and highly personalized nature of Oman’s political system, businesses must be aware of the influence of the sultan. The Ministry of Social Affairs and Labor, which was appointed by the sultan, must approve the establishment of all associations and their by-laws. (Cordesman, 1997) This way, they can still have control over the political environment. Therefore, businesses must make sure that they are in good standing with the Sultan.
- Employer/employee relations
A high power distance creates an environment where the system is usually more efficient but much less adaptive. A hierarchical system usually exists where instructions come from high level managers and lower level employees are expected to do what they’re told. (Sweo & Gordon, 2009) Problems may rise due to lack of open communication between employee and employer.
References
CIA World Fact Book Oman. (2010, March 4). Retrieved March 1, 2010, from CIA World Fact Book:https://www.cia.gov/library/publications/the-world-
Cordesman, A. H. (1997). Freedom of Speech, the Media, and the Political Association., Bahrain, Oman, Qatar, and the UAE - Challenges of Security
(pp. 198-200). Colorado: Westview Press.
Geert Hofstede Cultural Dimensions. (n.d.). Retrieved March 15, 2010, from Geert-Hofstede: http://www.geert-hofstede.com/
Lefebvre, J.A. (2009)Oman's Foreign Policy in the Twenty First Century. Middle East Policy, 7, 99-114. Retrieved from http://web.ebscohost.com.ezproxy.lib.ucf.edu/
Sweo, R., & Gordon, S. (2009). Cultural Traits. In R. Sweo, & S. Gordon, International Business Foundations (pp. 22-23). Iowa: Kendall/Hunt Publishing Company.
