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Research Question:

EURAM 2013 26-29 June 2013 Annual Conference of the European Academy of Management Why are People in Luxembourg Happy? Language as an Identifier of Culture in the Grand Duchy by Dr Ursula Schinzel 00352.621.322.543 ursula_schinzel@yahoo.com. Research Question:. The purposes of this study are:

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Research Question:

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  1. EURAM 2013 26-29 June 2013Annual Conference of the European Academy of ManagementWhy are People in Luxembourg Happy?Language as an Identifier of Culture in the Grand DuchybyDr Ursula Schinzel 00352.621.322.543ursula_schinzel@yahoo.com

  2. Research Question: The purposes of this study are: • to explain where Luxembourg fits in on Hofstede’s 7 dimensions of culture • to explain Luxembourg people’s high scores on the measure of happiness

  3. Methods • Review of the Literature • Participant Observation (Primary Data) • Interviews (Primary Data) • Questionnaires (Primary Data)

  4. Literature Review • The era after Hofstede: • Triandis, Harry • Smith, Peter, B. • Schwartz, Shalom • Trompenaars, Fons & Hamden-Turner, Charles • De Mooij, Marieke • Inglehart, Ronald • The GLOBE, House, Robert; Hanges, Paul… • Schein, Edgar • Bond, Michael, Harris • Mintzberg, Henry • Minkov, Michael • Hofstede, Gert Jan • McSweeney • The era before Hofstede: • Maslow, Abraham • McClelland, David • Herzberg, Frederick • Rockeach, Milton • Hall, Edward • Kluckhohn, Florence and Strodtbeck, Fred • The era besides Hofstede: • Scholz, Christian; Böhm, Hans • Lewis, Richard D. • Spizzo, Daniel • The era beyond Hofstede: • Aaker, Jennifer • Briley, Donnel • Nakata, Cheryl • Kirkman, Hong, Benet-Martínez, Leung, Hermans, Kempen….

  5. GeertHofstede (1928- ) What did he do? • Born in the Netherlands in 1928 • IBM HRM research in the 1960s • 116,000 questionnaires • Identified 4 cultural dimensions, later added more: • IDV/COLL, UAI, PDI, MAS/FEM, • LTO, IVR, MON. • Dared to contradict Maslow, Herzberg, McClelland • Brought cultural research from the US to Europe • Emeritus Professor at Maastricht University • http://www.geerthofstede.nl/ Start at 2:36

  6. Hofstede's Dimensions of Culture - Explained Easily : http://www.youtube.com/watch?v=6gJzRS0I7tA&feature=related http://www.youtube.com/watch?v=i2YG6Wb3j0s&feature=youtube_gdata_player Hofstede’s Dimensions of Culture Individualism versus Collectivism (IDV) Uncertainty Avoidance (UAI) PowerDistance Index (PDI) Masculinity versus Femininity (MAS) Long-Term versus Short-Term Orientation(LTO) Indulgence versus Restraint (IVR) Monumentalism (MON)

  7. Luxembourg • Unitary parliamentary democracy and constitutional monarchy • Grand Duke: Henri • Prime Minister: Jean-Claude Juncker • Official languages: Luxembourgish, French, German • Capital Luxembourg (90,000 inhabitants) • Size: 2,586 km2 • Population total: 511,000 • Motto: “Mir wëlle bleiwe wat mir sinn” “We want to remain what we are” • Anthem: “Ons Heemecht” – “Our Homeland” Queen Mary II and Marie-Astrid

  8. Hypothesis 1: Native Luxembourgers scores on PDI, UAI, IDV, MAS, LTO, IVR, MON cultural dimensions are significantly different from the scores of non-Luxembourgers in Luxembourg Hypothesis 2: There are significant differences between Hofstede et al.’s PDI, UAI, IDV, MAS, LTO, IVR, MON cultural dimensions estimates for Luxembourg and the empirical values found in this study for Luxembourgers with Luxembourgish Nationality Hypothesis 3: Luxembourgers are happy because they Use their language as identifier, are highly uncertainty avoidant, are long-term oriented, have low power distance, are highly collectivist

  9. Femmes Leaders Luxembourg LPRA – Luxembourg Professionals Recruiters Association Data Analysis: ParticipantObservation HRone University Luxbg BEE SECURE PaperJam Business Club Fairs ‘Foires’ European Commission American Chamber of Commerce Libreria Italiana Brasseries, Restaurants,Hotels, Bars. POG – Personnel Officer’s Group Chamber of CommerceandSacred Heart UniversityLuxembourg Luxembourg prefers: Meeting in person; in a Hotel or Bank; over Cocktail with Champagne/ Lunch or Dinner

  10. Culture Calculation Formulas • PDI = 35(mQVAL7 – mQVAL2) + 25(mQVAL23 – mQVAL26) + C (pd) • UAI = 40(m QVAL20 – mQVAL16) + 25(mQVAL24 – mQVAL27) + C (ua) • IDV = 35(mQVAL4 – mQVAL1) + 35(mQVAL9 – mQVAL6) + C (ic) • MAS = 35(mQVAL5 – mQVAL3) + 35(mQVAL08 – mQVAL10) + C (mf) • LTO = 40(mQVAL18 – mQVAL15) + 25(mQVAL28 – mQVAL25) + C (ls) • IVR = 35(mQVAL12 – mQVAL11) + 40(mQVAL19 – mQVAL17) + C (ir) • MON = 35(mQVAL14 – mQVAL13) + 25 (mQVAL22 – mQVAL21) + C (mo)

  11. Hofstede’s Cultural Dimension: Interviews’ and Questionnaires’ Results in Collaboration with Lindab Buildings Diekirch Table 1 Comparison Luxembourg – Luxembourg with Luxembourgish nationality (Lux. Nat.) – Hofstede’s estimates on Luxembourg (On a scale from 1-100, 1 being the lowest and 100 the highest score)

  12. Cultural dimensions in Luxembourg - Lux. Nat. – France – Germany – UK – Belgium FR – Belgium NL – Italy – the Netherlands NL – China – USA – Japan (on a scale from 0-100) (0=lowest, 100=highest)

  13. What is Logistic Regression? http://video.mynet.com/1982yucel/Arabic-Super-hits-Belly-Dance/1447061/ start at 1:02 Logistic regression allows prediction of group membership, for example, prediction of whether someone is a belly dancer based on gender, occupational category, preferred type of reading material and age. Logistic regression allows to evaluate the odds (the probability) of membership in the group of belly dancers based on the combination of values of the predictor variables, 25 year old female sports professor, teaching hip-hop and reading dance books

  14. Logistic Regression Definition: Logistic Regression is a statistical method used to model the relationship between a qualitative dependent variable – like for example ‘happiness’– and a combination of independent variables – like for example ‘taking risk’, ‘free time for life’, ‘level of education’‘job level manager or non-manager’, ‘state of health’, ‘religion’ Logistic Regression is calculated in SPSS. SPSS is a computer program from IBM. SPSS means ‘Statistical Package for the Social Sciences’. Between 2009 and 2010 it was called PASW – ‘Predictive Analytics SoftWare’

  15. Logistic Regression Dependent Variable: Being happy

  16. Correlation Matrix * Significant at .05

  17. Logistic Regression: The probability of Luxembourgers of being happy Who takes risk Who takes free time for life for him/herself Probability of being happy = 0.97 Person 1 Who has a high level of education Who dares to contradict the boss Whose state of health is good For whom religion is important Who does Not take risk Person 2 Probability of being happy = 0.94 Who takes free time for life for him/herself Who has a high level of education Who dares to contradict the boss Whose state of health is good For whom religion is important

  18. N=134; * p<.05; ** p<.001 Correlation among all variables in SPSS

  19. Conclusion LONG-TERM ORIENTATION Hypothesis 1, 2, 3 are confirmed Luxembourgers • use their language as identifier • are highly uncertainty avoidant • are long-term oriented • have low power distance • are highly collectivist • and are happy LOW POWER DISTANCE HIGH UNCERTAINTY AVOIDANCE LANGUAGE AS IDENTIFIER HIGH COLLECTIVISM/ LOW INDIVIDUALISM HAPPY

  20. PDI Luxembourg is low with 36/100 PDI Lux.Nat.: 29/100 China: 80 USA: 40 PDI(Power Distance Indicator) Luxembourg is small, hierarchy is not felt that much, boss and employees meet in the same sport clubs, supermarkets, bars, evening events EXPLANATIONS PDIPower Distance Indicator

  21. UAI Luxembourg is high 97/100 UAI Lux.Nat. 97/100 UK: 35 USA: 46 UAI Uncertain and unknown situations are avoided Secure, regulated, clear life without surprises, is preferred EXPLANATIONS UAIUncertainty Avoidance Indicator

  22. IDV Luxembourg is medium 51.5/100 IDV Lux.Nat. low IDV 34/100 USA: 91 Italy: 76 IDV Lux.Nat. are highly collective people preferring the well-being of the group and country EXPLANATIONS IDVIndividualism versus Collectivism

  23. MAS Luxembourg is medium 47/100 MAS Lux.Nat. is medium 54/100 Japan: 95 NL: 14 MAS the characteristics of a masculine dominant country = competition and success, and those of a feminine dominant country = caring for others, quality of life, are equally distributed EXPLANATIONS MASMasculinity versus Femininity

  24. LTO Luxembourg is high 69/100 LTO Lux.Nat. is high 65/100 USA: 26 Germany: 83 EXPLANATIONS LTO Long-Term Orientation versus Short-Term Orientation LTO • LTO is characterized by foreseen, and planned events and by perseverance and thrift

  25. IVR Lux.Nat. is medium 55/100 China: 24 Italy: 30 USA: 68 IVR Luxembourg is medium 53.5/100 IVR In general: indulge in life, love profiting from the benefits of life, enjoy life EXPLANATIONS IVR Indulgence versus Restraint

  26. MON Luxembourg is low 10/100 MON Lux.Nat. is low 24/100 USA: 54.2 Japan: 4 MON Lux.Nat. love their national traditions and nationality, the Grand Ducal family, National Day, National Hymn and are living their national identity EXPLANATIONS MONMonumentalism

  27. Language as Identifier Assure national identity Discriminating factor for identification World War 1 and 2 Importance Access to advantages Nationality

  28. Hofstede’s Dimensions of Culture in Luxembourg: Why are people in Luxembourg happy? Luxembourgers are happy because they: Use their language as identifier are highly uncertainty avoidant are long-term oriented have low power distance are highly collectivist Hypothesis 1, 2, 3 are confirmed

  29. Thank you for your attention

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