Vodafone Entry into Indian Market

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Vodafone, the largest mobile telecommunications network company in the world by turnover and has headquarters in UK, agreed to acquire a controlling interest of India's Hutch Essar Febraury 11, 2007. Hutchison Essar is a major national cellular operator in India that covers most of the country.


Using these five dimensions, this study aims to identify cultural issues that may arise from the employees of Vodafone and Hutchison Essar. This study also aims to provide a critique of Hofstede's claims to determine its applicability and reliability on assessing this kind of analysis.
According to Hofstede's study of national influences, there are five dimensions of culture: a) Power distance or the degree to which the less powerful members of society expect differences in the levels of power, b) Individualism vs. collectivism which tackles the extent to which people are expected to stand up for themselves, c) Masculinity vs. femininity which refers to the value placed on traditionally male or female values, d) Uncertainty avoidance which reflects the extent to which a society attempts to cope with anxiety by minimizing uncertainty and e) Long vs. short term orientation which describes a society's "time horizon," or the importance attached to the future versus the past and present. Based on this five dimensions, Hofstede were able to attribute a score for each dimension to a particular county though some lacked scores in the fifth dimension because this was a later addition to the original four dimensions. (Hofstede and Hofstede, 2005). We will be using the scores of both countries to help facilitate our analysis.
India has Power Distance Index (PDI) score of 77 compared to UK's 35. ...
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