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Cultural Distances and Its Association to Time Spent on Conflicts

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  • Dirrler Phyllis

    (Faculty of Economic Sciences, Hungarian University of Agriculture and Life Sciences, Kaposvár, HUNGARY)

  • Podruzsik Szilard

    (Faculty of Economic Sciences, Hungarian University of Agriculture and Life Sciences, Kaposvár, HUNGARY)

Abstract

Conflict costs can be used to determine conflict outcomes and can be measured among others in terms of lost time. So far, no study has investigated the effects of cultural distances on conflict costs. Our study tries to add new findings by investigating the influence of cultural distances on internal indirect conflict costs. A survey with 226 participants was conducted to measure the time spent on conflicts. Each participant reported on a conflict situation he or she was personally involved in. We used linear regression analysis to test our hypotheses. We did not find support for our hypotheses that the larger a cultural distance was, the more time was spent on a conflict. According to our study, cultural distances do not explain conflict costs and it cannot be proven that the greater a distance, the higher the conflict costs. In a more globalized world, it is positive that despite great cultural distances, time spent on conflicts does not increase. This can encourage leaders to capture the benefits of diversity, whereas the consequences on at least some conflict costs are low.

Suggested Citation

  • Dirrler Phyllis & Podruzsik Szilard, 2023. "Cultural Distances and Its Association to Time Spent on Conflicts," Foundations of Management, Sciendo, vol. 15(1), pages 63-78, January.
    • Handle: RePEc:vrs:founma:v:15:y:2023:i:1:p:63-78:n:1
    DOI: 10.2478/fman-2023-0005
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    References listed on IDEAS

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    More about this item

    Keywords

    cultural distances; Hofstede; internal indirect conflict costs; lost time; conflicts;
    All these keywords.

    JEL classification:

    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M16 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - International Business Administration

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