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THE BALTIC STATES:   Hofstede’s Cultural dimensions



 DIGITALIZATION AS A MODEL  In order to understand the specificity of Estonian and Latvian culture, we decided to use the five

             cultural dimensions of Geert Hofstede. You will find below some information that will enlighten you
             on how these two cultures reacts in front of certain situation.

 like to recall that Skype, the remote  Valdis Krebs, Latvian  American
 The Baltics have   messaging service owned today by  naturalized mathematician who   Power distance
 the Microsoft titan, was born from  modeled the use of social networks,
 gained a reputation   the work of some developers in  meets  the  typical  profile  of  these   Power Distance is defined as the extent to which the less powerful members of institutions
 locally trained Baltic engineers
 Tallinn.
                 and organizations within a country expect and accept that power is distributed unequally.
 as digitalized   As  a  showcase  of  state-of-the-art  who are capable of an international
 countries :  technologies in the Soviet era, the  career.  Estonians  do not readily obey and respect   Latvians show tendencies to prefer equality
 Baltic republics were known for the
            people in authoritarian positions based
                                                                 and a decentralization of power and decision-
 How did this start?  manufacture of radio equipment.   The local social networking   merely on their rank and status as power-  making. Control and formal supervision
 For several decades, they have
            holders. Instead, Estonians welcome managers
                                                                 is generally disliked among the  younger
 factory
 trained brilliant engineers from all   Skype is not the only exchange   that give them the opportunity to state their   generation, who demonstrate a preference for
 over the USSR.   opinions and express disagreement, as well as   teamwork and an open management style.
 With  an  average  Internet  platform born on the shores of the   to be included in the decision-making process.
 penetration rate of 74.5% in 2013,   As European frontiers of the   Baltic Sea.  The «Made in Baltica»   However, similar to the other Baltic States,
 the Baltic countries are indeed are   Soviet Union, they were strategic   could even become a trademark for   But the older Soviet ways of thinking and   there is a sense of loyalty and deference
 far ahead some European countries.   information centers. This was part   social networks launched in those   relating to the world still remain and the boss-  towards authority and status among the older
 The Latvian government has set   of  a certain  historical  tradition:  in   countries. Indeed, what country of   subordinate relationship among Estonians is   generation, who has experienced Russian and
 itself a target of having  85% of   Estonia, for example, Tartu is home   two  million  inhabitants  can  boast   sometimes  more  hierarchical  than  the  score   Soviet dominance.
 connected population by 2017 and   to one of the oldest universities in   of having created its own social   suggests.
 already provides a higher quality   northern Europe, which since the   network welcoming one in two
 and speed of connection than many   17th century has been teaching   citizen?  This performance is that
 European countries.  science. In the neighboring republic,   of Draugiem.lv,  now more popular
 the Riga Technological Institute saw   than Facebook in Latvia. Yet, as the   Uncertainty avoidance
 Above all, young Baltic  entrepreneurs   the emergence of great computer   eponymous IT group based in Riga
 have managed to associate their   scientists  who,  for  a  significant   points out, maintaining leadership   Uncertainty avoidance is the extent to which the members of a culture feel threatened by ambiguous
 names with telecommunication   number of them, went to inflate the   in a country open to competition   or unknown situations and have created beliefs and institutions that try to avoid these.
 projects that have become global   ranks of the Baltic diaspora in the   requires  constantly  integrating
 phenomena. Estonians, in particular,   United States after 1991.   new functionalities.  This requires
 resources.
            Estonia has a high preference for avoiding           Just like Estonia, Latvia has a high preference
 In addition, the use of local social   uncertainty.             for avoiding uncertainty.
 networks in Latvia also hides
 political issues: for some time the   Countries  exhibiting  high  Uncertainty  In these cultures there is an emotional need
 main local competitor of Draugiem.  Avoidance maintain rigid codes of belief and   for rules (even if the rules never seem to work),
 lv was  One.lv, a network targeted   behavior and are intolerant of unorthodox   time is money, people have an inner urge to be
 primarily at Russian-speakers in   behavior and ideas.          busy and work hard, precision and punctuality
 the country,  Which account for                                 are the norm, innovation may be resisted and
 almost  a third  of  the population.                            security is an important element.
 It had to close in 2013, when the
 number of regular users dropped
 below 100,000. Draugiem.lv, which
 is  rather  addressed  to a  Latvian   Long-term orientation
 audience, was probably right   This dimension describes how every society has to maintain some links with its own past while
 because it also offers  A Russian
 version.      dealing with the challenges of the present and future.


            Estonian culture is shown to be highly               Latvia’s culture is pragmatic in nature, as well
            pragmatic.  They show an ability to adapt            as the Estonian’s.
            traditions  easily  to  changed  conditions,  a
            strong propensity to save and invest, and
 12         perseverance in achieving results.                                                               13
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