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In cross-cultural psychology, uncertainty avoidance is how cultures differ on the amount of tolerance they have of unpredictability. [1] Uncertainty avoidance is one of five key qualities or dimensions measured by the researchers who developed the Hofstede model of cultural dimensions to quantify cultural differences across international lines and better understand why some ideas and business ...
Hofstede & Bond (1984) define uncertainty avoidance as "the degree to which people feel threatened by ambiguous situations, and have created beliefs and institutions that try to avoid these." [ 18 ] Stephan & Renfro (2002) thus suggest that cultures which hold norms and laws as very important are likely to perceive threat from "unfamiliar groups."
Uncertainty avoidance (UAI): The uncertainty avoidance index is defined as "a society's tolerance for ambiguity", in which people embrace or avert an event of something unexpected, unknown, or away from the status quo. Societies that score a high degree in this index opt for stiff codes of behavior, guidelines, laws, and generally rely on ...
Examples of countries with low PDIs include the Netherlands, the United Kingdom, the United States, Germany, and the Nordic countries. [ 13 ] In higher PDI cultures, the power relations are paternalistic and autocratic , and centralized authority exists; there is a wide gap or emotional distance which is perceived to exist among people at ...
In decision theory and economics, ambiguity aversion (also known as uncertainty aversion) is a preference for known risks over unknown risks.An ambiguity-averse individual would rather choose an alternative where the probability distribution of the outcomes is known over one where the probabilities are unknown.
Ambiguity tolerance–intolerance was formally introduced in 1949 through an article published by Else Frenkel-Brunswik, who developed the concept in earlier work on ethnocentrism in children [3] In the article which defines the term, she considers, among other evidence, a study of schoolchildren who exhibit prejudice as the basis for the existence of intolerance of ambiguity.
Uncertainty avoidance is a way of coping with uncertainty. Society copes using technology, law and religion/ritual, along either a rational (technology, law) or non-rational (religion/ritual). Hofstede cited rituals including memos and reports, some parts of accounting systems, parts of planning and control systems, and the invocation of experts.
Most theoretical analyses of risky choices depict each option as a gamble that can yield various outcomes with different probabilities. [2] Widely accepted risk-aversion theories, including Expected Utility Theory (EUT) and Prospect Theory (PT), arrive at risk aversion only indirectly, as a side effect of how outcomes are valued or how probabilities are judged. [3]