Power Distance Index (PDI)

This dimension expresses the degree to which the less powerful members of a society accept and expect that power is distributed unequally.

Highly decentralised and supported by a strong middle class, Germany is not surprisingly among the lower power distant countries (score 35). Co-determination rights are comparatively extensive and have to be taken into account by the management. A direct and participative communication and meeting style is common, control is disliked and leadership is challenged to show expertise and best accepted when it's based on it.

Individualism versus Collectivism (IDV)

This dimension can be defined as a preference for a loosely-knit social framework in which individuals are expected to take care of only themselves and their immediate families.

The German society is a truly Individualist one (79). Small families with a focus on the parent-children relationship rather than aunts and uncles are most common. There is a strong belief in the ideal of self-actualization. Loyalty is based on personal preferences for people as well as a sense of duty and responsibility. This is defined by the contract between the employer and the employee. Communication is among the most direct in the world following the ideal to be “honest, even if it hurts” – and by this giving the counterpart a fair chance to learn from mistakes.

Motivation toward Achievement and Success (MAS)

A high score on the "Decisive" dimension suggests a society driven by competition, achievement, and success defined by being the best, while a low score on the "Consensus-oriented" dimension indicates a focus on caring for others and quality of life rather than standing out from the crowd.

With a score of 66 Germany is considered a Decisive society. Performance is highly valued and early required as the school system separates children into different types of schools at the age of ten. People rather “live in order to work” and draw a lot of self-esteem from their tasks. Managers are expected to be decisive and assertive. Status is often shown, especially by cars, watches, and technical devices.

Uncertainty Avoidance Index (UAI)

The Uncertainty Avoidance dimension expresses the degree to which the members of a society feel uncomfortable with uncertainty and ambiguity.

Germany is among the uncertainty avoidant countries (65); the score is on the high end, so there is a slight preference for Uncertainty Avoidance. In line with the philosophical heritage of Kant, Hegel and Fichte there is a strong preference for deductive rather than inductive approaches, be it in thinking, presenting or planning: the systematic overview has to be given in order to proceed. This is also reflected by the law system. Details are equally important to create certainty that a certain topic or project is well-thought-out. In combination with their low Power Distance, where the certainty for own decisions is not covered by the larger responsibility of the boss, Germans prefer to compensate for their higher uncertainty by strongly relying on expertise.

Long Term Orientation versus Short Term Normative Orientation (LTO)

Every society has to maintain some links with its own past while dealing with the challenges of the present and the future. In the business context this dimension is related to as "(short term) normative versus (long term) pragmatic" (PRA). In the academic environment the terminology Monumentalism versus Flexhumility is sometimes also used.

Germany’s score of 57 indicates that it is a pragmatic country. In societies with a pragmatic orientation, people believe that truth depends very much on situation, context, and time. They show an ability to adapt traditions easily to changed conditions, a strong propensity to save and invest, thriftiness, and perseverance in achieving results.

Indulgence versus Restraint (IND)

Indulgence stands for a society that allows relatively free gratification of basic and natural human drives related to enjoying life and having fun. Restraint stands for a society that suppresses gratification of needs and regulates it by means of strict social norms.

The low score of 40 on this dimension indicates that the German culture is Restrained in nature. Societies with a low score in this dimension have a tendency to cynicism and pessimism. Also, in contrast to Indulgent societies, Restrained societies do not put much emphasis on leisure time and control the gratification of their desires. People with this orientation have the perception that their actions are Restrained by social norms and feel that indulging themselves is somewhat wrong.

Business Customs

Punctuality is an important part of German business culture. The norm is to arrive about five minutes early to an appointment. If you show up more than five minutes after the appointed time, you would be perceived as late, and more than fifteen minutes are considered impolite.

Germans generally act and communicate in a direct and structured way; they want things to be done as efficiently as possible. It is not about being rude, but this behavior can include honest and constructive criticism.

Appointments are made for most matters. The usual times for business appointments are between 9:00am - 12:00pm or between 2:00pm - 5:00pm. You should avoid scheduling on Friday afternoons as some offices might already be closed during that time.

Business attire is generally formal and conservative. This means suits (not necessarily with tie) for men and suits or conservative dresses for women.

Giving compliments is not common and can cause embarrassment. The same can be said about giving gifts, which may even be viewed as inappropriate.