Is there any relation between Hofstede’s cultural dimensions and corruption in developing countries?
| DOI | https://doi.org/10.1108/JFC-06-2020-0115 |
| Pages | 204-213 |
| Published date | 03 August 2020 |
| Date | 03 August 2020 |
| Subject Matter | Accounting & finance,Financial risk/company failure,Financial crime |
| Author | Danur Condro Guritno,Mahrus Lutfi Adi Kurniawan,Irfan Mangkunegara,Bhimo Rizky Samudro |
Is there any relation between
Hofstede’s cultural dimensions
and corruption in
developing countries?
Danur Condro Guritno
Department of Development Economics, Faculty of Economics and Business,
Universitas Sebelas Maret, Surakarta, Indonesia
Mahrus Lutfi Adi Kurniawan
Department of Economic Development, Faculty of Economics and Business,
Universitas Ahmad Dahlan, Yogyakarta, Indonesia
Irfan Mangkunegara
The Audit Board of The Republic of Indonesia, Jakarta, Indonesia, and
Bhimo Rizky Samudro
Department of Economic Development, Faculty of Economics and Business,
Universitas Sebelas Maret, Surakarta, Indonesia
Abstract
Purpose –This paper aims to investigate the relation between the cultural dimensions of Hofstede and
corruptionin developing countries.
Design/methodology/approach –This study uses a quantitative research approach with multiple
regressionanalysis and quantile regression (QR) analysis.
Findings –The results showedthat all cultural dimensions except powerdistance index (PDI) influence the
level of corruptionin developing countries. This study also found somethinginteresting from the significance
of the cultural dimensions of individualism and uncertainty avoidance (UAI) in the regression model. The
community of developing countries tends to be collective which means that the level of corruption in the
country is getting higher.The cultural dimension of UAI in developing countries is also interestingto study
because of the positive relation with theCorruption Personal Index value which means it tends to be freer
from corruption.
Research limitations/implications –This research is limited to the numberof samples and the scope
of the Hofstede’scultural dimensions which are limited in developing countries.
Practical implications –The results of this research can add empirical evidence related to cultural
variablesand corruption, especially in developing countries.
Social implications –This research is expected to be a reference on cultural aspect and corruption in
developing countries to be studied more deeply to investigate the causes of corruption in developing
countries.
Originality/value –This is a preliminary study using cultural dimension and corruption in developing
countries with quantileregression (QR) as an analysis tool and can add empirical evidence aboutthe cultural
dimensionsand corruption.
Keywords Corruption, Hofstede’s cultural dimension, Developing countries, Quantile regression,
Cultural variable
Paper type Research paper
JFC
28,1
204
Journalof Financial Crime
Vol.28 No. 1, 2021
pp. 204-213
© Emerald Publishing Limited
1359-0790
DOI 10.1108/JFC-06-2020-0115
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