The Impact of Danish National Culture on Strategy Formulation Process of an NGO

Laura Fischerová & Katrine Thisted Jørgensen

Student thesis: Master thesis

Abstract

There is a growing number of NGOs around the world, with various social and environmental improvement missions. In Denmark, DSF - Danske Studerendes Fællesråd, is one of the largest student unions that are fighting to improve student lives for all long term educations. Like many NGOs, DSF has to deal with a changing environment, gathering and interpreting information from their environment, to identify and establish priorities among emerging strategic issues. This indicates, that strategy formulation plays an important role in dealing with external adaptation, which just as internal integration, can be seen to be inherently influenced by national culture. This is theorised as social norms influence the use of information - the key focus of strategy formulation. In light of this, the purpose of this thesis is to understand and quantify the extent to which national culture, as described by Hofstede’s (1980, 1983, 1988, 1994, 1998, 2010) cultural dimensions, influences the strategy formulation steps of the member organisations of DSF during a decision process up to and during a Political Conference (PK). As a result the research question of this thesis is;“To what extent is strategy formulation influenced by Danish culture of a national NGO?”. To answer our research question, a review of past literature of the two concepts - strategy formulation and national culture was conducted, in order to understand how this bivariate relationship is theorised, with considerations of the implications of studying an NGO. Then a questionnaire answered by 41 respondents has been analysed using OLS regressions, univariate analysis and Fisher’s exact tests. The findings of our analysis support our general hypothesis that there does exist a relationship between the two concepts, strategy formulation is dependent on national culture, however not to the extent that was theorised, as the first two stages of strategy formulation were deemed uncorrelated to national culture. The findings also suggest, that there are certain inconsistencies with the main theorists used in this thesis. Such research is assumed to enable an individual outside of the NGO to better understand ‘how’ and ‘why’ the strategy formulation of an NGO occurs as it does, in order to better interact with this key player in business.

EducationsMSc in International Business and Politics, (Graduate Programme) Final Thesis
LanguageEnglish
Publication date2018
Number of pages178