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An empirical test of Peruvian Peruvian

subcultural
subcultural values values
Christopher J. Robertson
International Business and Strategy Group, College of Business
Administration, Northeastern University, Boston, Massachusetts, USA, and 215
Cristobal Nico Suarez Guerrero
Universidad de Salamanca, Salamanca, Spain
Abstract
Purpose The purpose of this paper is to develop a value measurement tool based on an indigenous
theory of cultural values. Moreover, this instrument was tested in a multi-cultural sample from Peru.
Design/methodology/approach A cultural values framework that traces its origins to Peru is
employed as the conceptual foundation for a new instrument designed to measure values that are
inherently linked to economic and social development. The survey is tested across diverse
subcultures within Peru through 288 respondents.
Findings The empirical results lend significant support to three hypotheses and a number of
differences related to how certain values may be perceived in varying subcultural communities were
identified. Perhaps the most striking finding is that Peruvians from different subcultural groups vary
in their perceptions of which values are key to successful assimilation into the local indigenous
communities as well as the values necessary for achieving success in international business.
Research limitations/implications By developing and testing a developmental values
instrument that was based on developing nation constructs we have created an opportunity for
replication in other developing nations as well as industrialized economies.
Practical implications A number of implications related to managing in Andean America are
plausible. These results can assist multi-national firms that elect to operate in the Andes to evaluate
their marketing and sales approaches, as well as human resource management policies. In addition
firms that seek new growth opportunities within Andean America may need to incorporate
predetermined values that are germane to their potential strategic maneuvers in the region.
Originality/value This paper is exploratory in nature and facilitates a deeper level of analysis
related to subcultural values in developing nations.
Keywords Peru, National cultures, Social values, Developing countries, Multi-national companies
Paper type Research paper

The significance of the relationship between cultural values and managerial practices in
affecting organizational outcomes has been demonstrated both theoretically and
empirically over time (e.g. Casimir and Keats, 1996; Biogness and Blakely, 1996; Erez and
Early, 1987; Ramamoorthy and Caroll, 1998; Thomas and Au, 2002). Moreover, the advent
of globalization has generated heightened interest by both human resource managers and
practitioners in two key areas: the potential convergence of cultural values across borders
and the role of subcultural differences within borders (Chen, 2007; Coyne and Ong, 2007;
Cullen et al., 2004; Lenartowicz and Roth, 2001; Gibson, 1999; Husted, 1999; Ralston et al.,
1999). Although one school of thought supports the claim that traditional values in
developing countries are gravitating toward a more Western ideological base there is also
mounting evidence that supports the embracement and renaissance of native indigenous
values in various world regions (Offermann and Hellmann, 1997; Ralston et al., 1997;
Robertson and Crittenden, 2003). For example, in Peru and Ecuador, Quechua, the Cross Cultural Management: An
ancestral language of the Incas, has experienced a rebirth in recent years and the language International Journal
Vol. 16 No. 2, 2009
is once again taught in schools throughout the Andes. Even on-line search engine giant pp. 215-229
Google! offers its website in Quechua. As more firms penetrate developing nations, for # Emerald Group Publishing Limited
1352-7606
reasons ranging from contract manufacturing to developing consumer bases, gaining a DOI 10.1108/13527600910953946
CCM deeper knowledge of the values and behavioral expectations of diverse local subcultures,
and how these values are manifested in daily life, will become increasingly important to
16,2 HR managers.
Most attempts to gain a more meaningful understanding of indigenous values have
been initiated by European or North American researchers using theories and
methodologies developed in Western cultures (Kirkman et al., 2006). The breadth of
cultural values studies grounded in Western-based theories is impressive. Researchers
216 have examined phenomena that fall under the realm of culture such as integrity, risk
aversion, group orientation, workplace internationalization, commitment, trust and
perceptions of power (Bigoness and Blakely, 1996; Chen et al., 1998; Morris et al., 1994;
Walsworth, 2007). Yet our ability to learn about the deeply seeded values and
worldviews of people in developing nations is limited when we apply theories
developed almost exclusively by Western minds as a template for measuring and
explaining local values as a prism for behavior. In this study we aim to close this gap
by employing a values framework, the Decalogue of Development, a ten value
construct, that traces its theoretical origins to Peru.
Scholars interested in cultural values have applied a number of complementary
and competing theories and frameworks in their analyses (e.g. Hofstede, 1980;
Trompenaars, 1994; Ravlin and Meglino, 1987; Schwartz, 1999; Triandis, 1995). This
development of value dimensions has been a research stream that has generated much
interest over the years due to the end result of country level scores along various value
scales (Lenartowicz and Johnson, 2002; Hofstede, 1980; Schwartz, 1999; Trompenaars,
1994)[1]. Although these objective scores have been useful in conceptualizations and
analyses of various organizational phenomena across borders a number of criticisms have
emerged in the literature. For example, Hofstedes multi-dimensional framework has been
criticized for oversimplifying culture, focusing on employees from only one multi-national
firm, avoiding the potential for culture to evolve over time, and averting in-country
differences (Sivakumar and Nakata, 2001). A further criticism of frameworks in general is
the avoidance of subcultural values in dimension scores (Lenartowicz and Roth, 2001).
Many nations have multiple subcultures that thrive within their borders (for example,
India has more than 15 official languages, each representative of at least one distinct
subculture) and a deeper understanding of the inherent values of each of these subcultures
is needed to make more educated assertions about the overall value-set of a given nation
(Kelley et al., 1987; Smith and Schwartz, 1997). Indeed, many cross-cultural studies have
employed research designs in which nationality was considered synonymous with cultural
identity, with little or no concern for in-country cultural differences (Lenartowicz and Roth,
2001). Hence the examination of subcultures in this study serves as a supplement to our
knowledge on existing value taxonomies.
The purpose of this study is to develop and refine a value measurement tool based on
an indigenous theory of cultural values. As part of the instrument development we will
test the resulting scales using a multi-cultural sample from Peru. The construction and
administration of this survey adds value to the literature not only because it emanates
from a local culture but also due to the depth added to the body of literature related to a
significant subculture in Latin America that has been growing in importance in the
twenty-first century. Further, published empirical research using Latin American samples
has been underrepresented in international business journals and this study will add value
to the existing body of empirical work in the area (Lenartowicz and Johnson, 2002).
This paper is organized as follows. In the next section literature related to cultural
values is presented and exploratory hypotheses are developed based on expected
differences across groups and situations related to the Decalogue of Development value Peruvian
set. The research design, survey construction and empirical methodology for testing subcultural
the hypotheses are then reviewed and our statistical results are presented. The paper
concludes with a discussion of limitations, as well as theoretical, managerial and other
values
research implications.

Literature review and hypotheses 217

A burgeoning stream of cross-cultural research has yielded strong evidence that
documents the existence of cultural differences of managers from different nations
(Hofstede, 1980; Husted, 1999; Lenartowicz and Johnson, 2002; Robertson et al., 2003;
Trompenaars, 1994). The idea of cultural values has received considerable attention in
the context of cross-cultural management literature (Hofstede, 1980; Ralston et al.,
1997). For practical purposes we have elected to employ the values definition set forth
by Meglino and Ravlin (1998, p. 354): values specify an individuals personal beliefs
about how he or she should or ought to behave in their social environments. This
relates to Hofstedes (1980, p. 21) earlier definition of culture as the collective
programming of the mind which distinguishes the members of one human group from
another and appears to be more applicable to our current research scope and objective.
Moreover, building on the definition of subculture employed by Lenartowicz and Roth
(2001, p. 308) we define subculture as: a secondary group within a societal group that
exhibits a shared pattern of values, beliefs and ideals.
Researchers curious about cultural values have developed a number of dimensions
in an attempt to establish valid pragmatic tools geared toward more in-depth
comparative analyses of cultures role in international business (Bigoness and Blakely,
1996; Hofstede, 1980; Trompenaars, 1994; Schwartz, 1999; Triandis, 1995). One of the
most prominent dimensions in the cross-cultural management literature has been
individualism vs collectivism (Chen et al., 1998; Gibson, 1999; Hofstede, 1980; Morris
et al., 1994; Ralston et al., 1997; Schwartz, 1999; Smith et al., 1996; Triandis, 1995). The
dimension individualism stresses the values of independence and self-reliance, while
the opposing end of the continuum, collectivism, emphasizes social harmony, social
norms and goals of the wider in or out-group (Morris et al., 1994; Triandis, 1995).
Consensus over whether or not individualism vs collectivism is a cultural level
construct or an individual level phenomenon has not been attained and the general
conclusion from the literature is that this dimension appears to be multi-level in nature
(Hofstede, 1980; Smith and Schwartz, 1997; Triandis, 1995).
An argument can be made that individualism indeed varies across diverse
subcultures. There are numerous examples of pockets of individualists living in
traditionally collectivistic nations (i.e. German settlers in Southern Chile) or vice versa
(i.e. Chinatown in New York). These differences have been empirically supported. For
example, Lenartowicz and Roth (2001) found, in their study of 189 Brazilian kiosk
owners from four diverse subcultures, that the reserved Mineiros of South Central
Brazil were less concerned about the individualistic trait of achievement when
compared to the Gauchos of the Pampas region of Brazil, thus lending support to the
existence of subcultural value differences across cohorts. In order to gain a better
understanding of this phenomenon we have elected to examine the Decalogue of
Development from a values-based perspective.
CCM Decalogue of development values
16,2 In 1990, Octavio Mavila established the Insituto del Desarrollo Humano (INDEHU) in
Peru based on the values and goals set forth in his Decalogue of Development theory,
which he subsequently published in 1996. The goal of INDEHU was to instill the
values of the Decalogue in the majority of the Peruvian population, with students and
business leaders as the main targets of the program. Although it is difficult to assess
whether or not Mavila achieved this goal, the Decalogue has had a strong influence
218 both in Peru and in other areas of Latin America.
Mavila Medina (1996) claims that the difference between developed and
underdeveloped countries stems from the teaching of progressive values in school at
early ages. The Decalogue has been incorporated into various educational settings. De la
Pena Manrique (2005) wrote in Mexicos El Norte about the potential positive impact on
society if the values in the Decalogue were taught to children in primary school.
Humberto Belli, the Minister of Education in Nicaragua for most of the 1990s, identified
the Decalogue as central to his program of educational reform. In addition, university
students, such as those at Mexicos Monterrey Institute of Technology and Higher
Studies, have also been exposed to the Decalogue of Development (Harrison, 2006).
The Decalogue has been used by various organizations in Latin America outside of
the educational setting to encourage the growth of its people. For example, the Centro
Humano de Liderazgo in Mexico offers workshops, classes and other resources to help
spread Mavilas message with the hope of promoting the countrys development
through its citizens bettering themselves and their communities. In the Brazilian
publication Ensaios e Ciencias, Gonzalez (2000) assessed the significance of the
Decalogue of Development, stating that employees who add quality to the culture of
competitive companies are those who exhibit, among other traits, behavior in
accordance with the ten values proposed by Mavila.
In Table I the ten Decalogue values are presented (in Spanish and English). Mavila
Medina (1996) asserts that these values are necessary to accelerate the process of
economic and social development in lagging economies. The values have a number of
conceptual ties to prior research yet empirical examination of the framework and any
links to management theories have yet to be examined.
Due to the lack of prior analysis of the Decalogue values an assessment of potential
items that conceptually cluster together within the ten Decalogue values appears to be
the next appropriate step per research protocol. Thus a decision was made to assess the

Spanish (as seen on survey) English (possible translations)

Orden Order
Limpieza Cleanliness (physical or moral), purity, honesty
Puntualidad Punctuality
Responsabilidad Responsibility
Deseo de Superacion Desire to improve or better oneself
Honradez Integrity, honesty
Respeto al derecho de los demas Respect for the rights of others
Respeto a la ley y a los reglamentos Respect for the law, rules and regulations
Table I. Amor al trabajo Love of job
Translation of Decalogue Afan de ahorro e inversion Eagerness or desire to save and invest
values from Spanish to
English Note: Bold indicates how the value is represented on the chart
extent to which the ten items that comprise the Decalogue break down into cogent Peruvian
subfactors. For example, the Decalogue values desire and love of job each have subcultural
conceptual links to the construct of individualism (Smith and Schwartz, 1997) and this
relationship could serve as the basis for a cluster. Moreover, the values integrity and values
law also appear to have underlying traits that place these items together. An argument
could be made that other Decalogue values, such as punctuality and responsibility, could
also be combined into a more comprehensive, multi-item, construct. Due to the
exploratory nature of assessing subclusters of the Decalogue of Development the
219
following research question is proposed:
RQ1. How do the Decalogue of Development values relate to each other, and can
logical clusters be identified within the ten value construct set?
As mentioned earlier, a deeper theoretical exploration of the links between
individualism and the Decalogue framework appears promising from a theory
development perspective. To construct testable hypotheses we have elected to
conceptually employ the Schwartz (1999) values model which supports our theoretical
links between the Decalogue values and a prior study of individual values differences
(Smith and Schwartz, 1997). The values model developed by Schwartz groups basic
human values into ten universal values types based on motivational goals, resulting in
two dimensions: openness-to-change vs conservation; and self-enhancement vs self-
transcendence (Egri and Ralston, 2004). Self-enhancement values relate to the
achievement of personal success through demonstrated competence, and the
attainment of social status and prestige as well as power over people; while self-
transcendence values reflect concern with protecting and enhancing the well-being of
friends and colleagues, along with tolerance, appreciation and protection of the welfare
of all people and for nature (Egri and Ralston, 2004).
A deeper analysis of the Decalogue items reveals that two of the values have strong
theoretical ties to individualism or collectivism. The value Deseo de Superacion (desire
to improve or better oneself) is strongly wedded to the tenets of individualism while
Amor al trabajo (love of job) relates well to the individualistic notion of job satisfaction.
In Peru, the Hispanic subculture has more historical ties to European values than the
indigenous subculture (see Rostworowski de Diez Canseco, 1999) and therefore tends to
be more self-oriented than the deeply communal indigenous population that can be
traced to the descendants of the socialistic Inca civilization. Further, embracing ones
job appears to be more consistent with the collectivistic orientation that traverses
Perus Quechua and Aymara populations. Based on the above analysis the following
hypotheses were developed:
H1. The value desire will be perceived as significantly more important to
attaining success in the global economy than to assimilating in the Quechua/
Aymara cultures.
H2. The value love of job will be perceived as significantly less important to
attaining success in the global economy than to assimilating in the Quechua/
Aymara cultures.
Moreover, the Decalogue value Responsabilidad (responsibility) is consistent with
success in global business dealings for Latin American cultures and was included as
one of the items that comprised the instrumental values scale in an earlier twelve
nation study of cultural values in Latin America (Lenartowicz and Johnson, 2002).
CCM Based on our understanding of Mavila Medinas (1996) conceptual description of this
Decalogue item we also concluded that responsibility was the value that had the
16,2 strongest theoretical ties to the economic success arm of development. Therefore,
H3. The value responsibility will be perceived as significantly more important to
attaining success in the global economy than to assimilating in the Quechua/
Aymara cultures.
220 One final hypothetical relationship that we found intriguing was the link between
Decalogue values and perceptions of globalization. Since responsibility has been
observed as a value consistent with managerial success in prior studies we expected
this relationship to hold up as well at the global economic level (Lenartowicz and
Johnson, 2002; Schwartz, 1999). Indeed, if responsibility is a value that resonates with
individuals who place a high emphasis on economic performance then we would
expect this pattern to be reflected in beliefs about globalization. Thus,
H4. A higher level of importance placed on the value of responsibility will lead to
a higher belief that globalization is good for economic development.

Methodology
To test our research question and hypotheses we chose to develop a survey with newly
created items designed to measure individual respondents beliefs about the Decalogue
of Development values under varying scenarios. The survey was written in Spanish by
a native speaker, and cross-checked for consistency by an experienced researcher who
speaks Spanish as a second language. No translation and back translation of the
survey instrument was needed since the theory was originally developed in Spanish by
a Peruvian scholar and our goal was to collect data across various Spanish-speaking
Peruvian subcultural groups. Although many of the target respondents spoke other
languages (i.e. Quechua, Aymara) we only administered the survey in research settings
in which Spanish was the official language. To be consistent with the sampling
standards established by Malhotra et al. (1996) we set a goal of 60 respondents in at
least two different subcultural groups.
Only Peruvian nationals were permitted to respond to the questionnaire.
Respondents were also asked a series of demographic questions which included: age,
gender, marital status, number of years of work experience, educational level, industry,
whether they worked for a public vs private firm and national vs foreign firm
headquarters. In addition, the respondents were asked to select the cultural group with
which they most associate from a list of eight possible options (they could also write-in
a non-listed group). Respondents were asked to rank (one equals most important and
ten least important) the Decalogue values under three scenarios:
. as they apply to your own daily life;
. as they pertain to a member of the Quechua or Aymara culture; and
. as necessary to someone to succeed when conducting international business in
the global economy.
Respondents were also asked about perceptions of globalization. An item was
constructed to capture the extent to which individuals believe that globalization is a
positive influence on the Peruvian economy. Therefore, each respondent was asked to
rate globalizations impact on Peru, with one representing the most negative view of
globalization and five representing the most positive.
 Our survey administration protocol was as follows. First, we pretested the survey Peruvian
with working professionals enrolled in a certificate program at a major university in
Lima. Based on feedback we adjusted any items that were unclear. We then proceeded to
subcultural
administer the survey in six different night programs for working professionals at five values
universities in three cities in Peru (Lima, Arequipa and Ayacucho). All of the respondents
were Peruvian nationals and 85.9 per cent indicated that they were working full-time.
The subjects were enrolled in programs ranging from part-time MBA, executive MBA,
certificate programs, professional development and part-time undergraduate degree
221
programs. Due to the poor mail and courier system in Peru a decision was made to have
co-authors present during the administration of the surveys which led to a response rate
of over 95 per cent (the only non-respondents were non-Peruvian nationals). This on-site
approach is recommended by Dahringer and Muhlbacher (1991) as a method on
augmenting data collection in challenging research environments.

Results
The final sample consisted of 285 usable surveys. The average age of the respondents
was 26.9 years. There were 156 male respondents and 127 female respondents. Two
individuals did not indicate their gender. Forty-one individuals reported that they were
married, 234 single, and six divorced, and there were four non-respondents to this item.
Of the 245 subjects who responded to the work experience item, the average number
of years of experience was 6.0. Respondents were also asked to indicate their level of
education. The educational breakdown of the sample was as follows: finished high
school 16 respondents, some college 109, finished college 94, some post-graduate 46,
finished post-graduate 17. Respondents were also asked to indicate in which industry
they worked. In Table II a summary of the industry breakdown is presented. The top
five industries represented were education (including administration and staff),
finance, service, communications and agriculture/mining.
Regarding firm orientation, 54 respondents reported that they worked for a public
company while 188 said they worked for a private company. A total of 203 individuals
worked for a Peruvian (national) firm and 33 for a foreign company. The remaining
respondents indicated that they were unsure of their firms status. In the final

Industry Number of responses

Education 63
Finance 43
Service 22
Transportation 14
Manufacturing 11
Communications 18
Agriculture/mining 18
Commerce 9
Government 5
Healthcare/pharmaceutical 5
Others 49
No response 31

Notes: Education includes administrative positions at academic institutions as well as academic Table II.
publishing. Finance includes accounting, banking and financial consulting. Examples of others Industry representation
include: insurance, engineering, entertainment, construction and athletics of Peruvian sample
CCM demographic item we asked respondents to select the subculture with which they most
16,2 identified. The self-identified cultural responses are summarized as follows: Anglo-Saxon
14, Arab 6, Asian 8, Hispanic 183, Jewish 4, Quechua/Aymara 50, Other/No response 20.
To assess the extent to which thematic clusters exist within the ten Decalogue
values a factor analysis was performed. Although some debate has occurred related to
the appropriateness of factor analyses in ipsative data (see Loo, 1999) it has been
222 argued that with a larger sample size, and hence more statistical power, problems
related to factor analytical procedures dissipate (Saville and Wilson, 1991). Our sample
size was deemed sufficiently large and thus three separate factor analyses were run for
the ten Decalogue items, one for each of the three scenarios.
The results of a factor analysis that was run for the success in the global economy
scenario are presented in Table III[2]. The extraction method was principal components
analysis and a Varimax rotation approach was employed with Kaiser normalization. The
rotation converged after 15 iterations. Using Nunnally and Bernsteins (1994) heuristic of
retaining principal components with Eigenvalues of roughly 1.0 or greater the results
supported four value factors (the fourth factor, with an Eigenvalue of 0.92, was retained
due to its conceptual appeal). Collectively, the four factors explained 66.41 per cent of the
total model variance. The four factors were classified as follows:
(1) Discipline (27.38 per cent variance explained). This factor included three items:
punctuality, responsibility and integrity. These Decalogue values relate to how
a person conducts his or her life in an organized, systematic and moral manner.
Interestingly, Lenartowicz and Johnson (2002) found that responsibility and
honesty clustered well together in a factor they named Integrity, which
supports the connectedness of these values.
(2) Ambition (18.74 per cent variance explained). Three items were included in this
factor: desire, save and invest and love of job. The general common theme of
this cluster is the relationship of each item to the notion of high aspirations and
hard work.

Variable Loading Factor name Variance explained (%)

Punctuality 0.484 Discipline 27.28

Responsibility 0.481
Integrity 0.619
Desire 0.585 Ambition 18.74
Save and invest 0.693
Love of job 0.646
Rights 0.691 Citizenship 11.19
Law 0.684
Order 0.731 Self-respect 0.09
Cleanliness 0.813
Cumulative variance explained 66.41
Eigenvalues Component 1 2.78
Component 2 1.87
Component 3 1.12
Component 4 0.92

Table III. Notes: Extraction method: principal component analysis; scenario: success in the global economy.
Factor analysis results Varimax rotation with Kaiser normalization, 12 iterations
 (3) Citizenship (11.19 per cent variance explained). Two items, rights and law, Peruvian
comprised this factor which relates to an individuals sense of duty and respect
for the rule of law.
subcultural
values
(4) Self-respect (9.09 per cent variance explained). The final two items, order and
cleanliness, made up this dimension which focuses on the concept of being in
control of ones personal situation. A post-hoc scree plot also confirmed these four
factors. 223
To test H1-H3, t-tests were performed as a method for assessing significant differences
across groups. In Table IV the results of three t-tests are presented. In H1 we posed that
the Decalogue value of desire will be perceived as significantly more important to
attaining success in the global economy than to assimilating in the Quechua/Aymara
cultures. With means of 5.02 (t 27.29) for the Quechua/Aymara question and 5.24
(t 29.82) for the global success question this hypothesis is not supported[3].
Interestingly, the indigenous group appears to place more value on desire than the
Hispanic group. In H2 we proposed that the value of love of job will be perceived as
significantly less important to attaining success in the global economy than to
assimilating in the Quechua/Aymara cultures. This hypothesis is supported with means
of 3.82 (t 24.45) and 5.89 (t 34.89) for the Quechua/Aymara and global success,
respectively, and a significant difference at the p < 0.001 level. The third hypothesis
theorized that the value of responsibility would be perceived as significantly more
important to attaining success in the global economy than to assimilating in the
Quechua/Aymara cultures. This hypothesis was also supported at the p < 0.001 level
with means of 4.85 (t 37.00; Quechua/Aymara) and 3.75 (t 26.38; global success).
The support of H2 and H3 suggests that Peruvians envision different priorities with
respect to operating in the global business arena vs engaging in activities in indigenous
communities. The lack of support for H1 reflects a potential misconception of the work
ethic that dominates the indigenous communities of Peru.
To test H4 hierarchical regression analysis was performed. This technique
explicitly accounts for any overlap in the explanatory power of the independent
variables (Ramaswamy, 1997). Hierarchical regression is also considered robust when
faced with potential multi-collinearity among the independent variables (Malhotra
et al., 1996). An analysis of correlations among the independent and dependent
variables did not reveal any threats of multi-collinearity. Of the 283 responses to this
question 213, over 75 per cent, responded in a positive fashion (either four or five).
Fifty-three respondents were neutral and only 17 individuals, or 6 per cent, had a
negative view of globalization. In Table V the results from hierarchical regression are
presented. In the first stage, the control variables of age, gender and culture were

Variable Mean (SD) t-Value Significance level

Desire (Quechua/Aymara) 5.02 (3.04) 27.29 *p < 0.001

Desire (global) 5.24 (2.91) 29.83
Love of job (Quechua/Aymara) 3.82 (2.58) 24.45 *p < 0.001
Love of job (global) 5.89 (2.80) 34.89
Responsibility (Quechua/Aymara) 4.85 (2.16) 37.00 *p < 0.001
Responsibility (global) 3.75 (2.36) 26.38 Table IV.
Testing of significant
Note: Degrees of freedom range from 272 to 275 differences across means
CCM Predictors and controls Model 1 Model 2
16,2
Standardized coefficients
Age 0.23 0.08
Gender 0.13 0.07
Culture 1.72* 1.81*
Order 0.88
224 Cleanliness 0.98
Punctuality 1.32**
Responsibility 1.99*
Desire 0.71
Integrity 0.76*
Rights 0.44
Law 2.32***
Love of job 0.17
Save and invest 1.32**
F (full model) 1.14 1.69*
R2 0.02 0.09
Change in R2 0.07
Df 3,257 15,247

Notes: Dependent variable: globalization benefits the Peruvian economy. Lower Decalogue scores
Table V. reflect a higher level of importance. Therefore a negative standardized Beta represents a positive
Regression results relationship between the independent and dependent variables; *p < 0.05, **p < 0.10, ***p < 0.01

entered to control for any extraneous demographic influences. In the second stage, the
ten Decologue variables were entered to test for relationships between Decalogue
values and perceptions of globalization. The final model was significant overall
(F 1.69, p < 0.05) and the value of responsibility ( 1.99, p < 0.05) was
significant as well, lending support for H4 (as a reminder lower Decalogue scores
represent higher value rankings). Interestingly three additional Decalogue values were
found to be significantly related to globalization: punctuality ( 1.32, p < 0.05),
law ( 2.32, p < 0.01) and save and invest ( 1.32, p < 0.05).
In Table VI a matrix of means for each subgroup by scenario is presented. Regardless
of subcultural identification, responsibility appears to be a dominant value in the daily
success of individuals and a dominant value in perception of what it takes to be successful
in the global economy. With respect to the apply to ones daily life scenario
responsibility was the value with the lowest overall average score (thus highest ranking)
and second highest frequency of being rated no. 1 (58 times). In the success in the global
economy scenario responsibility again retained the lowest average score and for this
question. Interestingly, the Hispanic group rated responsibility the highest on the daily
life (Q10) and global success (Q12) scenarios yet fifth when evaluating Quechua/Aymara
values (Q11).

Discussion
The purpose of this study was to develop a value measurement tool based on an
indigenous theory of cultural values. Moreover, our objective was to test this
instrument in a multi-cultural sample from Peru. The empirical results lend significant
support to three hypotheses and a number of differences related to how certain values
may be perceived in varying subcultural communities were identified. Perhaps the
most striking finding is that Peruvians from different subcultural groups vary in their
 Averages for question 10: your own daily life Averages for question 11: Quechua/Aymara Averages for question 12: global success
All cultures, All cultures, All cultures,
incl. no Quechua/ Other incl. no Quechua/ Other incl. no Quechua/ Other
response Hispanic Aymara cultures response Hispanic Aymara cultures response Hispanic Aymara cultures

Order 5.67 5.80 5.38 5.65 6.54 6.82 6.52 5.79 5.87 6.06 5.61 5.38
Cleanliness 6.32 6.56 5.84 6.02 7.37 7.81 6.40 7.09 7.57 7.86 7.02 6.88
Punctuality 5.16 5.40 4.40 4.95 6.23 6.43 5.31 6.40 4.55 4.52 4.20 4.90
Responsibility 3.20 3.16 3.00 3.49 4.86 5.05 3.98 5.12 3.75 3.85 3.24 3.95
Desire 4.34 4.26 4.76 4.16 5.03 4.92 5.50 4.70 5.24 5.38 5.08 5.24
Integrity 3.62 3.61 3.80 3.34 3.95 3.84 4.02 4.33 4.91 4.79 5.43 4.86
Rights 5.01 4.74 5.58 5.57 5.01 4.83 4.98 5.56 6.04 5.81 6.80 6.05
Law 6.94 6.72 7.18 7.52 5.97 5.72 6.85 6.28 5.00 4.59 5.66 5.90
Love of job 6.68 6.81 6.46 6.36 3.82 3.60 4.14 3.98 5.90 5.88 5.63 5.93
Save and invest 7.99 8.04 8.12 7.52 6.23 6.01 6.94 6.09 6.10 6.11 6.18 6.12

Decalogue rankings by
Mean responses to
Table VI.

subcultural group
Peruvian

225
values
subcultural
CCM perceptions of which values are key to successful assimilation into the local indigenous
16,2 communities as well as the values necessary for achieving success in international
business. In particular, the value of responsibility was viewed as more important in
the realm of global business while desire and love of job were crucial to operating in
the local Quechua or Aymara cultures.
We were also interested in if any thematic clusters existed within the ten Decalogue
226 items. The results of factor analysis identified four factors that fit the following themes:
Discipline (punctuality, responsibility and integrity), Ambition (desire, save and
invest and love of job), Citizenship (rights and law) and Self-respect (order and
cleanliness). The establishment of these four factors will facilitate stronger opportunities
for future research through the multi-item constructs. Also, more cogent factors create
better conceptual links to existing theoretical bases. For example, the Discipline factor,
with its relationship to how a person conducts his or her life in an organized, systematic
and moral manner, could be tied to the leadership and ethical decision-making literature.
The Ambition factor clearly has potential links to motivational theories.
With respect to implications for managing in Andean America a number of
inferences can be drawn from the results of this study. It would be a worthwhile
endeavor for multi-national firms that elect to operate in the Andes to evaluate their
marketing and sales approaches, as well as human resource management policies,
prior to entering the region, and more or less emphasis may need to be placed on select
Decalogue values depending on the operational strategy targeted (Sully de Luque and
Aurora Arbaiza, 2005). Further, firms that seek new growth opportunities within
Andean America may need to incorporate predetermined values that are germane to
their potential strategic maneuvers in the region.
A number of limitations exist related to this study. First, response bias is a common
risk with any survey-based data. We made every attempt to minimize this risk by
assuring anonymity in the survey administration protocol. A second limitation is that a
keen distinction between Quechua and Aymara groups in our study is not present.
Indeed these groups both belong to a vast indigenous population in Peru and can trace
their roots back to pre-Colombian times, yet a number of subtle cultural differences
may still exist between these groups. A third limitation is that respondents came from
a number of different firms and industries. The corporate culture of an organization
can play a role in shaping an individuals values and could influence data
interpretations. Yet since we are attempting to assess subcultural values we decided to
cast as wide a net as possible in our cross-sectional analysis which we believe trumps a
one firm or one industry sample given our objectives in this study.
With respect to future research directions there are numerous opportunities to
explore the Decalogue of Development in more depth. One possibility may be to assess
links between Decalogue values and traditional Inca values or other peripheral values
in Andean America that have helped shape the character and attitudes of the
managerial mind in this region of the world. Another alternative is to assess the extent
to which non-native values have played a role in molding the business mindset in
different Andean nations.
Finally, the Decalogue of Development is a conceptual tool that can be deployed in a
number of ways. From a pragmatic approach policymakers may elect to utilize certain
values that are relevant to their workforce or constituents as a guide in the creation of
appropriate standards in the workplace. From a theory development approach,
researchers may elect to test perceptions of the Decalogue values in various cultural or
workplace settings to ascertain the varying degree of importance of certain values and Peruvian
the extent to which the current studys findings are generalizable to a broader population.
subcultural
Notes values
1. A detailed analysis of empirical research published between 1980 and June 2002 that
incorporated Hofstedes cultural values framework is provided by Kirkman et al. (2006).
2. The two other factor analyses, for the own daily life and Quechua/Aymara scenarios 227
were consistent with the success in the global economy scenario, with each suggesting
four factors that explained between 57.3 and 65.8 per cent of total variance. The global
success scenario results were strongest and are therefore presented here.
3. It should be noted that a score of 1.00 signifies the most important value and a score of
10.0 the least important value.

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About the authors

Christopher J. Robertson, PhD, is an Associate Professor in the International Business and Strategy
Group at Northeastern University. He holds degrees from the University of Rhode Island and
Florida State University. Prior to joining Northeastern University, Professor Robertson taught at
James Madison University, La Universidad de Salamanca, Florida State University and La
Universidad San Francisco de Quito. In the spring of 2006 Robertson served as a Fulbright Scholar
in Lima, Peru. His primary research stream is cross-cultural management, with specific interest in
ethical, behavioral and strategic differences across cultures. His work has been published in wide
variety of major journals, including Strategic Management Journal, Journal of World Business,
Journal of Business Ethics and Management International Review. Christopher J. Robertson is the
corresponding author and can be contacted at: c.robertson@neu.edu
Cristobal Nico Suarez Guerrero, PhD, a native of Peru, holds an undergraduate degree from
La Universidad Nacional Mayor de San Marcos and a PhD from La Universidad de Salamanca in
Spain. He works as a coordinator for the Vice Rector of Technological Innovation at La
Universidad de Salamanca and manages a number of on-line learning tools.

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