CULTURAL DIMENSION OF THE FLIPPING COINS EFFECT: THE PROMISING MODERATING EFFECT ON COMPETITION POLICY AND STRATEGIC CHOICE OF FIRMS

Abstract

Culture takes its crucial role in international business analysis for decades. However, it has not been much interested by policy studies. This study adopted Hofstede’s cultural dimensions to analyze cultural moderating effects on competition law effectiveness and relationship between competitive market and firms’ decision to implement strategy. These two related events are the consequences of so-called flipping two coins effect. Individualism dimension is selected as a representative of cultural dimensions that affect flipping two coins effect. This study eventually provides the predictions on the effects of culture which should be taken into account by both policy makers and practitioners.