Eastern european cluster: tradition and transition

Gyula Bakacsi, Takács Sándor, Karácsonyi András and Imrek Viktor

Journal of World Business, 2002, vol. 37, issue 1, 69-80

Abstract: The eastern European cluster consists of Albania, Georgia, Greece, Hungary, Kazakhstan, Poland, Russia, and Slovenia. It has a population of 232 million and a gross domestic product (GDP) of U.S.$772 billion. The cluster's distinctive cultural practices are high power distance and high family and group collectivism. The region is facing significant challenges during its period of transition from communist philosophy to market-based economies. The participating managers value a much greater degree of future and performance orientation, but are strongly attached to their cultural heritage of deep family and group cohesion. They are also highly value charismatic and team-oriented leadership. The challenges and complexities facing the region are explored in the paper.

Date: 2002
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