Rolul culturii naţionale în decizia financiară la nivel individual – cazul României

Abstract

In this paper we analyse the role of national culture on individual financial decision, focusing on the case of Romania. National culture, as the premise of the article, is the source of some very important factors that influence financial decision. The analysis is based on Hofstede's model of understanding cultural differences. Romania’s scores on dimensions of national culture, as measured by Hofstede, are used to interpret local individual financial behavior. Of the six dimensions of national culture, three are of greater importance for the problem considered: uncertainty avoidance, long-term orientation and indulgence versus restraint. The data we used indicate that in Romania there is a strong preference for uncertainty avoidance, which translates into the use of safer financial instruments, even if returns are lower. Considering the second main dimension, due to the focus on long-term, financial preferences are adequately influenced. Romania’s score on the third main dimension shows an inclination towards restraint in consumption, which can positively affect individual savings and investments. Our analysis opens the field for research regarding ways of adapting local financial instruments to individual preferences.