Scenario-Based Scales Measuring Cultural Orientations of Business Owners

Abstract We argue that many approaches to cross-cultural measurement in entrepreneurship research have been flawed and that there is a need for scales measuring cultural orientations at the individual level. We developed scenario-based scales measuring seven cultural orientations of business owners, namely uncertainty avoidance, power distance, in-group collectivism, assertiveness, future orientation, humane orientation, and performance orientation. The cultural orientations are manifested in the practices business owners apply in their businesses. We validated the scales on 461 Chinese and German business owners. The assessment of the scales’ invariance across China and Germany suggests that they hold cross-cultural validity and thus allow for meaningful cross-cultural comparisons. Moreover, the scales show good test-retest reliabilities. The assessment of the relationships between the seven cultural orientations and their validation constructs suggests that the scales hold construct validity and thus allow for accurate descriptions and predictions of behaviors.