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Abstract: this paper are adapted from Hofstede (1994). ing about successful new products in organizations with centralized authority (Parry and Song 1993). One way top management contributes to new product suc- cess is to facilitate communication and coordination among functional areas and to resolve NPD inter func- tional conflicts. Because authoritarian behavior by su- periors and passive obedience by subordinates are expected in cultures with high power distance, the cost of implementing top-down decisions may be relatively low. Therefore, we expect the hierarchical method of conflict resolution to be more productive in cultures with higher power distance scores than in cultures with lower power distance scores. Third, a high score on uncertainty avoidance implies that people are reluctant to take risks and that they work better in a more structured and formalized environ- ment. Since the hierarchical method uses authority to resolve interfunctional conflicts, it leads to a less risky and more structured decision-making process than the competition method. Thus, we expect that the hierar- chical method of conflict resolution will be more effec- tive in cultures with higher levels of uncertainty avoidance, and that competition will be more effective in cultures with lower levels of uncertainty avoidance. Fourth, cultures with a long-term orientation place a high value on the future. Managers with a long-term orientation may prefer decisions that preserve relationships for the future at the cost of an inferior short-term decision. As we have observed, competition--with its emphasis on imposing one's own view by force without considering the interests of others--and accommodation --a willingness to give up one's own interests to satisfy the wishes of others--often lead to one-si...