National Culture and Digitalization: A Moderating Effect of Trust

Objective - Digitalization has permeated all aspects of life. Governments worldwide recognize its benefits and actively work to provide a conducive digital environment. As such, scholars generally focus on the positive effect of institutional variables on digitalization at the national level. Methodology/Technique – Unfortunately, little is known about the role of informal institutional factors. Here, this study investigates the effect of national culture on the level of digitalization across 70 countries. Finding – Furthermore, it also considers trust as a moderator of the relationship. Analyzing DiGiX and Hofstede Cultural Dimension data, the results indicate that individualism and long-term orientation exhibit a positive relationship With the level of digitalization, whereas uncertainty avoidance displays a negative relationship. Novelty – Overall, the research advances the literature on the critical influence of culture on digitalization in the world today. Type of Paper: Empirical JEL Classification: F52, O33. Keywords: National culture, Digitalization, Trust, Hofstede. Reference to this paper should be referred to as follows: Jiao, C; AYOB, A.H. (2025). National culture and digitalization: a moderating effect of trust, GATR-Global J. Bus. Soc. Sci. Review, 13(1), 01–11. https://doi.org/10.35609/gjbssr.2025.13.1(1)