Doing Business in Japan
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Doing business in Japan | Japanese Social and
Business Culture
A Japanese Culture Overview
Fact file
o Official name – Japan
o Population – 127, 333, 002* (July 2004 est.)
o Official language – Japanese
o Currency – Yen
o Capital city – Tokyo
o GDP – purchasing power parity $3. 567
trillion* (2003 est.).
o GDP per capita – purchasing power parity
$28, 000* (2003 est.).
Overview
Japan is the land of peace and harmony that
continues to evolve in a positive unification of tradition and modernisation. With its elaborate
and colourful history and culture, Japan has formed a distinct model of hierarchy, honour
and etiquette that is still reflected in many social and business practices today.
If your organisation is planning to conduct business with Japan, potential success depends
upon an understanding of this culturally influenced protocol.
Japanese culture – Key concepts and values
Wa – The most valued principle still alive in Japanese society today is the concept of wa, or
harmony. The preservation of social harmony dates back to the first constitution in 604 AD
and the teamwork needed when living and working on collective farms. In business terms,
wa is reflected in the avoidance of self-assertion and individualism and the preservation of
good relationships despite differences in opinion. When doing business with the Japanese it is
also important to remember the affect of wa on many patterns of Japanese behaviour, in
particular their indirect expression of no.
Kao – One of the fundamental factors of the Japanese social system is the notion of face. Face
is a mark of personal pride and forms the basis of an individuals reputation and social status.
Preservation of face comes through avoiding confrontations and direct criticism wherever
possible . In Japan, causing someone to loose face can be disastrous for business relationships.
Omoiyari – Closely linked to the concepts of wa and kao, omoiyari relates to the sense of
empathy and loyalty encouraged in Japanese society and practiced in Japanese business
culture. In literal terms it means “to imagine anothers feelings”, therefore building a strong
relationship based on trust and mutual feeling is vital for business success in Japan.
The late 19th and early 20th centuries saw Japan swiftly embrace the numerous influences of
western technology. Following the countrys defeat in WWII, Japan experienced a remarkable
growth in its economy and fast became the worlds most successful export. Since then, Japans
business and economy has witnessed a wavering of strengths, however today, Japan is one of
© Communicaid Group Ltd. 2006 Doing Business in Japan
the worlds leading industrial powers with a new, stable and
exciting business market open to foreign investment and trade.
Japan business Part 1 – Working in Japan (Pre-departure)
• Working practices in Japan
o Due to the strong contemporary business competition in Asia, the old concept of
the unhurried Japanese negotiation process is no longer applicable. Decisions
are made swiftly and efficiently.

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Japanese Social And Good Relationships. (June 21, 2021). Retrieved from https://www.freeessays.education/japanese-social-and-good-relationships-essay/