Why is it difficult to build a business in Japan?
First, there are the high quality standards, but in addition management methods, business negotiations and business practices are different from Western countries. In most cases Japanese construction method is that of an island country, based on Galapagos syndrome method.
Also, because of division of labor system, historically, there have almost no cases where one company has been solely responsible for materials, selection, procurement and construction. Instead of that, many contractors appear on the scene. As a result, in case of claims it is very difficult for overseas manufacturers to accurately determine who is responsible for what, and to find acceptable resolutions. For example, even if product manual is written in Japanese, reader and installer are completely different, and in most cases they do not know each other. Therefore, in many cases they do not consult each other, and as a result Japan's division of labor system does not make sense.
Japan's quality standards, embodied by JIS and JAS, rank among the world's most stringent. Often, without securing this certification, products are not permitted to enter this market.
So what is the attraction of doing business with Japan?
Stability. Once business starts, in principle, there is no need for continuous price negotiations, and you can expect great continuity. Once Japanese people decide something, then they do not want to change; that is Japanese temperament. And, as everyone knows, there is no need to worry about payment. For manufacturers, even if their quantity or price is not as expected, clients desire ‘not to give trouble’ and develop a ‘long lasting’ relationship will be gratifying.
What do Japanese customers judge by?
In addition to cost and effort of conforming to various Japanese public standards, which can be considered as non-tariff barriers, it is no exaggeration to say that decisive factor is when a claim occurs. Then, sincere response of manufacturer determines continuity of the business.
Is manufacturer prepared to accept and benefit from nature of Japanese market, and fulfill all business obligations without disappearing? That is what ensures business continuity, not the amount of advertising expenses.
In general supermarket industry, leading companies of France, the United States, and the United Kingdom have all followed the policy of withdrawal from Japanese market as a result of pushing their own systems and sticking to their own ways until end.
When in Rome, you must do as Romans do;
This is an absolute requirement that foreign manufacturers should understand.
Should everything follow the Japanese method?
No, not at all. You should not accept something if it is not fair, as unfairness is not acceptable in any country. The important thing is for all parties to discuss any problems thoroughly with each other. These processes should not be omitted.
As a guide runner and matchmaker for potential customers,
I-Works brings success to people who want to sell to Japan.
