By Jon Woronoff
This e-book offers perception into an important facets of doing company in Japan and suggestion on the right way to reach a really tough marketplace. It follows the method from preliminary touch to the production of a fully-fledged operation in Japan. Emphasis is put on tips on how to holiday into the distribution approach, arrange an area corporation, collect an present corporation, recruit and deal with eastern team of workers and co-operate or compete with eastern businesses. There also are tips to keep away from universal traps and pitfalls for the unwary investor.
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Additional info for The No-Nonsense Guide To Doing Business in Japan, Second Edition
These big companies (dai kigyo), the ones we know so well, only account for about 1% of all Japanese companies. Admittedly, they employ about 30% of all workers and control a larger amount of assets, sales and so on. But, even considering their size, they remain a minority. The rest are classified as small and medium enterprises (chu-sho kigyo) which together amount to 99% of all companies with 70% of the labor force. ” To some extent, the big companies and smaller ones are in different sectors.
There is a tendency to tell gullible foreigners that these groups are just the result of Japanese preferences for stable, long-term relations. That sounds good, reasonable and irreproachable. But the realities are quite different. Links are based not on affinity but material control through share crossholding in bank groups and financial domination of suppliers and retailers through shareholding, loans and advances. Large companies also appoint key personnel in smaller ones or impose on them by being the sole supplier or buyer.
It is therefore necessary to get to know the bureaucrats in your sector. This means officials of the Finance Ministry for banks, insurance and securities firms, Ministry of International Trade and Industry for manufacturers, Ministry of Health for pharmaceuticals, etc. These officials can inform you about the various intricate regulations existing for imports. They can give you pointers on how to – and not to – conduct business in your line. They grant all sorts of permits and authorizations … or not, depending on what they think of you.