International ManagementCulture Report In Japan Instructor: Ryan Rogers Presenter: Ho Thi Hue
Demographic Location: Eastern Asia, island chain between the North Pacific Ocean and the Sea of Japan/East Sea, east of the Korean Peninsula. Capital: Tokyo Population: 127,333,002 (July 2004 est.) Ethnic Make-up: Japanese 99%, others 1% (Korean 511,262, Chinese 244,241, Brazilian 182,232, Filipino 89,851, other 237,914)
Demographic Religions: observe both Shinto and Buddhist 84%, other 16% (including Christian 0.7%)
Power Distance Japan: 50 World Average: 52 Seniority ranks and hierarchy is clearly identified in the organization Japanese is believed to have a vertical relationship in the society Managers create a positive relationship with their subordinates by using persuasive skill Create a trust and respect between manager and subordinate
Individualism Japan: 42 World Average: 40 Collectivist country Hiring and promotion practices are based on paternalism. The success of an organization highly depends on the group effort Manager hand over an assignment to subordinates, it must be given to a group not to an individual.
Masculinity Japan: 90 World Average: 48 The women are expected to stay home and raise a family. To generate high competition and gain collective success, Japanese are workaholics and don’t easily give up Training and development is important aspect in building the masculine character
Uncertainty avoidance Japan: 89 World Average: 62 Japanese are unable to work in unexpected situation They prefer to use sets of protocol, rules and regulation to avoid making mistakes Japanese do not like drastic changes
Long term orientation Japan: 78 World Average: 44 Japanese managers develop a business plan for a period between 3 years and require their staff to follow the same time frame for their plan to work Japanese don’t believe in long term reward, and their only promotion or raise in salary will be in between 3 to 5 years
Relationships & Communication Prefer to do business on the basis of personal relationships Being introduced or recommended by someone who already has a good relationship with the company is extremely helpful To build and maintain relationships is with greetings or seasonal cards A good correspondent as the Japanese hold this in high esteem
Business Meeting Etiquette Appointments are required and it is best to telephone for an appointment rather than send a letter, fax or email. Punctuality is important The most senior Japanese person will be seated furthest from the door, with the rest of the people in descending rank until the most junior person is seated closest to the door. Awarded a small amount of business as a trial to see if you meet your commitments. .
Business Meeting Etiquette (cont’d) Respond quickly and with excellent service, you prove your ability and trustworthiness Never refuse a request Provide a package of literature about your company Give a small gift and present it to the most senior person at the end of the meeting
BusinessNegotiation The Japanese are non-confrontational. They have a difficult time saying 'no‘ Written contracts are required The Japanese often remain silent for long periods of time. Japanese prefer broad agreements and mutual understanding so that when problems arise they can be handled flexibly.
Business Negotiation (cont’d) Using a Japanese lawyer is seen as a gesture of goodwill Never lose your temper or raise your voice during negotiations Some Japanese close their eyes when they want to listen intently The Japanese seldom grant concession. They expect both parties to come to the table with their best offer