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How Rakuten is planning to run their entire business in English?Kenji Yamada s1170041
Outline• Rakuten is..?• Why English is needed in Rakuten• Strategy of Rakuten• English communication abilities• Creating environment for employee to study English• Why use English in official• 4 things since established Rakuten• Reference
Rakuten is..?• Founded: February 7, 1997• IPO: April 19, 2000(Jasdaq Stock Exchange)• Chairman &CEO Hiroshi MikitaniThe First Office : Atago in Tokyo, JapanEmployees : 5 (at the establishment)Business : Rakuten Ichiba (online mall)New Office : Rakuten Tower Tokyo, JapanEmployees : 4,874 (as of Dec. 2008)Market Cap: 662 Billin yen or US$6.8 Billion (JASDAQ, as of Feb 27, 2009)Business : Rakuten Ichiba, Rakuten Travel, Rakuten Securities, Rakuten Credit, Rakuten KC, etc (online mall)
Why English is needed in Rakuten• Rakuten work together not only Japanese company but also foreign company• There are many people that foreigner working in Rakuten• Rakuten has a lot of customer as foreigner
Strategy of Rakuten• Rakuten Inc is announcing it will make English it’s official language by 2012.• Internal meetings will be in English whether foreigners are present or not.• Members who can’t speak English in 2 years will be fired.• Board meetings and weekly all-company meetings have been in English since March.
English communication abilities• Mikitani think that when Rakuten is aimed at world company, the group’s 6,000 employee have to use English after 2 years.• Rakuten’s employee do not use the Japanese in entire business after 2 years. So their business is changing now.
Creating environment for employee to study English• Rakuten employees are under a lot of pressure to learn English• 200 employees out of 3,000 working at the headquarters take lessons from Berlitz Japan Inc.• Everybody spends their own money for lessons and is committed to learning English.• Rakuten is not providing financial support for lessons, but Berlitz offers a discount
Why use English in official"Rakuten has a culture of uniting underMikitanis top-down decisions,“"For Mikitani, Rakuten is doing somethingnormal at a normal speed, but the speed isvery fast for other firms.“ -UBS Securities Japan Ltd. analyst Sumito Takeda said-
4 things since established Rakuten• The internet becomes more convenient more easily.• The internet spreads explosively.• The Japanese comes to buy the thing on the internet.• Circulation changes on the Internet.