Resources / Global Expansion / Understanding and Integrating with Japanese Business Culture

Understanding and Integrating with Japanese Business Culture

April 17, 2024

10 Minute Read

Japan has a rich culture built over a long history of over 2500 years with little international interference. Because of that, breaking into Japanese markets can be difficult for people from other countries.

To help us navigate entering the Japanese business world, we had an event with NAME called ‘Unlocking Japan Keys to International Expansion’. NAME from the Diversity Management Institute, which specializes in helping Japanese and non-Japanese professionals work cross-culturally, so his insights into this subject are invaluable.

Cultural Attitudes Towards Work

Japanese attitudes towards work are often different from Western ideals. “In Japan, work is something that one is supposed to put your whole mind and heart into.” Japanese workers, even part-timers, have an internal standard of perfection to reach. Their work must be aesthetically beautiful and completed to an extremely high standard.

NAME shared that the emperor regularly performs a ceremony in which he works in the paddy field inside the Imperial Palace to show the beauty of the art of diligence as a gesture to the people. This embodies the Japanese attitude towards work; that no task is too menial to be done with respect.

Respectful Communication  

Showing respect is the key to successful business dealings. That means listening to what others are saying and leaving space for pauses in between. Communication-wise, pauses are especially important, as silence is often used to consider what has been said or even express approval. NAME recommends trying to spend equal time or more time listening than speaking, even if other people are not speaking very much.

He also suggested asking questions to draw out other people’s opinions, like, ‘Is there anything else that we haven't explained very well? Is there is this presentation enough to satisfy your internal discussion needs?’ Honesty and humility are key qualities for anybody who wants to be successful in Japanese business.

Building Lasting Relationships  

When you try to expand into Japan, whoever you appoint as the head of the branch ideally needs to believe in building long-term relationships based on trust. Building trust is the core of all the businesses there. You have to figure out how to be part of their business by trying to give them something that is not available in Japan.

When you first hit Japan, your product or service must be of world-class quality. But you have to be ready to take off your mask and have intimate conversations with customers. You can’t spend all your time in an office. Go out and try to get to know the people you’re selling to.

Community Responsibilities  

In Japan, business is not just for the company but for the community. Your patrons should feel like part of your community and shouldn’t feel rushed in their transactions. You should always follow up to make sure they are satisfied with your product or services whenever you can. You can also foster a community by showing your commitment to fixing your mistakes. This positions you as a credible, reliable human being that they can trust and come back to.

A company’s products and services must also be respected and wanted by the customer. A business must not harm the environment and be in good harmony with the community around it. The company’s management has a moral obligation to feed employees even if the company is not doing very well and communicate transparently with the whole community, often through press conferences.

Providing Unique Value

Companies should conduct thorough market research before launching in Japan to ensure that they are providing something unique. You have to show credibility by meeting with customers face-to-face and showing them your willingness to work with them. Tell them about your professional background to reassure them that you are an expert in your field. They also appreciate being told personal stories as this builds genuine relationships outside of business.

There's no second chance in Japan. Businesses have to do it right the first time. Lots of entrepreneurs have the attitude of thinking fast, learning fast and making mistakes quickly so that you can improve your company early on. That's a great attitude, and most business outside Japan is done that way, but when it comes to Japan, you have to go into your first presentation or meeting fully prepared. If you do make a mistake in front of someone, you have to admit that something has gone wrong and promise to come back with better content next time.

Summary

There are no strangers in Japan. When you bring a business or service to Japan, you are becoming part of the community, so you have to show real commitment to providing a high-quality service or product. Taking the time to build personal relationships, whether that’s with other professionals or your everyday customers, is essential to success in Japan. When the Emperor himself works every day, you should practice the same diligent spirit.

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