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Globetrotter Seminar #2 Japan. 2/12/2008. 日本. Promotion Video. Promotion Video. Topics. Economics Japanese Language & Culture Organizational Behavior Sustainable Enterprise Marketing Travel & Food. Economics. Overview of Japan, Including History, Business, Politics. Geography.
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Globetrotter Seminar #2 Japan 2/12/2008 日本
Promotion Video Promotion Video
Topics • Economics • Japanese Language & Culture • Organizational Behavior • Sustainable Enterprise • Marketing • Travel & Food
Economics Overview of Japan, Including History, Business, Politics
Geography China ● Sapporo - Boston Korea Osaka Tokyo - Chapel Hill ● ● From CH, NC - 14 hoursby air Time Zone - 14 hours ahead Pacific Ocean Okinawa - Miami ●
Climate Northern Middle Southern
Demographics • Population - 128 million (ranked No. 10) • Race / Ethnicity - Japanese 98% • Life expectancy - Male 79 yrs, Female 86 yrs (Ranked No.1) • Declining birth rate - Aging society : 20% of people are 65 yrs old or more - Population growth : Negative • Big cities - Tokyo area: 32 million, - Osaka area: 12 million,
Politics Prime Minister Problems… - Budget deficit (worst in developed countries) - Reform of government pension Plan etc. Few regulations for imports, exports and capital transfer The 13th minister in 20 yrs
Economy GDP $ 13,202 bil. ($44K per capita) $ 4,366 bil. ($35K per capita) - Low growth rate - Extremely low interest rate
Stock Market NIKKEI225 vs. S&P500 2500 2000 1500 1000 500 t-stats =72.24 P-value =0.0000
Long-term Relationship • Between Company and Employee • - Lifetime employment • Between Companies(Keiretsu) Large manufacturer (Toyota Group) Zaibatsu-oriented (Mitsubishi group)
Japanese Language and Culture What is behind the Japanese people?
Strange People? Why Japanese people are… • Shy? • Hard working/dedicated? Why Japanese people do NOT… • Think out of the box? • Speak out in meetings?
Island surrounded by seas SAKOKU (鎖国) disconnected from overseas (1633-1853) SHIMAGUNI-KONJO (島国根性) Not much experience under diverse environments historically and geographically Small and Closed Community
Small and Closed Community • HONNE-TATEMAE (本音-建前) • Honest feelings and official position • WA (和) • sense of harmony and togetherness • NEMAWASHI (根回し) • Technique to reconcile interests while maintaining WA
Hierarchical Society • Feudal society (till 19th century) • Samurai • Vertical Society • Strict orders and strong relationships • ON(恩)/ GIRI(義理) • Seniors care for Juniors • Juniors respect Seniors • KENSON (謙遜) • WA and social hierarchy • Ethics • Small and vertical society
Internationalization • Importing Western Cultures • Exporting Japanese Cultures • Constantly changing
Organizational Behavior A day in the Life of a Salaryman Business Etiquette
8:00AM Commuting Rush Rate of congestion--- Unknown, but very high! http://jp.youtube.com/watch?v=a6rYUvSFWro
9:00AM: Morning Meeting • Start with morning meeting • Contents: Boss’ speech, short exercise, and confirmation of the day’s goals
Angles of Greeting • Three different angles of bowing used Normal For Customers Apology
Business Card Exchange • Exchange business cards at start of meeting • Pass first to the higher-ranked person • Treat business cards carefully (display on table) until leaving
Seating Position • Visitors sit further away from door • Most senior member sits furthest from door • Boss sits in the middle Meeting Room Cafe Entrance
8:30PM: After Work • Usually, Japanese can’t leave office on time • Often, boss asks subordinates for a drink (at Japanese pub) • Most of topics are business • Only the last train can stop this drinking party
0:45AM(Next day): Capsule Inns • Cheap alternative to taking a taxi • 4000 Yen (~$37) includes “room,” common bath, bathroom, locker • Clothes and toiletries sold
After work 1: Goukon (Matchmaking Party) • Very important opportunity to find sweetheart(s) for Japanese workers • Men and women sit alternately
After work 2: Cherry Blossoms Viewing • Eat and drink under trees • Company as community • New hires save spots all day
Sustainable Enterprise Environmentally FriendlyPractices in Japan
Mottainai (勿体ない) • Unique concept, no direct translation • Respect for nature and man-made objects • Concepts of 3R (Reduce, Reuse, Recycle) and Repair • Concept practiced since ancient times • Part of everyday life • Spread by Wangari Maathai (Nobel Peace Prize Winner, 2004)
Reducing Waste in Daily Life • Handkerchiefs • Used to wipe hands, sweat, as accessory • Energy efficient hand dryers • Dries hands quickly
Reuse and Reduce: Refillable Shampoo • 80% of families purchase shampoo refills • Body wash, hand soap, softener, detergent, bleach are also refillable Percent of families buying refillable shampoo 100% 79.3% 50.2% % of shampoo buying families 0.4% 0% 1990 2000 2005
Reducing Energy Usage • Cool biz: office AC set at 82.4F • Uchiwa, Sensu (hand-held fan) • Warm biz: office heater set at 68F • Kotatsu (electronic heater)
Composting Trash • 40 pounds of food waste produced every year by average Japanese household (vs.195 pounds in the US) • Subsidy given by cities for families to purchase composting machine Microbes change garbage into compost After 24 hrs http://www.alighterfootprintfilm.com/statistics.html
Disposal of Cooking Oil • Products available to solidify used oil • Some recycle it as bio-fuel • If directly dumped in sink: Extreme increase of BOD (Biochemical Oxygen Demand) Kill fishes in rivers, oceans
Sorting Trash in Typical City Apartment: • Sort out trash in up to 18 different bins • Throw out any day of the week • Pay community fee for trash pick up Homes: • Around 4 separate pick ups • Purchase trash bags specified by district • Place in specified area before 8AM • Community duty and peer pressure
How would you throw this out? • Water bottle • Answer: Separate into 3 groups • Caps-recycle with plastic • Label-recycle with plastic • Bottle- flatten and recycle
Typical Trash Collection Plastic: bags, cups, trays. Once per week “Rinse the bottles and be creative in reducing the size of containers.” Cans, glass, plastic bottles. Once per week “Flatten out the bottles. Remove the labels and caps from bottles and recycle.” Newspaper, magazines, milk cartons. Twice per month “Tie the paper according to type and place in transparent trash bag.” Food waste, battery, broken glass. Twice per week “Label the contents of bag”
How would you throw this out? 2. Half-full coffee in paper cup, in café Answer: 1) Throw out the remaining liquid in container 2) Place paper cup in bin for paper recyclables
Research at Toyota: Eco-driving Quiz : Which improves gas mileage most? A. Stop idling (10 min/month) B. Stop aggressive acceleration/deceleration (10 times/day > 0 times/day) C. Proper tire pressure D. Remove unnecessary stuffs (30 kg)
Eco-driving 35 mpg 34.31 Mileage 32.33 31.20 30.38 30.08 30 mpg (Baseline) All Idling stop Mild driving Tire Pressure Remove 30kg
Product: • Japanese product • Integration of new functions • High quality • Excellent services
Product example: Super Toilet • Adoption rate: 60% of Japanese household • Features • Automatic open/flush/close • Heated seat • Shower & dryer (no paper) • Sound • Deodorization • Testimony
Product example2: Services • Respect customers • Customers have been king for a long time • You can “really” expect for 0 Yen at McDonald • Side Effect: demanding customers
Promotion: • Comparative Advertising Historically, not accepted and hated But
Promotion: • Free ad pocket tissues • Personal loan company • Dating site • Contact lenses • Cell phone • ...and more
Place: Convenience Store It’s not just 24 hours operation • Everywhere in cities • Sell many kinds of goods/services • Cooked food, Magazines, Beer, etc. • 2500 SKU in 110㎡ (1200 sft) • 70% of products replaced/year • Parcel delivery, entertainment ticket • Tax, gas, electricity payment, ATM • Super efficient inventory control • State-of-the-art inventory management • Frequent delivery: 2-3 times a day