Business communication in Japan

Introduction

In the current world ,business is expanding beyond the borders of a certain country. We see more
companies in full swing of globalization .In such a medium , intercultural understanding is
something that has become unavoidable .
The current paper has the purpose of studying the way Japanese business people operate in
todays world .
We will go through the Hofstede model regarding Japan . At times we will also draw parallels
between Japanese culture and other Asian cultures , as well as western cultures .
We will also look into the way perception of language will affect the way business discussions
work .
All theory will also be backed up by certain practical situations which have been frequently
encountered in business negotiation.
The purpose of the current paper is to clarify the situations which have been known to cause
confusion and hopefully be able to tip-toe around those problems.

Cultural foundations of the Japanese communication style

1.Individualism v. Collectivism
Nagai mono niwa makakero( ) is an old Japanese saying that
roughly translates to If you cant beat em join em.. Japan is full of sayings that advocate for
the notion of the putting the good of the group before your own benefit .
Behavior is defined in accordance to this idea , in the sense that people who conform to the
group are perceived as being mature , all the while people that are individualists are perceived
as being immature.
In spite of this , according to the Hofstede model , on the scale of individualism Japan scores 46 ,
almost half of what the U.S.(91) or U.K.(89) scored , but it scored more than double what
China(20) and South Korea (18) scored. From this we can conclude that even though they tend
toward collectivism , they are still more individualistic compared to other Asian countries. A
theory regarding the reason for such a fact is that in Japan there are no extended family systems
at the base of collectivism. Think of it as the way the Romans created their society , for example
upon the death of the pater familias in roman times , the new head of the family was the eldest
son. In Japan , the person who can lay claim to the inheritance is the eldest son , while the other
sons have to leave all that behind and make their own living with their own families (wife ,
children ). Weirdly enough , in spite of this fact , the Japanese are famous for the loyalty they
show to their company , while the Chinese are known for the way they jump from one job to the
other. In the case of the Chinese , collectivism is dictated by the group they adhere to by birth ,
whereas in Japan loyalty is based on the choice they make regarding their place of employment
(which is more individualistic).The Japanese are perceived as collectivistic by westerners and
individualists by other Asians .

Honne(() and Tatemae()

Due to the fact that as a collectivist nation the Japanese have had to separate honne (true
feelings ) form tatemae(what should be said in public in order to not disrupt the way the group
functions , the faade). This has been known to cause both confusion and frustration for the
foreigners attempting to do business in Japan.

2.Hierarchy
With a score of 54 regarding distance to power , Japan stands as a borderline hierarchical society.
We are confronted with the same situation as prior , as in it stands on middle ground between
western and Asian countries.
The basis of Japanese hierarchy is Confucianism which dictates that people should be placed
vertically in society.
Hierarchy in business
Okyakusama wa kamisama desu( )is a Japanese saying made
popular by Haruo Minami (a Japanese enka singer) and it translates as the audience/guests are
god however it also means the customer is god . The idea is that the client is always superior
to vendor .This is why , in Japan , people tend to work in accordance with the clients
specifications regarding a certain product , rather than choosing the western style of driving the
client towards the product . A good example of this is the number of Pepsi Cola variations in
Japan which greatly outnumber western variations.
The relationship between vendors and clients is only one example , however there are othe
examples such as the relationships between the main company and subsidiaries , head office and
branch office , manager and superior , senpai(-senior) and kohai((-junior).In such
relationships each person has duties to fulfill , for example the junior is expected to trust the
judgement of his or her superior , on the other hand , the superior has to duty of taking interest in
the welfare of his subordinates even to the extent of entering the private life of said subordinate.

Currently there is a new trend in Japanese society of superior and subordinate to no longer share
these ideals , due to the fact that there is a growing number of young people that prefer
individualism and prefer to keep their private life private.
Seniority as a hierarchical factor
We all know the saying Respect your elders however the Japanese take this notion a step
further .Seniority is an important factor in Japanese hierarchy regarding business(it is a
promotion criterion).
One of the main issues that appear in Japanese negotiation is the fact that the Japanese
representatives of a company would expect the other party to send people of a similar age and
position . It is hard for the Japanese to respect a younger person in the same position as an older
person .
Hierarchy also appears in the context of etiquette in business . For example , the first people to
exchange business cards in a meeting are the highest ranking members , the last people expected
to speak are also the highest ranking people.
Hierarchy is also present in transportation , for example the superior will always sit in the back
whereas the bottom worker will sit next to the driver.
High ranking people may be allowed to speak to their subordinates in a more relaxed way ,
whereas the subordinate must speak in a more polite manner to their superiors((-keigo).
3.Masculinity
With a score of 95 , Japan is one of the most masculine countries in the world , however due to
the fact that it is also a collectivist society , this trait does not appear in the way we would expect.
Normally the more Masculine a certain society is , the more competitive the individuals are
however due to the collective nature of Japanese society the competitiveness is redirected from
individuals to groups , meaning that instead of individuals competing against one another , the
groups they are part of compete against one another .
This fact has been instilled in Japanese children since school , through the fact that they were
encouraged to compete in sports for their group (usually team red v. team white).

In business , masculinity is expressed through domination of the market and mastery of their
trade. Also , another sign of Masculinity is the workaholism of Japanese workers.
It is also very hard for women to climb up the corporate ladder.

4.Uncertainty avoidance
With a score of 92 , Japan is one of the most uncertainty avoiding countries in the world. This
trait has been instilled in the people due to the fact that the country is under constant threat of
natural disasters. This fact is also part of every day life.
Decisions tend to be made by a consensus rather than one single superior authority(this is the
reason Japanese negotiations are so hard to do).
Ringi system
The ringi system is a harmonious decision making process that consists in the fact that written
proposals are circulate through the company from bottom to top. The proposal passes from one
person to the other , each person adding their own suggestions(if they have any) and place their
personal seal (in place of a signature).The ringi system is often used by large , traditional
Japanese companies .
Even in situations in which the ringi system is not applied , it is most often replaced with a
similar process.
Nemawashi
Nemawashi(root biding) is another process through which several members of the company
consult with each other before a decision is made (it is informal , face-to-face discussions).
Nemawashi has the purpose of protecting against potential disagreement or lack of commitment.
Benefits
The benefits of this painstaking decision making process is the fact that it results in a stronger
and more relationship between the parties involved . The implementation of the decision is
smoother. Patience and agreement are must-have traits in order to do business in Japan.

Japanese perception of contracts

The Japanese are famous for the way the almost ignore contract terms and clauses .
Several westerners have complained about the fact that the Japanese ,quite often, forget about
signed agreements.
The Japanese perceive contracts in different way compared to westerners. They see contracts
more as guidelines and a piece of paper that expresses a willingness to do business rather than
legally binding agreements.
Also litigations are slow and expensive and the number of lawyers is regulated by the state (the
number of lawyers in japan is relatively small).
Large companies have adapted to western contracts however most small companies as well as
rural companies still perceive them in the traditional way.
5.Long term orientation
According to the Hofstede model , Japan having a score of 88 is one of the most long term
oriented countries in the world. It would be a shame if it were not so, due to the fact that the
negotiation process is so long and complicated.
The reason for this long term orientation is also due to the fact that they are not an individualistic
society . It means that it is more important for them be part of something bigger than themselves.
Their main purpose is to create something that will be there after they are gone.
Even during time of economic duress , corporations invest heavily in R&D. Companies are more
interested in long term growth rather than quarterly profits. These things serve the durability and
strength of the company. It is common belief in Japan that the purpose of company is not to
make money for the shareholders but to serve the stakeholders and society at large.
6.Indulgence
This dimension is defined as the extent to which people try to control their desires.
Japan has a score of 42 can be classified as a culture of Restraint . Countries with such scores
have been known to tend towards pessimism and cynicism .

Restrained societies do not put too much emphasis on leisure time and gratification of their own
desires. This is due to the fact that people in Restrained societies have a tendency to consider
themselves restrained by social norms and that indulging in their desires is somewhat wrong.
7.Language barrier
Ambiguity
It is a well known legal premise that ambiguity in a contract(legal or social) will always be
perceived in favor of the person that is indebted , however we have already talked about the way
Japanese people perceive contracts. Ambiguity is the bread and butter of the Japanese people.
Beyond the behavior and the customs , one of the most difficult things for westerners to get past
in Japanese business is the language barrier.
The Japanese yes
In Japan , yes can mean anything from yes to I understand , all the way to I see your
point however I must disagree.
It often times happens that foreigners confuse yes as in I agree with yes as in I have to
think things over and get back to you at a later time.
The Japanese I understand
Westerners may perceive I understand as a sign of agreement , however the Japanese most
likely perceive it as I have processed the information you have given me.(a more literal form).
The Japanese This is urgent
It is recommended to ask for details when you hear this sentence , to ask for numerical values .
Most Japanese people will say that a lot of things are urgent therefor you should ask what
duration of time should the action you partake in have . The situation is very similar to the story
of the boy who cried Wolf!.
Inexperience westerners will tend to treat all urgent situations the same .
The same applies for words such as good , poor, enough, soon etc

The Japanese We will raise you salary after a while.

A while is perceived differently by westerners and Japanese . For an American a while may
mean a couple of months , for the Japanese it may mean a couple of years.

The Japanese No
Most Japanese people will hesitate to flat-out refuse you. You have to pay attention for the subtle
hints .
For example : Instead of a no , you may receive a long pause followed by a Ah ,yes or a
deep breath , a tilt of the head and a Mmmm
Tone
The tone is also a giveaway of intentions . For example : many Japanese have been taught that
had better is more polite than should , so it happens that many foreigners confuse
recommendations for orders or even threats.
Another situation is the one in which the emphasis on a certain word can change the meaning of
the phrase . For example : Why dont you talk to the manager about it? in a normal tone can be
perceived as friendly advice , whereas WHY dont you talk to the manager about it? with an
emphasis on the word why can be perceived as criticism.
Nonverbal barrier
We all know the stereotype of the continuously laughing Japanese person . In fact this is the
Japanese version of the diplomatic laugh also known as the aisoo-warai.It appears in several
situations and it expresses several different things , it can express that a person does not
understand the language , it can express confusion , embarrassment , it can express hope that the
speaker will clarify what he intended to say and it also expresses refusal or disagreement .
Drawing breath through your teeth also means something different than what you expected .
Westerners would perceive this as a refusal however , in Japan it may actually mean that the
person cannot say yes , meaning that the discussion may yet be salvaged through further

inquiry(there may be one single reason the person cannot say yes ,an easily modifiable clause or
term.).
Silence is another thing that westerners may confuse with refusal . Most often , silence can be
perceived as a pause in order to process the information forwarded , indecision or partial
disagreement . Yet again , the situation may prove to be salvageable.

Conclusion

We have successfully created a few guidelines for the an everyday westerner to be able to at least
understand if the meeting he is taking part of is going well or horrible .
We now know how Japan functions according to the Hofstede model , the basis for some of those
quirks.
We have clarified the issues that may have during meetings .
We believe we have proven the fact that it is necessary to get a basic understanding of other
cultures in order to better yourself as a business person in a world in full swing of globalization.
Without intercultural understanding we cannot communicate correctly in an ever expanding
medium .
The only way to conclude this current paper is with an old joke
Charlie Chaplin and Albert Einstein meet at a gathering in the 1950s .Einstein says to Chaplin
Sir, I must congratulate you . I have never met a man capable of saying nothing and making
people understand so much.. Chaplin replies by saying I also must congratulate you , dear sir. I
have never met a man that says so much without anybody being able to understand anything.

Bibliography

http://www.apmforum.com/columns/boye2.htm
http://www.clearlycultural.com/geert-hofstede-cultural-dimensions/long-term-orientation/
http://en.wikipedia.org/wiki/Haruo_Minami
http://geert-hofstede.com/japan.html
http://japanese.stackexchange.com/questions/882/does-%E6%95%AC%E8%AA%9E-keigo-justmean-politeness-or-is-it-a-technical-term-specifically
http://www.jetro.go.jp/costarica/mercadeo/communicationwith.pdf