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Yakuza Principles for Entrepreneurs


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 AUGUST 24, 2013 0 COMMENTS (HTTPS://CAREERHACK.NET/LEARN-FROM-THE-
YAKUZA/#DISQUS_THREAD) BY RIE ALKEMADE (HTTPS://CAREERHACK.NET/AUTHOR/RIE/)

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If you hear the word “Yakuza (http://www.youtube.com/watch?v=070akNz4DPM)”


URL=HTTPS%3A%2F%2FCAREERHACK.NET%2FLEARN- FROM-THE-
(HTTPS://WWW.LINKEDIN.COM/SHAREARTICLE? SHARE
(the Japanese mafia), the first images that come to mind are probably along the
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lines of: criminal, organized crime, violent. This is all very true – the yakuza arePIN IT
indeed all of the above.(YAKUZA%2F&TEXT=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS
boasts FROM-THE-
The yakuza URL=HTTPS%3A%2F%2FCAREERHACK.NET%2FLEARN-
a membership of nearly 80,000, larger
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than any other crime syndicate in the entire world. As a criminal entity, they
(YAKUZA%2F&TITLE=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS have
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been a well-established part of the community for decades and decades, and have
(YAKUZA%2F
FROM-THE-
been known to penetrate almost every sector of the Japanese economy (!). One of
YAKUZA%2F&MEDIA=HTTPS%3A%2F%2FS3.AMAZONAWS.COM%2FCAREERHACK%2FWP-
the main reasons behind the endurance of this organized crime establishment is
that if you look at the yakuza as a business institution, it’s extremely clever and
CONTENT%2FUPLOADS%2F2013%2F08%2F24105855%2FYAKUZA-
highly adaptable. Not that we’re promoting companies to take on illegal activities
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or engage in corruption, but there are several things that corporations and
companies can learn from the ‘success’ of the yakuza as a long-standing
‘business’, and use these characteristics to their own advantage:

Adapt to the economic situation

To be a successful business, it’s important to be able to ‘read’ the economic


situation. What’s the overall situation of the market? What’s in demand, and what’s
not in demand? Who’s successful and who’s not, and why? The yakuza have proven
to be extremely able in this field. When Japan went through the infamous ‘Bubble
era’ in the late 1980s, an era characterized by an overheating of the economy, the
yakuza (like all other successful businessmen) jumped right into the booming
markets to engage in the successful ventures such as land speculation in the real
estate business, or even the art trade. When the Bubble ‘burst’ in 1991, the yakuza
returned to their other, more traditional ventures, leaving behind the dying bubble
related businesses that would no longer generate income. A successful
businessman knows when to engage and invest in which sectors of the market
according to the economic climate of the time.

Make good connections

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(BUSINESS1.JPG&DESCRIPTION=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS
(https://careerhack.net/wp-content/uploads/2013/08/yakuza-01.jpg)

In the yakuza world, ‘good relations’ almost unequivocally means ‘corruption’ and
networking with corrupt public officials, but we could take the idea of this and fix it
up to fit the more legitimate world of business. Successful yakuza members in
history have shown to have a skill in networking with the top guys in the law
enforcement or even better, in the government. It’s in fact an open secret in Japan
that many past politicians or even prime ministers have had yakuza connections,
and having a powerful political or corporate connection behind them have
contributed to the yakuza’s success. To be a successful business, it would pay off to
know who has the power, and keep note of those who are rising up the ladder of
success in other business sectors. It never hurts to have good business
connections and networks.

Maintain good relations to other institutions

In the 1990s, the Japanese public was terrorized by a succession of inter-group


yakuza wars that resulted in countless acts of violence, injuries, and deaths.
Recently, yakuza conflicts have significantly died down (at least, in most areas of
the country). Most of the largest syndicates have agreed to opt for more peaceful
and ‘diplomatic’ relations with each other in recent years instead of resorting to
full-on violence. These yakuza members know that the key to keeping up the
success of business ventures is to keep peaceful relations with their competitors.
While of course shaky company relations don’t result in civilian deaths, this rule is
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definitely applicable to legitimate corporations. Most yakuza syndicates appear to
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maintain this rule with the police as well as other yakuza groups. To keep up the
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steady growth of a business, it is important (HTTPS://TWITTER.COM/INTENT/TWEET?
to have good relations with other SHARE
businesses, to avoid clashes undesirable conflicts with other companiesFROM-THE-
that may
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affect the revenues. (YAKUZA%2F&T=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS
FROM-THE-
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Assess risks and(YAKUZA%2F&TEXT=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS


avoid them FROM-THE-
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(HTTPS://PINTEREST.COM/PIN/CREATE/BUTTON?
(YAKUZA%2F&TITLE=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS
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(YAKUZA%2F
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(BUSINESS1.JPG&DESCRIPTION=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS

(https://careerhack.net/wp-content/uploads/2013/08/yakuza-business.jpg)

Linked to the point above, during the more bloody years characterized by yakuza
wars, the public openly turned against the yakuza (while they were never overtly
‘supported’ by the public previously, at least the public generally turned a blind eye
on their activities). And as a result, the police began to crack down on the
syndicates more severely than in the preceding years. These factors naturally hurt
the yakuza’s income-generating activities. Their constant fighting was clearly
affecting their business side of things; so the yakuza turned around and assessed
these risks as serious, and ended the violent conflict in favor of a more peaceful
conflict-resolving method. Additionally, the yakuza began to see the expensive
nature of conflicts (investing in weapons, funeral costs…) that was also a risk to
their business. The diplomatic way of resolving conflicts was seen as more
favorable in eradicating these risks. Risks affect a business in many ways –

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decreasing the revenues and increasing damages – and so to be a successful
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business it’s important to assess and minimize these risks, and find more
desirable solutions to any problems. U=HTTPS%3A%2F%2FCAREERHACK.NET%2FLEARN-
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Expand – domestically and internationally
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(BUSINESS1.JPG&DESCRIPTION=YAKUZA+PRINCIPLES+FOR+ENTREPRENEURS

(https://careerhack.net/wp-content/uploads/2013/08/yakuzasuit.jpg)

Traditionally the yakuza were a very domestic organization, confined within the
coasts of the islands of Japan. Their successes were largely domestic, which could
be attributed to their domestic expansion. For example, the biggest and most
‘successful’ syndicate today, the Yamaguchi-gumi, started out in the small harbor
city of Kobe and can now be found across the entire country. To further
demonstrate their aptitude in business, the yakuza were in tune with the growing
progress of globalization and internationalization and, as with all successful
businesses these days, they expanded internationally. Today yakuza members and
yakuza affiliates can be found in South Korea, Taiwan, the Philippines, and the
United States (mainly in Hawai’i and California). The realized the importance of
globalization and caught on to the flow, expanding their markets to new territories.
Most of the well-known and successful businesses in today’s markets have done
the same – they are transnational, international corporations that continue to
expand to new parts of the world.

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