Structuring Market entry strategies to penetrate/expand in Japan [1of3]

Introduction


This document references the article Bypassing barriers to marketing in Japan, by Michael Czinkota and Masaaki Kotabe, seeking to expand the various marketing insights they present; particularly as regards strategy and entry (Czinkota & Kotabe, 1999).

One of the foundational perspectives they bring to bear starts out with an early mention of the keiretsu. Much has been made of the keiretsu, as befitting such a construct. However, the writers’ caution is to not pair that which “may not be understood” with its foreignness, for this is not a secret society. Nor is such a construct unique. Indeed, if there is an anthropology or sociology associated specifically with business, there may be a lineage drawn to the earliest of tribes. Elsewhere in the global neighborhood, in South Korea, there is the chaebol. The keiretsu and the chaebol are business specific, while the Tata family in India may be every bit as business, yet also continues to honor bloodlines. There is a tradition of bloodlines, the Camorra (Spain/Naples) which became the Mafia (Sicily/the US) that spun from it (and, the often unmentioned, the Calabrian 'Ndrangheta, based in Australia, running that half of the planet).

Tribes were mentioned on the small end of this dynamic, and for context purposes (and perhaps amusement) on the larger end, whether reality or not (and for better and worse), man has at least conceived this as global as well (Joseph, Peter, 2008, Venus Project (the), 2009, Zeitgeist Movement (the), 2011).

The article goes on to mention other keiretsu-like institutions “such as the Virgin Group (UK) … and Cisco Systems (USA) … (and the airline) alliances …Oneworld and the Star Alliance."

One may conclude that this may be a universal group sociologic dynamic. One may consider this a global professionalism and skill, if you are outside the circle, insight and caution would be your byword.

The article then hedges as to whether “Japan may or may not emerge as the leader in

the Pacific trading bloc” (the article being a mere dozen years old now). No, China will, which makes the Japanese issues seem mentally challenged by contrast. That is to say, from a geopolitical perspective Japan now seems infinitely easier to deal with than a rising China. Bear this in mind (one presumes nostalgically) as the article draws near close, it punctuates with this final statement:

Yet any sharp economic downturn in the United States surely will bring Japanese

distribution issues back to the forefront of U.S. Congressional debates and action.

Preparing now for such an occurrence is not just good policy; it also makes good

business sense.

Again, one pines for the days when the relatively sophisticated distribution system of Japan was among the most challenging of things.