Essay on International Marketing: Japan
Attention to the cultural roots and national peculiarities of other countries, both in the social and business sphere, allows us to anticipate and surprisingly accurately calculate how they will respond to our market proposals. Moreover, in this way, we obtain the opportunity to some extent predict their attitude towards us. Practical knowledge of basic features of other cultures minimizes unpleasant surprises like culture shock and economical losses when conquering new markets, as well as provides with the necessary understanding, which will help overcome difficulties in communicating the market other countries. This paper is an attempt to consider the characteristics of Japanese marketing, which, in author’s opinion, is mainly based on such key elements as the absolute priority of a consumer and consumer preferences and entrepreneurial spirit, stimulating creativity.
Considering the Japanese mentality as a whole, we should, above all, mark that despite the huge influence of the Western culture entering Japan after the end of cultural isolation which took place in the country’s history, the Japanese mentality learning much from “outside” was still able to preserve its essence: elusive, compromising, sensitive and reflective, individually unselfish and very social-dependent, absorbing and accepting but with the rigid “own/alien” system, deep and rich inside, but strictly limited and structured in the form of expression. Modern Japan still holds and honors the traditions; they actually work here and are available in many different forms. At the same time, as Prasol (3) marks, the popularity of Japanese culture abroad is clearly contributing to its preservation and maintenance in the homeland.
It is also important to note that Japan has always been an autocratic state with the strict system of subordination and basing on collective responsibility, where any forms of individualism have never been welcomed (Herbig 34). With the penetration of Western cultural models and the rapid development of technological civilization, there has become much more individualism in the creative field. Today, Japanese artists, designers, and architects are known for their extravagance; Japanese engineers and developers are thinking outside the box (Prasol 11). Already since the 1990’s, the Japanese marketing has been characterized by the mature philosophy recognizing the globalization shifts, and at the same time, by the significant reorientation to the domestic market, which, in turn, has long reached the stage of the consumer society (Herbig 51). Overall, Japan has become one of the most famous countries of contrasts that forces international managers to seek ever new approaches to Japanese consumers.
In particular, according to the Japanese, modern marketing is to be based on fast and flexible planning of initiatives, in the center of which should always be a consumer. Thus, initiative and ambitious companies leading business in Japan are mainly focused on the creation of needs and their satisfaction, rather than simply reacting to the already existing needs (Herbig 124). In Japanese traditions, a consumer has always been considered as a grace, the company owes its success to (Client is God) (Prasol 113). In this sense, Japanese business wisdom is absolutely simple and straightforward: strive for growth, leave a client happy, be grateful and honest with partners, and the profit will follow as a reward for these efforts.
In its turn, the very profit as the area of attention closes the list of priorities in Japanese mentality, along with such concepts as “brand” and “common sense”. According to Prasol (109), only 4,6% of marketers in Japan believe that building a brand is more important than the creation of new products and the ability to catch the most unusual needs of consumers. Thus, 50% of Japanese managers’ and marketing specialists’ working time is typically devoted to the development of new products and ideas (Helgert 79). It is not surprisingly then that hundreds of new products appear on the Japanese market every month, ranging from the new models of cars and up to edible bubbles and costumes that can be washed in the shower. This feature of the Japanese market is the sign of the dynamic nature of Japanese innovation that followed after the economic boom in Japan, as well as the value the Japanese attribute to market research and implementation of its outcomes into real products. As a result, Japanese companies receive on the average 44% of income from the sale of new products, i.e. products which were first launched on the market no earlier than 5 years ago, while in American companies’ income, the share of income from new products does not exceed 28% (Helgert 93).
Studies show that modern Japanese consumers find themselves in the search of wonder and satisfaction from novelties (consumption which opens new horizons), which reflects the desire of Japanese consumers to express themselves through the products that are able to emphasize their individuality (Helgert 44). The examples of this phenomenon are the popularity of products created by individual order, the appearance of the new fashion to produce individual pillows imitating the shape of future owner’s body, and the fashion for the construction of houses made of wooden beams, taken from the century-old Japanese buildings (Helgert 46-50). In our opinion, one of the most successful examples of combining worship of Japanese tradition, finding individuality and paying tribute to relentless innovation is the marketing approach by Nestle for their Kit Kat products tailored for the Japanese consumer.
To date, Kit Kat chocolate sticks are sold in 72 countries, and in almost all of them, Kit Kat bars recipe gets slightly varied in order to fit the desires of the local population. Still, Japanese product proposal is particularly striking with the range of diversity featuring over 80 flavors created to date . Thus, especially for the sophisticated taste of the Japanese as the rapidly developing nation, Nestle has released Kit Kat with the taste of strawberry, lemonade, corn, potatoes, watermelon, etc. Manufacturers also supply the market with new products having traditional Japanese taste: Green Tea with Milk Kit Kat, Kit Kat flavored with Japanese horseradish Wasabi, Salt and Caramel Kit Kat, Kinako (Soybean) KitKat. Moreover, only in this country, Kit Kat may not only be eaten, but also drunk: especially for “Vegetable Day” holiday, drinking chocolate-vegetable Kit Kat was released .
Thus, the variety of products and services offered to consumers in Japan may be admired by foreigners: even the representative of American and European highly consumerist societies now find here many products that they will never meet at home. Nowadays, the range of products presented in the retail industry of Japan is recognized as the most saturated. Japanese nation does not cease to amaze the world with new products designed for the variety of tastes and preferences. Therefore, international companies distributing and promoting their products and services in Japan should, above all, be able to convince Japanese consumers that they can respond to any, even the most extravagant demands, appreciating their clients as Gods and thinking about their individuality, as well as take into consideration Japanese traditional character.