JAPANESE CULTURE

Prepared for
Johnathon Shuman, CEO
The Dalles, Oregon

Prepared by
Jenette Duarte
Administrative Assistant
Murphy Enterprises

May 27, 201

 Memo of Transmittal

MEMO TO: Johnathon Shuman, CEO

FROM: Jenette Duarte, Administrative Assistant

DATE: May 27, 2018

SUBJECT: Report on research for company expansion to Japan

The attached report describes information on the next location for Murphy Enterprise’s expansion. This
information should be helpful for our company’s executives to learn more about the Japanese culture
and prepare them for the expansion.

The information gathered covers the following areas:

 Social Customs
 Family Life
 Attitudes
 Appropriate Business Attire
 Religions
 Economic Institutions
 Values

All research is based on secondary research sources from the Internet and books including the following:
“Japan: Profile of A Nation” and “Japanese Business: Cultural Perspectives”. The results of this research
are discussed more thoroughly in this report.

The company is looking forward to the new expansion and is eager to develop a relationship with the
residents of Japan. Please contact me if you have any questions regarding this report or if you have any
further requests for research.

Sincerely,

Jenette Duarte
Administrative Assistant

Attachment

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 Table of Contents
Memo of Transmittal .................................................................................................................................... ii
EXECUTIVE SUMMARY .................................................................................................................................. v
Social Customs .............................................................................................................................................. 1
Japanese Business Greetings .................................................................................................................... 1
Bowing ...................................................................................................................................................... 1
The Guest Room........................................................................................................................................ 1
Gift-Giving ................................................................................................................................................. 1
Corporate Titles and Organization ............................................................................................................ 1
Family Life ..................................................................................................................................................... 3
The Contemporary Japanese Family ......................................................................................................... 3
Marriage.................................................................................................................................................... 3
Parenting and Education ........................................................................................................................... 3
Attitudes ....................................................................................................................................................... 3
Communication ......................................................................................................................................... 3
Work.......................................................................................................................................................... 3
Behavior .................................................................................................................................................... 3
Appropriate Business Attire .......................................................................................................................... 4
Men ........................................................................................................................................................... 4
Women...................................................................................................................................................... 4
Religions ........................................................................................................................................................ 4
Buddhism .................................................................................................................................................. 4
Shinto ........................................................................................................................................................ 4
Financial Institutions ..................................................................................................................................... 5
Private Financial Institutions..................................................................................................................... 5
Government Institutions ........................................................................................................................... 5
Values ............................................................................................................................................................ 6
Age ............................................................................................................................................................ 6
Silence ....................................................................................................................................................... 6

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 Traditions and History ............................................................................................................................... 6
Religion ..................................................................................................................................................... 6
Family and Government ........................................................................................................................... 6
Nature ....................................................................................................................................................... 6
Education .................................................................................................................................................. 6
Summary ....................................................................................................................................................... 6
Works Cited ................................................................................................................................................... 7

LIST OF FIGURES
Figure 1 Explanation of Rankings .................................................................................................................. 2
Figure 2 Model Strata of Japanese Corporations ......................................................................................... 2
Figure 3 Model Strata of Japanese Corporations ......................................................................................... 2

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 EXECUTIVE SUMMARY

In preparation for the expansion in Japan, I have gathered information in this report to cover certain
aspects of their culture. Some aspects of their culture are like American culture, while other aspects are
quite different.

Here is a summary of the topics that were covered:

 Social Customs. Japanese usually exchange business cards at the beginning of business
greetings. The exchange of business cards is expected no matter where or when you meet
another business person. Japanese usually greet other Japanese by bowing, but they usually
shake hands with people from other countries. Visitors from other companies are usually taken
to the guest room instead of the private office of the person whom they are calling on. It is
custom to address people by their company titles if they rank higher than an associate in a
company, so if a person is a manager, you would address them as “manager” rather than by
their name.

 Family Life. The typical Japanese family today is very similar to American Families; they are a
nuclear family consisting of a husband, wife, and two children. Japanese marry for love and to
start a family; family approval is very important though. It’s still common in Japan today for a
mother to stay home with the children because parenthood is considered a very important duty
to ensure the success of children.

 Attitude. the Japanese prefer an open and indirect form of communication meant to ascertain
the feelings and moods of the other person, rather than clear concise language of rational and
logical processes. Japanese are taught and trained to have a positive and enthusiastic attitude
toward work to better enjoy their job and work better. Proper attitude is seen as acceptance of
necessity and responsibility, and the best attitude is to accept and acknowledge any necessary
difficulties. They highly value respect and professionalism in business.

 Appropriate Business Attire. It is expected to dress formally and conservatively for business in
Japan. Business casual is not usually accepted except for sporting events or activities. Women’s
business attire is like men’s; they are expected to dress formally and conservatively. Heels are
not considered to be appropriate, also wear shoes that are easy to put on and remove.

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 Religions. The two most common forms of religion in Japan are Buddhism and Shinto. Buddhism
is the most practiced religion in Japan. The principles behind Buddhism are working hard at an
honorable job, striving to help others, maintaining a good household, and securing honor and
fortune through diligent effort. Shinto is known as Japan’s indigenous religion. It is different
than most other religions because it has no real founder, written script, or body of religious law
other than following the ways of the kami.

 Economic Institutions. There are several categories of private financial institutions in Japan. The
categories are based on the factors of their business function or historical background.
Government financial institutions consist of The Japan Export-Import Bank (JEXIM), the Japan
Development Bank, and the Japan Bank for International Cooperation (JBIC).

 Values. Japanese have a great deal of respect for their elders. Silence is valued in Japan. The
Japanese have deep rooted traditions that are thousands of years old and many are still
practiced today. Japanese religions have rituals and traditions based on their deep cultural
roots. Japanese place family as a higher priority before others in society and are highly valued.
They have a lot of respect and value for the government. The Japanese greatly value nature and
spend large amounts of time creating and maintaining amazing gardens and landscapes.
Education is highly valued in Japan because the more successful a person is in their education,
the better their chances of a successful career.

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 Social Customs
Japanese Business Greetings
Japanese usually exchange business cards at the beginning of business greetings. The exchange of
business cards is expected no matter where or when you meet another business person. In Japan, the
business card is a source of identification or credential and is often accepted as if it was a credit card by
certain establishments if the owner of the card works for a reputable and creditable corporation and has
a well-regarded position in that company.

Bowing
Japanese usually greet other Japanese by bowing, known as ojigi, which is done three to four times or
more before verbal greetings; the deeper the bow, the higher the respect. When Japanese greet people
from another country, they usually extend their hand for a handshake rather than bowing.

The Guest Room

Visitors from other companies are usually taken to the guest room instead of the private office of the
person whom they are calling on because it is considered informal and impolite to have to caller come
to a private office. In the guest room, business is conducted between companies, and it is normal for
Japanese to bring their subordinates to meetings for training, educating, motivating, and relaying of
information later.

Gift-Giving
It is a norm for Japanese to bring a small gift when calling on another business person for the first time.
The purpose of giving the gift is to express thanks, or as a token of friendship or goodwill. The gifts that
are commonly given are not extravagant or expensive. When you receive a gift from a Japanese person,
it’s customary to thank them for the gift and not feel embarrassed or obligated, and you may open it in
front of them; However, if you present a gift to a Japanese person, it is not customary for them to open
it in front of you.

Corporate Titles and Organization

Titles and positions in Japanese corporations are different than in U.S. corporations. There are no titles
of chief executive officer or chief operating officer. Figure 1 shows the standard rankings and titles for
Japanese corporations, and figure 2 explains the titles and who they report to. It is custom to address
people by their company titles if they rank higher than an associate in a company, so if a person is a
manager, you would address them as “manager” rather than by their name. This custom is expected to
be practiced no matter the time, occasion, or place.

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 Figure 2 Model Strata of Japanese Corporations

Figure 3 Model Strata of Japanese Corporations

Figure 1 Explanation of Rankings

Source: Durlabhji, Subhash, and Norton Marks, eds. Japanese Business: Cultural Perspectives. Albany:
State University of New York Press, 1993. Print.

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 Family Life
The Contemporary Japanese Family
The typical Japanese family today is very similar to American Families; they are a nuclear family
consisting of a husband, wife, and two children. It is common for the grandparents to live with or near
one of their grown children. Usually the husband works while the mother stays home with the children;
although, two working parent households are becoming more common.

Marriage
Arranged marriages used to be common practice in Japan; today, they marry for love and to start a
family. Family approval is very important though, if the family strongly disapproves, the couple may
choose not to get married. It’s common for men and women to live with their parents until they are
economically and socially prepared to get married and start a family.

Parenting and Education

It’s still common in Japan today for a mother to stay home with the children because parenthood is
considered a very important duty to ensure the success of children. Providing a nurturing environment
and paying a lot of time to their education is the focus of mothers. Starting from as early as the fourth-
grade, mothers will arrange for tutors or after-school study programs to prepare her children for middle-
school, high-school, and entrance exams for school and colleges.

Attitudes
Communication
Originating from the practice of Zen, the Japanese prefer an open and indirect form of communication
meant to ascertain the feelings and moods of the other person, rather than clear concise language of
rational and logical processes, which are deemed as “cleverness”, and is shunned upon.

Work
In Japan, attitude is defined as, “the person’s general attitude toward things around him to which he
must personally respond.” (Durlabhji and Norton Marks) They are taught and trained to have a positive
and enthusiastic attitude toward work to better enjoy their job and work better. Proper attitude is seen
as acceptance of necessity and responsibility, and the best attitude is to accept and acknowledge any
necessary difficulties.

Behavior
Japanese value and honor sentiment and harmony. They believe that sensitivity to others’ unexpressed
feelings is more highly valued than clever ideas, and base many of their decisions on intuition and
feelings rather than facts. They highly value respect and professionalism in business “The cardinal sin in
Japan is to cause someone to “lose face”, and the Japanese will go to great lengths to avoid causing
embarrassment to others, even their rivals.” (Durlabhji and Norton Marks)

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 Appropriate Business Attire
Men
It is expected to dress formally and conservatively for business in Japan. Business casual is not usually
accepted except for sporting events or activities. It’s best to pick suits in dark colors, preferably black or
blue, and shoes that are easy to put on and remove because you will be doing so often since many
establishments expect you to remove your shoes in the entry way.

Women
Women’s business attire is like men’s; they are expected to dress formally and conservatively. Heels are
not considered to be appropriate and avoid wearing trousers in a business setting because it could be
considered offensive. Keep Jewelry and other accessories to a minimum. Keep in mind to also wear
shoes that are easy to put on and remove as the same rule applies about removing shoes in the
entryway of many establishments.

Religions
Buddhism
Buddhism was introduced into Japan from Korea in 552 and is the most practiced religion in Japan. The
principles behind Buddhism are that working hard at an honorable job, striving to help others,
maintaining a good household, and securing honor and fortune through diligent effort would allow them
to be reborn in heaven after death. There are five rules that are particularly emphasized:

 Do not kill
 Do not steal
 Do not act immorally
 Do not lie
 Do not drink liquor

Shinto
Shinto is known as Japan’s indigenous religion. It is different than most other religions because it has no
real founder, written script, or body of religious law other than following the ways of the kami. “The
etymology of the term kami, which is often rendered as “deity” or “god” but is translated here as
“divinity”, is unclear.” (Kodansha)

The kami is a presence that pervades all aspects of life; they are natural phenomena, such as the sun,
moon, wind, trees, and so on. There are also specialized kami who overlook and patronize human
activities and dwell in manufactured objects. Each kami has a tama that may be seen as violent or
peaceful. Japanese worship the tama of a kami by practicing ceremonies where they offer food and
prayers.

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 Financial Institutions
Private Financial Institutions
There are several categories of private financial institutions in Japan. The categories are based on the
factors of their business function or historical background. City banks are large and have headquarters in
major cities and branches in immediate suburbs. Regional banks are usually based in the principal city
and operate in that specific area and have close relationships with local enterprises and local
governments. Regional banks II tend to serve smaller establishments and individuals within the area
they’re located at.
Figure 3 Types of Banks (as of October 27, 2016)

Source: “Financial Institutions in Japan.” Japanese Bankers Association.

https://www.zenginkyo.or.jp/en/banks/financial-institutions/, n.d. Web. 30 May 2018.

Government Institutions
Government financial institutions consist of The Japan Export-Import Bank (JEXIM), the Japan
Development Bank, and the Japan Bank for International Cooperation (JBIC).

The Japan Export-Import Bank (JEXIM), the Japan Development Bank, and a number of
finance corporations, such as the Housing Loan Corporation, promoted the growth of
specialized sectors of the domestic economy. These institutions derived their funding
from deposits collected by the postal savings system and deposited with the Trust Fund
Bureau. (Wikipedia)

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The Japan Bank for International Cooperation provides financing for trade between themselves and
developing countries by performing the function of export-import banks run by governments in other
countries.

Values
Age
Japanese have a great deal of respect for their elders. They are seen as important members of society
and have a lot of authority in companies and society.

Silence
Silence is valued in Japan. People who are less verbal are considered wise and more credible because
Japanese consider non-verbal cues and communication to be more important.

Traditions and History

The Japanese have deep rooted traditions that are thousands of years old and many are still practiced
today because it is seen as an important part of society. Their history is a core piece of their values and
traditions.

Religion
Japanese religions have rituals and traditions based on their deep cultural roots. The Japanese have a lot
of respect for their religions and base many decisions and their lifestyles on them.

Family and Government

Japanese place family as a higher priority before others in society and are highly valued. They have a lot
of respect and value for the government because they hold peace and harmony as high importance in
society.

Nature
The Japanese greatly value nature; many spend large amounts of time creating and maintaining amazing
gardens and landscapes. Farming is important too; even in the city, people are expected to help tend a
community garden that is shared by residents.

Education
Education is highly valued in Japan because the more successful a person is in their education, the better
their chances of a successful career, which will determine their social position and status. Parents put
forth a lot of money and effort to ensure a child’s educational success.

Summary
While there are some similarities between the American culture and the Japanese culture as far as
family life and values, there’s a lot of difference with social customs, religion, and attitudes. I think that
holding a seminar for executives planning on transferring with the expansion to further educate them
would be an excellent idea for preparation. Fortunately, the Japanese are very understanding and aware
of the styles of American communication.

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 Works Cited

“Dress Code.” Japanese Business Resource.

http://www.japanesebusinessresource.com/japanese_business_etiquette/dress-code/, n.d.
Web. 30 May 2018.

Durlabhji, Subhash, and Norton Marks, eds. Japanese Business: Cultural Perspectives. Albany: State
University of New York Press, 1993. Print.

“Financial Institutions in Japan.” Japanese Bankers Association.

https://www.zenginkyo.or.jp/en/banks/financial-institutions/, n.d. Web. 30 May 2018.

“Japan: Values, Proverbs, and Language.”

http://acad.depauw.edu/~mkfinney/teaching/Com227/culturalportfolios/japan/values.htm, 26
Jan. 2001. Web. 30 May 2018.

Kodansha International Ltd. Japan: Profile of a Nation. Japan: Kodansha International Ltd, 1994. Print.

Wikipedia contributors. "Japanese financial system." Wikipedia, The Free Encyclopedia. Wikipedia, The
Free Encyclopedia, 8 Aug. 2017. Web. 31 May. 2018.