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Business Cultural Dimensions
Analysis
International Business (Liberty University)
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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN 1
Business Cultural Dimensions Analysis: Japan
BUSI604: International Business
(D03) July 17, 2022
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What are the major elements and dimensions of culture in this region?
Japan is a nation that prides itself on performing every business task to the utmost level
of perfection. The level of perfection achieved by the Japanese is world-renowned. However,
this was not the case for the far east nation. For thousands of years, Japan was closed off from
the world to protect the country from foreign influences. Once the government saw how
advanced the United States was in comparison, Japan opened its borders for outside trading.
There is research on the difference between Japanese and United States cultures. The once
underdeveloped nation is now one of the world’s leading developers in new digital innovations.
Japan became a world leader in the country’s six dimensions of culture: communication,
religion, ethics, values and attitudes, Business Manners and Customs, and Social Structures.
Communication
Cultural communication can be defined as a way international business engages with
people, shares information, and drives conversations (Szkudlarek et al., 2020). Through
communication, companies can form positive or negative relationships depending on their
interactions. Communication between two cultures can be difficult, especially when the verbal
and written systems are vastly different. This concept holds for the United States and Japan. In
the Japanese language, non-verbal gestures such as nodding and bowing hold just as much
respect as spoken words in the United States.
Languages
The Japanese nation language is broken into three sets of letters: the Chinese-derived
script known as Kanji, two supplementary sub-scripts known as Hiragana and Katakana, and the
phonemic alphabet Romaji used for loanwords (Pae, 2020). The nation spoken language is
monomoraic phonology called Nihongo. While all can widely use the spoken language
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conversations, mastery of Kanji is difficult for most non-Asian cultures.
Verbal and written language is one part of Japanese culture. Nonverbal communication
such as gestures, postures, and facial expressions is a critical aspect of communication in Japan.
Japanese natives also have a strict behavioral etiquette that is part of how they communicate.
Japanese prefer indirect or vague expressions and non-verbal cues as part of their natural
conversations. Another form of etiquette includes being not confrontational and maintaining a
sense of harmony and respect in all acts. Above all else, the Japanese hold respect and peace as
the greatest aspirations in everything endeavor.
Religion
Respect and peace have been practices of the Japanese religion for thousands of years.
Two main religions influencing the Japanese are Shintoism and Buddhism (Abe, 1997). Until
western influence arrived in Japan, Buddhism and Shintoism were standard household practices
and thought to be a natural of being Japanese. Unlike western countries, Japan has perfectly
integrated its religions into every aspect of their lives. While the people do not openly display
religious faiths in the public eye, they can be found in various ceremonies, rituals, and festivals
held throughout the years in every prefecture in Japan.
Shintoism and Buddhism
Shintoism or Shinto is an indigenous animistic and shamanistic religion in Japan (Lee et
al., 2018). The oldest chronicles of Japan, the Kojiki and Nihon Shoki, relate Shinto as the
source of creation for the islands of Japan and that the imperial royal family is descendants of the
highest order of Gods. Buddhism was adopted from Chinese influence in Japan simultaneously
as Kanji was accepted as the written language. At the same time, Shinto focuses more on rituals
than beliefs; Buddhism practices discipline and respect for nature (Rarick, 1994). These concepts
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have enabled Shinto and Buddhism to co-exist without conflict throughout Japanese history.
While the idea of religion is considered a western culture, it does play a significant role in how
the Japanese act and live. Adopting this lifestyle in business is how the Japanese have become
so renowned.
Ethics
Ethics is defined as the standards of right and wrong that prescribe what humans ought to
do, usually regarding rights, obligations, benefits to society, fairness, or specific virtues
(Krishnamurthy, 2011). In business, ethics differ from country to country but maintain an
organization’s course of action. Some practices in one country may not be acceptable to another.
For example, the Japanese do not believe in intermingling their personal and business lives.
Thus, the workplace in Japan is very formal, while the United States encourages a more casual
and friendly environment. Wearing casual clothing, calling each other by their first name, and
taking personal time off is inappropriate in Japan.
Business Ethics
Regarding respect and peace, the Japanese will always consider the mutuality of all
parties involved in a business decision (Yamamoto & Lloyd, 2019). While the Japanese are
nonconfrontational, it is difficult for them to say “no” in most situations. However, they will
always seek the most beneficial outcome. During negotiations, the Japanese always seek a fair
exchange, whether goods, money, or resources. While giving gifts between businesses is
customary in Japan, this exchange cannot occur unless an item of equal value is returned.
Regarding ethics, maintaining business obligations and the status quo is a necessary quality that
the Japanese people hold themselves as part of their professional values and attitude.
Values and Attitudes
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Values are the moral principles or ethics that create our behavior standards, while attitudes
manifest those values (Furxhi, 2021). Among the many values in the Japanese culture,
perfectionism, social standings, and innovation are highly important. As such, the manifestation
of these values is ingrained in the Japanese at a very young age. The Japanese are taught to
complete every assigned task with the utmost quality, respect their elders, and contribute to the
betterment of society.
Perfectionism, Social Standings, and Innovation
Unity is a common theme among the Japanese regarding perfectionism, social standings,
and innovation. Most Japanese believe that everything they do must contribute to the betterment
of their society. It’s a common practice among the Japanese to work long hours. This practice in
Japan stems from the institutional and cultural complementarities in the Japanese employment
system (Ono, 2018). Perfectionism is one of those complementarities, and so is respect for their
elders in leadership. Out of respect for their managers and employers, most Japanese workers
will not leave their workplace until their leadership departs for the day. Lastly, the Japanese are
naturally innovative as they pride themselves on bettering the local economy. Rather than
constantly relying on inefficient outsourcing, they will create a way to incorporate new ideas if
the result will improve their society.
Business Manners and Customs
At its core, manners and customs define the way we conduct ourselves as individuals
daily. In a business setting, it is the professional etiquette that representatives of the company
use. There are many different manners and customs in the various cultures worldwide. This
analysis mentioned how business casual wear is typical in the United States. Some organizations
host company events such as “Hawaiian Shirt Fridays or annual Christmas parties. One crucial.
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fact to remember is that in a workplace, all employees act on behalf of the company they
represent. The displaying mannerism and showing respect for local customs do not only
represent the employee, but it is also the representation of the entire organization.
Mannerisms and Customs in Japan
It cannot be said enough that displaying proper respect, etiquette, and following rituals
are significant in Japanese culture. Being polite towards others, addressing people by their last
name, and bowing to one another are a part of making the Japanese unique. When meeting for
the first time in Japan, it is customary and polite to turn and pass out business cards as part of
self-introduction. In particular, the Japanese will introduce themselves but their last name and
address others around them by adding the suffix “san.” This ritual is a form of humbleness in
Japan, as it places others around them in a higher hierarchy than themselves. A similar routine
is also used in non-business settings to establish social structure at school, life-changing events,
and even family gatherings.
Social Structures
Social structure refers to the relations between members of the society and their
corresponding social institutions, groups, statutes, and positions (Satterlee, 2019). As human
beings, we naturally tend to group with those with a form of social kinship in common areas such
as birthplace, school, hobbies, or marital status. People generally form various in-group
relationships at and out of work for the same reasons. Social structures can guide how people
interact with each other. Thanks to technological innovations, social networks are not just limited
to one continent. Through the internet, bonds can be forged with people worldwide.
Japanese Education System
Since the feudal era, the Japanese have maintained a form of social structure throughout
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their society. The source of the Japanese social network lies in the education system. At a very
young age, the Japanese teach their children to follow the rules, show respect, maintain proper
social order, and display appropriate etiquette. Starting as young as three years old, students are
taught to follow a daily regiment at their schools, including proper wear of uniforms, greeting
and bowing to teachers, working in groups to accomplish activities, and upkeep school grounds
(Yoshikawa et al., 2018). Simultaneously, students still receive a formal compulsory education,
including Japanese literature, history, English, mathematics, science, and physical education.
The end goal of the Japanese education system is to produce good citizens that actively
contribute to the local society and economy. This process continues even when employees join
companies for work. New employees are placed under the mentorship of senior members whose
goal is to train them on the required mannerisms and customs needed to thrive and move up the
social structure within the company.
How are these elements and dimensions integrated by locals conducting business in the
nation?
The Japanese integrate these elements and dimensions for conducting business primarily
through their education system and by passing them down to their cultures and traditions to
future generations. For instance, the common practice of Shintoism and Buddhism is
documented throughout the nation’s history. From these two religions, the Japanese adopt a
sense of respect, peace, and discipline into their lives from birth. When children start school, this
same practice continues in the classroom as students are taught not to put themselves before
society.
This tradition continues into the workforce as employees are reminded to stay humble, put forth
their best effort, and strive to improve the local economy.
Communication
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When the Japanese negotiate during business transactions, the goal is to reach a mutual
beneficiary outcome. However, they communicate using an indirect tone. In a typical Japanese
conversation, it is considered rude to respond directly with “no.” Instead, they think of the other
person’s thoughts and give an indirect response as an answer. Using a technique that prompts
the other party to redirect the conversation allows them to bring up options that are different
from the initial response. An indirect conversation style places the other party in a higher status
by accommodating their needs. This behavior comes from Shinto as it practices accommodating
the needs of the other person before your own.
Religion
Shinto and Buddhism have shaped the Japanese culture throughout its entire history. The
two religions have marked every part of the Japanese lifestyle, including household routines,
education, politics, and business practices. While the Japanese will not claim to be a practitioner
of either, the rituals of both religions can be found in every aspect of the Japanese culture (Lee
et al., 2018). Loyalty to your organization is a common principle in Shinto. Japanese citizens
place a lot of time and effort into companies. Once they accept a permanent position at a job,
they will remain loyal to that company until retirement or termination. This fact holds regardless
of like or dislike of the company, as quitting the job would be considered abandoning their co-
workers.
In contrast, Buddhism emphasizes having a clear mind free of negative thoughts (Rarick,
1994). During negotiations, the Japanese tend to remain emotionless and will try to hide their
ideas to stay unbiased. While simultaneously seeking a deal that is mutually beneficial to all
parties.
Ethics
Loyalty goes both ways between a company and Japanese employees. Japanese
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employers place value on their employees. That value takes the form of employee benefits upon
acceptance in their organizations. Employees will receive annual bonuses, on-the-job training,
and additional healthcare plans. More often than not, as long as the employee is not involved in
any impropriety, they will not be fired from their jobs. They believe employees are the
company's most significant resources and strive to develop these assets to their fullest potential.
This feeling of mutuality between employer and employee drives the Japanese to perform their
utmost for their jobs and economy.
Values and Attitudes
Just as the Japanese hold honor and respect at the core of their belief, they also keep
perfectionism, social standings, and innovation in high regard among their citizens. Each of these
beliefs has been passed down through time through their religions. As the Japanese continue to
perfect and improve their endeavors, they are also continuously seeking to better those around
them at the same time. Another teaching of Buddhism is to seek happiness through initiatives.
Thus, performing work is crucial for Japanese people. Putting maximum effort into their jobs is
a form of joy and enlightenment for them (Gould, 1995). It is because of this mannerism the
reason why the Japanese are highly sought as business practitioners.
Business Manners and Customs
Japan is a country known for having well-mannered people. At the same time, the
Japanese expect the same form of manners and decency in the business environment from their
counterparts (Yamamoto & Lloyd, 2019). When conducting business with foreigners, the
Japanese show their diligence by studying their counterparts. They do this not to can a
competitive edge but to ensure a successful transaction. The Japanese do not expect foreigners to
understand their rules and customs fully. They do expect common courtesies during negotiation.
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However, foreigners must learn and understand the many customs they practice daily, including
how they go about business. While humbleness is a virtue that the Japanese have when
conducting business, they will not hold negotiations if insulted.
Social Structures
Japan is a country that has a hierarchal society. Unlike the United States, where
employees may have personal time at work with their bosses, this is not the case in Japan. Part of
that hierarchy is understanding boundaries at various positions in its businesses. Every work
title, family position, and social group has an established rank in Japan. Foreigners looking at
how those established ranks dictate the actions of the Japanese people would view it as similar to
being in the military. Starting in the household and compulsory school system, every person is
taught to stay within the confines of the social hierarchy. It is common for the upper-class
citizens will only socialize with those of the same peer group. That social hierarchy can change
depending on efforts made by the individuals involved, such as studying hard in school to
receive high marks or being accepted into a private academy. However, maintaining the status
quo throughout the school years is acceptable to allow students to enjoy their childhood.
The same concept is especially true for company employees. Part of an organization’s
on- the-job training is for mentors to teach their proteges to be hardworking and innovative while
maintaining a disciplined manner without questioning authority. Except for small family-owned
businesses, the hiring process in Japan is very stringent. Most organizations require
recommendations from long-term members and always require an interview to gauge the
potential employee's knowledge, behavior, and dedication (Hof & Tseng, 2020). Upon
successful acceptance into the organization, staff members are given full entry-level benefits.
These benefits increase over time as the employee gains experience and progresses through the
ranks.
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