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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN
Business Cultural Dimensions Analysis: Japan
James Rod
Student, Liberty University
Dr. John Karaffa
September 19, 2021
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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN
Abstract
The purpose of this paper is to provide an analysis of major elements and dimensions of
culture in Japan. The analysis will offer discussion on six cultural dimensions which include
communication, religion, ethics, values and attitudes, business manners and customs, and social
structures. These six cultural dimensions will be further explored and discuss how these elements
and dimensions are integrated by locals conducting business in Japan.
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Business Cultural Dimensions Analysis: Japan
When I joined the United States Marine Corps, completed boot camp and my military
occupational training, I received orders to Okinawa, Japan. I had mixed emotions of excitement
and anxiety. Upon arriving in Okinawa, I was provided a cultural class. The purpose of the class
was to help those new to the island be familiar with common customs and courtesies.
Understanding the culture not only allowed me to enjoy the local environments but to be a good
ambassador of the military and the United States. In business, individuals and organizations need
to understand the cultural elements and dimensions of the country with which they will be
conducting business with. In this analysis, I will identify the major elements and dimensions of
culture in Japan and how these elements and dimensions are integrated by locals conducting
business with Japan. This will be done by analyzing six cultural dimensions which include
communication, religion, ethics, values and attitudes, business manners and customs, and social
structures.
Major Elements and Dimensions of culture in Japan
Dimension of Culture: Communication
When I first interacted with the local Okinawans, I found the people to be very polite and
respectful. Surprisingly, many of the locals spoke English well. This was not always the case,
there were other times that an interpreter was required. Satterlee (2018) identifies “cross-cultural
or cross-language barriers exacerbate the misunderstandings that arise when trying to
communicate a message” (p. 38). There are several communication variables to consider when
interacting with the locals which involve verbal and nonverbal communication.
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Verbal Communication
Verbal communication is the act of using written or spoken words to convey a message.
Satterlee (2018) focuses on oral communication and the importance of pronunciation, spelling,
and proper grammar. In Japan, the official language is Japanese; however, there are variations of
the language depending on the ethnicity and region. One of the more distinct dialects is the
RyūKyū language which is used on the isolated island of Okinawa (Advameg, n.d.). Japanese are
not typically vocal, but when they do speak it is usually in an indirect manner (Cultural Atlas,
n.d.). The indirect communication style can often be misleading to people not familiar with
Japanese culture. For example, when a Japanese person has been offered an item that he or she
does not want, he or she will most likely respond by saying, “I will think about it” rather than
just saying, “No, thank you”. (Yagi, 1995). Indirect communication is believed to maintain
harmony and exhibit politeness (Cultural Atlas, n.d.). Traditional mentality considers a person
that speaks well and often is not trustworthy and mediocre at best (Takemori, 2010; Yagi, 1995).
I would liken this mentality to Proverbs 13:3 which says, “Those who guard their lips preserve
their lives, but those who speak rashly will come to ruin” (New International Version,
1973/2011, Proverbs 13:3). The Japanese culture is considered a high-context culture as
described by Satterlee (2018) and Takemori (2010). This leads us to discuss nonverbal
communication.
Nonverbal Communication
High-context cultures are built around long-term relationships where people can
communicate nonverbally because of strong connections and learned behaviors within the
culture (Satterlee, 2018). With the understanding of Japan as a high-context culture, we can
acknowledge the importance of nonverbal communication. Nonverbal communication is the
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constant transfer of “information and influence through one’s immediate environment,
appearance, and nonverbal behavior” (Patterson, 2010). Even when we are not trying to
communicate, our nonverbal gestures can convey a message. Patterson (2010) asserts that our
nonverbal communication habits are shaped by our biological make-up, cultural environments,
gender, and personality.
Dimension of Culture: Religion
According to the World Factbook, the top three religions in Japan include Shintoism at
69 percent, Buddhism at 66.7%, and Christianity at 1.5% (The World Factbook, 2021). It is
noted that the percentage exceeds 100% because many people practice multiple religions.
Religion plays an important role in people’s lives across different cultures. There is an influential
link between religion, culture, and human behavior which can enhance the interaction and
understanding of a country’s culture (Tarakeshwar et al., 2003). It is also important to understand
that religion differs between individualism and collectivism (Cohen et al., 2016). The
individualistic view considers religion as a personal matter and is express by one’s faith and
relationship with God. The collectivistic view focuses on traditions and community-based
religious practices (Cohen et al., 2016).
Sugimoto (2014) shares that many Japanese belong to two or more religious groups and
that the Japanese religious system is “non-exclusivist, eclectic, and syncretic” (p. 275). The
indigenous religion in Japan is Shintoism or Shinto. Shinto dates to 500 BC and is “a mixture of
nature worship, fertility cults, divination techniques, hero-worship, and shamanism” (Satterlee,
2018, p. 44). Buddhism is a sect of Hinduism that eventually split and became its own religion
(Hindson & Caner, 2008). The founder of Buddhism was named Siddhartha Gautama who
claimed to reach the highest level of knowledge known as nirvana and experienced a name
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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN
change to Buddha which means “the enlightened one” (Hindson & Caner, 2008; Satterlee, 2018).
Buddhism is better understood as a philosophy following five precepts (Hindson & Caner, 2008;
Satterlee, 2018). Interestingly, it is not uncommon to find a Japanese person attend Shinto
celebrations, have a traditional Christian wedding, and worship at a Buddhist temple (Sugimoto,
2014).
Dimension of Culture: Ethics
As described by Satterlee (2018) “ethics is the study of morality and standards of
conduct” (p. 44). Moral ethics are built on personal beliefs, principles, and foundational values.
The religious practices in Japan influence the ethical practices of most Japanese people
(Yamamoto, K., & Lloyd, R. A., 2019). Japanese ethics focus on personal and social obligation,
human feeling, legalistic obligation, and other such notions (Wargo, 1990). These ethical notions
have been molded and deepened by foreign ideologies along with the considerable influence of
Shintoism and Buddhism (Wargo, 1990). Ethical practices that Japanese people value are
sincerity, courtesy, and selflessness. There is a strong belief that “a man of pure heart would
automatically act properly and promote harmony in the community” (Wargo, 1990, para. 26).
The Shinto belief that man is inherently good, and evil is just a temporary misfortune that is to be
overcome, is believed to be a part of the conditions of human existence (Wargo, 1990). This is a
broad synopsis of ethical practices in Japan and is not shared among all.
Dimension of Culture: Values and Attitudes
The values and attitudes within the Japanese culture can be summarized in the Japanese
word, mentsu or menboku, which means ‘face’ (Lin TAO, 2014). The idea surrounding ‘face’ is
based on the self-delineation of approved social attributes whether it is positive or negative (Lin
TAO, 2014). This relates to the common idiom, save face, which means “to avoid having other
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people lose respect for oneself” (Merriam-Webster, n.d.). Japanese people will act and
communicate with restraint to maintain their ‘face’; not just as an individual, but collectively as a
community (Culture Atlas, n.d.). The prevalent attitude throughout the Japanese culture is
generally pacifistic. This pacifism is not to be viewed in the traditional Western view as to avoid
confrontation, but to maintain harmony and politeness (Lin TAO, 2014; Culture Atlas, n.d.).
Dimension of Culture: Business Manners and Customs
As the global business expands, it has become imperative for business professionals to
know and understand the cultural dynamics of the country with which they will be conducting
business (Satterlee, 2018). There are several business manners and customs to which Japanese
business professionals are accustomed to. One custom is gift-giving. Traditionally, there are two
periods throughout the year to present a gift to someone. The first is around the end of July and is
known as Ochugen. The other time is at the end of the year and is known as Osebo (Sagara, &
Kleiner, 2001). In a business environment, a quality gift given at an initial meeting will show
thoughtfulness (Culture Atlas, n.d.). The exchange of business cards is another significant
custom that should be done respectfully. Cards should be handed to the recipient with the writing
facing the recipient, the visiting person should present the card first, and the card should not be
put away immediately, but placed on the table to be referenced throughout the business
discussion (Sagara, & Kleiner, 2001).
Dimension of Culture: Social Structures
The Japanese culture and social structure are often portrayed as homogeneous and
egalitarian; however, that is not the case. Japan is a more diversified and heterogeneous society
which can be described in two constructs which include ethnic diversity and class differentiation
(Sugimoto, 2014). The ethnic diversity among minority groups is minimal in Japan with only 5
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percent of the population being the minority. This does not come without some groups being
exposed to discrimination and prejudice. Prejudice and discrimination reign high among Korean
residents and the 1.4 million Okinawans (Sugimoto, 2014). Another subcultural difference is
evident in Japan which consists of regional identities. These regional identities can be split into
two groups, eastern Japan, and western Japan. These regions differ in language, social relations,
food, housing, and many other respects (Sugimoto, 2014).
Class differentiation has grown immensely in the twenty-first century with identifiable
division among social classes. Researchers have used two types of social stratification to classify
Japan’s social structure which includes the Marxian analysts and the standard occupational
classification (Sugimoto, 2014). The Marxian analysts divide the social classes into four
categories consisting of capitalist, new middle class, working-class, and old middle class. The
old middle class is subcategories into the farming population and the self-employed independent
businesspeople (Sugimoto, 2014). The inequalities between social statuses using either method
are noticeable and play into the perception of one class is better than another.
Elements and Dimensions Integrated by Locals Conducting Business in Japan
Dimension of Culture: Communication
Business professionals must be able to communicate well with other professionals to be
successful. Communicating with foreign business associates requires an understanding of the
potential cross-language barriers and how to mitigate misunderstandings (Satterlee, 2018). As
previously stated, business interactions involve verbal and nonverbal communication. We will
begin by discussing how to integrate verbal communication when conducting business in Japan
followed by nonverbal communication.
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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN
Verbal Communication
Understanding that Japanese people are generally indirect communicators, business
professionals should take notice of nonverbal indicators which will be covered later (Kharbanda
& Stallworthy, 1991). It is important to know that Japanese people are generally pacifistic and
will not straightforwardly refuse a business proposal to avoid embarrassment and show respect to
the other party (Kharbanda & Stallworthy, 1991; Lin TAO, 2014). Some leaders in Japan
contend that English “should be the second official language in Japan to enable future
generations of Japanese to manage international dealing without difficulty” (Sugimoto, 2014).
This could potentially lead to the expansion of global business interactions and opportunities.
Nonverbal Communication
Considering that Japan is a high-context culture, nonverbal communication will play a
vital role in business transactions. Nonverbal elements such as body language, personal space,
and physical contact may influence the outcome of a business negotiation (Teodorescu, 2013).
Japanese respect personal space although it is not always possible in public spaces such as public
transportation; otherwise, people typically stand at arms’ length apart. Like the indirect
communication discussed earlier, indirect eye contact is normal as it is a sign of respect while
direct contact can be intimidating (Cultural Atlas, n.d.). Bowing is a common custom that is done
when greeting, parting, and thanking someone (Sagara & Kleiner. 2001). Additionally, eye
contact should be avoided when bowing. Certain gestures should be avoided such as pointing
with a finger or displaying the soles of your feet (Cultural Atlas, n.d.). Overall, the Japanese
people are genuinely polite and present non-controversial mannerisms.
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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN
Dimension of Culture: Religion
The three major religions within Japan, Shintoism, Buddhism, and Confucianism are
important to understand before dealing with the Japanese (Kharbanda, & Stallworthy, 1991).
There are five Shinto notions that are central to understand which include joge, on, haji, tatemae,
and honne (Maher, & Wong, 1994). Joge describes the relationship between superior and
inferior. On refers to the compelling obligation in relationships among family, country, and
employer. Haji is the negative feeling that the Japanese get when they fail at an undertaking or
do not observe a custom. Tatemae refers to the perception of the way things seem to be, and
honne refers to the reality of the way things are (Maher, & Wong, 1994). These Shinto notions
identify why Japanese portray certain mannerisms and follow specific customs, even in business
negotiations.
Dimension of Culture: Ethics
As mentioned earlier, the Japanese religions greatly influence the ethical dimension of
the culture. Along with the influence of the religious dimension, the social dimension provides
weight to traditional ethical standards in Japan (Taka, 1994). Different moral and ethical
practices may be applied to various social dimensions such as relationships to other individuals
or groups (Taka, 1994). Understanding these relationships can provide insight to business
professionals allowing them to build individual relationships with corporate leaders while
simultaneously building a relationship with the corporation. Taka (1994) emphasizes two ethical
standards that both individual and corporate relationships are based upon which are fairness and
social responsibility.
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BUSINESS CULTURAL DIMENSIONS ANALYSIS: JAPAN
Dimension of Culture: Values and Attitudes
Negotiating in an intercultural environment involves understanding and applying the
values, symbols, and rituals of the other culture (Teodorescu, 2013). Japanese employees are
very loyal to their employers. As a result, the business professional will require to build a
relationship with Japanese partners to secure business deals (Gundling, 1991). The attitude that
many Japanese towards business is that there is more to it than just making money. It is the
responsibility of belonging to an organization, being loyal, diligent, and supporting (Kharbanda,
& Stallworthy, 1991).
Dimension of Culture: Business Manners and Customs
There are several business manners and customs to follow in addition to the two
mentioned previously. Ojigi is the tradition of bowing which is typically done when greeting
another Japanese. When business professionals from another country visit, he will be greeted
with a handshake rather than ojigi (Otsubo, 1986). Punctuality is important as attendees are
expected to be on time. Additionally, greeting everyone in the room individually shows respect.
During the meeting, it is common for the host to provide a quick speech. There will be moments
of silence during conversations which allow individuals to think on a subject before commenting
(Culture Atlas, n.d.). These are just a few business manners and customs to consider before
negotiating with the Japanese.
Dimension of Culture: Social Structures
Japanese hold very high value to their social structure. Within much Japanese business,
you find a structure somewhat like the United States. It is expected to call Japanese
businesspeople by their title (Otsubo, 1986). There are four categories of managers in the middle
management of Japanese corporations which include honbucho, bucho, kacho, kakaricho
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respectively (Otsubo, 1986). There are variations of these categories, but the point is that the
Japanese are very conscious of status. Their individual, corporate, and social statuses are all
related to their religious and ethical beliefs.
Conclusion
In this analysis, we discussed the major elements and dimensions of culture in Japan and
how these elements and dimensions are integrated by locals conducting business with Japan. We
discovered that the religious belief of Shintoism, Buddhism, and Confucianism have a major
influence on how Japanese communicate, their ethical standards, values and attitudes, business
manners and customs, and the social structure. As business professionals reach out to establish
partnerships with Japan, they must consider the various cultural elements and dimensions to be
successful.
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