BUSINESS ANALYSIS OF JAPAN

8/7/2019 BUSINESS ANALYSIS OF JAPAN

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BUSINESS ANALYSIS OF

JAPAN

KINNARI JARIWALA 78

MALLIKA BAJAJ

79SRAVANI SIRAM 110


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PHYSICAL FORCESTopographyTopography


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NipponNippon ---- Land of the Rising SunLand of the Rising Sun


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Kitani Mts.

Kitakami Mts.

Mt. Fuji

MountainsMountains

& Peaks& PeaksIslandsIslands

Hokkaido

Honshu

ShikukuKyushu


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BodiesBodies

ofofWaterWater

Sea ofJapan

Ishikari R.

PacificOcean

Inland Sea

Tone R.

Shinano R.


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PlainsPlains

Kanto Plain

Nobi Plain

IshikariPlain

Osaka Plain


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Global Tectonic PlatesGlobal Tectonic PlatesJapanJapan ---- OntheOntheFire RimFire Rim

ofthe Pacificofthe Pacific


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JapanJapans Land Areaands Land Areaand

UtilizationUtilization


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Climatic conditionsClimatic conditions

The climate is temperate

varies greatly from north to south.

six principal climatic zones

4 seasons

Spring-March to May.

Summer-June to August

Autumn-September to November Winter-December to February.


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IInfrastructurenfrastructure

Japan has a very advanced and well-

maintained infrastructure.

It undergoes regular upgrading and expansion.

Both the private and public sectors undertakevarious infrastructural projects and operate

their respective services.


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Road Network

Highways :

1,152,207 kilometers(715,981 miles)

Expressways : 6,114

kilometers (3,799

miles)


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Railway Network

Railways : 23,670

kilometers (14,708

miles) Japan is famous for

its high-speed

trains.


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Air Transportation System

Airports : 171

International

Airports : 4

Heliports : 14


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POPULATION DEMOGRAPHICS


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Income distributionIncome distribution

Gini index measures the extent to which the

distribution of income among individuals

within an economy.

0 represents perfect economic equality, and

100 perfect inequality

Gini co-efficient: 38.1 (2002)


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Japans IncomeDistribution hasbeen gradually

shifting leftwards. Japans Gini

coefficient has

been increasing,which means thegap is widening.


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Age structureAge structure

13.50%

64.30%

22.20%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

0-14 years 15-64 years 65 years and over

.


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EEducationducation

School life expectancy (SLE) is the total

number of years of schooling that a child can

expect to receive SLE :15 years

Education expenditures

3.7% of GDP country comparison to the world: 126


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Literacy rate

: 99%

lateracyrate

literate

illiterate


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FamilyFamily

average family size: 3-4 people.

Japanese women as average give birth toabout 1.3 babies in their life.

They want their children to have a high

standard of living, so they limit the number

with family planning.


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Employment rateEmployment rate

The employment rate of japan is 70.7%

Considering the employment rate,Japan stands

at the 11th position amongst all the countries


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Labour forceLabour force

65.64 million

country comparison

to the world: 9 Labour force by

occupation

agriculture: 4% industry: 28%

services: 68%

4%

28%

68%

labourforce

agriculture

industry

services


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BALANCE OF PAYMENTS


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The Import partners:

1. China 22.2%

2. US 10.96%

3. Australia 6.29%

4. Saudi Arabia 5.29%5. UAE 4.12%

6. South Korea 3.98%

7. Indonesia 3.95%


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Goodsimported1. machinery and equipment

2. Fuels

3. Foodstuffs4. Chemicals

5. Textiles

6. raw materials


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EXPORTS


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The Export partners:

1. China 18.88%

2. US 16.42%3. South Korea 8.13%

4. Taiwan 6.27%

5. Hong Kong 5.49%


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goodsexported: transport equipment

motor vehicles

Semiconductors electrical machinery

chemicals


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CURRENCY

YEN

denoted by JPY

1 US Dollar =82.20 Japanese

Yen


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Stability of currency

0

2040

60

80

100

120

140

2006 2007 2008 2009 2010

currencyrate

currency rate


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Type ofgovernmentType ofgovernment

The government of Japan is a constitutional

monarchy where the power of the emperor isvery limited.


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TerrorismTerrorism

Japan is free of terrorism

mostly even though it is

coming up a little in the

form of international

terrorism.


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LEGAL SYSTEM

The legal system was Japan is based on the

European legal system.

Major changes were made after World Wartwo.

American law was modeled and human rights

were given importance.

HYBRID OF CONTINENTIAL AND

ANGLO AMERICAN LAW.


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Japanese ConstitutionJapanese Constitution

Thirty one articles

Relates to human rights Provides for the separation of three powers:

legislative, judicial and governmental power


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Ranking in corruptionRanking in corruption

Japan ranked 18th out of 180 countries and

territories in the global corruption perceptionindex in 2008


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CULTURAL ISSUES

business customsbusiness customs

Greetings.

Gift-giving .

Group orientation

Hierarchy:Status is determined by

factors such as

age, employment, company and

family background.

The exchanging of business cards .

Avoid the "OK" sign; in Japan it

means money.


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Body Language

While foreigners are expected to shake

hands, the traditional form of greeting is thebow.

Say one, understand ten," i.e. you will be

expected to understand nine additional pointsto every one made.


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TREATMENT OF WOMEN

Before World WarII, the status of women in

Japanese society was very low.

After the War, the new Constitution that was

promulgated in 1946 guaranteed for the first time the

equality of men and women under the law.

However, the traditional concept that women are to

stay at home is still deeply rooted.


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HOFSTEDES CULTURAL DIMENSIONS


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TRADEBARRIERS

Both domestic and foreign investments were carefully

controlled by government regulations, which kept the

investment flows small.

Controls were motivated by the desire to prevent foreigners(mainly Americans) from gaining ownership of the economy

when Japan was in a weak position after World WarII.

Beginning in the late 1960s, these controls were gradually

loosened, and the process of deregulation accelerated and

continued throughout the 1980s.

By the end of the 1980s, Japan had become a major

international investor.


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ANAYLSIS

Literate society

Well populated country

Ranks 9th in terms of labor force.

Trade barriers have been loosened and process

of deregulation has been taking place.

Geographically well connected through water.

High standard of living.


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GLOBALINNOVATION INDEXGLOBALINNOVATION INDEX

In the large country ranking Japan ranks third

, after south Korea and United States.

RANK COUNTRY OVERALL INNOVATION

INPUTS

INNOVATION

PERFORMANCE

3. Japan 1.79 1.16 2.25


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TOPIC RANKINGS DOING BUSINESS 2011 DOING BUSINESS 2010 CHANGE IN RANK


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TOPIC RANKINGS DOING BUSINESS 2011

RANKING

DOING BUSINESS 2010

RANKING

CHANGE IN RANK

STARTINGA BUSINESS 98 90 -8

DEALING WITHCONSTRUSTION

PERMITS

44 43 -1

REGISTERING

PROPERTY

59 53 -6

GETTING CREDIT 15 14 -1

PROTECTING

INVESTORS

16 16 NO CHANGE

PAYING TAXES 112 119 +7

TRADINGACROSS

BODERS

24 21 -3

ENFORCING

CONTRACTS

19 19 NO CHANGE

CLOSINGABUSINESS 1 1 NO CHANGE


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CONCLUSION

The trick is understanding Japanese business

and the mentality of Japanese businesspeoplewell enough to be able to control your costs.

It is easy to do business in Japan if the culture

is well understood.


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THANK YOU

KINNARI JARIWALA 78

MALLIKA BAJAJ 79

SRAVANI SIRAM 110

BUSINESS ANALYSIS OF JAPAN

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