Developing Effective Marketing Strategies for the Japanese Market: a Review of the Literature
International Journal of Management
Vol. 29 No. 3 Part 2
Sept 2012
207
Developing Effective Marketing Strategies for the Japanese Market: A Review of the Literature
Shinichi Hirokawa Argosy University Tsai-Ling Wu Argosy University Japan, as the world’s third largest economy, continues to be attractive to international exporters and investors. It is our argument that the forces of change that led originally to new and bigger opportunities remain the same, despite surface differences. This paper explores some of the key issues related to entering this market. It provides an examination of effective marketing strategies and how the marketing knowledge can be used to enter and succeed in Japan. It outlines six specific marketing strategies: tailoring to the market, finding opportunities in the declining Japanese market, not underestimating the domestic competition, offering a unique product and positioning, utilizing a brands’ foreignness, and using alliances wisely. It also provides recommendations for avoiding the common pitfalls that many firms experience when entering Japan such as an outdated perception and the distinctive characteristics that actually affect the market structure. Marketing managers who wish to do business in Japan must take into consideration a changing social and political environment. They have to weigh the benefits of launching wholly owned subsidiaries as opposed to engaging in mergers and acquisitions. The paper concludes with a summary of the major implications of the analysis for the contemporary multinational marketer.
Marketing in Japan: Challenges and Opportunities
In 1998, Williams-Sonoma ended its decade-old joint venture with Tokyu Department Stores and left from Japan. Many examples of the challenges for foreign companies can be seen in entering Japan in the current economic environment. The only problem was that while Williams-Sonoma’s business was flagging, Lands’ End Japan’s business was booming (Morgan, 2007).
Vol. 29 No. 3 Part 2
Sept 2012
207
Developing Effective Marketing Strategies for the Japanese Market: A Review of the Literature
Shinichi Hirokawa Argosy University Tsai-Ling Wu Argosy University Japan, as the world’s third largest economy, continues to be attractive to international exporters and investors. It is our argument that the forces of change that led originally to new and bigger opportunities remain the same, despite surface differences. This paper explores some of the key issues related to entering this market. It provides an examination of effective marketing strategies and how the marketing knowledge can be used to enter and succeed in Japan. It outlines six specific marketing strategies: tailoring to the market, finding opportunities in the declining Japanese market, not underestimating the domestic competition, offering a unique product and positioning, utilizing a brands’ foreignness, and using alliances wisely. It also provides recommendations for avoiding the common pitfalls that many firms experience when entering Japan such as an outdated perception and the distinctive characteristics that actually affect the market structure. Marketing managers who wish to do business in Japan must take into consideration a changing social and political environment. They have to weigh the benefits of launching wholly owned subsidiaries as opposed to engaging in mergers and acquisitions. The paper concludes with a summary of the major implications of the analysis for the contemporary multinational marketer.
Marketing in Japan: Challenges and Opportunities
In 1998, Williams-Sonoma ended its decade-old joint venture with Tokyu Department Stores and left from Japan. Many examples of the challenges for foreign companies can be seen in entering Japan in the current economic environment. The only problem was that while Williams-Sonoma’s business was flagging, Lands’ End Japan’s business was booming (Morgan, 2007).
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