. Japan has a society in which confrontation is generally avoided. Its geographic isolation has allowed it to handle change at a controlled pace. Individualism is not prized. Its colleges and...

. Japan has a society in which confrontation is generally avoided. Its geographic isolation has allowed it to handle change at a controlled pace. Individualism is not prized. Its colleges and universities do not strongly develop debate, discussion, and critical thinking. Discipline and conformity are stressed. Teamwork is important, and corporations have rigid, seniority-based pay systems. At least that’s the way it has traditionally been in Japan. Rising anti-Japanese sentiment in Europe and the United States, tight credit, falling real estate prices, and stock market scandals are all part of changed economic and world conditions that are leading to changes in Japan’s business traditions. Teamwork is being balanced by individual initiative. Younger workers are changing jobs more frequently, seeking opportunity and autonomy more than job security. Innovative, entrepreneurial managers are being sought by large corporations, and individual entrepreneurs are finding that their ability to raise startup capital for their own businesses has improved, although it is still not nearly so easy as it is in the United States. Entrepreneurs are not new in Japan. Masayoshi Son, founder and president of Softbank Corporation, built that company into a leading distributor of packaged software, publisher of a leading computer magazine, and a venture capital firm in personal computers. However, these entrepreneurs tended to work within the system whereas the new breed of Japanese entrepreneurs are becoming more like those in the United States. Seiji Tsutsumi was a successful entrepreneur who built a highly successful chain of department stores throughout Asia. Beginning with a business of makings rings for major jewelers, he began to retail them on his own. His success led to Tsutsumi Jewelry with numerous retail outlets and then to the Seibu department stores, and eventually the Saison Group of six companies. Sales of the Saison Group exceeded Y32 billion in 1991. Masanori Honjo, founder of Itoen Ltd., noted that his business of packaging and wholesaling dried tea was limited. Studying consumers, he saw that they were drinking lots of canned beverages so he began marketing canned unsweetened tea in 1981. It was so successful that Coca￾Cola was forced to come up with a canned tea to compete with it. Itoen is now producing several beverages and had sales of approximately $700 million in 1993. Melco was founded by Kakoto Maki in 1975 to manufacture a device that improves audio equipment. In 1980 he moved into making memory boards for personal computers. His company is now worth more than a billion dollars. These new Japanese entrepreneurs are increasingly individualistic. They are more willing to stand by their convictions and are more adaptable to change than are Japanese entrepreneurs of the past. They practice creative innovation. Although many well-known entrepreneurs in the United States are in high-technology organizations, many of those in Japan are in low-technology ones. Questions: i. What seem to be the major, common characteristics of Japanese entrepreneurs? In what ways are they similar and dissimilar to those of the United States? ii. Identify the types of entrepreneurs mentioned in this case. Quote lines from the case to justify your answer. iii. As international competition is increasingly felt by Japanese companies, how might these entrepreneurs respond favorably to enhance their companies’ market and financial positions? Perform PEST analysis for any one of the listed companies from the above passage.