Japanese Business Etiquette

1. Japanese Business Etiquette Brought to you by: Asia Business Club

2. Japan • Name: Japan (Nihon) • Area: 377,835 sq km, 145,882 sq miles • Population: 127,000,000 • Time Zone: 16 hours ahead of Phoenix • Currency: Yen (¥) 1 U.S. dollar = 119.55 Japanese yen • Cash is king but credit cards widely used • Electricity: 100V 50HzHz

3. Culture • Communication – Indirect • The Japanese have an indirect orientation toward communication with a strong aversion to language and situations that might cause confrontation or create conflict which could be harmful to a relationship. • Communication - FormalThe Japanese formal orientation toward communication is evident in the level of politeness the Japanese use when communicating with other parties. • Space - Private / PublicThe Japanese closely guard their personal space from the encroachment of others, demonstrating their private orientation toward space.  In business offices, however, the Japanese have a more public orientation toward space.

4. Culture • Power - Hierarchy / EqualityJapanese society in general, and Japanese companies in particular, demonstrate a strong hierarchy orientation toward power. • Individualism - Collectivistic The Japanese will often subordinate their individual needs for the needs of the group, demonstrating their collectivistic orientation toward individualism. • Competitiveness - Competitive / CooperativeThe Japanese are competitive toward others outside their group, company, or country, but within their group they are cooperative, subordinating their individual needs for the benefit of the groupas a whole.

5. Useful Phrases Good day Kon-nichi wa Good morning Ohayo gozaimasu Good evening Konban wa Good bye Sayonara On starting a meal… Itadakimasu Thank you (after a meal…) Gochiso-sama deshita Thank you Domo arigatou gozaimasu Please to meet you Dozo yoroshiku You are welcome Do itashimashite I don’t understand Japanese Nihongo ga wakarimasen Cheers! (Drinking…) Kampai! Beer Biru (order beer) Biru o onegaishimasu

6. Business Environment • Remember to bow! Bow at the waste to show respect • Seating: Higher status farther from the door. Sit across from your counterpart. • In taxi: Most senior sits behind the driver • In meetings • Don’t force your point • Plan to spend longer amounts of time negotiating • Yes, does not necessarily “Yes I will do this” but many times means, “Yes, I understand” • Decisions take a long time • If the senior person falls asleep, no worries

7. Business Environment • Business is built on relationships that need cultivation • Do not lose face or let others lose face • Do not make cultural mis-steps • Enjoy silence • Bring your own translator to help with any major negotiation

8. Women in Business • Foreign businesswomen should not expect to be included in the evening business activities & not be offended if they are not. • A senior position businesswoman has a chance to politely bow out of a drinking session and then suggest a male associate attend instead. • Women can instead schedule lunches or coffee breaks at nearby coffee shops or early dinners. • (The advantage of being a woman is that you can get a good night’s sleep and look fresh at work while your male colleagues won’t be in quite the same shape}

9. Dining Out • Business deals are often sealed at dinner • When in doubt, follow your hosts lead • The host will order and pay for dinner • Do not offer or try to go dutch; give a gift afterwards to show apprecitation • If hosting, arrange meal, food, and payment before eating • Any social chatting while drinking should not be mentioned at meeting the next day • No tipping

10. Seating Arrangement • Main host and guest sit side-by-side farthest away from door • Senior to junior as move closer to the door • Sit across or next to your counterpart Host Guest Guest Host Counterparts Host Guest Guest Host Guest Host Door

11. Eating • Accept anything given to you, try it and move on if dislike • Practice use of chopsticks before going • Never use own chopsticks to retrieve food • Never point chopsticks at others or poke things • Do not put chopsticks into rice vertically

12. Drinking • Drinking is encouraged and will help form personal relationships with counterparts • Kampai = cheers or bottom’s up • Ideally, one never pours one’s own drink • Raise your cup with both hands when someone fills your cup; take a drink and set it down • Always reciprocate by filling someone else’s drink • If the glass is empty, it means you want more • If you don’t want more, leave it full • Drunkenness will be forgotten and forgiven the next day • However, don’t fight and try not to puke!

13. Social Events • Time to socialize and build relationships further • Have fun! Being drunk, singing in public, or acting silly OK • But keep it at a minimum if possible • Karaoke Bars: They love it! Don’t worry about embarrassing yourself, shows humility and group participation. • Hostess Bars: Hostess ≠ Prostitute; meant for conversation • Elevator Girls: Elevator Girls = Prostitute; call security! ≠

14. References • Rutledge, Bruce. Working in Japan. ASK, Co. Japan, 2001. • Brannen, Christopher. Going to Japan on Business. Stone Bridge Press. CA, 2003. • Engel, Dean. Passport Japan. Passport Series. World Trade Press. CA, 2003 • Cultural Navigator. Thunderbird. http://thunderbird.culturalnavigator.com • Lonely Planet.com