A. In considering our possibilities for entering the Asian market, Japan is a likely choice because of the automobile manufacturing already in place in that country. Also, it would be good fit because our component would be a major benefit to improving their engines in Japan’s growing heavy-duty truck market. There is a large and skilled workforce and many facilities are in place that could possibly be utilized for our business.

B. The issues our company would face are varied because of the nature of the Japanese culture. The first meeting will not be a meeting to close the deal, but will most importantly be essential to obtaining a second meeting. We will need to build a relationship and that takes many steps. Our partners in Japan will want to know that we are a reliable firm before they do business with us and they will want to know that each of us as individuals are reliable and have integrity before giving us business.
Japan is considered a Confuscion based society and therefore has certain expectations that will need to be met in opening our negotiations. To alleviate unnecessary complications with communication we should consider hiring the expertise of a mentor who has lived and worked in Japan and understands the culture. It will be imperative that anyone involved in the business relationship be required to study the history as well as the current affairs of Japan. That would include learning about the current relations between the US and Japan and also learning about Japan’s political structure. Social and business etiquette are vastly different in the two countries. If we are to be successful it will be necessary to be totally confident with conducting our business according to Japanese business customs and standards. We must be aware and sensitive to the fact that religion plays a major part in the values of Japanese society and influences much of Japanese culture. The impact of Japan’s geography in relation to the United States as well as the impacts of dealing in their currency and language are also issues to consider.
B1. All of these issues require serious attention and it will be essential to do our homework well. The Japanese will expect us to be prepared to deal in their customary approach to business and we will need to comply in order to gain their trust and acceptance. Without the key elements of Japanese business etiquette ingrained into our approach we will not earn the confidence of the Japanese business people. If we are to be successful in our attempt to enter into business relationships in Japan we must do our part and be willing to do business in the Japanese manner. Demonstrating that we value their culture and political relationship will also be necessary for us to be effective in our negotiations. Because of the geographical location, currency and language issues we should consider all the options and the variety of ways that are available to us to market our component including using a trading company. These are companies that could serve as our guide in Japan and could introduce us to potential customers. They can even act as a distributor for our component. (Cohen, 1995) It will be important in our marketing strategy to focus on building relationships along with sales because our business development will likely take about three times longer than it does in the US. Japanese firms don’t make rash or immediate decisions especially when it comes to working with outsiders.

C/C1Communication is the key in doing business in any foreign country but it is absolutely essential in Japan. There are many ways to communicate in Japan other than speaking. Certain protocols are to be followed in order to communicate respect and sincerity. One of the first things to consider in communicating respect is proper business attire. A dark suit is the traditional attire of Japanese businessmen. A business meeting requires sensitivity to paying respect by dressing appropriately. One of the most important things our company can communicate is that we value the Japanese business card. Since it will be the first item of exchange upon meeting with any businessman we will need to accept the business card with two hands and a “thank you”. Then examine the card carefully without fidgeting or bending it before putting it into a proper carrying case. In turn we will hand our business card, which will be printed in Japanese on one side and English on the other, with two hands for them to examine. The Japanese business card is revered and we must communicate that we acknowledge this.

It is imperative that we communicate any delay in our meetings as time is very important to Japanese business. We will be expected to arrive 10 minutes early for a meeting, more if the meeting will be with senior executives. We will wait to be seated according to their instructions, plan an exact agenda and take lots of notes as this shows interest and respect in what is being said. The Japanese businessmen will be taking detailed notes as to every promise made. Never try to shake hands or pat a Japanese businessman on the back. This can make them so uncomfortable that we might not be asked back. All contracts or non-disclosures need to be sent in advance since it can take weeks for their legal teams to review any documents.
In communicating with our body language, we should be pleasant and smile while exhibiting good manners like never blowing our nose in a meeting or public place. It is considered polite to ask lots of questions about the business but never about their personal life and always speak complimentary of others including the competition and fellow employees.
One of the hardest things for any culture to do is to have silence in a meeting. The Japanese are not uncomfortable with silence and are masters of communicating through silence. They often use silence as a negotiating tactic so we must learn to let our hosts sit in silence. Also, the Japanese prefer not to use the word no. If you ask a question they may simply respond with a yes but clearly mean no. Understanding this is critical in the negotiation process. (Hofstede, 2012)
All these issues are important in communicating our needs and business objectives in a manner that will be acceptable for doing business in Japan. Our marketing approach should also include a lot of patience since we will be working on building relationships by showing that we have respect and can communicate in the Japanese way.
D. Ethical issues that arise in our business dealings can be foreign to us while doing business in Japan. To be successful we will need to brush up on our Buddhism. Buddhism is the base of business ethics and we must understand how religious thought influences business ethics in order to operate with any degree of success in Japan.
The Japanese religions - Confucianism, Shintoism and Buddhism - are transcendental in nature. This means that each believes that every single thing, including people, has its own soul or spirit, or numen as the Japanese call it. Each individual numen combines with all others to form the great life force of the universe. Inasmuch as Japanese people live in an environment in which everything and every event has a purpose as an expression of this life force, the meaning of work for them becomes unique. Work is understood to be a self-expression of the great life force, and Japanese people unconsciously, and sometimes consciously, try to unify themselves with the great life force by concentrating on their own work. (Mckinley, 2006)
Emphasis on groups is the second aspect of transcendentalism that affects Japanese working practices, and therefore ethics. Individually the members of the group are not expected to be able to connect with the numen of the universe in the same way the group can. The group is considered superior to its members and the only way for the members to connect to with the life force is through group activities.
There are four levels or rings that encompass all the different groups – family, fellows, Japan and world. Japanese businesses are likely to assume different ethics or moral practices with each circle. The family circle consists of closely-related business partners, while the fellow circle is made up of cross-share-holding corporations, steady customers, banks, fellow traders and the like. Each member is under implicit instructions to maintain a balance between benefits to the group and debts owed to it. If a company does not offer enough benefits to counterbalance its debts to the group, it is expelled from the group. Third is the Japan circle. In this circle, fellow circle ethics are substantially replaced by the principle of free competition. Competitors, unrelated corporations, ordinary stockholders and so forth all fall within this circle. The last circle is all other competitors around the world. (Mckinley, 2006)
We will want to concentrate on moving at least from the outer circle to the third circle where there is more respect and better ethical practices. If we understand the importance of the long-term reciprocal ethics we can hope that we will be able to move into the fellow circle and be members of the Japanese business community of the companies we deal with. To do this we will also need to remember the crucial Japanese rule of debt repayment. In the US after a debt has been satisfied it is perfectly ethical for a company to step out of the circle and buy a cheaper product than the previous lender offers. However in Japan Company X that has been helped by Company Y when they were in difficult financial situations will not likely abandon the relationship even after the monetary debt has been paid, even if the products are more expensive. Often if the product of Company Y needs improving to meet the standards of Company X, Company X will even help them to improve the product so they can continue to buy from Company Y rather than break the alliance. It is the ethical thing for Company X to continue with the preferential trade status. Companies that act differently are considered untrustworthy in that business community. Repaying debts in this manner is considered fairness in the Japanese culture and is often a stumbling block for non-Japanese companies.
It will be very important for our company to understand these ethics and demonstrate the understanding of the Japanese ideals of fairness. It will be just as important to understand the religious background that has helped establish many of their business ethics if we are to be considered trustworthy and worthy of obtaining the inner circle status that makes doing business in Japan so much easier.

Works Cited
Cohen, R. S. (1995, 01 01). Basic Business in Japan. Retrieved 07 27, 2012, from Cohen International: http://www.rogercohen.com/Basic_Business_In_Japan.shtml
Hofstede, G. (2012, 07 27). Geert Hofstede Analysis for Japan. Retrieved 07 2012, 2012, from Cyborlink.com: http://www.cyborlink.com/besite/japan.htm
Mckinley, J. (2006, 06 31). Understanding the Sources of Japanese Business Ethics. Retrieved 07 27, 2012, from Xing.com: http://www.xing.com/net/bizbookreviews/short-reviews-60/understanding-the-sources-of-japanese-business-ethics-2065211/2065211/#2065211