This time, in succession to No.1 (Nov.'95 issue), we offer you further suggestions and hints about entering the Japanese market:
- If you want to sell your products in the Japanese market, it is not enough just to say "leather bags" or "knitted sweater." There are actually many kinds of leather bags. You should describe "for men" or "for ladies," "formal type," "business type" or "casual type." If you say, "Knitted sweater," people cannot understand whether it is "cut and sewn" or "full fashion." As entirely different selling fields exist in Japan depending on articles, you should mention commodity details instead of merely stating commodity name.
- It is necessary to declare price ranges of your products. The Japanese source will then decide whether to sell them to high-class article shops, department stores or the general mass market in accordance with price range.
- It is important for you to specify where you want to sell your products: to high class article shops, department stores, supermarkets, wholesalers, retailers or trading firms.
- If you already have selling sources in Japan, you should reveal the customers' names in advance to avoid any contacts to the same clients. Some overseas companies brag, "We are doing business with such and such firms in Japan on an OEM basis" and show off their samples. This should definitely be avoided. Japanese enterprises do not trust and do not want to open accounts with overseas companies when establishing OEM trade may lead to the possibility of their samples being shown to other Japanese companies. Unless you hide the samples as "confined items," you cannot be trusted in Japan.
- You should make clear the features of your products, whether cheap price, high quality or points differentiating them from others. If your product has no advantages compared to other articles in the same category, you should compete on price and your products should be so sold cheaply. It is necessary for you to explain any differentiating points in detail. For example, if new materials unavailable elsewhere are used, if the design is unique, if added value exists due to these points, etc. It is important to show the identity of your products. Japanese firms are looking for new items with differentiating points.
- You should not use any terms or abbreviations whose use is limited to within your company in explaining your products, as a third party will not understand them. It is imperative that you explain your products with words that everybody can understand, avoiding specialized terms and abbreviations.
- It is natural that you should keep your word and make any changes promised. Use good commercial sense regarding promised time for samples, delivery time, exact supply of merchandise per sample, etc.
- Nowadays, there is a gap between the products overseas companies want to sell to Japan and those Japanese firms want to buy from overseas companies. Textile goods, garments, sundries and decorative products are the main items that overseas companies like to ex port to Japan, while what Japanese firms want to purchase are more industrial goods and highly technical products or parts. In other words, they want goods and parts that support industry.
- Japanese firms already have overseas supply sources for textile goods, sundries, decorative goods, toys, etc. Thus you should realize that it is very difficult to find new Japanese buyers for these articles. It is best for you to sell what the Japanese market really needs. For this purpose, it is important to grasp the needs of the Japanese market.
- Merchandise which can be produced in large quantities with similar machines and material cost can be made cheaply in Japan. For example, simple cut and sewn knitted sweaters are available more cheaply in Japan. However, knitted sweaters with complicated embroidery or many beads and spangles can be made more competitively overseas, especially in Asian countries, than in Japan. Overseas producers should pay attention to this point.
- Business with the Japanese starts with the exchange of business cards. If you cannot provide your business card, even due to a temporary shortage, it is considered impolite. We advise you to prepare enough business cards before coming to Japan. An American living in Japan for business says, "Making showy business cards and letter heads for your stationery makes it easy for the Japanese to remember you."
- JIS (Japan Industrial Standards) on garments are being revised due to recent changes in Japanese people's physical proportions. The JIS size restudy of grownup men was finished, and that for ladies will be done within this year. JIS dimension revisions not only for clothing, but also for office furniture is now underway. All related overseas producers must get the new JIS and make products that correspond to them. It is essential for you to pay attention to any changes or alterations in the standards in Japan.
- Looking towards the 21st century, it is said that one needs to consider safety, health, comfort and preservation of the environment in manufacturing. Japan is no exception. It is necessary to make and promote products in line with the times.
- As mentioned before, you should understand that many factors must be considered in order to penetrate the Japanese market, such as quality improvement, design development, meeting customers' needs with a wide variety of items in small quantities, speedy production, punctual delivery, etc.
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