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- You have heard about the great market potential in Japan
- for goods and services. There are three basic reasons why
- your firm's products and services should be in the Japanese
- market.
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- First, Japanese consumers, both individual and corporate,
- are spending in record amounts. This recent phenomenon is
- in addition to the high levels of capital investment and
- research and development (R&D) outlays of the private
- business sector, and continues to fuel Japan's economic
- growth. Already, many European and Asian competitors are
- pursuing this trend and have come to Japan in force.
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- Second, there is a massive infrastructure buildup under way
- in Japan as it strides into the 21st century. Trillions of
- dollars are to be spent on airports, bridges, roads, port
- development projects, heliports, buildings,
- telecommunications systems, resorts, retirement
- communities, marinas, conference centers, and medical and
- science cities. Furthermore, the U.S. Government has
- negotiated an agreement with the Japanese Government to
- ensure more opportunities for American firms in the
- Japanese construction market.
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- Third, entering the Japanese market should be regarded as
- an indispensable part of the global strategy of your
- business -- and without a global strategy, it will be very
- difficult to remain competitive in your domestic market
- over the long term. Your firm should be in Japan (1) at a
- minimum, to gather information on the Japanese competition
- and new Japanese technology; (2) to exploit the growing
- Japanese market; (3) to compete with your Japanese
- competition in Japan, thereby enhancing your
- competitiveness and your market share ultimately in the
- United States; and (4) to establish relationships with
- Japanese business and government entities to enable your
- company to work in Japanese-financed development projects
- in third countries. Japan's Official Development
- Assistance (ODA) program is now one of the world's largest
- providers of U.S. Agency for International Development
- (AID)-type grants and loans. Finally, experience gained in
- Japan responding to the severe demands of Japanese
- customers can result in improvements to your products made
- and sold throughout the world. The observation that if a
- company can sell in Japan, it can sell anywhere, is
- basically true.
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