FACULTY BUSINESS AND MANAGEMENT – BA111

INTRODUCTION TO INTERNATIONAL BUSINESS – MGT361

GROUP REPORT: WORLD AROUND YOU (JAPAN)

PREPARED FOR:

DR. SITI NORMAH BINTI AWANG TUAH

PREPARED BY: MBA111 5A

GROUP : GROUP 1

GROUP MEMBERS :

NAMES MATRIX NUMBER

NURULHUDA BINTI JAMAL 2019271852
BALQIS BINTI SAIFUL BAHRI 2019437472
AMIRAH HUMAIRA BINTI ZAINUL AZHAN 2019287224
NOR AKMALIAH BINTI SELAMAT 2019295602
SITI HAFIZATUL NUUR AIN BINTI GHAZALI 2019491784
HANNAH IZZATI BINTI TAJUDIN 2019416806
SUBMISSION DATE: 7 FEBRUARY 2022

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NO. TITLE PAGE

1. COUNTRY BACKGROUND 3

2. LEGAL AND POLITICAL 4–6

3. CULTURE 7 – 10

4. DEMOGRAPHIC FACTOR 11 – 16

5. POPULATION 17

6. RESOURCES 18 – 19

7. MAIN INDUSTRY 20

8. OTHER INDUSTRY 21 – 24

9. MNCs 25 – 26

10. SELF – REFLECTION 26 – 28

11. REFERENCES 29 – 32

COUNTRY’S BACKGROUND

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 Japan is an island country lying on the east coast of Asia and situated in the northwest
Pacific Ocean. Japan is listed as the eleventh most populous country in the world. Their emperor,
Naruhito agreed to the Chrysanthemum Throne at the beginning of Reiwa era, after the
abdication of his father, Akihito on May 1, 2019. Little while, Japan’s current prime minister,
Kishida Fumio since October 4, 2021. Since September 29, 2021, Kishida Fumio has also been
the president of the Liberal Democratic Party which is also called Jimintou, a conservative
political party in Japan.

Asia has the largest continental economy. Including Japan itself, it was one of the largest
economies in Asia in 2018, based on GDP in both nominal and PPP. Japan is a country of 127
million people. It was recorded that Japan’s GDP was second, only to that of the United States,
for most of the post World War period II, one of the world’s economic superpowers. Japan was
moved down to the third place in 2010, where China’s GDP has exceeded Japan's. But, during
the past 70 years as in part the result of partnership between its Ministry of International Trade
and Industry (MITI) and its industrial sector, Japan has been a success for their economy.

After World War II, Japanese firms have been encouraged by MITI to focus on such
basic industries including steel and shipbuilding. To elaborate, MITI used its powers to conduct
the manufacture and investment plan of the country's corporate elite. As a result, Japan has
produced automobiles, consumer electronics and machinery.

In this current era, Tokyo is Japan’s capital city and also known as the world’s largest
metropolitan area with a huge population. Japan’s top five largest cities by population after
Tokyo are Yokohama, Osaka, Nagoya, Sapporo and Kobe. Furthermore, Japan has four main
islands, for example, Honshu, Hokkaido, Kyushu and Shikoku. Besides, Japan is also known as a
fascinating country of economic and business prowess, rich culture, technical wizardry, spatial
conundrums and contradictions. To conclude, for more than 40 year, Japan held onto the title of
the world’s second largest economy from 1968 to 2010.

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 LEGAL AND POLITICAL

Legal

The current Japanese legal system is based on civil law and is structured after legal
systems in 19th-century Europe, specifically from German and French legal codes. Japan's legal
system developed when the imperial government was restored in 1868 as part of the Meiji
Restoration. Following World War II, there was a huge legal reform, and during the Allied
Occupation, the 1947 Declaration was drafted with strong American involvement. Japan's
current legal system is a hybrid of European and American legal systems. Both Civil Law
principles and more recent Common Law features are influenced by traditional Japanese ideals.

The Japanese Judicial System and Judicial Proceedings

The Supreme Court, High Courts, District Courts, Family Courts, and Summary Courts
are the five categories of courts in Japan. Japan has implemented a three-tiered legal system.
Depending on the nature of the case, the court of first instance will be the summary, family, or
district court.

i. Summary Courts

Civil arbitration cases and payment requests are handled by Summary Courts. Summary
Courts also deal with criminal cases involving minor crimes. Civil lawsuits with claims totaling
less than 1.4 million dollars are generally handled by summary courts.

ii. Family Courts

Family Courts will handle cases that involve personal status, family affairs adjudications
and conciliations, juvenile adjudications, and other similar situations.

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iii. District Courts

The district courts handle most civil, criminal, and administrative cases in the first
instance, as well as koso appeals from final judgments of the first instance of civil cases
delivered by summary courts. A Koso appeal is a judicial review of a decision that involves both
factual and legal problems. Except in circumstances where the court has ruled that it should be
heard by three judges, and in certain exceptional cases, most civil cases are usually resolved by a
single judge.

iv. High Court

The high court will hear appeals from lower courts, district courts, and family courts
about final decisions. Criminal cases from the summary courts are also heard by the high court.

v. The Supreme Court

The Supreme Court is the highest and final court in the country, hearing appeals from
high court decisions.

The Japanese Attorney System

Attorney is a person who has the legal right to act for someone else. Their responsibilities
include criminal and civil prosecution, family law cases such as divorce, administrative agency
petitions, out-of-court settlement discussions, legal consultations, and other legal services.

Political

Japan is a political institution with a presidential system. The Emperor is defined in the
Japanese Constitution as "the symbol of the State and of the unity of the people". The emperor
has no real power and just fulfills ceremonial responsibilities. Members of the Imperial Family
also serve as Japan's representatives, receiving high-profile diplomats and foreign guests and
travelling to other countries on diplomatic missions.

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 Political power is held mainly by the Prime Minister and other elected members of the
Diet. The National Diet is formally responsible for selecting the Prime Minister. The Prime
Minister must be a member of the current National Diet in order to become Prime Minister of
Japan. The Prime Minister of Japan is the public face of the country's acting government,
controlling domestic policy and foreign diplomacy.

Nevertheless, Prime Ministers are elected by the Diet rather than elected directly by the
citizens. As a result, whichever party controls the Diet will almost certainly assign their party
leader as Prime Minister. The prime minister can communicate the goals and efforts of the
ministries through the cabinet office, and promote a consistent policy throughout all levels of the
government's departments, by offering advice using the top down approach.

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 CULTURE

1. Group – oriented Nature

Japanese culture emphasizes the importance of working together in groups and

maintaining social harmony. Their social orientation is generally collectivism which mean this
kind of society are usually prioritize their group. Collectivists also often see themselves and
others as members of a collective unit or group which is whether they are in Uchi group or Soto
groups, family groups, or broader social groups. Uchi which mean home, is an in-group that
include family, and close friend as well as co-worker and superior at work. While Soto which
mean outside, is an out-group that include people that we are not close to, foreigners, tourists,
customers and clients. For Japanese people, when they talk to someone from an outside group, it
is important that the outside group is respected, and the inside group remains humble. This is
done through the use of the Japanese language of honor which is "keigo". Nowadays, most
young generation do not embrace this tradition like the older generation did. Even so, the
Uchi/Soto culture is still a large part of the foundation of Japanese business culture.

In Japan, a culture of respecting customers is very important. For them, customers must
be treated with respect. For example, a salesperson is required to use respectful words at all times
with their customers. This is usually done when wanting to talk about an employer or co -worker
where one should speak humbly about their boss and co -workers who are part of the “uchi”
category. For example, if your manager’s last name is “Suzuki”, you would only refer to it as
“Suzuki” in front of your customers and not as “Suzuki-san”. While it feels a bit awkward,
you’re basically just honoring your customers by demeaning your manager’s position.

Back to group-oriented nature, in Japanese primary school, it is crucial to cultivate group

-oriented national cultural norms, and seek harmony to guide them into productive members of
Japanese society. They are also taught that their role is to serve the group. Virtuous values such
as unity, loyalty, and harmony are highly valued and always emphasized in schools. Not only
that, members in group-oriented hold collective responsibility for performance. For instance, if
one or more group members are involved in poor behavior, all other are collectively to be blame.
That way, the embarrassment incurred is minimal and will not leave a traumatic effect on the
employee.

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2. Manners and Etiquette

In Japan, strict codes of conduct and decency are recognized and followed by almost
everyone. Among the manners and etiquette practiced by the Japanese is the culture of bowing.
The Japanese usually greet each other with a bow whenever they say hello, goodbye, thank you,
or sorry. For the Japanese, the tradition of bowing is a term of respect, remorse, gratitude, and
greeting. The bow consists of a small nod of the head suitable for casual and informal speech to a
deep bow at the waist that shows respect. For foreigners, bowing the head alone is enough
because most Japanese do not expect foreigners to know the rules of bowing. There are several
forms of bowing cultured in Japan, such as the 45 -degree “saikeirei” bow which is used for a
while to apologize sincerely or to show the highest respect, or the 30 -degree “keirei” bow,
which is also used to show respect to superiors. For visitors coming to Japan, it is not mandatory
for them to practice the culture of bowing. It is up to the visitor itself whether they want to
practice it or not. When meeting someone in Japan, you may want to give them a small bow, but
you don’t necessarily have to bow to everyone who bows to you. For example, when entering a
shop or restaurant, you will be greeted with a shout of “irrashaimase” (welcome) and a bow from
the staff there as a sign of respect to you as a customer. And as a customer, you will not be
expected to bow back as you will probably face a long bow time as the staff there will feel the
need to bow back to you. It may be easier for you to just use the casual nod version as a sign of
acknowledgment when saying thank you for a purchase made at the end of a shopping activity.
Shaking hands is uncommon in Japan but it is becoming more common for business meetings
with the westerners. When addressing men or women, the honorific suffix “san” are expected to
be used to show respects. For instance, if your business partner’s name is Mr.Yamada, it would
be better to address him as Yamada-san.

Another tradition practiced by the Japanese is to take off shoes before entering the house.
It is customary for Japanese people to take off their shoes when entering a traditional "ryokan"
(guest house), house, temple, or restaurant. In Malaysia, there is also a culture of taking off shoes
when entering the house. Among the reasons Japanese people take off their shoes is because
when entering a house people will sleep, sit and eat on the floor of tatami mats and shoes worn
outside will spread dirt in their residential areas. Even to this day people still take off their shoes

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to keep the interior of the building clean, and also as a sign of respect. Similarly in Malaysia,
some Malaysians will lie down, sit, and even eat on the floor. This is a way for them to
strengthen the relationship between family members by gathering together in the living room,
sitting and chatting or eating together. That’s why it is importance to take of your shoes before
entering the house to keep the house clean from dirt. For visitors who come to Japan, the
tradition must be strange and a bit confusing for them as in their country they usually wear shoes
in the house. Even so, this culture is easily understood and accepted by them. Most visitors may
not find themselves entering too many private homes but perhaps they will find themselves in a
traditional “ryokan” or “minshuku” guest house or entering a temple building. In this case, they
will be expected to take off your shoes. Upon entering a building, visitors will usually find
themselves in the genkan (entrance hall), which is usually on a slightly different level from the
rest of the floor. They may see a sign asking them to take off their shoes. Chances are they’ll also
see a lot of neatly arranged shoes, or maybe an area or locker to put their shoes on. All of this is a
sign that they should take off their shoes before entering the house.

3. Communication

In Japan, the culture of polite communication is very much emphasized, while for them
the style of communication reflects the harmony of society. Generally, the way Japanese people
communicate is non-confrontational and rarely give direct negative responses such as insults,
criticism, or words that could embarrass anyone. To convey something unpleasant, the Japanese
will usually do so by using indirect communication. For some individuals who are unaware of
this custom, it may be a bit difficult for them to read between the lines. Therefore, it is important
to be able to distinguish body language. Usually, to convey intentions in a more subtle way, the
pattern of indirect communication used by the Japanese is to use far fewer words. Among the
indirect communication used are the expression, posture, and tone of voice of the speaker which
is usually used to draw meaning from the actual conversation. According to Erin Mayer (2016),
Japan is among the countries categorized as one of the countries with the highest contextual
culture, where linguistic features are indirect, implicit, subtle, layered and nuanced. This proves
the fact that it is culturally accepted that Japanese people usually prefer to communicate
indirectly. In Japanese literature, metaphors, significant indirect and implicit communication are
among those often used by the Japanese. Not only in written communication, but also in oral

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communication. Generally, the subject will be excluded from the sentence and it is expected that
others will be able to know and understand the same context. Japanese people tend to use
affirmative words as a way to give an opinion, disagreement, or rejection of something. Thus,
when they say something negative and disagree with what is proposed or discussed,
communication in a high context culture can be felt very clearly. For example, when their co-
worker suggests something and they disagree, they may say “I’ll think about it”. This way,
Japanese people show respect and try not to hurt others’ feelings.

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 DEMOGRAPHIC FACTORS

Ethnicity

Ethnic is a social group that shares a common distinctive culture, religion and, language.
Unlike many other countries in the globe today, Japan's population appears to be highly
homogeneous, with ethnic Japanese people accounting for 98.5 percent of the total population.
The Yamato people are Japan's largest indigenous ethnic group, however, the indigenous
Ryukyuan and Ainu peoples make up significant minority groupings. The Japanese (also known
as the Yamato people) are direct descendants of the ancient Yayoi and southern Jomon peoples,
who spoke a proto-Japonic language. The Yamato people are the main population of Japan.
Yamato is commonly referred to as "Japanese people," and this term can be used as a synonym.
The Yamato race consists of people who live in the Japanese archipelago (an extensive group of
islands), where the Yamato sovereignty (ancient Japan sovereignty) was formed, consisting
primarily of people who have lived in the Japanese archipelago. It is also known as the Wajin
race or the Japanese race (a person whose origin is the Japanese mainland). Before the war, it
was also known as Tenson minzoku. Instead of "Yamato race," the phrase "Japanese" (which has
an ambiguous meaning) is used in everyday conversation. Because they reside on an island, the
Yamato race is classed as either agricultural or maritime. The Yamato race is Japan's most
populous ethnic group, residing primarily in the country's archipelago. They also live as Japanese
immigrants in countries around the world, such as Latin America, particularly Brazil, Asia,
Europe, and the United States. Nevertheless, compared to nearby races such as the Han and
Korean races, Japanese immigrants are relatively few. They live as minority races in their
respective nations, such as Japanese Brazilians and Japanese Americans. Today, Japanese or
Yamato can be found all over the world. Yamato culture and language is the Japanese culture
and language.

The Ryukyuans are an indigenous tribe who live in the Ryukyu archipelago, which runs
southwest of Kyushu, Japan's biggest island, towards Taiwan. Okinawa Island, the archipelago's
largest and most populated island, is closer to Manila, Taipei, Shanghai, and Seoul than it is to
Tokyo. The Ryukyuans speak separate languages such as Okinawan, also known as

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Uchinaguchi, as well as Amami, Miyako, Yaeyama, and Yonaguni, which are all regarded
dialects by the Japanese. All are part of the Japonic language family, which also includes the
Japanese language, and have been identified as endangered languages by UNESCO. Secluded by
distance and geography, Ryukyuans have been able to build their own political, cultural, and
religious traditions throughout much of their long history. They do, however, share cultural
features with both China and Japan. Because of their long-standing contacts with China and
Japan, Ryukyuans have been able to build their own political, cultural, and religious traditions
throughout much of their long history. They do, however, share cultural features with both China
and Japan. Though many Ryukyuans have migrated to other regions of Japan, particularly
Tokyo, most Ryukyuans still reside in Okinawa Prefecture, which encompasses the majority of
the Ryukyu archipelago's islands.

The Ainu are Japanese indigenous people who live primarily on the island of Hokkaido,
but also in the north of Honshu, Japan's main island, and on Russia's Sakhalin Island. In Japan,
there are over 24,000 Ainu, with at least 19,786 Ainu living in Hokkaido, according to the most
recent study. Only a small percentage of Ainu people are still able to communicate in their native
tongue, which is classified as critically endangered by UNESCO. Ancestors of the Ainu made a
living by hunting wild creatures in dense forests, catching fish in fast streams, and collecting
what the land offered. The Ainu created a rich traditional culture, including imaginative music,
song, and dance, and established profound beliefs that extended throughout the entire spiritual
world, by cultivating epic sagas to convey history, legends, and ways of life through oral
tradition. Their lifestyles are now widely integrated into Japanese society, but many have tried to
reclaim their lost tradition and culture in various ways. Furthermore, only a small fraction of
overseas employees, mostly Koreans, Chinese, Peruvians, and Brazilians, stay here.

Religion

Japan's two primary religions are Shinto and Buddhism. They have coexisted for ages,
and to some extent, they have even complimented one other. The majority of Japanese people do
not identify as followers of a single religion, but rather integrate multiple aspects.

Japan's traditional belief system, Shinto (meaning "the way of the gods"), predates
historical records. Shinto is made up of a variety of behaviors, attitudes, and institutions that

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revolve around the Japanese land and seasons and their relationship with the people who live
there. Shinto encompasses both traditional Japanese religious practices and the beliefs and
lifestyle choices that go along with them. Shinto is more easily observable in the Japanese
people's social lives and personal motives than it is in a system of formal belief or philosophy. It
is still intrinsically tied to the Japanese value system and people's ways of thinking and doing.
The identification of a heavenly spirit (kami) in ancient old trees, enormous mountains, and tall
waterfalls, as well as celebrations of the seasons' highlights, are all examples of Shinto beliefs
regarding nature. This respect is frequently conveyed by placing a modest shrine close to the
natural element being honored or by garlands of white rope around it. Purification rites and
practices are also part of Shinto's tradition to fight the polluting effects of death and decay.
Shinto, on the other hand, has no moral code, no religious scriptures, and no belief in a life after
death. Shrine Shinto, Sect Shinto, and Folk Shinto are the three primary forms of Shinto. Shrine
Shinto (Jinja Shinto), which has existed since the dawn of Japanese history and continues to this
day, is the principal current of Shinto tradition. Shrine Shinto incorporates the now-defunct State
Shinto (Kokka Shinto) into its structure, which is founded on the absolute identity of religion and
state and has close ties to the Japanese Imperial dynasty. Sect Shinto (Kyoha Shinto) is a
relatively modern movement made up of 13 major sects that developed in Japan around the turn
of the twentieth century, as well as a few more that emerged after WWII. Either a founder or a
systematizer structured each sect into a religious entity. Folk Shinto (Minzoku Shinto) is a sort of
Shinto that is closely linked to the other types of Shinto in Japan. It has no official organizational
structure or doctrine, but it is centered on the reverence of little roadside images and rural
families' agricultural ceremonies. These three varieties of Shinto are related to one another. A
Sect Shinto follower is usually also a member (ujiko) of a specific Shinto shrine, and Folk
Shinto exists as a substructure of the Shinto faith.

The rise of Buddhism in Japan did not result in the elimination of Shinto. Rather, both
religions' pantheons were expanded, with Buddhist deities adopting complementing Shinto
identities and Shinto kami considered to aspire for Buddhist enlightenment. As a result, new
Buddhist converts were not forced to leave their ancient beliefs, and Buddhism was able to
appeal to a broad audience. Buddhism is a religion that provides a spiritual way for overcoming
life's suffering. Samsara, the never-ending cycle of life, death, and reincarnation to which all
beings are subjected, is the outcome of one's karma, which is the sum of one's good and bad

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actions accumulated over many lives. The only way to break free from this never-ending cycle is
to gain enlightenment, which is what Buddhists strive for. A Buddha ("enlightened one") is an
all-knowing person who has attained that ideal state of transcendent wisdom in which the fires of
greed, hate, and delusion have been extinguished, and who, after passing into nirvana ("blowing
out, to become extinguished"), is no longer eligible to rebirth. Zen is a Japanese adaptation of
Chan Buddhism, a school of Mahayana Buddhism which began in China. While Zen followers
trace their teachings back to India, the emphasis on instantaneous enlightenment and a deep
relationship with nature stems from Chinese influences. Individual meditating practice is
emphasized in Chan and Zen, which both imply "meditation." The goal is to achieve self-
realization and, as a result, enlightenment. Rather than relying on strong deities, Zen emphasizes
the necessity of having a heart-mind relationship with a teacher. This enables the teacher to
provide the pupil with valuable spiritual guidance. Rather than explicit and descriptive illogical
conundrums (koan), Zen values intuition. Although Zen had been brought into Japan numerous
centuries before, it was not securely institutionalized until the thirteenth century, when the
warrior class began to appreciate it.

There is a minority of Christians and Muslims. The first Europeans to arrive in Japan
were Portuguese sailors who arrived on Kyushu in western Japan in 1542, bringing with them
both gunpowder and Christianity. Some lords, particularly in Kyushu, as well as Japan's future
leader Oda Nobunaga, welcomed these newcomers for the weaponry they carried with them and
tolerated the missionaries who came along with the gift. The preachers were finally able to
convert a large number of individuals, including members of the ruling elite, in western Japan.
Because Christianity could be publicly practiced, Francis Xavier set out on a trip to Kyoto in
1550 to seek a meeting with the Emperor. Today, about one percent of Japan's population are
Christians and churches may be found all around the country. During the bubble economy,
Muslims in Japan, which is also a Muslim-minority country, increased in number. According to
2016 statistics, there are around 120,000 foreign Muslims and 10,000 Japanese Muslims living in
Japan. Despite the fact that the majority of Muslims in Japan live in the three major metropolitan
areas (Greater Tokyo Area, Chukyo Metropolitan Area, and Kinki Region), the Muslim network
has continued to grow across the country.

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Language

Japanese is the most widely spoken language in Japan. In Japan, as in many other
countries, multiple languages are spoken. The Japonic languages and the Ainu languages are the
two main language families spoken in Japan. Various sub-families of languages and dialects are
spoken in different parts of the country within these two families’ languages. Despite the fact
that they are unintelligible to individuals who speak standard Japanese, the Ryukyuan languages
are part of the Japonic family. There are various dialects spoken in Japan, and some are deemed
endangered by UNESCO due to the national use of standard Japanese in schools.

Around 1901, the elite and middle classes in the Yamanote area spoke the standard
Japanese (hyojungo), which is now recognized as the country's official language. This is where
Tokyo is today, when it became the country's capital at the beginning of the 17th century, it was
known as Edo. Later, in 1901, the Japanese Ministry of Education attempted to establish a
common language among the country's citizens, declaring that the language spoken in the city
would be taught in all institutions. This helped to ensure that there was a national communication
standard, but there was a disadvantage to this strategy. Many other dialects of Japanese are still
spoken throughout Japan, and when Yamanote's, or Tokyo's, Japanese became the standard,
other varieties of Japanese began to be classified as dialects. A hierarchy was re-established.
Students who spoke alternative "dialects" of Japanese at school were mocked and punished as a
result. People whose first language was something else other than standard Japanese felt
ashamed as a result of this.

The Ryukyuan languages are the second subfamily of the Japonic language family. These
are the native languages spoken on the country's Ryukyu Islands. To give an idea of how unique
these languages are, consider the following, UNESCO has classified eight minority languages in
Japan as endangered, six of which are Ryukyuan. There are over 750 local Ryukyuan dialects,
and they are remarkably different from standard Japanese. They are, in reality, mutually
incomprehensible. Individuals who solely speak them are unable to comprehend conventional
Japanese, and vice versa.

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 Ainu languages are another language family found in Japan. UNESCO has also
designated the Ainu as endangered. Ainu languages are spoken by a small number of people in
southern Hokkaido, and they are rapidly disappearing. In 2012, all native Ainu speakers in Japan
were claimed to be 80 years old or older. Some semi-fluent speakers, who were in their 60s at the
time, were also there. If a huge effort is not made to pass it on and keep it alive, the language will
perish. Originally, there were roughly 19 Ainu dialects, but only the Hokkaido dialect survives
now.

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 POPULATION

According to Worldometer's elaboration of the most recent United Nations data, Japan's
current population is 125,871,340. This was ranked 11th in the world, accounting for 1.6 percent
of the total. Japan ranked 11th among countries or territories with populations of 10 million or
more, with a population density of 347 per Km2 (899 persons per mi2). Japan's population
remained stable at around 30 million from the 18th century to the first half of the 19th century. It
began increasing in unison with the attempt to construct a modern nation-state after the Meiji
Restoration in 1868. It exceeded the 50 million mark in 1912, and it surpassed the 100 million
level in 1967. After that, Japan's population growth slowed, with the rate of change hovering
around 1% from the 1960s to the 1970s. It has been steadily declining since the 1980s. Japan's
overall population was 127.09 million in 2015, according to the Population Census. This marked
the first population fall since the Census began in 1920, with a decrease of 962,607 individuals
compared to the previous Census (2010). It was 125.71 million in 2020, down 0.46 million from
the previous year.

Japan had a standard-shaped pyramid with a broad base in 1950, as seen by the
population pyramid. However, the form has shifted considerably as both the birth and mortality
rates have decreased. In 2020, the elderly population (those aged 65 and up) accounted for 36.19
million people or 28.8% of the overall population (1 in every 4 persons). In Japan, however, the
child population (0-14 years old) reached 15.03 million in 2020, accounting for 12.0% of the
overall population. The population of productive age (15-64 years old) accounted for 74.49
million people or 59.3 percent of the total population. As a result, the dependent population ratio
which is the sum of the elderly and children divided by the productive-age population was
68.8%.

Tokyo Metropolis has the highest population of 13.52 million among Japan's 47
prefectures in 2015, followed by Kanagawa, Osaka, Aichi, and Saitama in that order. Each of
these five prefectures had a population of at least 7 million people, accounting for 36.4 percent of
the total population. Furthermore, at 6,168.7 people per square kilometer, Tokyo Metropolis has
the greatest population density among Japan's prefectures. This was over 18.1% higher than the
national average (340.8 persons per square kilometer). In the late 1950s, the proportion of people

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living in cities began to rise. In 2015, the three largest metropolitan areas of Kanto, Chukyo, and
Kinki together accounted for 51.9 percent of the total population.

RESOURCES

Japan is yet to be the most developed country in the world as they are way ahead of us in
any form of state. The high technology used in this country is beyond of what we could ever
think of and how they maintain the consistency and prevent any losses of source. As we all
know, Japan is famous for their strong job integrity in working as teammates and how they have
the highest of etiquette which we should all take it as an example. What more could impress us
than how this country manages their resources and make use of their limited sources to embody
power supply. Imagine being the tenth largest country in the world but manages to survive with
the limited of resources. Mining and quarrying were once Japan’s technique in obtaining
minerals such as coal, zins, lead, copper, gold, silver and many more. As time passes, they no
longer feel the need of mining as they thought of it as inefficient and that it is inconsequential.
Therefore, they implemented a way to assemble mining as a marginal operation.

Despite coal being the primary resources of Japan, there are times when they are facing
high competition in importing cheaper coals from other countries with the same quality.
Therefore, it has been decided that the coal industry stays inefficient and that they focus more on
other resources. The main source of power for Japan mainly comes from oil importation.
Throughout the years, Japan predominantly imports oil from foreign countries and continue to do
so in the time being. Oil production in Japan is lower than any other country with the ranking of
being the 44th place. Their oil production per day only consists of 123,525 barrels (Worldometer,
2016). Hence why they largely import oil from Middle East countries to produce energy from it.

Other than importing oil, Japan also imports natural gas to produce hydrogen fuel.
Japan’s main natural gas plantation is located in a state called Fukushima. It has been stated that
it is the largest facility recorded in the world. The name of the center is Fukushima Hydrogen
Energy Research Field (FH2R). This is where they captured and stored the natural gases that has
been imported. In addition, Japan has clarified to have over 160 stations of hydrogen refueling
station across country. The reason behind of this country towards focusing on the use of natural
gas is, they are introducing the benefits of hydrogen gas and that it cuts cost even more rather

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than utilizing other resources. Hydrogen gas does not mainly focus on generating fuel gas, it is
also used for electricity as well for the heat industry. They make use of hydrogen fuel as primary
for the country when they reduce carbon emission up to a total of 46% within the year 2030.
Japan also recorded as the country that has the highest consumption of natural gas. Other
countries should take an example from Japan and start to implement their strategy on make use
of natural gas.

Other than the renewable energy, Japan has their other natural sources such the ocean and
forestry industry. Japan is a country where they highly focus on reserving nature resources and
maintain its habitat to the finest as they treasure it more than ever. Japan may not be rich in
nature resources like other countries, nevertheless they are managing to develop more of the
sources and increase the greenery in every state as well as knuckling down in saving the
environment more.

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 MAIN INDUSTRY

Japan has one of the largest and most developed economies in the world. It has a well-
educated, hard-working workforce and one of the largest consumer markets in the world due to
its large and wealthy population. Japan's economy was the second largest in the world (after the
United States) from 1968 to 2010, when it was overtaken by China.

1) Manufacturing

Manufacturing has been the most prominent and world-famous feature of Japan's economic
growth, with a variety of high technology industries having great success. Today, Japan is a
world leader in technological development in a variety of manufacturing sectors, currently
primarily focused on high-tech and precision products. So, it is no surprise that Japan is the third
largest automaker, producing 9,278,321 cars in 2015. Shipbuilding, robotics and electronics are
other well-known manufacturing industries in Japan.

2) Tourism

Japan is the most amazing tourist destination, and it offers many unique experiences that
you cannot find in any other part of the world. The culture of this country is an interesting blend
of Eastern traditions and Western modernity that can be seen everywhere. Japan is one of the
oldest civilizations and has a beautiful and diverse history such as Tokyo, Kyoto and Osaka
cities.

Japan has a dynamic tourism market and is becoming an increasingly attractive

destination for international travellers. Japan's tourism industry encompasses a variety of sectors
and businesses, including restaurants, hospitality, transportation, travel agencies and parts of the
leisure industry. Therefore, the tourism industry is important to the leisure sector and the

20
Japanese economy. The tourism industry also serves as a bridge for cultural exchange. The
industry has grown throughout the year. The tourism industry has high growth potential and is
considered a possible driver of the Japanese economy. This is reflected in the Japanese
government's active efforts to promote and expand tourism, particularly inbound tourism.

OTHER INDUSTRY

1. Food Industry

With the second highest food consumption percentage at 23% after China which has 38%
market share and Korea with 4% while other countries account for about 32%, Japan has become
one of the second largest food industry markets in Asia. The food industry in Japan ranks third in
the manufacturing industry after electrical industry and transportation. Japan has produced a
wide variety of food products. From traditional Japanese foods such as soybean paste or known
as “miso” and soy sauce, to beer and meat. In the 1980s, the food industry in Japan experienced
moderate growth especially the development of new products such as “dry beer” and pre-cooked
foods, which were increasingly used due to the tendency of family members to prefer to eat
separately. This leads to the trend of smaller families, and convenience. Among the common
features found in all sectors of the food industry is their internationalization. This can be seen
when most food makers more frequently produce foodstuffs overseas, promote relationships with
overseas firms, and buy firms overseas. This is because domestic raw materials are beginning to
lose price competitiveness following import liberalization. The Japanese food industry has
reached a value of up to $ 600 billion while food processing has reached a value of $ 209 billion
in 2004. This amount is comparable to the food industry in the United States and the EU. The
Japanese food industry also began to develop lots of sugar confectionery products.

Based on the data from MAFF, Japanese people prefer to spend more on food grains
which account for 32% followed by vegetables at 14%, dairy products 11%, seafood and fruits
7%, meat 5%, and other products at 24%. The study also showed that 47% of Japanese
consumers prefer to shop for their retail needs in supermarkets while 32% of customers choose

21
GMS and 7% go to CVS. 5% of the total consumption market share are those who shop in
smaller supermarkets. By 2020, Japan’s food processing industry has produced a total of $ 218.3
billion of food and beverage products, of which the amount shows a decrease of up to 1.1% from
$ 220.8 billion in 2019. The post-COVID-19 pandemic has limited eating out and led to an
increase in cooking house. This is because most countries have taken action to implement
lockdown to prevent the pandemic from spreading further. Thus, the large decline in total
production of soft drinks, juices, water and alcoholic beverages could be offset by developments
in sales of wheat flour, dairy, health foods, and convenience or pre-cooked foods. The ongoing
pandemic has contributed to an increasing trend in frozen food consumption over a decade,
which has jumped from $ 5.56 billion in 2010 to $ 6.57 billion in 2020. Thus, the United States
with a reputation for safe and reliable high -quality food is a partner Japan’s number one
agricultural trade. Among the leading Japanese companies that carry out food processing
activities are Suntory, Asahi Group Holding, Kirins Holding, Kubota, Hanwa, and many more.

2. Biotechnology and Pharmaceutics

In the late 1980s, the biotechnology and pharmaceutical industries began to experience
strong development. Japan has one of the most advanced biotechnology sectors in the world and
this is evidenced by the high number of patents filed. In 2013, the number of bio -business start -
ups began to peak and now several foreign firms are trying to enter the world market.
Biotechnology research and development is progressing well and this also includes the launch of
marine biotechnology projects, with full-scale commercialization expected to have taken place in
the 1990s. Among the areas covered in biotechnology research are agriculture, livestock,
pharmaceuticals, chemicals, food processing, and fermentation. Biotechnology is also used to
improve the properties of bacterial enzymes to further improve amino acid fermentation
technology, an area in which Japan is a world leader. Still, the government warned Japanese
producers for being too optimistic about biotechnology and bio-industry. In the 1980s,
competition between researchers in Japan and abroad intensified which later led to patent
disputes which in turn forced some companies to abandon their research. Not only that,
researchers are also beginning to realize that the development of such drugs continues to present
new complexities that require more technical discoveries than expected. Despite the difficulties,

22
the researchers still believe that such research and development is still expected to be successful
and end with the commercialization of the product in the mid-term.

In 1989, the expansion of pharmaceutical production was estimated to increase by 8%

due to increased spending by Japan’s aging population. This gives encouragement to leading
manufacturers to actively develop new drugs such as drugs for degenerative and geriatric
diseases. To coordinate product development, pharmaceutical companies have created a tripolar
network that can connect Japan, the United States and Western Europe. With sales reaching $ 60
billion which is about 11% of the world market, the Japanese pharmaceutical market has become
one of the second largest individual markets in the world in 2006. Several international
operations research companies in Japan are still actively seeking collaboration opportunities with
new and innovative pharmaceutical companies. On January 6, 2001, Japan’s Pharmaceutical
Industry and Law was ruled by the Ministry of Health, Labor, and Welfare to reorganize
government ministries. This highly specialized program was established by a merger of the
Ministry of Health and Welfare, and the Ministry of Labor as part of a Japanese government
program. Among the leading biotechnology and pharmaceutical companies in Japan are Takeda
Pharmaceutical Company, Daiichi Sankyo, Astellas Pharma, Chugai Pharmaceutical co., and
Merck.

3. Textile Industry

Japan is the 3rd largest importer of Textiles and Apparel (T&A) in the world with an
import value of US $ 37.14 billion in 2019, which is higher than its value in 2015 of US $ 35.37
billion. Meanwhile, Japan's T&A exports, which amounted to US $ 7.74 billion in 2019, were
slightly lower than their 2015 total of US $ 7.84 billion. Among the top five Japanese suppliers
that have accounted for about 80% of Japan's total T&J imports is China which has dominated
with a 56% share worth US $ 20.7 billion followed by Vietnam with a 14% share. Meanwhile,
with shares valued at 4%, 3%and 3% respectively, Indonesia, Bangladesh and Myanmar are
competing closely with each other. With a share of 75%, apparel has become one of the most
dominant categories in Japanese T&A imports. Then followed by Other Textiles which includes
home textiles and other textile materials not consisting of Cotton or MMF by 10%, Man -Made
Textiles (MMF) by 9%, Cotton Textiles by 4%, and Carpets by 2%. The most top imported

23
categories by Japan are jerseys, pullovers, cardigans, waistcoats, and similar articles made up of
cotton, and manmade fibers.

The Japanese textile industry is innovating itself into an industry specialized in technical
and smart textiles with the aim of being able to survive in the fierce competition of the global
market flooded by cheap textiles from China and other emerging countries. Among the efforts
undertaken by the Japanese to differentiate their textile industry from others is by doing
innovations such as synthetic spider silk and wearable health monitors. Over the past ten years,
both in fast fashion and home interiors, the rapid establishment of new European retailers has
taken place in the Japanese retail market. The success of European retailers entering the Japanese
market has certainly benefited Japanese consumers by offering them better options, better prices,
and new products not available in the market before. And in general their entry also benefits the
Japanese economy. For example, it created many jobs and helped revive many cities that had
previously suffered a decline. In Japan, the production of the leather industry is in relatively
small quantities and this industry is dominated by SMEs. Demographic changes as well as
declining sales have caused the customer base to shrink in the near future. Despite that, the
increase in incoming tourism and the promotion of leather products with the “Made in Japan”
label has helped the leather industry to recover and thrive again. Apart from the production of
genuine leather, Japan also produces a large amount of synthetic leather. The development of
high quality and fine -textured synthetic leather is said to have great potential in the luxury
fashion market.

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 MULTINATIONAL CORPORATIONS

Japan being the best-known country with multiple of multinational corporations all
throughout the entire world. One of the examples of their industries that went international are
the automotive companies. Japan has been assembling high quality of automobiles within
centuries and they continue their journey on this very day. One of the automotive companies that
is largely know are Toyota, Honda, Mazda, Suzuki and Nissan. Not only that they are well-
known for it, but Toyota is also one of the largest automotive companies with the production of
over 10 million automobiles per year (Toyota, 2021). Toyota has yet to surpassed other
automotive companies and proves how this particular brand has features of top-quality vehicles
and manages to go globally all around the world.

Next, Japan has produced electronic brands that are internationally known such as
Panasonic, Toshiba, Sharp, Mitsubishi and Sony. These brands have been the top notch among
other electronic brands as they produce products such as home appliances that are high in
technologies and suits the needs and demands of every household family. They have been
ongoing in developing their brands to the fullest as they are striving to innovate more electronic
products. Investing in these brands on short term would have the benefit of it as they have
features that is environmentally friendly, high in endurance and affordable to own.

25
 Moving on to the next multinational corporations are Japan’s construction companies.
There are several construction companies in Japan that have been widespread across other
countries such as Kobe Steel, Nippon Steel, Obayashi, Kajima and Taisei. These companies do
not only supply steel products mainly for machinery, but they also contribute to industries such
as textiles, electronics and many more. Even though these companies are providing the same
product and services, the high competition among them are healthy and there are no term of
winners or losers. That is how we know Japanese people are dedicated to help each other out and
strive for their goal and achievements together as a team.

The following industry for multinational corporations is retail companies. There are
companies such as Aeon Group, Uniqlo, Daiso, 7-Eleven and Muji. As we know these company
are widely popular here in Malaysia and other countries. Their product and services include of
clothing, home appliances, food and beverages, and value supermarkets. These retail companies
are set to fulfill the satisfaction and needs with purchasable prices towards the society. The
concept of their retail companies mainly focuses on pleasurable and simplicity. It only involves
minimal yet full of Japanese concept which we find it full of beauty and originality. Not only
that, but their products are also highly functional and provide easiness for our daily lives.

SELF – REFLECTION

NURULHUDA BINTI JAMAL (2019271852)

First of all, I would like to thank Dr. Siti Normah Binti Awang Tuah for sacrificing her time and
energy in teaching me and my classmates the subject of International Business, during this
virtual learning session in this 5th semester. I would also like to thank my teammates for their
hard work in preparing this report in such a short period of time. Throughout learning about this
subject, I was able to learn various new things related to business culture in foreign countries,
how to survive when working abroad, learn about foreign culture, and many more. Indeed, the
knowledge I received is very useful and interesting because I do have the desire to work abroad
or just travel. This subject is also a very fun subject because I get to learn a lot of new
information about others countries for example their currency, their environment and others.
During the period of completing this report, I was able to learn about the culture of the Japanese

26
people, the industry they are involved in, their political laws and many more. It is proven that
this report helped me in learning many new things about Japan country.

NOR AKMALIAH BINTI SELAMAT (2019295602)

Since Japan is a developed country, I believe that the country’s criminal justice system reflects
the values and needs of its citizen society under a democratic society. Therefore, to minimize
crime in Japan, the rules are stricter and every accused will be considered an offender. As such,
the process of investigation and negotiation in court is done according to the level from the lower
court to the high court. If found guilty, they could face up to 30 years in prison. This should be
emulated in Malaysia because Japan is one of the safest countries in the world.

SITI HAFIZATUL NUUR AIN BINTI GHAZALI (2019491784)

Based on my learning about Japan especially in the main industry is queit amazing with this
country. there are because Japan have an advanced technology among other country and have
export their product in most of country such as Australia, United State and also Malaysia.
Malaysia should plan more strategiest to become advanced like this country in sector
manufacturing in the future. Their another main industry which is tourism in Japan has not been
expressed because this country is most of one beautiful country in all seasons until attract most
people around the world to visit Japan. However, Malaysia is not inferior in this industry too
because Malaysia have many attractive and amazing place for visit such as Langkawi Island and
Perhentian Island. Besides, Malaysia need to more open with promote what we have to attract
tourists in another country. So that, we can increase our economy income beside establish
another cooperation and maintain national security.

BALQIS BINTI SAIFUL BAHRI (2019437472)

Although virtual learning is essential in this case, I'd want to express my gratitude to Dr. Siti
Normah Binti Awang Tuah for teaching me this course, International Business, this semester. Dr.
Normah has been quite helpful in terms of offering advice and encouraging me to finish this
course. Dr. has been really helpful in preparing me for this course. This subject has taught me a
great deal about international business. International trade has an impact on the occupations,

27
careers, and livelihoods of almost everyone on the earth. For some, commerce is a source of
opportunity, while for others, it is a source of threat. International trade accounts for over a third
of global economic activity. Furthermore, the subject's assignment has expanded and enhanced
my knowledge when it comes to the country that my group selects, as I can relate to the topics
I've previously studied. Not only can I learn about the facts of international business, but I can
also apply what I've learned to the countries that have been assigned as assignments with this
project. Last but not least, I'd want to convey my sincere appreciation gratitude to Dr. Siti
Normah Binti Awang Tuah, our International Business lecturer.

HANNAH IZZATI BINTI TAJUDIN (2019416806)

My thoughts on how Japan manages their resources is tremendously impeccable. A country that
is large in population but only gifted with small number of resources has yet proved to excel any
other countries in the world and being the most developed and updated with their high
technology that is referred as Japanese technology. Japan is well-earned of their ways in
generating and processing their resources as they predominantly secure the energies as well as
ensuring to unharmed the environment. Next, Japan’s reputation being the hi-tech country with
the most advanced mechanics are how they manage to surface their products, services,
electronics, clothing and food culture into internationally recognized. Not only that their products
and services are well-known across country, but it also comprises of high quality. The
multinational corporations in Japan have brought nothing but functional and easiness to everyone
throughout the entire world.

AMIRAH HUMAIRA BINTI ZAINUL AZHAN (2019287224)

For the whole two years, I have learnt sundry challenges of learning online especially from the
side of time management. As we know, learning virtually is not as easy as learning physically.
Teaching online also needs a lot of effort and from here, I would like to take my opportunity to
thank our lecturer, Dr. Siti Normah Binti Awang Tuah for giving her time by teaching this
subject, Introduction to International Business (MGT361). This subject has enlarged my

28
knowledge about how international business works. After learning this subject, Chapter 11: The
Roles of Culture has been my favorite topic so far. This chapter has given me a new
understanding towards culture in different types of countries, especially from the side of
communication, religion, and values and attitudes. I have been dreaming of staying and working
in Japan. The dream was born when I was in high school. If I have my chance, I hope that I can
grow my business there. Last but not least, I would like to thank Dr. again for teaching me for
this whole semester. Thank you Dr.

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