Can Japan Globalize? Arne Holzhausen Editor Can Japan Globalize? Studies on Japan's Changing Political Economy and the Process of Globalization in Honour of Sung-Jo Park With 30 Figures and 32 Tables Springer-Verlag Berlin Heidelberg GmbH Dr. Ame Ho1zhausen Institute for East Asian Studies Freie Universităt Berlin Podbielskiallee 42 14195 Berlin Germany ame2c@ zedat.fu -berlin.de ISBN 978-3-7908-2485-8 Cataloging-in-Publication Data applied for Die Deutsche Bibliothek - CIP-Einheitsaufnahme Can Japan globalize?: studies on Japan's changing politica! economy and the process of globali zation; in honour of Sung-Jo Park; with 32 tables 1 Ame Holzhausen ed. ISBN 978-3-7908-2485-8 ISBN 978-3-662-11285-4 (eBook) DOI 10.1007/978-3-662-11285-4 This work is subject to copyright. Ali rights are reserved, whether the whole or part of the material is concemed, specifically the rights of translation, reprinting, reuse of illustrations, reci tation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Springer-Verlag Berlin Heidelberg GmbH. Violations are liable for prosecution under the German Copyright Law. © Springer-Verlag Berlin Heidelberg 2001 Originally published by Physica-Verlag Heidelberg New York in 2001 The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. Hardcover Design: Erich Kirchner, Heidelberg SPIN 10796394 88/2202-5 4 3 2 1 O - Printed on acid-free paper Preface On September 30th 2000, Dr. Dr. h. c. Sung-Jo Park, university professor for economics, politics and Japanese studies at the Institute for East Asian studies at the Freie UniversiUit Berlin celebrated his 65th birthday. At this occasion, friends and colleagues from Europe, Asia and America joined in writing this book as an expression of the great appreciation that his works, his inspiration and his personality have won in many places around the world. It is a great pleasure for me as the editor to wish my academic teacher and mentor many more years of happiness, exciting projects and love with his family, friends and colleagues to come in the name of all contributors. This book is about Japan and about the process of globalization, bringing together two of the topics Sung-Jo Park has published on widely. After the end of the cold war and the burst of the stock market bubble, Japan entered years of lingering economic crisis and half-hearted reform projects. While U.S. American and increasingly European companies are shaping the new global economy, Japanese firms, which have long been admired - or feared - for their high productivity and ruthless market strategies, are trailing far behind. At the start of the 21st century, hardly anyone is talking about the "Pacific Century" with Japan at its centre anymore. The papers of this volume analyse the causes of the Japanese malaise and discuss the new challenges brought forth by the process of globalization from different viewpoints and different strands of social science. As the legacy of nearly 130 years of catching up and learning from the West is certainly shaping Japan's effort to adapt to the globalization process, arguments about the need of deregulation and transparency or about establishing shareholder and consumer sovereignty are often influenced by general beliefs whether further Westernization is desirable or not. Today, Japan is thus not only discussing recipes to get itself back on growth, but its position in the global political economy in general. Many so-called "Festschriften" include a photograph of the honoured person, his or her long list of publications and at least one chapter describing his or her academic vita, achievements and merits at length. But as Sung-Jo Park is not just one of many professors but an exceptional person - who rather dislikes this kind of academic self-reference -, his Festschrift, too, is rather unusual in this aspect. Instead of these laudatory parts the three appendices shed some light on Sung-Jo Park's multifarious activities, discussing fields so diverse as the German re unification, university reform and Japanese studies in Germany. VI Preface For their help in editing the numerous papers I would wish to thank Barbara Fense, Sierk Horn and especially Benjamin Lunau. Finally, I would also like to acknowledge the generous support for the publication of this book by Folker Streib, the DaimlerChrysler AG and the Schering AG. Berlin, December 2000 Arne Holzhausen Contents Introduction 1 Is Japan Changing? ................................................................................................... .3 Malcolm Trevor Part One: The Internal Preparations I The Economy: Towards the Market Principle? 2 The Government-Industry Relationship in Japan: What the History of the Electric Power Industry Teaches Us ........................................................................... 21 Takeo Kikkawa 3 Buyer-Seller Interaction and Relationship Development in the Japanese Business Market ......................................................................................................... .35 Sam Dzever 4 Restructuring Ii la Japonaise: Supplier Relationships in the Japanese Car Industry in the 1990s .................................................................................................. .51 Arne Holzhausen 5 Japan's Financial Reform ....................................................................................... 67 KurtG6rger 6 Modes of Employment in Japan .............................................................................. 83 Michio Nitta II The Firm: Towards Open Structures? 7 Recent Arguments on Corporate Governance in Japan .......................................... 99 Kazuo Shibagaki 8 Foreign Capital and the Recent M&A Environment in Japan ............................. 107 Shinobu Muramatsu 9 Human Resource Development of Professional Workers in Large Manufacturers in Britain and Japan: A Comparative Study ................................... 121 KazuoKoike VIII Contents 10 Organisational Learning is Dead! Long Live Organisational Learning! .......... 137 JohnB. Kidd 11 Bridging the Gap of Uncertainty: A Fragmentary Case Study of Toyota's Prius .......................................................................................................................... 153 Enno Berndt & Andre Metzner III The Society: Towards Pluralism? 12 Japan's General Elections of June 2000: Revolution or Ripple? ...................... 179 J.A.A. Stockwin 13 Samurai and Sarariiman: The Discourse on Masculinity in Modem Japan ..... 199 Anette Schad-Seifert 14 Technology and Gender in Japan ....................................................................... 213 lise Lenz 15 "Heartful Guidance": Fighting Juvenile Deviancy in a Japanese Community ............................................................................................................... 229 Gesine Foljanty-Jost Part Two: The External Preparations IV Foreign Relations: Asian or Global Leadership? 16 The "New Asianism" .......................................................................................... 245 Peter Duus 17 Japan's Eurasian Diplomacy: Hard-Nosed Power Politics, Resource Diplomacy, or Romanticism .................................................................................... 257 Reinhard Drifte 18 New Networks of Foreign Aid: Cross National Comparisons of Multilateral Development Assistance ...................................................................... 275 Paul KevenhOrster 19 Japan's Image of Europe and Strategies Towards It. ......................................... 291 Andras Hernadi Contents IX V Global Markets: The New Paradigm 20 From Scarcity to Insatiability: Globalization, Lost Variety and the Levelling of Cultural Differences ............................................................................ 307 Galen Amstutz 21 Cosmocorporations and Cosmoconsurners: A Note on the Identity Management of German and Japanese Transnationals ........................................... 321 Sierk A. Horn 22 The Technological Revolution in World Markets - Strategies for Global Company Competitiveness ...................................................................................... 335 Carsten Fussan 23 DaimlerChrysler's Strategy Towards Asia ........................................................ 347 Karin Funke VI Japan and Globalization: Who Shapes Whom? 24 Mirroring Consensus ........................................................................................... 359 JoopA. Stam 25 Transformation of the German Production System "After Japan" in the 1990s .............................................................................................................. 369 Ulrich Jurgens 26 On the Policy of Reserving Different Currencies after the Asian Crisis .......... 379 Yoshiaki Takahashi 27 A Current Picture ofIntemet and E-Commerce in Asia. ................................... 393 Kerstin Teicher 28 Strategy and Localisation in China. .................................................................... 405 Dieter Beschorner & Marc-Oliver Thurner Epilogue 29 Is There a Japanese Economic Crisis? ............................................................... 421 Johan Galtung x Contents Appendices 30 Political-Cultural Aspects of the German Reunification Experience- Possible Implications for Korea? ............................................................................. 429 Ulrich Albrecht 31 Applied Sciences and Global Technology Transfer - A Challenge for Universities ............................................................................................................... 439 Gerhard Ackermann & Wolfgang Jahnke 32 Woriiber sprechen wir? Eine japanologische Uberlegung am Beispiel von "Betrieb" und "Gewerkschaft" ................................................................................ 443 Wolfgang Seifert The Authors .............................................................................................................. 461