Japanese Economy

             Central in the Japanese economy is the family approach. Somebody who joins a company
             joins a family. And there are "families" of companies. The three sacred treasures makes this
             Since you know that you are going to work in the same company until you retire you care
             much more for that the company is doing well. If the company is doing well you get
             bonus(can be considered profit sharing). Up to 30 % of the wage is bonus-based.
             In Japan they have so called J-mode (not H-mode as in the US and European corporations
             with hierarchy) meaning that there is horizontal communications between management and
             workers. The fact that difference in wages are relatively small and that managers often have
             been workers themselves before enables good relations between management and workers. So
             when a decision is to be made everyone is involved because everyone cares.
             Another element of lifetime- employment is that the company teaches you how to work in
             many different ways within the company, but the workers know little about how to work in
             other companies so this creates a loyalty to the company. The company is also loyal to the
             workers and is willing teach them these skills because they know that the workers will stay
             Another thing why workers are loyal to the company. If they stay in the company they get
             higher and higher wages. But there is a movement now towards performance-based pay.
             Same basic idea as above. If you are attached to one company through lifetime employment
             and have learned many different skills there it is natural to belong to a union that negotiates
             with this company. Both management and workers join the union and support it.
             Another central aspect is the keiretsu system. There is the horizontal keiretsu and the vertical
             ...

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Japanese Economy. (2000, January 01). In MegaEssays.com. Retrieved 20:24, October 02, 2026, from https://www.megaessays.com/viewpaper/32065.html