Development of Japanese Marketing after World War Ⅱ

60
Japanese Way of Marketing No.2: Development of Japanese Marketing after the Second World War Kazuo Usui Doctor of Commerce Dean, Professor of Marketing Faculty of Economics, Saitama University, Japan

Transcript of Development of Japanese Marketing after World War Ⅱ

Page 1: Development of Japanese Marketing after World War Ⅱ

Japanese Way of Marketing No.2:

Development of Japanese Marketing after the Second World War

Kazuo Usui Doctor of Commerce

Dean, Professor of Marketing Faculty of Economics, Saitama University, Japan

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Represents the route of main influences

Figure Int.1 The concept of consumption patterns Note: The consumption pattern is composed of the mode of consumption and consumption choices. The marketing system mediates between the mode of

consumption and the consumption choice, by taking and utilising some elements from the mode of consumption and shaping attractive marketing strategy.

The domain of availability of offerings,

the places for purchase, and the ways of use

and disposal

The relationships of consumers with others

during the act of consumption and with consumption itself

Consumption choices

Represents the route of reactive influences

Agenda

III. After the Second World War

5. ‘Super’ (not supermarkets) 6. Convenience stores

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Represents the route of main influences

Figure Int.1 The concept of consumption patterns Note: The consumption pattern is composed of the mode of consumption and consumption choices. The marketing system mediates between the mode of

consumption and the consumption choice, by taking and utilising some elements from the mode of consumption and shaping attractive marketing strategy.

Consumption patterns

Marketing system

The domain of availability of offerings,

the places for purchase, and the ways of use

and disposal

The mode of consumption The relationships of consumers

with others during the act of consumption and

with consumption itself

Offerings

The places for purchase

The ways of use

The ways of disposal

Consumption choices

Represents the route of reactive influences

5. “Super”

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High Economic Growth Period

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The picture shows a migrant group composed of new graduates, who have appointments for new jobs in the Tokyo area, just leaving their hometown, Fukushima.

A Migrant Group just Leaving a Rural Station of Fukushima (1st April 1956)

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After the defeat at World War II,

a new Westernized lifestyle rapidly

spreading during the 1960s

Large-sized housing complexes (danchi) constructed to solve a shortage of housing:

Hibari-ga-oka Danchi 1959

A young couple eating Japanese food while sitting on chairs by a Western-styled table of higher

height, and not kneeling on tatami-mats as before. They wore Western-styled clothing as well.

The Crown Prince and Princess visited danchi 1960

The So-called “Dining Kitchen” 1956

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Start of Self-service in Japan

A fruit shop started in 1910 Kinokuniya began to sell vegetables/fruits to the PXs (Post Exchanges), the stores inside the bases of the American occupational army around 1947, and Observed the self-service food store, named Commissary, there.

NCR Japan began to support the introduction of self-service stores in order to sell their cash registers to retailers. NCR Japan decided to choose Kinokuniya as a possible model case and proposed the idea to Kinokuniya’s owner in 1953.

NCR Japan

Kinokuniya

Preparing many new factors untried by traditional Japanese retailers, such as gondolas to display goods, price tags, shopping bags made of craft paper, shopping carts, and sales floors made of terrazzo that could cope with the weight of shopping carts, Kinokuniya opened the first self-service store with 132m2 sales floor space in November 1953.

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Piggly Wiggly Store: The First Self-service Store

In 1916, Clarence Sanders founded Piggly Wiggly Store in Memphis, Tennessee. Piggly Wiggly was a complete self-service operation in which consumers used large handbaskets to carry the items they selected from the shelves to the checkout counter, paid for them in cash, and then took the groceries home themselves. Piggly Wiggly was successful. The company was operating 2,660 stores and posting sales more than $180 million a year. However, Saunders lost control in a famous Wall Street crash in 1929, and his company was soon carved up and sold off.

Start of the self-service retailing in the USA 1920s

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Michel J. Cullen and Supermarkets

In 1930, Michel Cullen, an employee of the second largest chain grocery-operator, Kroger, wrote a letter to the President to propose the creation of a new kind of food store and ask in interview to explain his view further.

The letter is now called “The Bible of Supermarket.” Cullen did not even get a hearing from the president.

Cullen resigned forthwith and, with the backing of a vice-president of the Sweet Life Foods Corporation, opened the first unit of the King Kullen Grocery Company in August 1930, at 17th Street and Jamaica Avenue in Queens, New York.

KING KULLEN World Greatest Price Wrecker

Start of supermarket in the USA 1930s

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2 stores in 1954

The number of self-service stores increased 40 in 1955 to 139 in 1956, 283 in 1957, 562 in 1958, 1,036 in 1959, and 1,442 in 1960, according to the Supermarket Association of Japan

1,442 stores in 1960 Spread of self-service stores

The Central Canteen at Yahata Steel Factory 1956

Hatoya (later Nichii, then Michael, Aeon) began to sell

clothing by self-service

Store of the Consumer Cooperative Society, Kikuna, Yokohama 1954

M. M. Zimmerman, a leading professor of supermarket in the USA,

visited Kinokuniya in 1960

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Start of Daiei In September 1957, Isao Nakauchi (1922 – 2005) opened a drug store with 53m2

sales floor, named “Daiei, the Store for Housewives” was opend in Senbayashi, Kobe, Non self-service method

In April 1959, “Daiei San’nomiya Store” opened a food store with 396 m2 sales floor First introduction of the self-service method

Isao Nakauchi, Discount is My Philosophy, Tokyo: Nikkei Newspaper Publishing, 1969. “Moneymaking is possible only by respecting consumers”

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Introduction of the concept of SSDDS: Toward the Japanese “Super”

In 1962, Uichi Kitazato introduced “SSDDS” in the magazine Economist (a Japanese journal).

Uichi Kitazato was a pen name of Hajime Sato. A famous business commentator, part-time lecturer of Tokyo University, the Head of Research Institute on the Distribution Industry established by Seibu Group

“If we could recognise supermarkets, which were born in the 1930s and merged into the American way of life as far as eating habits are concerned, as the flag-bearer of the first commercial revolution, it is the SSDDS that should be the real champion of the second commercial revolution (Kitazato 1962: 8).

Inspired by development of a discount department store, E. J. Kovett, which expanded a chain network composed of 17 discount department stores around New York from 1954 to 1962, Kitazato emphasized ---

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Start of the SSDDS Seiyu Store started the SSDDS in Tokyo, 1962 Ito Yokado developed the SSDDS, 1962-63 Daiei changed the San’nomiya Store to the SSDDS, 1963

6th floor Parking lot 5th floor

Bargain space, fabric, fabric for women 4th floor

Gifts, stationery, toys, sporting goods 3rd floor

Japanese kimono, clocks, camera, hats for ladies, accessories, shoes for ladies, Japanese sandals, records, precious metals, clothing for rent, seals and stamps

2nd floor Clothing for women, underwear for women, lingerie, foundation, swimming suits for women, notions for women, miscellaneous goods for women

1st floor Imported goods, sweets, juice, bread, dairy products, instant coffee, canned products, mix powder, luxury drinking

Basement Meat produced in Kobe, Hams and sausages, eggs, fruit, food boiled down in soy (tsukudani), seasonings, bar for light meals

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Start of the SSDDS

The new format, SSDDS started: In September 1962, Seiyu

Store started the SSDDS in Takadano-baba, Tokyo

In 1962-63, Ito Yoado developed the SSDDS

In May 1963, Daiei changed the San’nomiya Store to the SSDDS with 5,672 m2

Daiei San’nomiya Store, the first SSDDS

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People began to wear ready-made Western-style clothing, especially made of synthetic fibres, almost all the time, not only on some special occasions.

From the pharmaceutical sector

Subsidiary of department stores

From the clothing sector

Daiei Seiyu Ito Yokado, Aeon, Uny

“Super” (SSDDS-type stores) provided everything that people needed in their usual life

Esp. Clothing

The origin of “super” was not food merchants

The percentage of sales of clothing was high at first

Migrated consumers to urban areas needed not only foods, but also Western-style ready-made clothing and other everyday items

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“Super” as General Super (“Sogo Super”)

The SSDDS format spread all over Japan These stores were simply called “super” It introduced the self-service or semi self-service system Departmentalized sales floors in a several-story building The store networks expanded as cooperate chains to all over Japan Appeal of low prices in the early stage This format was called “general super” to distingusish from supermarkets

focusing on foods (“foods super”) like Yaoko or Maruetsu

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UK Superstore: Sainsbury

Foods plus nonfoods, but in a one-story building

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Private Brand Strategy

The jointly developed brand with Nisshin Seifun “Groceries Flour”

Daiei sold private brand flour “Venus”, sourced from leading manufacturer, Nissihin Seifun, the top manufacturer of flour milling, and sold a 1 kilogram package at 59 yen (national brand sold at 62 yen) in 1965 This was the early attempt for joint brand development with a leading manufacturer

The jointly developed brand with Toyobo, the top manufacturer of synthetic fiber “Blue Mountain Cutter Shirt”

Buying at 565 yen and selling at 680 yen in 1961 Sold 1,000,000 for 3 years

The jointly developed brand with Gunze the top manufacturer of underwear “Bunze Blue Mountain”

50% of underwear were Blue Mountain brand by 1965

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Private Brand TV “BUBU”

Daiei introduced some electric appliances under the private brand “BUBU”, including TVs, electric fans and electronic calculators TV with 13 inches was sold less than 50,000 yen in 1970 by merging the manufacturer, Crown. The reputation was huge, but actual sales volume was not so good.

TV “BUBU”

Sold “BUBU” at San’nomiya Store Electric fan “BUBU”

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The format SSDDS and Shopping Centres

In 1968 Daiei developed the first shopping centre, Kori (香里)Store at a suburban area in Osaka This was located in a rural area and had a parking lot for 400 cars The premise of shopping centre was 11,500 m2 and had a 4 story building for the SSDDS and a 2 story building for specialty stores

Daiei’s strategy was changing from a discounter to a mature retailer appealing quality and services

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1960 1966 1972 Rank Company Sales Outlets Company Sales Outlets Company Sales Outlets 1 Mitsukoshi 45.3 10 Daimaru 113.4 4 Daie 305.2 90 2 Daimaru 45.3 4 Mitsukoshi 104.4 10 Mitsukoshi 292.4 12 3 Takashimaya 38.5 3 Takashimaya 99.3 4 Daimaru 213.1 6 4 Matsuzakaya 37.0 5 Matsuzakaya 80.7 5 Takashimaya 199.4 4 5 Tobu Dept Store 29.6 3 Daiei 58.0 34 Seiyu Store 166.8 96 6 Isetan 23.4 2 Seibu Dept Store 50.1 6 Seibu Dept Store 155.0 10 7 Hankyu Dept Store 20.9 4 Isetan 47.0 2 Jusco 155.0 131 8 Seibu Dept Store 18.5 2 Hankyu Dept Store 47.0 5 Matsuya 149.3 6 9 Sogo 15.1 3 Tokyo Dept Store 39.8 2 Nichii 144.2 156 10 Matsuya 12.0 3 Seiyu Store 32.0 35 Yuni 126.4 108

1996 Rank Company Sales Outlets Net Profits 1 Daiei 2,505.5 375 0.591 2 Ito Yokado 1,546.4 158 69.645 3 Jusco 1,295.4 240 29.865 4 Michael 1,124.7 142 16.034 5 Takashimaya 1,093.9 19 15.941 6 Seiyu 1,004.6 199 8.502 7 Mitsukoshi 767.2 14 10.704 8 Uni 710.0 133 13.278 9 Seibu Dept Store 618.7 19 5.089 10 Daimaru 509.6 7 4.906

Unit: billion yen, the number of outlets

Changes in the Top 10 Retailers in terms of Sales Volume

The table shows that “super”, composed of SSDDS-typed stores, became dominant in Japanese retailing

shows “super”.

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Represents the route of main influences

Figure Int.1 The concept of consumption patterns Note: The consumption pattern is composed of the mode of consumption and consumption choices. The marketing system mediates between the mode of

consumption and the consumption choice, by taking and utilising some elements from the mode of consumption and shaping attractive marketing strategy.

Consumption patterns

Marketing system

The domain of availability of offerings,

the places for purchase, and the ways of use

and disposal

The mode of consumption The relationships of consumers

with others during the act of consumption and

with consumption itself

Offerings

The places for purchase

The ways of use

The ways of disposal

Consumption choices

Represents the route of reactive influences

5. Convenience Stores

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The Beginning of the Convenience Store The concept of the convenience store format was born in the USA Southland Ice Company in Dallas, Texas, established in 1927

Originally selling blocks of ice to refrigerate foods Began to offer milk, bread and eggs on Sundays and evenings while the grocery stores were usually closed The Tote'm Store was the first name of this outlet

Because customers "toted" (carried) away their purchases Putting up a totem pole in front

In 1946, Tote'm was renamed to 7-Eleven In order to reflect the stores' new extended hours: 7am until 11pm, seven days a week.

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Country Number of Stores

First Store Opened Country Number of

Stores First Store Opened

Japan 12,105 1974 Singapore 435 1983

USA & Canada 6,840 1968/1969 Australia 378 1977

Taiwan 4,800 1980 Philippine 368 1984

Thailand 4,778 1989 Norway 183 1986

South Korea 1,995 1989 Sweden 96 1978

Hong Kong, Shenzhen, Guangzhou & Macau 1,440

1981, 1992, 1996 & 2005

respectively Denmark 131 1993

Malaysia 1,013 1984 Beijing, PRC 65 2004

Mexico 969 1971

World-wide 7-Eleven Stores

As of 1st January 2009 Total: more than 28,900 stores in 14 countries

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Global Licensing System by 7-Eleven

Southland Ice Co. (Dallas Texas, USA) Japan Licenser

7-Eleven Japan

(Franchiser)

(Franchisees)

Licensee

Taiwan

統一超商 7-Eleven Uni President

(Franchisees) (branch stores)

Licensee

(Franchiser) (Head office)

Thailand

CP (Charoen Phokphan) Group

(Sub-area licensing)

(Branch stores)

(Fran- chisees)

Licensee

(Franchiser) (Head office) (Licenser)

(Licensee)

Ito Yokado

(Parent company)

(Subsidiary)

Licensing the exclusive operation in a country

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“Super”

Convenience Store

Original parent company

Current parent company

Number of stores

Sales volume

(mil. Yen)

1 7-Eleven Ito Yokado Seven & i Holdings 12,298 2,762,557

2 Lawson Daiei Mitsubishi Trading Co. 9,527 1,558,781

3 Family Mart Seiyu Itochu Group 7,404 1,334,048

4 Circle K Sunkus Uni Nagasakiya Uni 6,166 1,095,201

5 Mini Stop Jusco Aeon 1,772 302,911

Top 5 Convenience Stores in Japan (2008)

Source: Nikkei Marketing Journal 2009

Top 5 convenience stores were originally started by large-sized “super”

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Why “supers” entered the convenience store business?

Regulation by the Large-sized Retail Store Law (1974 – 2000)

The Large-sized Retail Store was defined as a store with 500 m2

of sales floor space or more

New opening of large-sized retail stores

*Large-sized stores have to have have holidays 44 days (after 1994, 24 days) or more a year. * They also have to close the stores by 8.00 pm basically.

Definition

Regulation

Regulation

Only convenience stores could open and operate their stores with no regulations

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Dense Locating Strategy

When the franchiser recruits a new convenience store, they intentionally select the nearer one in order to concentrate the franchisee’s shops in a certain neighborhood. [Meaning of the “primary trade area”] Those who live within the circle may come to the shop on foot on the spur of the moment to buy something, although those who live outside the circle may be too lazy to come. [Effects] * Consumers’ cognition on 7-Eleven will increase, leading to enhance the probability for consumers to enter the shops * Advantageous for the frequent delivery system and heavy human supports in terms of costs and time

Each black dot represents a 7-Eleven shop. A circle painted in light black is in a radius of 500 meters from the shop. This is called the “primary trade area.”

Koenji

Nakano Asagaya Ogikubo

Nishi-Ogikubo

JR Chuo Line

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Comparing with the USA People go shopping by car More than half stores of convenience stores are located at gas stations. Different meanings of locating “near a residence”

USA: near by car Japan: near on foot [Urban Planning] In the USA, the zoning system, which defines the use of lands, is very strict.

7-Eleven in Seattle USA (2010)

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24 hours TESCO(Edinburgh)

A picture at 11.30am

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New category of “fast foods” at 7-Eleven Japan

[A] Lunch box with rice (obento) This example is called ‘makunouchi bento’, composed of a slice of salmon, a fried prawn, a Japanese flavoured omelette, boiled foods (right side), and rice with sesame and a pickled plum topping (left side).

[B] Rice ball (onigiri) This rice ball has salmon roe (ikura) soaked in soy source inside, and is covered by a layer of seaweed (nori) outside [right picture]. The left picture shows the package of this rice ball.

Development of Japanese-type “fast food” by convenience stores

Pictures reproduced courtesy of Seven & i Holdings.

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Onigiri Producer

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Electronic Ordering System

Reordering products are decided not by the EPOS System automatically, but by person who is responsible for buying.

In the stock book system, stock volume of products should be counted regularly by hand in order to adjust the volumes kept on the book to the actual stock volume (called “stocktaking”) Similar to this stocktaking activity, actual reordering should be made by person, not automatically by the EPOS system, to avoid decision making based on fictional volumes of stock

The person who makes reordering takes a look at actual stock volume of products on the shelves, and decides what items he should reorder and how many, referring on figures and charts of sales trends shown on the electric ordering device

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The Bar-code Label Must be Preprinted In order to get information on sold items, the bar-code labels must be

preprinted on the surface of products or packages Japan set the standardized code, The Japanese Article Number (JAN) Code,

which is compatible with the Universal Product Code (UPC), used by about 100 countries in the world.

The JAN code was set as the JIS (Japan Industrial Standards). However, the JIS is not the law, so that it has no power to force companies to adopt it.

(a) 9-digit manufacturer code Standard type code (13 digits)

(b) 7-digit manufacturer code Shorter code (8 digits)

Standard type code (13 digits)

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The EPOS is the system for retailers, not for manufacturers. The manufacturers were reluctant to preprint the bar-codes in the

process of manufacturing, because it needed extra costs for manufacturers

The problem: Who bells the cat? (An Aesop’s Fable) In 1982, 7-Eleven Japan declared that they

will introduce the EPOS system into all of their stores

They declared they would not buy the products that had no bar-code preprinted Other convenience stores and superstores followed it

Spread of Source-marking by Buying Power of 7-Eleven

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Electronic Point-of-Sales (EPOS) System Unit Store

Store Controller

Franchisees

Headquarter

Data processing

Unit Store

Store Controller

Unit Store

Store Controller

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The JIT Delivery (Small-lot and Frequent Delivery)

Joint Delivery Center

Start Output

Order

Speculation Postponement

11am

Head Office

Franchisee’s Store

4pm/6pm

Franchisee’s Store

Franchisee’s Store

“Onigiri” Producer

10am

Noon/1 am 4am

11am Order

Delivery

7-Eleven delivers fresh foods three times a day to each store

プレゼンター
プレゼンテーションのノート
The advantages of this system can be explained by the principle of postponement and speculation, which was advocated by a famous classical marketing scholar Wroe Alderson originally and refined by Louis P. Buklin. “The principle of speculation holds that changes in form [in the production process] and the movement of goods forward inventories should be made at the earliest possible time” in the production and marketing flows, in order to utilize the scale of economy. However, this must increase the risk and uncertainty costs. The principle of postponement, on the contrary, holds that changes in form and the movement of goods forward inventories should be made at the latest possible time. So “The principle of speculation to be the limit to the principle of postponement, and vice versa.” Generally speaking, all mass marketers must coordinate these principles. Luis P. Bucklin, “Postponement, Speculation and the Structure of Distribution Channels,” Journal of Marketing Research, February 1965, pp.26-31. Wroe Alderson, Marketing Behavior and Executive Action, Irwin, 1957, pp.423ff. In the case of Japanese car industry, based on the mass production system, they postpone their final decisions to produce the completed products as far as possible. This system has been realized on the basis of the long-term and stable relationships between car manufacturers and car dealers.
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Small-lot & Frequent Delivery Box lunches with boiled rice,

sandwiches & various kinds of bread 7-Eleven … 3 times a day Lawson … 3 times a day Family Mart … 3 times a day

Side dishes, Daily food 7-Eleven … twice a day Lawson … twice a day Family Mart … Twice a day

Frozen food, processed food 7-Eleven … 3 times a day Lawson … 3 times a day Family Mart … 3 times a day

Sweets 7-Eleven … twice a day Lawson … 3 times a day Family Mart … 3 times a day

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The different concept of the sales floor

Selling Area Back Room

Back Room Selling Area

Japanese: Convenience store Western: Warehouse retailing

The classical idea about the selling area and the back room

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Efficiency of 7-Eleven Japan

Stock volume

Average sales per day

Average gross margin

1976 1990 1982 EOPS System

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Human Support System: OFCs Salesman, who is called the OFCs (Operation

Field Counsellors), is responsible for 7 or 8 franchisees

He frequently visits each franchisee to give advices, recommendations and information to

franchisees

All of salesmen were summoned to the 7-Eleven headquarters in Tokyo every Tuesday

General Meeting

district Meeting zone Meeting

The company spent about 3 billion yen a year for these gatherings

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Global Licensing System by 7-Eleven

Southland Ice Co. (Dallas Texas, USA) Japan Licenser

7-Eleven Japan

(Franchiser)

(Franchisees)

Licensee

Taiwan

統一超商 7-Eleven Uni President

(Franchisees) (branch stores)

Licensee

(Franchiser) (Head office)

Thailand

CP (Charoen Phokphan) Group

(Sub-area licensing)

(Branch stores)

(Fran- chisees)

Licensee

(Franchiser) (Head office) (Licenser)

(Licensee)

Ito Yokado

(Parent company)

(Subsidiary)

Licensing the exclusive operation in a country

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7-Eleven, Inc. Japan Licenser

7-Eleven Japan

(Franchiser)

(Franchisees)

Licensee

Taiwan

統一超商 7-Eleven Uni President

(Franchisees) (branch stores)

Licensee

(Franchiser) (Head office)

Thailand

CP (Charoen Phokphan) Group

(Sub-area licensing)

(Branch stores)

(Fran- chisees)

Licensee

(Franchiser) (Head office) (Licenser)

(Licensee)

Ito Yokado

(Parent company)

(Subsidiary)

Licensing the exclusive operation in a country

(Parent company)

(Subsidiary)

Global Licensing System by 7-Eleven

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7-Eleven in the USA is changing

Report by Nikkei MJ, 10 February 2004 “The largest convenience store in the USA, 7-Eleven under the umbellate of Ito Yokado Japan, has increased sales by changes in assortments. Similar to the Japanese way, the stores have introduced “fresh foods” such as sandwiches, the products delivered everyday, and added diet-oriented foods and original beers to the product lines. As a result, sales increased 5.2% during October–December comparing with the same period last year. The sales has steadily increased for these 19 quarters.”

Formerly, the top sales item at 7-Eleven was tobacco. The second was milk.

Fresh foods were rarely sold at the convenience stores in the USA.

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45

Development of Japanese-style Marketing in the 20th Century

‘Keiretsu’ Retailing Manufacturers organized retail chain stores

The Japanese way of Self-service Stores

Department Stores

‘Super’

Convenience Stores

Powerful Modern Retailers and the Anti-Department Store Movement

Born in America and Revised in Japan Convenience stores everwhere

1910s to 1930s

1910s to 1930s

1960s to 1970s

1970s/80s to Current Time

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Will small-sized shops be simply dying out?

1,079,728

1,189,045 1,201,273

1,244,629 1,288,292

1,271,975 1,304,536

1,375,394 1,432,436

1,471,297 1,495,510

1,548,184 1,614,067

1,673,667 1,721,465

1,628,644 1,619,752

1,591,223 1,499,948

1,419,696 1,406,884

1,300,057 1,238,049

1,137,859

1,033,358

78,989

118,597 123,200

123,342 130,855

139,533 156,433

174,627 211,929

237,463 265,686

293,923 332,238 380,973 435,822

449,309 503,728

564,642 581,207

586,627 607,401

583,899 578,426 565,969 582,122

1,000,739 1,070,448

1,078,073 1,121,287

1,157,437

1,132,442 1,148,103

1,200,767 1,220,507

1,233,834 1,229,824

1,254,261 1,281,829 1,292,694 1,285,643

1,179,335 1,116,024

1,026,581

918,741

833,069 799,483

716,158 659,623

571,890

451,236

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

Total number of retail establishments

The number of sole proprietorships

The number of corporations

Changes in the number of retail establisments in Japan

Sources: Statisitcs Bureau website (1952 - 2004), e-Stat website, Economic Census 2012 (2007 - 2012)

Year

The number of establishments

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Innovation by small-sized retailers: Importance of Hand-made shops

Source:Census of Commerce

Bread Shops

22,074 24,248

26,246

19,439

16,047

12,896

9,518

6,771 4,742

26,332

21,555

4,037 3,164

3,800

8,688 9,165

10,586

11,055

12,591

11,432 11,744

7,340

0

5,000

10,000

15,000

20,000

25,000

30,000

1974 1972 1976 1979 1982 1985 1988 1991 1994 1997 2002

Bread shops (Hand-made or bakery)

Bread shops (Not Hand-made)

The case in Japan

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Target customers

4Ps (marketing mix)

Product

Price

Place

Promotion

What kind of product do customers want? Features, Quality, Usage, Design, Color, Packages, Brands, Atmosphere, etc.

Product

Price

What level of prices will the customers pay? Appealing to discounting prices Fascination of high prices, such as luxury brands

Place

Where can customers obtain the products? Can you buy automobiles at department stores? If not, why? Vending machines or internet, instead of retail shops

Communication to customers Advertisements Publicity (Information reported by the independent mass media) The roles of traveling salespeople and sales clerks

Promotion

A key is entrepreneurship by marketers

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As early as the sixth century, in fact, there was what might be called ‘a Chinese Japan’; and since 1868 there has been a highly successful ‘Western Japan’. Nevertheless, both these key influences have merged into a ‘Japanese’ Japan.

Braudel, Fernand, A History of Civilization, London: The Penguin Press. (Translated from French into English by Richard Mayne, 1994, p. 276.)

The Essential and Analytical Point of View on Modernisation, Westernisation and Japaneseness

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Modern Japanese marketing and consumption originally developed inspired by the discourse of westernisation/ Americanisation, but also created the Japanese versions of them. Japan looks to be so close to the West, and yet so far away.

Kazuo Usui Marketing and Consumption

in Modern Japan Routledge, UK

2014

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52

Graduate School of

Humanities and Social Sciences

Department of Japanese and Asian Studies

New Graduate School

Department of Economics and Management

Department of Cultural Environment

Master-degree level

Master of Arts (MA) Program in Japanese

and Asian Culture

Master of Economics (MEcon) Program in Japanese and Asian

Economics and Management

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Saitama University

Saitama Prefecture is located in the northern suburb of Tokyo

Saitama Prefecture is a commuting are to Tokyo Easy access to Tokyo Taking about one hour from JR Tokyo Station to Saitama University

One of the national universities in Japan

Each prefecture has one national university Saitama University is only one national university in Saitama Prefecture

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Undergraduate Schools Graduate Schools

Master-degree Doctor-degree

In total Japanese 7,315

In total Japanese 927 135

International 159 International 183 111

Faculty of Liberal Arts

Japanese 809 Graduate School of Cultural Science

Japanese 58 18 International 24 International 49 8

Faculty of Economics

Japanese 1,543 Graduate School of Economic Science

Japanese 54 34

International 53 International 25 6

Faculty of Education

Japanese 2,068 Graduate School of Education

Japanese 149 ―

International 11 International 12 ―

Faculty of Science

Japanese 899 Graduate School of

Science and Engineering

Japanese 666 83 International 14

Faculty of Engineering

Japanese 1,996 International 83 97

International 57 54

Saitama University has 8,377 Japanese students and 477 international students with 455 teachers as of 1st May 2014.

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Scholarship (Government)

I. MEXT* Scholarship * Ministry of Education, Culture, Sports, Science and Technology http://www.jasso.go.jp/study_j/documents/scholarshipse_mext.pdf

On the recommendation of: Embassy Recommendation (Japanese embassy or consulate general recommends someone) http://www.mext.go.jp/a_memu/koutou/ryugak/boshu/ 1333463.htm Domestic Selection (Japanese university in which the student is currently enrolled if he/she is privately-financed and already studying in Japan recommends someone)

II. JASSO** Scholarship ** Japan Student Services Organization

http://www.jasso.go.jp/study_j/documents/scholarshipse_jasso.pdf

Reservation Program for MEXT Honors Scholarship for Privately Financed International Students

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Government Scholarship

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Scholarship (Non-government)

Scholarships Available for International Students in the MEcon Program I. ILEC* Scholarship * Institute of Labor Education and Culture

Awarding a scholarship equivalent to two years’ tuition fees to one international student who demonstrates excellent academic performance.

II. Economics Society** Scholarship ** The Economics Society at Faculty of Economics, Saitama University

Awarding a scholarship equivalent to two years’ tuition fees to one international student who demonstrates excellent academic performance.

III. Partial Scholarship by the Economics Society** ** The Economics Society at Faculty of Economics, Saitama University Awarding 200,000 yen each to ten first-year international students who demonstrate excellent academic performance

56

Non-Government Scholarship

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IV. Non-Government and Private Scholarship Every year, approximately 30 private organizations award scholarship to students. We proactively advertise and recommend international students for these private scholarships.

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Scholarship (Non-government 2)

We welcome your participation with our graduate school !

Your application will be accepted by the end of May. Please check the website:

http://www.eco.saitama-u.ac.jp/graduate/sasem/ryugaku/

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Studying with Japanese Working People The Main Body of Graduate Students of the Department of Economics and Management (called Saitama School of Economics and Management, SASEM) are working people.

They work for Japanese companies, government offices or non-profit organizations, and study at our graduate school in the evening of week days and Saturday. We have arranged a satellite campus, called ‘Tokyo Station College’

You will have several opportunities to talk with them directly through collaborate workshops or other events

Tokyo Station College JR Tokyo Station