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Many economists warn that Europe may soon look like Japan stagnant In fact, Japan could bear to look a little more European or, to be more precise, more German.
Why the Made in Germany label has thrived over the past 15 years or so, as Made in Japan grinds toward irrelevancy more extraordinary, Germany has thrived in a fiercely competitive global environment despite high labor costs an overvalued euro and a number of regional financial crises His secret ADAPT, and innovate so Japan Inc. Can not seem to even contemplate.
German leaders didn t complain about the exchange rate, they saw and restructured accordingly, said Stephen Jen, associated with SLJ Macro Partners in London Indeed, the chaotic state of the world economy seemed to lead this change Germany didn t fight it it was with that.
The pressure just election called by Prime Minister Shinzo Abe is not going to miraculously wake of Japan held its last recession, Japanese companies will have to learn the same lessons from their German counterparts have already Three.
Innovation is adjusted for gross domestic produces 3 6 billion per year and the population of 80 million, Germany could still be regarded as world No. 1 exporter He drags China and the United States of course, but more holds its own in the automotive, machinery, electronics, pharmaceuticals, optical products, plastics and other sectors its success is based on a mixture of design prowess, an intense focus on increasing productivity and upmarket, aggressive investment in research and development, and the former risk-taking in order to exploit its comparative advantages, Germany has cleverly balanced the tension between competitiveness and upping maximize employment.
Japan's products, meanwhile, tend to be inelastic amid global disinflation Executives progressive for improvements to existing products and processes items on the game consumer age Internet changers reward The problem, Jen and fellow FLS economist Joana Freire Argue in report is that Japan Inc fell into a mentality bunt use a baseball term, the goal is not to swing for the fence, but only to get on base, the economists write abenomics, add -they could help remove expectations of deflation macro and micro structural obstacles to this breakthrough rigidities, but something else is needed in Japan must learn to think more ambitiously again.
Small is big plunge 30 percent in two years The yen dampened the urgency of change at Sony, Toyota, giants like Mitsui OSK shipping and construction equipment Komatsu Goliaths like Tokyo should rather support companies as innovator Fanuc robotics, smartphone app creator Colopl, manufacturer of automation equipment and Keyence biopharmaceutical company PeptiDream the kind of companies that make up Japan's Mittelstand.
Small and medium enterprises are the backbone of Europe's largest economy, the German government understands that the age of the application, almost all the job growth comes from small companies Most time in the family, they think long term, competing on quality and creativity more than the price, have strong balance sheets and high levels of participation, and enjoy strong support from the Government of Japan, too, need to save the sub-getters 300 employees who actually innovate, hire and change attitudes.
Think regionally Germany many trades with America and China, Daimler said today may become the largest market for Mercedes next year but the proof, Jen and Freire argue, suggests that the rise to power Germany as a world superpower in exports is due more to regionalization, or to have unhindered access to the European Union, globalization, Japan has relied on.
While completing the trade agreement Trans-Pacific Partnership with the US and other countries would help to open some of the most sclerotic areas of Japan, Abe should also seek to mend fences in Asia and smite all the free trade agreements -trade bilateral he can, including with China.
It should open the door to people too, and property Demography Berlin aren t also say Tokyo's, but with 21 percent of the population over 65 years, against 26 percent in Japan, the nation must be agile in addition to a more welcoming immigration policy, Germany has courted highly qualified new retirees in the workforce and empowered women Tokyo should follow suit on the three counts.
Germany certainly has its problems, not least is a July 6 percent unemployment and the ever-present risk of the new euro crisis and surely, migrant workers from Turkey and other countries legitimate complaints about the conditions they face there, but Germany has more to teach in Japan as how to deal with its past, the country's World war shows how Japan can generate a more dynamic future .
William Pesek is a Bloomberg columnist based in Tokyo who writes on economics, markets and politics throughout the Asia-Pacific region.
Very review helpful We have a saying in the United States, opinions are like ssholes We all have them and they all stink Just say, Article secondly treats some of these former big conglomerates that have a war after pre-war war checkered histories Just as some Germans, like Bayer, Dailmer, BMW, Fokker, etc.
One day we can expect Asian populations may put the war behind them as Europeans imagine a unified Asia e g EU against the West, it would be mind blowing.
Yes, the tiger, you Add to that the kind of Japanese politicians come with them, and even elected officials, then you can see the future if you look at China.
Why not why a unified Europe would America want to keep in mind, as an American I n talk to the US government which is the face of the United States is not to be confused with what the people want or think the same could probably be said of modern China equities governments are not always in the best interest of the people, no matter where they fall on the globe.
A united Asia is probably not a reality right now, but just think of the possibilities if Asia could get on that now are minor differences they overshadow the rest of the world to answer your question why an American wants Asian competition unified breeds innovation, now that most of us see, we have Japan in its twilight, Korea on the start of the downward slope, and China photocopiers running as fast as possible while distracting most people in their most intelligent uS domestic problems will be a unified Asia as an opportunity perhaps the opportunity to focus on ourselves for once in recent decades.
Well, the first thing your government sees a unified Asia is a major threat and it really isn t in your interest to have a unified Asia because Asians are just as xenophobic Americans and Asian countries are countries of immigration, but you're right, it could be a good thing to have, if it were possible that I just don t see how it is possible, since there are still criminals the sanctuaries war that Abe visits each year.
There are serious religious differences in Asia; no love Muslims There are serious antagonism against the Chinese imperialism in Asia; no love Chinese Because of these two reasons, there can be no unification.
Thus, between France there are no serious differences, UK, Germany, Turkey, Italy Start with the fact that the first two were bitter enemies with the third through two world wars before and since Toss in some religious differences Catholic UK France Germany Protestant Muslim Turkey and that the fifth to jump into bed with who has the best idea.
Mix that with several centuries of hatred for another shake twice, throw it on the table, act like adults, get past your differences and what did you people and businesses that can use their leverage as the one for the greater good of the many.
I agree, it is probably unlikely in Asia, but the implications are something.
It was long before he was German Dutch, also before the bankruptcy Damiler-Benz or DASA had an interest, but I stand corrected, I guess the rest of my point is moot.
Poor analysis The author has never been to Germany or Japan and does not know the European economy and the Japanese economy German exports are to the EU and other EU countries can not compete with Germany Germany does not export a lot outside the EU in Japan is not such an empire in Asia Germany has not made innovation, but it has increased the quality of its products that cost much more than the corresponding Japanese products, which do not now have the quality they are all produced in China, not Japan itself German products are manufactured in Germany Despite higher prices, people in EU prefer German products because of its quality and reliability, where few trust the Japanese products in Japan today the products you buy in Germany are mainly manufactured in Germany products you buy in Japan are all made in China it is hardly any Japanese products in the Japanese market.
Not only have I lived for many years in Japan and Germany, but also in India.
Your comment does not describe the reality of Japan or Gremany, it describes what is called thinking in India.
If you have the opportunity to buy a German car or a Japanese car is all Chinese, which one would you buy.
Japanese products are all manufactured in China and therefore these are no quality.
There is almost nothing in the Japanese market are manufactured in Japan.
Odd, in the Toyota US and Honda Lexus Acura etc round still the head of the automotive quality rankings always above German car still Although Ford made inroads into the top finally care to take a guess where Ford, like almost all others make their email even Mustang yes over transmissions has a standard transmission made you guessed China If you make silicon products you d be hard to find somewhere other than China to remove mass production at a competitive price.
Honda and Toyota have received huge fines in the US, I guess because the components Honda Toyota are all made in China It is only in Japanese names.
The fines, if you talk about the issue of acceleration and that was settled, and a number of cases were found to have no merit AUDI reminder if you can, back in the late 80s early 90s had vehicles regularly going through the garage doors perhaps because of China.
My point is that you missed all the automakers are doing things in China Pop the hood of your Mercedes or Ford or Tata, whatever you choose They use all goods come from China.
Honda is fined because of faulty components, of course, made in China and Sanyo Akai went bankrupt, Sony and Sharp are on the verge of bankruptcy because their products are all manufactured in China that will soon arrive in Cannon and Toshiba soon.
Because their products are made in China, they go bust is not because of obviously poor business decisions, lack of innovation and poor implementation of advanced technologies is not because Sony and Sharp been innovated at every turn, forcing them to try and reduce costs by outsourcing to another location.
So your suggestion about Honda means the only reason for their defective components simply because they were made in China really.
I suggest a change in your thinking Honda, Toyota, Sony, Sharp, Toshiba, Canon, Ford, GM, Mercedes, Siemens, Apple, Westinghouse, etc. Have all become obsessed with dividends and their leaders make decisions based on this Furthermore, I would suggest that the Chinese, like any offshore destination in India, Vietnam, Thailand, etc. Are opportunistic and try to execute a specification and save money CEOs like that, they like their profit margins and shareholders care gift t the early ages do not mind that their device does and how it devastates nations they care about return on their money.
I guess what I mean, the problem is not China, you are looking at a symptom of China's problem is simply a symptom to reduce costs, increase prices and profit margins no matter what may be collateral damage.
Oh, I should add, when I returned to Tokyo in the United States, I lost count, but many-th time this year I had the concierge to send a runner to the mall near my home for GUESS get a small hand luggage was done Japan If you think that there is nothing in Japan by shopping the price tag and not by the made in label.
If you go back to Japan now fried chicken mobile phone NTT all are made in China This is the result of lower Japanese He became like another Saudi Arabia or the United Arab Emirates.
I often come back to Japan mobile phones everywhere, including Korea are largely manufactured in China As I mentioned elsewhere, all that needs to silicon is made in China Computers, phones, tablets, military components, you the name.
The reason for the decline of Japan is outsourcing manufacturing is barely if that were the case, each country would be in decline, would they not that didnt production of things in China now.
Most countries of the United States the world, the UK, particularly along most European countries are declining with the destroyed manufacturing industries and high unemployment because markets are saturated with products manufactured in China.
India is not Germany I guess China you man, you should know geography.
Germany has its positive appreciation on economic performance or to the detriment of other member countries of the eurozone's southern European countries such as Greece, Spain and Portugal, which are still suffering severe recessions, can not devalue the monetary euro unilaterally despite their economic parity and low competitiveness compared to Germany.
Europe as a whole, primarily the economy of the euro area, seems far from full recovery of the last financial crisis in Germany a sense benefits of monetary union for his own favor COMPLY STRICTLY Japan such cheating strategy.
Very funny if Abe was it the fact is that Japan has no muscle left econmic is necessary to do so.
Get real Look at the Chinese have power now Have you any idea what will happen, if they refuse to take longer and empty Dollers Americans held.
Chinese products are all waste, whether they are made by Chinese enterprises It makes money by producing for foreign multinational companies, especially Japan Therefore even South Korea can beat Japan in quality of Japanese products has lost credibility in the world market because it is produced while China and China has no quality, no honesty, all the stinking waste.
Dipak, I hate to break the news to you, but take a look at your latest gadget Samsung Good parts luck or something was made in China South Korea is losing its edge in this regard the profit margins are too compelling Furthermore, he Sá little shortsighted to say that Chinese products are rubbish I d agree that Western products and Japanese products made in China tend to be of lower quality not always the case, it depends on the company and the how they negotiate prices with the Chinese etc. There are a number of high-quality Japanese and Western products coming out of China's Lenovo word comes to mind to start other US are pretty obvious, Apple produces decent quality products all made in China LL Bean has decent shoes made in China I know hard to believe but true Sony components that their edge is largely lost u the things that are made in China are of decent quality, but not decent quality Japanese list will, but until we vote for governments that actually care about people, not just companies or the government CPC central, we are doomed to the continued offshoring and the relative performance of waste on our shores.
There was a time when Americans were laughing Japanese products There was also a time when we giggled to Korean products, now it's our time to laugh Chinese products all going in cycles If anything we should worry Korea has a relatively short stroke.
Korean companies like Samsung have diversified shareholders so that they are multinational There is clearly some industries that are Korean, but more and more companies are becoming Asian design, procurement, manufacturing, assembly where it makes the most sense.
Asia is becoming very naturally integrated countries invest in unique infrastructure and develop areas of expertise depending on the location, resources, skills, etc., but there is a common basis of the production capacity leverage this gives the Asian Eurasian region an advantage over other areas such as the EU or North America, Mercosur, etc.
It is an interesting time because Russia plays a very strategic role because of the land mass, trade routes, rich resources and it is pulled one way by German conglomerate and one of China's industry What what the Russian side come to dominate the next century, the United States is in a difficult situation because it does not benefit anyway.
Lenovo, Toshiba, and all other computers made in China are only waste I Lenovo, Del, Toshiba, so I know the problems I also have a Samsung that is not done in China; and it works well.
Japan should be more German The Japan Times, Japan, German, likes to Asia, waste Chinese products.