International Computer Technology

Nonetheless, due to the cultural/business differences and language barrier between these two countries, (every major factor, from the direction of text to the way contracts are negotiated and executed, differs greatly from the U.S. domestic market) the technology transfer process has been difficult for companies on both sides. Only limited U.S. companies were able to successfully land in Japan.

Landing successfully in Japan is never easy for a foreign company despite its large potential market. Japan is one of the few countries that highly appreciate new technologies and products. Nonetheless, it is a very closed market and it is extremely difficult for a foreign company to penetrate into the Japanese market without proper guidance.

There are four basic ingredients required for a foreign company to be successful in Japan: good technologies/product, customization, channels, and a good mentor. Many companies may have good technologies/products, but they lack the knowhow to customize it for the Japanese market, have no channels nor a good mentor to guide them through the process. As a result, many companies failed to penetrate the market, while envying the others who have made it.

Similarly, the Japanese companies have not been able to catch up with the latest technologies, trends, and understand how to benefit from the emerging technologies. Language, cultural, and business difference are also the barriers for them to access the U.S. Market.