Us And Japan Business A Culture Of Progress - 1575 Words

US and Japan Business: A Culture in Progress While many of the world’s economic powers seem similar, there is no doubt there are some very key differences. Many of these differences can be attributed to cultural differences within each of the countries. While many of these countries work together in global business efforts, cultural differences would certainly have a significant impact on management style, leadership and even work ethic of the employees. The United States and Japan are both strong economic powers that hold to a capitalistic economic system. Their management styles, however, are very different. This can often be explained through the differences in culture and management or leadership styles. Over the years, the two†¦show more content†¦Lower power distance scores reflect more equal or flat environment where management and employees are considered equals. US versus Japan In Hofstede’s model, the United States and Japan rank very similarly in Power Distance. The US ranks just a bit lower than Japan, at 40. This means most decision making and responsibility in the US come directly from the leaders, with some input from the employees. In Japan, the power distance dimension is ranked a bit higher 54. This may be because in Japan, decision making is subject to a number of levels of peer review and scrutiny before it is approved. Given the close ranking, work relationships between a US company and Japan company should fare well with regard to Power Distance. Some clarity and upfront discussion of who is responsible for decision making would allow this relationship to be effective. Individualism – Collectivism This dimension is described by Hofstede (1980, 2001) as the framework where society decides if they are closely related to their group or if they are more individualistic. Does the individual come first? Or does the team? In more individualist countries, focus is on the individuals interest and needs, value is placed on the person specifically, individuals are awarded for their efforts (i.e. leaders take credit for