Essence of Japanese Culture and the Foundation of BusinessJ.D. Han

Contrasts and Contradictions

Pointed out by Ruth Benedict, The Chrysanthemum and the Sword: Patterns of Japanese Culture (1946)

both aggressive and unaggressive, both militaristic and aesthetic, both insolent and polite, rigid and adaptable, submissive and resentful of being pushed around, loyal and treacherous, brave and timid, conservative and hospitable to new ways...

We may add cunning and honest, individually ethical and collectively at times immoral, calculating and forgiving, and extremely materialistic and spiritual at the same time

Illustration of SusiEssentially Nutritionally poor meal for a poor country

The Japanese overcome the material limitations by infusing artistic, philosophical and religious nuance into Susi

Susi still remains the most coveted dish in Japan after the limitations are long gone, and thus remain healthy.

The Epitome of Kizaemon ItoChawan( )

http://dawan-chawan-chassabal.blogspot.com/2010/01/kizaemon-ido.html The National Treasure No. 26 of a broken tea cup reflects the Neo-Confucian Asceticism. It runs parallel to the ideas in Meditations by Marcus Aurelius.

The Tea House in a MansionA great Japanese mansion is never complete without a tea house, which is usually built separately from the main house, and is built with bamboo and thatches. Glamour of the main house should be balanced with humility of the tea house.While you live in luxury, your ideal is naturalisticThus you can transcend the earthly desire and reach nothingness through practice= Zen.

This idea is based on the Chinese Neo-Confucian scholarly life of The Seven Wise Men in Bamboo Forest.

The Essence of Power existsin Self- Control/Self-Denial in Conformity,

Which is the very basic foundation of

Neo Confucianism ()

Self-Control or Asceticism( )

Comes from the influence of Buddhism, which practices Reflection (Zen: )

Conformity comes from the influence of Confucianism.

The guiding principle is Personal Principles of Doing the Best() towards the Social Ethics of 4 pillars- Benevolence(), Righteousness(), Courtesy(), and Wisdom().

The ultimate result is the zeal of The Puritanism () devoted to Worldly Perfection () .

This tremendous energy is the potential for any social development.Whatever the collective goal is set for the society through consensus, the energy will push forward.

HistoricallyNo economic growth is accidentalIn most cases, a rapid economic growth is a result of nation-building efforts. In Japan, the nation building efforts were started with the Meji Reform(1868: ; ), which adopted Neo-Confucianism as the guiding principle.

Meiji Restoration(1867)Came after the humiliating Perry Incidence(1854)

Nurturing the Entrepreneur Class. For quick catch up, the Japanese government had to raise big corporations.

In other words, they needed Industrial/Corporate Leadership

They were given patronage, protection and monopoly.

Some entrepreneurs were selected by some standards by the government

People expected them to be exemplary leaders.

The standards were Neo-Confucianism(moral power) and Entrepreneurship (world ability).

The chosen people to lead the business world were former Samurai, or Neo-Confucian. Read Kozo Yamamura, Evolution of Japanese Confucian Entrepreneurs.

Why Neo-Confucian Entrepreneurship? Why was it regarded as conducive for a rapid economic growth?

What are the legacies today? ascetic CEO concentration of social wealth in corporate

Zaibatsu as the Japanese Social ContractIn a resource limited family, the most able child gets concentration of resources at the sacrifice of all siblings; later he shares fruits of his success with themThe Zaibatsu and Keiretsus are expected to be embodiment of Neo-Confucian principles and virtues.The social welfares are given by the Japanese corporates lifetime employment; subsidized schooling, retirement home, health-caresIn return, they get social supports from the Japanese people and the government.

Harry Harootunian also saysIn his paper, The Progress of Japan and Samurai Class, 1868-1882

These companies grew to be Conglomerates called Zaibatsu, and Keiretsu.

Its evolution and current state are given in my summary.

Relationship between Japanese Government and Corporate

The government economic planning works effectively through these Zaibatsus. -Network -Ama-kudari

Korea copies the Japanese Zaibatsu system when it started economic growth in the 1960s and 1970s. - Samsung (Byung Chul Lee) - Hyundai (Joo Young Chung) - Dawoo (Woo Jung Kim)

QuestionWould China go this way?

Traditionally Family-oriented small and medium enterprisesSome experiences of Confucian merchants, such as Jinshang

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