Jetro 99 Book.p65HOW
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Company Profiles 7 ______________________________________
JETRO Offices in 32 Canada
SUCCESS IN THE MAKING VI
HOW
CANADIAN
COMPANIES
JETRO Canada 1999/2000 2
INTRODUCTION 1999 was an extremely busy year for JETRO and a year
of new business opportunities in the Japanese market.
We welcomed to Canada three new members of staff to help Canadian
companies take advantage of these opportunities: Mitsuhiko Kushida,
Senior Trade Advisor on Agriculture and Agri-Food products based at
the Federal Government’s Agriculture and Agri-Food regional office
in Guelph, Ontario; Hiroshi Wakabayashi, Senior Trade Advisor on
High Tech stationed at the Vancouver office of the Alliance of
Manufacturers and Exporters Canada; and Yoshi Ichida, Investment
Advisor at JETRO Toronto.
1999 also marked the September visit of Canadian Prime Minister
Jean Chrétien to Japan as head of a Team Canada mission consisting
of over 260 Canadian business people along with Pierre Pettigrew,
Minister for International Trade, and the majority of Canada’s
Provincial Premiers and Territorial Leaders. The Team Canada
mission visited both Osaka and Tokyo and focussed on eight priority
sectors: space and aerospace; electric power and energy; food
biotechnology; health; information and communication technologies;
building products; environment; and education. This was the largest
trade delegation ever to visit Japan and it significantly raised
the profile of both Canada in the eyes of the Japanese business
community as well as Japan as a partner for Canadians to do
business with. JETRO was very active in supporting Team Canada both
before and during the mission.
Since the return of the mission, JETRO has been working with both
federal and provincial/territorial governments to prepare a number
of follow-up activities designed to support the companies that went
on the mission and to encourage other companies to consider the
Japanese market. Now, it is up to both Canadian and Japanese
companies to take advantage of the window of opportunity that has
been created by Team Canada.
It is also important for Canadian companies to become aware of and
exploit the new business opportunities that are emerging as a
result of a Japanese economy in the state of transition. Over the
past 15 years, Canadian companies have enjoyed success in the
export of manufactured and semi-processed goods to Japan, however
developing Canadian exports in high value-added categories is now
an urgent priority for both Canada and Japan's private and public
sectors, particularly in high- technology and processed food
products. Canadian companies will also
JETRO Canada 1999/2000 3
INTRODUCTION
need to look at other mechanisms such as technology transfers,
joint ventures, direct investment and third country cooperation to
benefit from this maturing of the Canada-Japan economic
relationship.
The cost of doing business in Japan has fallen, both in terms of
land prices and previously over-valued stocks. Japan has extended
market liberalization measures to attract foreign direct
investment, eliminating most FDI regulations including restrictions
on related domestic manufacturing. Putting all these factors
together, it is clear that Japan has become an extremely accessible
environment for investment. Recently, for example, Manulife
Financial has led the way for Canadian companies by establishing a
joint venture with one of their Japanese counterparts, Daihyaku
Mutual.
As a result of all this activity in 1999, I look forward to 2000
with optimism and confidence that we can raise the Canada-Japan
economic relationship to a new level. I hope that this publication
will provide encouragement and good advice on how to enter the
Japanese market. The 22 profiles are good examples of how to
succeed in Japan and are a testament to the fact that companies of
all sizes and in all sorts of industries can find business
opportunities in Japan, if they have the right product and are
committed. I hope that JETRO can assist you in exploring these
opportunities in the Japanese market and I look forward to someday
reading about your successes in future editions of this
publication.
Nobuhiko Yoshida Executive Director JETRO Toronto
JETRO Canada 1999/2000 4
A HISTORY OF SUCCESS
JETRO Toronto has been making an annual publication called ‘Success
in the Making’ since 1995, in cooperation with JETRO Vancouver and
JETRO Montreal, in order to introduce the experiences of Canadian
companies that have successfully penetrated the Japanese market and
have participated in JETRO Programs. We hope to encourage other
Canadian companies to enter the Japanese market with these case
studies.
Product Category Number Provincial Breakdown
Automotive Parts 1 Ontario – 1 Chemical Products 1 Alberta - 1
Construction/ 58 B.C. – 22 Quebec – 5 Housing Products Alberta – 1
Nova Scotia – 3
Saskatchewan – 1 New Brunswick – 3 Manitoba – 2 Newfoundland – 1
Ontario – 20
Environmental Products 2 Ontario – 1 Nova Scotia – 1 Fashion
Products 6 B.C. – 4 Newfoundland – 1
Ontario – 1 Food & 21 B.C. – 7 Quebec – 2 Beverage Products
Alberta – 2 Nova Scotia – 3
Saskatchewan – 1 Newfoundland – 1 Ontario – 5
Furniture Products 10 BC – 2 Ontario – 3 Alberta – 3 Quebec – 1
Manitoba – 1
Healthcare Products 17 BC - 1 Ontario – 10 Alberta – 1 Quebec - 3
Manitoba – 2
Industrial Products 2 B.C. – 1 Ontario - 1 Scientific Products 2
Ontario - 2 Technology Products 26 B.C. – 6 Ontario – 14
Alberta – 2 Quebec - 4 Miscellaneous Products 11 BC - 2 Quebec –
3
Alberta - 1 Nova Scotia - 1 Ontario – 4
Total 157 Canada
Outline of the 157 Canadian companies introduced in the publication
from 1995 to the end of 1999.
JETRO Canada 1999/2000 5
The companies profiled in the Success in the Making publications
represent a wide range of sectors, as well as a variety of
experiences, in exporting to the Japanese market.
During the interviews conducted in preparing these profiles, we
heard strikingly similar advice from many of the companies. From
their statements, we have made the following observations:
· Commitment, preparation and a willingness to travel to Japan are
of critical importance.
· Japan can act as an important link to other Asian markets.
· It is imperative to have a top-quality product with distinct
appeal.
· Companies should be willing to modify their product design and
specifications, if necessary, to suit Japanese consumer
requirements and government regulations.
· It is important to choose the right method of distribution and
develop a close relationship with your customers. The importance of
after-sale service cannot be over-emphasized.
· While the Japanese market will certainly demand a major
investment in time and resources, the rewards can be
considerable.
· There can be significant benefit in using a combination of JETRO
and Canadian Federal and Provincial government services and
programs.
· Reports on the Japanese market produced by JETRO and the Japan
Division of the Department of Foreign Affairs and International
Trade in Ottawa can be extremely helpful in determining if there is
a market for your product and, if so, how to approach it.
If you are interested in receiving copies of previous editions,
please contact JETRO Toronto.
LESSONS DRAWN FROM THE SUCCESS STORIES
JETRO Canada 1999/2000 6
Construction/Housing Products York Overseas
.............................................................
8
Environmental Products Environmental Disposal Concepts
............................... 9
Food & Beverage Products Open Window Bakery
............................................... 10
Furniture Products Clapham's Beeswax
................................................... 11 Pacific Rim
Cabinets ................................................. 12
Healthcare Products BHM Medical
.......................................................... 13 Bi-op
........................................................................
14 Health Craft
............................................................. 15
Instantel
....................................................................
16 Motus
.......................................................................
17 Techno-Scientific
...................................................... 18
Industrial Products Escalator Handrail Company
.................................... 19
Scientific Products Qubit Systems
........................................................... 20
Phoenix Biomedical
.................................................. 21
Technology Products Kyber Pass
.................................................................
22 Prologic
....................................................................
23
Miscellaneous Products Canadian Stained Glass
............................................. 24 Canadian Warm
Buddy ............................................ 25 Champion
Petfoods .................................................. 26
Northern Gifts
.......................................................... 27
Pedigree Perfection
.................................................... 28
INDEX OF COMPANY PROFILES BY PRODUCT CATEGORY
JETRO Canada 1999/2000 7
The ABC Group, with its head office located in Toronto, is a
privately owned plastic components and systems manufacturer,
serving the international automotive market. It has in excess of 30
manufacturing, development and sales facilities worldwide including
Canada, U.S., Mexico, Brazil, Spain, UK, and Japan. It is the
largest automotive and industrial blow molder in North America.
Recognized as an innovator and integrator of components and
systems, the ABC Group designs, develops and manufactures plastic
components, as well as designing and developing their own blow
molding equipment and tooling. Developing specialty materials to
meet customers' requirements is also an integral part of their
technology.
With the progression of globalization in the automotive industry,
however, more North American vehicle developments are being
completed in Japan and Japanese OEMs are centralizing their
development for global models. As a result, the ABC Group realized
that if it was to participate in these early stages of vehicle
development with OEM engineers, it was critical that the company
establish a presence in Japan.
Signing technical agreements, a joint venture, M&A, or
establishing a 100% owned subsidiary in Japan were the options
available to the ABC Group. The first three options would have been
easier to start because they would have involved Japanese partners
that could handle the legal, administrative, managerial and
staffing issues that had to be considered. On the other hand,
setting up a fully owned subsidiary would assure direct
communication with customers in Japan. The ABC Group decided to go
with this last option, mainly because of the firm's unique
technology and the contacts that it had previously established with
Japanese OEMs.
It has been several months since the ABC Group Japan was
established and it has seen an increase in business of
approximately 50% with one particular customer, which has its main
R&D operations in Japan. It has also succeeded in introducing
its safety related products to those engineers at OEMs in Japan who
have direct responsibility for these products. These successes
could not have been achieved if the ABC Group had not shown its
market commitment by establishing a manufacturing presence in
Japan.
JETRO has been providing the necessary information in a timely
manner at every stage of the process. According to the ABC Group
JETRO's help made it easier for them to determine what options were
available and to consider the direction that was most suitable.
Since it decided to move forward without Japanese partners, the ABC
Group said that information and advice from JETRO's Investment
Advisor was extremely useful.
Contact Info: 110 Ronson Dr. Rexdale, ON M9W 1B6 Phone: (416)
246-0530 Fax: (416) 246-1997
Contact: Kuni Amano, Business Manager, Asia/Japanese Business
Established: 1974
Employees: 3,000
Export Sales to Japan: n/a
Products: CVJ Boots, Steering Boots, Air Intake Sys- tems,
Multi-layer Blow Molded Fuel Systems, and Interior and Exterior
Products
JETRO Services: Investment Advisor
YORK OVERSEAS LTD.
"JETRO is one of the best marketing information centres for the
inter- national trader," said York Overseas President, Junichi
Sato. "They supplied a great deal of information that was necessary
for our company in our approach to a new field in Japan. The use of
their library and the information that we received from their
offices was valuable."
York Overseas Ltd. has been exporting plastic materials including
win- dows, doors, food containers, and building hardware to Japan
over the last three years, but Sato is no novice when it comes to
exporting to Japan. "I was born in Japan and have been trading in
the international market for 25 years," said Sato. "I've
established a lot of strong relation- ships through my business
involvement in many industries.”
Even with his past experience, Sato believes that JETRO was an
integral part of their success in Japan. "Their service worked so
effectively for us," said Sato, "that I believe that we wouldn't
have had much success without their assistance. We mainly used
their library and requested their Toronto office to collect more
detailed information from their Japanese offices. The information,
that they provided, had an effect on our business
performance."
Sato believes that a number of Canadian companies could make great
contacts with Japanese customers, however they don't because they
have misunderstandings of how Japanese business standards and
customs work. Trying to force North American business standards on
Japanese customers causes them to step back. As a result many
Canadian business people complain that business with Japan is too
complicated and diffi- cult because the Japanese demands are too
strict.
There are a few suggestions that Sato would give to companies
thinking of exporting to Japan. "The first thing that companies
should do is study Japanese regulations completely," said Sato.
"JETRO has informa- tion in their offices that will go over the
different specifications that the product must meet compared to
Canadian standards. My second suggestion to Canadian companies is
to not force North American business customs and negotiation styles
onto their Japanese customers. Japanese companies will develop an
immediate hesitation towards a company that pushes too hard, which
will lead to guaranteed communi- cation troubles. The final thing
that I would emphasis is to establish your own quality control
system in accordance with Japanese specifica- tions as closely as
possible."
Contact Info: 151 Esna Park Dr. Unit 16 Markham, ON L3R 3B1 Phone:
(905) 305-7441 Fax: (905) 477-4025
[email protected]
Contact: Junichi Sato, President
Products: PVC Windows Materials
JETRO Services: Market Research
JETRO Canada 1999/2000 9
ENVIRONMENTAL DISPOSAL CONCEPTS INC.
The Japanese market is different than the North American market
because potential distributors and importers as well as consumers
are more demanding than their North American counterparts. For
example, they need to know more detail about the product before
they can start to do business and everything must be spelt out
clear and concise.
These are the thoughts of Dana Emmerson of Environmental Disposal
Concepts, a company based in Nova Scotia that produces a unit that
crushes fluorescent lights. "The environmental and production
standards in Japan are completely different than they are in North
America," said Emmerson. "The tube crushing unit had to go through
some cosmetic changes before it could be sold in Japan."
Mr. Emmerson became interested in Japan after being recommended to
JETRO by the Nova Scotia Government's Department of the
Environment. Then JETRO met with Emmerson and invited him to
participate on the Export to Japan Study Program in 1999. Through
this program he was able to go to Japan to meet with potential
partners and, as a result, was able to sign a contract with a
Japanese distributor.
"Our product is a portable fluorescent light crushing unit," said
Emmerson. "The device takes burnt out fluorescent lights and
crushes them into an easy to dispose of substance. It also has an
active system that filters out the mercury from the tube."
Emmerson has found that there are a number of ways that will make
life easier when trading with Japan. "They are what I call the
three P's," said Emmerson, "persistence, patience, and punctuality.
If you follow these rules you should be able to find success when
dealing with Japan. An emphasis must be especially put on being
punctual. When you are dealing with a client that is half a world
away, it is very important to let them know that you've received
their correspondence within a reasonable timeframe."
Contact Info: 18 Lylewood Dr. Sackville, NS B4C 3J1 Phone: (902)
468-5658 Fax: (902) 468-4623 www.bulbeater.com
Contact: Dana Emmerson, President
Products: Fluorescent Light Tube Crushing Unit
JETRO Services: Export to Japan Study Program (EJSP)
JETRO Canada 1999/2000 10
OPEN WINDOW BAKERY
Contact Info: 1125 Finch Ave. West Downsview, ON M3J 2E8 Phone:
(416) 665-8241 Fax: (416) 665-9528 www.owbakery.com
Contact: Gail Agasi, VP and CEO
Established: 1957
Employees: 200
Products: Bagels
JETRO Services: Market Research
Bagels are a product that Canadians love. They can be found in most
grocery stores and on most breakfast menus. But how does a Canadian
company that produces fresh food actually export to Japan?
"We had just purchased a blast freezer, an appliance that freezes
the bagels when they are still raw for the purpose of shipping,"
said Gail Agasi, VP & CEO, Open Window Bakery. "One of the
purposes of the new blast freezer was to allow us to export some of
our products, while keeping them fresh. We were looking into new
markets and Japan was a natural fit."
Some Open Window Bakery representatives went to Japan as a group
with around 40 other companies as part of a trade mission sponsored
by the Canadian Embassy. They traveled to different cities and were
able to meet potential business partners at events put on by the
Embassy. JETRO helped Open Window Bakery with their initial
research by giving them background information with names and
possible contacts.
"We started exporting to Japan in 1997," said Agasi. "From the
start we knew that Japan was a unique market that some companies
have to adjust to when exporting there. Advice I would give a
company would be to have patience as things may not happen right
away and a company can't be discouraged if sales may be less than
expected at the beginning. A company should do their homework about
Japan, find out about their corporate culture, and how they conduct
business."
Like most companies Open Window Bakery ran into some challenges
when exporting their product to Japan. "There were some product
changes," said Agasi, "but the most interesting dilemma that we
faced was what to charge for our product. Since bagels are a brand
new product to the Japanese market, we had nothing to gauge our
prices against in trying to find what we should charge for
them."
Business has been small during Open Window Bakery's first couple of
years in Japan, but also satisfactory, because sales are continuing
to gradually grow. "Japan is a market that we are planning on being
a part of for a very long time," said Agasi, "and as an added bonus
we've had interest from other Far Eastern countries because they've
tried our bagels in Japan."
JETRO Canada 1999/2000 11
CLAPHAM'S BEESWAX
Contact Info: 324 Le Feuvre Rd. Matsqui, BC V4X 1A2 Phone: (604)
856-2085 Fax: (604) 856-5501
[email protected]
www.claphams.com
Contact: Roger Clapham, Co-Owner
JETRO Services: Import Product Specialist Program Market Research
Seminars
"You don't mess with the Japanese market," states Roger Clapham,
co- owner of Clapham's Beeswax. "You are entitled to take one of
three positions: I might be interested, or I might not - I haven't
decided yet; I've thought it over and am not interested; and yes I
am interested. The last choice must not be arrived at lightly,
because once that decision has been made, you've got to see it
through."
Clapham's Beeswax began exporting to Japan in 1994 after JETRO
assisted them in attending a trade show in Japan which produced a
good match between Clapham and a Japanese exporter/importer.
Clapham is still in contact with the JETRO Vancouver office, using
their services and programs including their exporting to Japan
seminars.
Trading with Japan creates unique challenges for all companies, and
Clapham's Beeswax was no different. "The Japanese market differs
from all other markets, period," said Clapham. "Japanese service is
legendary, as is their quality control, so close attention must be
given to every detail of the product with packaging and
presentation which is ten times more important than in North
America." By using JETRO's well-stocked libraries and help from
their staff, Clapham's Beeswax was able to find information, which
was invaluable in their efforts to export to Japan.
The business market is different, relationships and social
obligations, which may not be at the top of a businessman's agenda
in North America, are very important in Japan. "It will take at
least a year of negotiations to arrange your first sale," said
Clapham, "but you shouldn't get discouraged because of this, it's
the norm."
Clapham's Beeswax, co-owned by Roger and his wife Anne, has been
producing Clapham's Beeswax Polish® and similar products since
1986, and will be introducing their second product to Japan, edible
wood finish for salad bowls, over the next few months. Clapham
makes regular visits to Japan and is in constant contact with his
distributor. He has even written his own guide to exporting to
Japan.
JETRO Canada 1999/2000 12
PACIFIC RIM CABINETS
Pacific Rim Cabinets was established by Bill Dewinetz because he
wanted to supply products and provide a service that would
completely satisfy the Japanese consumer.
"Pacific Rim Cabinets supplies a North American looking product
built to Japanese standards and specifications," said Pacific Rim
Cabinets President, Bill Dewinetz. "Unlike other North American
exporters who make only minor modifications to their products, our
products are made exclusively for the Japanese market and do not
comply with North American kitchen dimensions."
Dewinetz believes that JETRO has played a large part in their
success in Japan. "They are so active in giving companies access to
trade shows in Japan," said Dewinetz. The Japan Home Show, The
Better Living Show in Tokyo, The West Japan Total Living Show, and
The Osaka Total Construction Fair are just a few of the events that
Pacific Rim Cabinets has attended with the support of JETRO.
With over 30 years in the cabinet industry, including the last 12
spent specializing in export of kitchens to Japan, Bill Dewinetz
knows his way around the Japanese market. "It is important, when
dealing with the Japanese market, to give them details they can
understand," said Dewinetz. "JETRO can help any business which is
trying to start out because they have a library in every office
that gives insight into handling the Japanese market. The Japanese
have been doing business the same way for 100s of years and many
people believe that they can take North American styles and force
them on the Japanese market, but that style of marketing will not
work. JETRO has produced information that will help people
understand the Japanese market".
"There are three pieces of advice that I would give to a company
considering exporting their products to Japan," said Dewinetz.
"First off, get a handle on who you are trying to export to and how
you will succeed in your goals. Secondly, be patient, you must be
confident that your company will still be there for years to come,
because if you are not confident it will be difficult to convince
buyers to have confidence in your product. And thirdly, know who
you are and follow your goals. If you follow all these pieces of
advice, your company should become a success in whatever you set
out before it."
Contact Info: 1-464 Fraser View Place Annacis Island Business Park
Delta, BC V3M 6H4 Phone: (604) 515-7377 Fax: (604) 515-7387
[email protected] www.pacrimcab.com
Contact: Bill Dewinetz, President
Products: Cabinets
JETRO Canada 1999/2000 13
BHM MEDICAL
Contact Info: 2001 rue Tanguay Mogog, QC J1X 5Y5 Phone: (819)
868-0441 Fax: (819) 868-2249
[email protected]
www.bhm-medical.com
Contact: Christian De Grâce, Executive VP
Established: 1991
Employees: 30
Annual Sales: $6-7 Million
Export Sales to Japan: $142,000 (Aug. '99 to Jan. '00) ($325,000
anticipated for next year)
Products: Mobile Patient Lifts
JETRO Services: Import Fair: Health Care '99
Since the year that it started, BHM Medical has established itself
as a leader in the design and innovation of patient lift systems.
The patient lifts that BHM Medical produce are mobile to move
patients from their beds to wheelchairs or bath and make it easier
for them to move around their homes.
1999 was the first year that BHM Medical began exporting to Japan.
"A delegation from Japan came to Quebec in 1997. From attending
meetings with the delegation we were able to see that Japan would
be a good market for our company," said Christian De Grâce,
Executive VP at BHM Medical.
De Grâce had meetings with JETRO to discuss opportunities to attend
one of their sponsored events in Japan. "We attended the Health
Care '99 trade fair in the spring of 1999," said De Grâce, "and
spent two weeks in Japan. From that we were able to speak with
potential distributors about our product and to form business
partnerships from our visit."
BHM Medical has found it quite easy to secure partnerships with
Japanese firms. "It's basically business as usual," said De Grâce.
"The individuals in the marketplace are very serious about our
product and how they secure our business. Compared to other markets
that we export to, like Germany and France, Japan has been as
cooperative and business-like."
De Grâce successfully found a Japanese distributor for BHM Medical
at Health Care '99 and invited Shinko Sangyo Co. Ltd. of Osaka to
visit their facilities in Magog where an agreement was signed.
Within only four months of the trade fair, BHM Medical was in
business with its first significant export sales to Japan.
"The Japanese can be very demanding," said De Grâce. "You can't let
yourself settle for less or compromise your product or reputation.
If you follow this bit of advice and your product is a quality one,
there should be no reason why you can't succeed in Japan."
JETRO Canada 1999/2000 14
BI-OP INC.
"When dealing with a client in the Japanese market your
personalities must be almost the same to get the total trust of the
client," said Raynald Henry from Bi-Op. "In Japan, the product may
be one of the important aspects that brings potential partners
together, but it's their confidence in you that solidifies the
deal."
Henry has been exporting his orthotic devices to Japan for two
years. "Our product reduces pain that people have in their feet,"
said Henry. "The device straightens the foot with the alignment of
the body. We build the products here, but the process begins in
Japan. The job is basically done as a regular prescription from
their doctor. The patient takes a physical exam where they get a
cast done of the foot. The cast is then sent to Canada where the
orthotic device is made and sent back to Japan."
The first exhibit that Henry attended in Japan was JETRO's Import
Fair: Health Care '99 in the spring of that year. He believes that
trade shows are very helpful because they enable you to establish
personal contacts with the right people in the marketplace. Henry
originally became interested in Japan after meeting someone
experienced in exporting there at a seminar in New York. At the
JETRO show in March, he was able to connect with potential
distributors.
Success has come easier for Bi-Op in Japan, as opposed to the
United States, because their product is really unique in the
Japanese market. "We have a quality product," said Henry. "In Japan
they have embraced it because they realize that it is something
special."
Bi-Op has been so successful in Japan that they are in the process
of trying to secure a franchise there. "By securing a franchise
with another lab in Japan," said Henry, "we will be able to expand
on our operations in that market while cutting back on shipping and
time costs to the patient."
Contact Info: 30 chemin du Golf Ouest St. Charles, SCB Joliette, QC
J6E 8X6 Phone: (450) 752-2467 Fax: (450) 755-4969
www.bi-op.com
Contact: Raynald Henry, President
Products: Orthotic Device
JETRO Canada 1999/2000 15
HEALTHCRAFT PRODUCTS INC.
Contact Info: 411 - 1230 Old Innes Rd. Ottawa, ON K1B 3V3 Phone:
(613) 744-3001 Fax: (613) 744-3008
[email protected]
www.healthcraftproducts.com
Contact: John O'Brien, Vice President
Established: 1994
Employees: 7
Products: Superpole Family, Advantage Rail, Smart Rail
JETRO Services: Senior Trade Advisor Import Business News Market
Research
Japan's emerging market for healthcare products led to HealthCraft
Products' initial interest in exporting to that country.
"Due to increased funding into healthcare from the Japanese
Government, we believed that there would be a potential market for
our product in Japan," said John O'Brien, vice-president,
HeathCraft Products. "A competitor of ours was doing good business
in Japan, but had to withdraw due to technical reasons, so we knew
the market was there, we just had to find the right partner to help
export our products.
A number of false starts is what initially welcomed HealthCraft
Products to Japan, so they decided that, if the company was to have
a future in Japan, they would need some help, which led to them
contacting JETRO.
"After our initial troubles, JETRO was able to give us quality
business leads that we could use in Japan," said O'Brien. "We just
needed help finding a company that would be a good match in
distributing our product."
JETRO helped HealthCraft Products introduce their Superpole system
to the Japanese market through healthcare shows and its Import
Business News. "We were able to find a distributor, Shingu Shoko
Ltd. of Otaru, Hokkaido, and used JETRO's information resources to
find background information about the company." Now Shingu Shoko
sells their products aggressively to nursing-care shops and
showrooms, nursing-care facilities, hospitals and healthcare
companies. It has also incorporated them in a model housing project
it has developed which is specifically designed for elderly
occupants.
HealthCraft Products discovered that to become successful in Japan
they had to adapt their product. The Superpole did not work in all
Japanese homes because of the different style of architecture
there. The ceilings and "tatami" floors found in many Japanese
homes are completely different to the structure of houses in North
America. "There is not much structure or support in the average
Japanese house," said O'Brien, "so the Advantage Rail was produced
with the Japanese market in mind."
During its first two years, HealthCraft has found some success in
the Japanese market and plans to increase its exposure there. "The
most important piece of advice that I can give a company thinking
about exporting to Japan is to remain patient," said O'Brien.
"Treat the whole process as a learning experience and don't be
disappointed if your company does not show immediate
returns."
"It's also important to talk to dealers, find out the names of
prospective distributors and then take a trip to Japan to meet them
and choose the distributor that best matches your company."
JETRO Canada 1999/2000 16
INSTANTEL INC.
By using JETRO's new 'Cyber Showcase' web-based system, Instantel
Inc. is able to promote its Wander Protection System to possible
clients in Japan without having to travel halfway around the
world.
"JETRO acquired a demonstration model of the Wander Protection
System and was able to take it to Japan on its Import Product
Specialist Program and exhibit it in a special healthcare tradeshow
in Tokyo at the end of 1998," said Aurel Lebel, sales manager,
long-term care at Instantel Inc.
"After having our product showcased at JETRO's New Imports Showcase
booth, the Wander Protection System was listed on the 'Cyber
Showcase' web site, which gives potential Japanese importers the
opportunity to read about the product. Their web site is useful
because it allows importers to find out background information
about a product, so it produces only serious consumers."
Instantel's WatchMate product line enables caregivers to monitor
Alzheimer residents in health care facilities who may have a
tendency to wander away from safe areas. "The system eliminates the
need for other forms of restraint and allows the resident safer
freedom of movement," states Lebel. "The Wander Protection System
sounds an alarm to alert staff when a wanderer approaches a
protected area. The wanderer wears a small transmitter
approximately the size of a man's sport watch."
Instantel had initially become interested in Japan when they
attended a JETRO conference in the early 1990's. The product was
found to have the frequency capabilities that met with Japanese
regulations, so the product could be sold in Japan.
"The Japanese market is growing because families in Japan are
becoming more North Americanized," said Lebel. "In Japanese culture
the elderly are in the most part taken care of by members of the
immediate family in the home, but that is becoming less common.
With family-size shrinking and both parents being part of the
work-force, there is an increasing need for nursing and care-giving
residences."
Contact Info: 309 Legget Dr. Kanata, ON K2K 3A3 Phone: (613)
592-4642 Fax: (613) 592-4296
[email protected]
www.instantel.com
Contact: Aurel Lebel, Sales Manager, Long-term Care
Established: 1982
Employees: 55
Products: Wander Protection System
JETRO Canada 1999/2000 17
MOTUS INC.
Contact Info: 39 Nanton Blvd. Winnipeg, MB R3P 0N1 Phone: (204)
489-8280 Fax: (204) 489-0450 www.motus.mb.ca
Contact: Greg Klassen, President
Products: Ergonomic Handles
JETRO Services: Senior Trade Advisor Import Business News
After a couple of years of some hits and misses while trying to
export to Japan, Motus Inc. finally achieved some success after
they appeared in the Import Business News in 1998, a monthly
bulletin of new products put together by the Senior Trade Advisors
and distributed throughout Japan.
"Being showcased in the Import Business News produced several
contacts for us," said Motus Inc. founder, Greg Klassen. Soon
orders started to be placed and Motus was given the exposure it
needed to find a distributor in Japan.
Motus Inc., who produce and market an ergonomic add-on handle used
on rakes and shovels, have not experienced some of the problems
that other companies have had when exporting to Japan. "The handle
is environmentally-friendly and a back-saver because it puts less
strain on the back and hands when the user is performing yard-work
with the tool," said Klassen. This has resulted in great interest
in Motus' product in the Japanese market.
The only problems that Motus experienced when exporting to Japan
were a few communication difficulties with some correspondence when
dealing with customers. "We've exported to many different
countries, so we looked at Japan as just another market," said
Klassen. "The Japanese have been very interested and exporting to
Japan hasn't been any more difficult than dealing, for example,
with any European country".
"JETRO gave us the opportunity to have Motus introduced to a whole
new market," said Klassen. "They also helped us send out literature
and samples to prospective distributors in Japan."
Klassen believes that there is one thing to remember about
exporting your product to Japan. "Don't be fearful, don't take the
concerns of others too seriously. Use outside resources, like
JETRO, but remember if your product is a quality one and you're not
intimidated by it, then attack the Japanese market head on and I'm
sure that your product will be a successful one."
JETRO Canada 1999/2000 18
TECHNO-SCIENTIFIC
Techno-Scientific manufactures a healthcare device called the Sonic
Cane. The Sonic Cane is a mobility-assisting device that is used by
visually impaired persons, and has been available in the Japanese
market since the beginning of 1999. Mirek Macecek, president of
Techno- Scientific, is now looking to expand his unique product
further into the Japanese Healthcare industry.
"The market is so rich in Japan," said Macecek. "Their culture has
an emphasis on taking care of the older generations and, since that
is one of our target markets, our product is a great fit. The Sonic
Cane makes day-to-day life easier for seniors and the visually
impaired because it helps them with staying mobile."
On the recommendation of Ontario Exports Inc., JETRO approached
Macecek to see if Techno-Scientific would like to participate on
its Import Product Specialist Program. "They brought a sample
product and our brochures to healthcare shows in Japan," said
Macecek. "They acted as if they were an extended arm of
Techno-Scientific at these trade shows"
From JETRO's help at these shows Techno-Scientific was able to get
leads on potential business opportunities and distributors in
Japan. "We were also able to use their library for researching
distributing agents and finding out about Japanese business
customs," said Macecek.
The downturn in the Japanese economy and a few other challenges
slowed down the sales of the Sonic Cane in Japan. "We, like
everyone, felt a pinch when the Japanese economy collapsed," said
Macecek. "People all-of-a-sudden weren't terribly interested in
ordering or testing a new product. But now that the economy seems
to have seen the bottom and is on its way back up, response to the
Sonic Cane has been more positive.
"Due to the fact that Japan is a significantly more congested
country than Canada, adjustments had to be made to the range of the
Sonic Cane to make it more practical in Japan," said Macecek. "The
device also had to be set at a lower range to compensate for the
more densely populated society that is generally found in Japan
compared to Canada."
"The Japanese consumer is very faithful to Japanese products," said
Macecek. "But a company should definitely try, because they might
never know who may be interested in their product."
Contact Info: 231 Millway Ave. Concord, ON L4K 3W7 Phone: (905)
760-1745
[email protected]
Contact: Mirek Macecek, President
Products: Sonic Cane
JETRO Canada 1999/2000 19
Contact: Patrick Bothwell, Head of Eastern Division
Established: 1977
Export Sales to Japan: Less than 1%
Products: Escalator Handrails
JETRO Services: Business Support Centre Investment Advisor
"If you've been on an escalator, you've probably used our product,"
exclaims Patrick Bothwell, head of the Eastern Division of the
Escalator Handrail Company. Bothwell's company has a 40% global
share of the escalator handrail market, yet didn't start
distributing to Japan until early 1999.
"We wanted to expand our share of the global market," said
Bothwell, "and Japan has more escalators than any other country in
the world."
JETRO helped with Escalator Handrail Company's expansion to Japan
by providing information through their Investment Advisor and
giving them the free use of an office at one of their six Business
Support Centres in Japan while they were preparing to set up an
office of their own. "I had previously lived in Japan for seven
years," said Bothwell, "so I was able to help the company with the
necessary background, but JETRO really came through by letting us
use an office for two months."
"Japan has a significantly tighter supply chain than most other
countries in the world," said Bothwell. "Consumers are more
inclined to use products that are made in Japan and integrated
within their own country, so setting up an office in Japan just
made sense."
A number of Japanese companies own subsidiaries that make their own
rubber, steel, etc, so in the past if they needed anything they
would just build it themselves. "This worked in the past," said
Bothwell, "but with the global economy shrinking, companies are
beginning to realize that their own companies are charging them too
much for items that they can get more reasonably elsewhere."
"One of the biggest barriers in exporting to Japan is having a
local presence," said Bothwell. "The Japanese like being able to
pick up the phone and talk to someone about their product, which
becomes more difficult when the office is half-way around the
world."
"An important thing to remember about Japan is to do your own
thing," said Bothwell. "Of course JETRO will be able to help you,
but equally important is to find someone from your country that
speaks Japanese, so that he or she can represent you in
Japan."
ESCALATOR HANDRAIL COMPANY
QUBIT SYSTEMS INC.
When dealing with Japan, a company may have to wait for a
relationship to establish before the actual business of exporting
products takes place.
These are the thoughts of Robin Wynne-Edwards, vice president of
operations for Qubit Systems Inc. "We had been actively looking
into exporting to Japan for almost two years before we found the
distributor that was right for us," said Wynne-Edwards. "It takes
significantly more time to establish a business relationship with
Japanese companies than it does in other countries."
Qubit Systems has always known that their business had an
international focus. They currently export to 45 countries and
Japan is such a large market that it seemed the move to begin
exporting to Japan was a good fit. It was then that Qubit Systems
decided it would be a good idea to contact JETRO.
JETRO help by placing Qubit Systems Inc.'s product information in
its Import Business News. Then they came to Kingston, Qubit's home
base, as part of their Local Roots Program and scheduled a meeting
with a Senior Trade Advisor to discuss Qubit's bid to find a
distributor in Japan. Eventually, Qubit was able to find a
distributor that was a good match for their company, an Osaka-based
importer of scientific instruments called Isis Co. Ltd.
"Recent advances in sensor technology have made it possible to
monitor atmospheric gases and biological processes with an accuracy
and affordability that were inconceivable only a few years ago,"
stated Wynne-Edwards. "At Qubit Systems Inc. we have incorporated
these technologies into a range of high quality, integrated
products for teaching and research in the biological
sciences."
Qubit Systems was founded as a spin-off company from Queen's
University. Qubit's name stands for 'Queen's University Biological
Instrumentation and Technology.' Qubit operates within the Kingston
community and retains links with the university to test its
products.
Contact Info: 134 Albert St. Kingston, ON K7L 3V2 Phone: (613)
549-3199 Fax: (613) 549-3198
[email protected]
www.qubitsystems.com
Contact: Robin Wynne-Edwards, VP Operations
Established: 1995
Employees: 12
Products: Instruments for measuring atmospheric gases
JETRO Services: Senior Trade Advisor Import Business News Local
Roots Program
JETRO Canada 1999/2000 21
PHOENIX BIOMEDICAL PRODUCTS INC.
Contact Info: 7085 Tomken Rd. Mississauga, ON L5S 1R7 Phone: (905)
670-8299 Fax: (905) 670-0195
Contact: Ezzat Iskander, President
Products: Petri Dishes
JETRO Services: Import Fair: Health Care '99
"The Japanese market cannot be ignored," said president of Phoenix
Biomedical, Ezzat Iskander. "If a company is looking to export
their product anywhere in the world then they must think about
sending products to Japan."
Iskander has always been interested in exporting Phoenix
Biomedical's petri dishes, used for microbiology, to Japan since
his company was first established in 1980. "The market is so huge
that it only makes sense to export there," said Iskander, who first
began exporting to Japan 10 years ago.
A participant of a couple of JETRO Trade Shows, Iskander has become
very familiar with the Japanese consumer and the challenges that
may be faced when dealing with them. "They are very finicky," said
Iskander. "Packaging, labeling, and specific requirements are quite
important to the Japanese."
"The JETRO trade shows that we attended have been very helpful,"
continued Iskander. "They make the world smaller by bringing people
who have the same interests together. They are also a good
opportunity to renew old acquaintances, produce meetings with the
consumers, and connect people who should be in business
together."
In his years of attending trade shows, Iskander has found that just
meeting a potential customer doesn't mean that they will become
one. It takes months and sometimes years to get someone's business.
"It can become a very long process," said Iskander. "I've just
completed my first sale with a company in Japan that I've been
talking to for seven years. You must stay at it and never become
discouraged. When trading with Japan you first must succeed in
developing a partnership with a potential customer before you can
gain their business.”
"The monetary success that I've had in Japan is relatively
insignificant," explained Iskander, "but meeting the high standard
of quality demanded in the Japanese market has propelled the
quality and service of Phoenix Biomedical’s products forward and I
believe that is what our success should be based upon. As we
increase our exports, money will become more relevant, but as it
stands right now, any monetary gain is gauged more as a
prize."
JETRO Canada 1999/2000 22
KyberPASS has been exporting to Japan since the beginning of 1999.
They became interested in Japan because it is one of the world's
largest computer/software markets, therefore making it the most
intriguing nation for one of North America's largest software
security providers to begin exporting to.
They started by attending World PC Expo in Japan as part of JETRO's
Software Import Product Specialist Program in 1999. They also
attended Canadian Embassy/Consulate-hosted e-commerce events in
Osaka and Tokyo.
"Support that you receive from organizations like JETRO and the
Department of Foreign Affairs and International Trade (DFAIT) is
invaluable," said KyberPASS, Vice-President, Sales & Marketing,
David Lynch. "Without them we would not have had the immediate
success that we achieved in Japan, but success at the beginning of
your exporting endeavor isn't always measured with dollars and
cents. The majority of your success in the first couple of years is
in reaching the right partners and the creation of a relationship
with these partners. This is especially important when you are
marketing a product in a relatively immature technology
industry."
Lynch has found that Japan and Canada are two very different
countries when it comes to marketing and distributing a
product.
"On-top-of being very different culturally, understanding Japanese
business culture may also come as a challenge to most individuals,"
said Lynch. "The Japanese view of industry, sales, and
relationships are completely different to what you we are used to
in North America. In Japan, it is very important to develop proper
channels when trying to secure your market share. JETRO gives you
the background that you will require to become successful in
Japan."
KyberPASS intends to expand further into Japan over the immediate
future by adding a third master re-seller for their product and
creating a KyberPASS office in Japan. "We used the resources that
JETRO provided to get into Japan," said Lynch, "but actually
becoming successful is up to you."
Contact Info: 1 Antares Dr. Nepean, ON K2E 8C4 Phone:
1-800-845-1140 Fax: (613) 727-5414
[email protected]
www.kyberpass.com
Contact: David Lynch, VP Sales & Marketing
Established: 1995
Employees: 40
Products: Security Software
KYBERPASS
JETRO Canada 1999/2000 23
Contact Info: 13571 Commerce Parkway, Ste. 200 Richmond, BC V6V 2R2
Phone: (604) 278-6470 Fax: (604) 214-4900
[email protected]
www.prologiccorp.com
Contact: Rob Murray, Managing Director - Asia Pacific
Established: 1984
Employees: 200
Products: E-commerce Products
JETRO Services: Seminars
Founded in 1984, Prologic Corporation is a leading developer of
advanced e-banking solutions for the financial industry. Prologic
has been exporting to Japan for six years after being introduced to
a distribution company in Japan, Nomura Research Institute.
"There are tonnes of differences between the Japanese marketplace
and every other market in the world," said Prologic, Managing
Director - Asia Pacific, Rob Murray. "The business structure of
corporations and the distribution of products are unique in the
Japanese market. A Japanese company is significantly more
multi-tiered than a North American one so it takes time for
business decisions to be made."
Prologic also faced other challenges when exporting to Japan such
as meeting quality expectations, communication as well as time zone
and distance differences. But even though the Japanese market can
be a hard one to get used to and initially crack, Murray believes
that it still remains a very important one especially to a company
in the IT industry.
He also believes that the services JETRO provides are quite useful
and that a company starting to export to Japan should visit one of
their offices or attend one of their seminars, which he described
as "incredibly informative."
In terms of success, the Japanese market has been Prologic's most
successful one. "We hold a 90% share of the entire Japanese
market," said Murray, "and we plan on being even more aggressive
and hitting it even harder in the future."
"For a company to survive in Japan they must be patient, have a
quality product and must put an emphasis on building relationships
with partners in Japan," advised Murray.
PROLOGIC CORPORATION
JETRO Canada 1999/2000 24
In Japan there are many cultural and professional differences. One
difference that Michele Morin has had a good laugh over is the
amount of correspondence that she receives that is addressed to Mr.
Morin. "I guess they're just used to dealing with men on a
professional level over dealing with women," said Morin.
Although she is quite new to the Japanese market, Morin says that
she is in reliable hands because she has gone through the JETRO
office in Toronto.
"I've been in business for over 20 years so I've had numerous
experiences exporting to other countries like the US," said Morin,
"but Japan is very different to the US."
Morin originally got in touch with JETRO after she saw an
advertisement in the Canadian Gift & Tableware Association
Newsletter. She then visited their Toronto office, brought them
samples and was signed up for her first show in Japan, Ambiente
'99, through the Import Product Specialist Program.
"JETRO made it very easy to have my products in the show," said
Morin. "We provided the material and the pieces that we wanted to
showcase and JETRO did the rest, including shipping the samples to
Japan. They set up the material and were our representatives at the
show."
Canadian Stained Glass had 10 inquiries from that show, has two
sales in process and is looking forward to increasing exports to
Japan.
"I was asked at a seminar about my experience with JETRO and
exporting to Japan," said Morin, "and I told the person that when
you start considering exporting to Japan you should definitely
speak to a JETRO representative and when you decide that the time
is right you should go through JETRO."
Contact Info: 2775 Dundas St. W. Toronto, ON M6P 1Y4 Phone: (416)
763-6275 Fax: (416) 763-5689 www.canadastainedglass.com
Contact: Michele Morin, Major Accounts Representative
Established: 1979
Employees: 25
Products: Hang in the window stained glass
JETRO Services: Import Product Specialist Program
CANADA STAINED GLASS LTD.
JETRO Canada 1999/2000 25
CANADIAN WARM BUDDY COMPANY
"Canadian Warm Buddy Company makes packs and stuffed animals that
are used for aroma therapy," said Karen McKee, owner of Warm Buddy
Company. "Our products are packets that are filled with materials
that create a relaxing and soothing feeling when heated and applied
to the body".
"However, what we found out immediately was that Japan does not
allow rice to be imported and when your products are basically
filled with herbs, grain, and rice, you have to adapt your product
to make it available to the market."
McKee's interest in the Japanese market didn't come until JETRO
called the Canadian Warm Buddy Company after the Vancouver Gift
Show a couple of years ago to see if they would like to participate
in the Import Product Specialist Program. "They took samples of our
products to the Frankfurt Messe Asia Show '98 (now known as
Ambiente) in Tokyo," said McKee. "After that show we received a
number of e-mails and faxes from interested parties concerning
distribution in Japan. We've been exporting to Japan for about a
year now."
The adapting of the product didn't end with changes to the rice.
McKee found that she had to re-do brochures and promotional
material before any of the products were shown at the trade show in
Tokyo.
"The Japanese customer is very polite and I feel that at times
there has to be a great deal of reading between the lines to find
what they want exactly," said McKee. "There are times when they
don't say what is on their minds so you have to anticipate it,
without making them feel like you are pushing anything on them."
JETRO helped Canadian Warm Buddy with some of these problems, for
example, providing information on shipping regulations and packing
so that they could finalize orders in Japan.
Contact Info: 3809 Princess Ave. North Vancouver, BC V7N 2E6 Phone:
(604) 984-3218 Fax: (604) 984-3218
[email protected]
Contact: Karen McKee, Owner
Annual Sales: n/a
Products: Aroma Therapy Products
JETRO Canada 1999/2000 26
CHAMPION PETFOODS
"Meeting local demands and paying attention to detail is critical
to any success in exporting to Japan," said Peter A. Muhlenfeld,
coordinator of exports for Champion Petfoods. "The key is
understanding the market, therefore anticipating exactly what the
consumer wants."
With products being distributed across four continents, Champion
Petfoods is no stranger to adapting their products to meet the
needs of the country that they are exporting to. JETRO was able to
help Cham- pion Petfoods by giving good trade leads information
that was valuable to succeed in Japan. "We first became interested
in exporting to Japan on a trade visit to Taiwan," said Muhlenfeld.
"When we returned we contacted JETRO and they were able to give
solid advice to help us move in the direction that we
wanted."
"The Japanese market is very similar to other Asian markets, and
we've had experience with Taiwan, so the transition was quite easy,
but that doesn't mean that there weren't any challenges," explained
Muhlenfeld. "The Japanese product required changes to size and
shape of the packag- ing, as well as promotional material. The
Japanese are looking for products with clean, crisp designs."
Champion Petfoods' commitment to international standards of
quality, value, and service, coupled with their dedication to
formulation and production of nutritious and affordable foods, have
resulted in secure solid growth in Japan.
"We will increase distribution to meet local demands in Japan,"
said Muhlenfeld. "The products have already been well accepted, so
we see a future in Japan for Champion Petfoods."
Champion Petfoods was acknowledged for their exporting efforts when
they received the 1994 Canada Export Award. This was the first and
only time that this award has been given to a petfood
producer.
Contact Info: 9503 - 90 Ave. Morinville, AB T8R 1K7 Phone: (780)
939-6888 Fax: (780) 939-6858
[email protected]
Contact: Peter A. Muhlenfeld, Coordinator of Exports
Established: 1975
Employees: 130-140
Products: Pet Food
JETRO Canada 1999/2000 27
NORTHERN GIFTS
Attending a JETRO trade show in person can create more interest in
your company from potential consumers.
Bob MacKerricher has been producing his stuffed animals in a can
since 1988 and has been exporting them to Japan in a limited
capacity for roughly nine years. In 1994, MacKerricher sent some
sample products to a trade show in Japan with the help of a JETRO
import promotion program. He didn't get much actual business out of
the experience but he learned a valuable lesson and he was
determined not to give up on the Japanese market.
Later, another opportunity came for Northern Gifts to showcase
their product at the Ambiente '99 show in Japan as part of the
Import Product Specialist Program, however this time MacKerricher
decided to go to Japan himself. On this program, a JETRO specialist
can represent your product in Japan, making it a very
cost-effective way to introduce a new product into the Japanese
market. However, companies that accompany their product usually
attract more interest because they are there to demonstrate and
explain their products in person.
"What a difference it made when I went to Japan myself," said
MacKerricher. "All the potential business partners that I met were
quite impressed that one of the owners would travel with their
product to sell it. Once they saw my business card and realized
that I was someone who could make deals and talk to them
immediately about sales, contracts, and potential distribution
partnerships, it made them feel significantly more secure about our
product and solidified the fact that we were serious about
exporting to Japan."
MacKerricher believes that by him being at Ambiente it indicated
that there would be no misunderstandings about his product. Through
a translator he was able to answer their very specific questions
about his product.
Since his return from Ambiente '99, Northern Gifts' business to
Japan has grown very nicely. MacKerricher was able to make four
sales while in Japan and has been able to make several more since
his return to Canada.
"When you look past the language and parts of the culture, Japan is
the same as any other market," said MacKerricher. "My 'canned
critters' product appeals to a certain type of person, and that
type is found in every country and every culture."
Contact Info: 300 - 4585 Canada Way Burnaby, BC V5G 4L6 Phone:
(604) 299-5050 Fax: (604) 299-0808 www.cannedcritters.com
Contact: Bob MacKerricher, President
Products: Stuffed animals in a can
JETRO Services: Import Product Specialist Program
JETRO Canada 1999/2000 28
PEDIGREE PERFECTION
"The consensus is that a dressed dog is a classy dog," said Irving
Solomon, secretary/treasurer of Pedigree Perfection, a canine
fashion apparel company with offices in Montréal, Québec and
Lauderhill, Florida. "We've found that most household canines are
imported breeds whose paws are unused to tramping though slush
caused by harsh, ice- melting chemicals in the cold of
winter."
Pedigree Perfection has been exporting to Japan since 1991, when
the Canadian Government helped them to get in touch with JETRO. "We
used the JETRO database of potential importers to help us get
started in the market place in Japan." said Rhonda Meloro, manager
of the manufacturing facility in Montréal.
"The important thing to remember when you are dealing with
distributors in another country is to make sure you know who you
are dealing with," said Meloro. "Methods of payment for shipments
are different when the receiver is half-way around the world. You
have to make sure of who you are dealing with, and we require
credit cards to secure our merchandise."
Pedigree has their product shipped throughout the United States,
Canada, Europe, Australia, and parts of South America. "We're
currently lobbying the United Nations to pass a resolution
forbidding dogs to go naked," deadpans Solomon. And while that may
not be in the future, it is sure that Pedigree is well poised for
expansion in Japan into the 21st century.
Contact Info: 4380 Cote des Neiges Montréal, QC H3V 1E6 Phone:
(514) 989-8420 Fax: (514) 933-7850
[email protected]
Contact: Rhonda Meloro, Manager
Products: Canine Fashion Apparel
JETRO Canada 1999/2000 29
WHAT IS JETRO?
The Japan External Trade Organization (JETRO) is a non-profit,
government-related organization dedicated to promoting mutually
beneficial trade and economic relationships between Japan and other
nations. Headquartered in Tokyo, JETRO has a network of 38 offices
in Japan and 80 overseas offices located in 58 countries.
JETRO has 3 offices in Canada - in Toronto, Montreal and Vancouver.
There are also two JETRO Senior Trade Advisors posted in Guelph and
Vancouver. JETRO works closely with all levels of government and
industry organizations in supporting Canadian companies in their
efforts to enter the Japanese market. JETRO's activities in Canada
are designed to assist small and medium-sized companies export to
and invest in Japan as well as to promote industrial co-operation,
strategic alliances and region-to-region trade and business
links.
In July 1998, JETRO merged with the Institute of Developing
Economies (IDE), Japan's largest institution for regional and
economic development research. The merger transforms JETRO into a
new organization with comprehensive capabilities in
trade/investment promotion and research on economic and related
affairs in developing regions.
JETRO Canada 1999/2000 30
OUTLINE OF JETRO PROMOTION PROGRAMS
BUSINESS SUPPORT CENTRES (BSC) To assist foreign business people in
launching their marketing efforts in Japan, JETRO maintains
Business Support Centers in Tokyo, Yokohama, Nagoya, Osaka, Kobe
and Fukuoka. They offer two months of free office space. In
addition, the conveniently located centres are staffed with on-site
expert consultants who provide business information and advice free
of charge.
CYBER SHOWCASE The Cyber Showcase is a computerized database that
enables Japanese buyers and foreign sellers to find each other
quickly, easily and for free. This on-line product showcase is an
effective way to promote a company's building materials products or
assistive technology devices in Japan.
EXPORT TO JAPAN STUDY PROGRAM (EJSP) This program invites selected
Canadian business people and trade specialists to Japan for a
ten-day-long visit designed to provide a first-hand look at
Japanese market conditions and trends. In addition to helping
arrange individual business appointments in advance, specialized
briefings by Japanese business people, importers, manufacturers and
other specialists are provided. Tours of local firms and
manufacturing facilities can also be arranged.
HOUSING MATERIALS CENTRES Targeted at both Japanese consumers and
builders, centres in Tokyo and Osaka exhibit a wide variety of
housing fixtures and interior fittings from abroad. Catalogs,
pamphlets and other publications cover an even broader range of
items. Seminars and consulting are also provided.
IMPORT BUSINESS NEWS (YUNYUU SAIZENSEN) Senior Trade Advisors use
this Japanese language monthly publication to introduce promising
Canadian products, not yet available in Japan, directly to Japanese
importers.
IMPORT FAIRS (HEALTHCARE / ENVIRONMENT) JETRO organizes annual
large-scale trade fairs in Japan for foreign products and services
with emphasis on two areas with excellent growth potential: health
care and environment.
IMPORT PRODUCT SPECIALIST PROGRAM On a periodic basis, Japanese
Import Product Specialists are dispatched to Canada to make direct
contact with Canadian manufacturers and purchase product samples,
which they then represent at specially organized Import Showcases
held in conjunction with major industry- specific trade fairs in
Japan. The Import Product Specialists are veteran Japanese business
people from the private sector selected for their special expertise
in specific product areas as well as their experience in dealing
with imported products. Last year experts in healthcare,
environmental products and software visited Canada. In the past
other sectors such as lifestyle and building products have also
been targeted.
INVESTMENT ADVISORS At JETRO's Toronto office, two Investment
Advisors are always ready to assist Canadian companies with
inquiries about investment in Japan, for example, market
opportunities, how to set up an office, joint venture partners,
taxation practice or accounting.
JETRO Canada 1999/2000 31
LOCAL ROOTS PROGRAM The Local Roots Program was initiated in 1994,
as a means of offering JETRO's services to companies located far
from the Toronto office. Focusing on a different city each year,
the program provides companies with the opportunity to introduce
themselves to Japanese- affiliated manufacturers and trading houses
in the Toronto area, who may not otherwise hear about them. Once
matches are made, free half-hour business appointments are arranged
between the two companies in the selected city to discuss potential
business opportunities.
MARKET RESEARCH JETRO has a wide variety of market research
resources for Canadian companies, from specific sector market
reports to a database of potential Japanese importers to
directories of trade fairs in Japan. There are also guides to
Japanese business culture, videos and regular publications about
trends in the Japanese market. Much of this information can be
accessed on-line and companies are welcome to send their inquiries
to their nearest JETRO office.
REGION TO REGION PROGRAM (LOCAL TO LOCAL) The Region-to-Region
Initiatives program was launched in 1996 to support two-way
international regional development. Under the program, JETRO works
with the regions to determine their mutual needs and objectives,
and then offers support for existing and new activities. This is
done mainly by conducting surveys, dispatching and receiving
missions as well as holding seminars. These efforts, coordinated
through JETRO's extensive network of offices worldwide, can play a
crucial role in bringing regions together for investment and
technical tie-ups, collaborative research and development, overseas
procurement by Japanese firms, and investment in Japan by foreign
firms.
SEMINARS All the JETRO offices are active in holding seminars to
inform Canadian companies about various aspects of the Japanese
market and how to do business there.
SENIOR TRADE ADVISORS The function of the Senior Trade Advisors
(STA) is to seek out products with potential for export to Japan,
provide one-on-one consultations, and introduce promising Canadian
products directly to Japanese importers through the publication
Import Business News. Presently, there are two Senior Trade
Advisors in Canada. One, an expert in agriculture and agri-foods,
is stationed at the Federal Government's Agriculture and Agri-Food
regional office in Guelph, Ontario; the other, specializing in the
high-tech area, is based out of the Vancouver office of the
Alliance of Manufacturers and Exporters Canada. Please see next
page for contact information.
TECHNO-BUSINESS FORUM This event is designed to explore mutually
beneficial partnerships between overseas and Japanese companies,
for example joint ventures and technology alliances, especially in
the fields of info-tech, multimedia and electronics. Costs of
exhibitor booth, accommodation and interpreter services are paid
for by JETRO. Also, seminars, presentation meetings, individual
follow-up meetings with Japanese companies and field tours to
regional markets are arranged.
TECHNOLOGY TIE-UP PROMOTION PROGRAM (TTPP) TTPP is a free
Internet-based system that puts companies from around the world in
touch with Japanese companies. This program allows you to promote
your interests to Japanese companies by registering on the system
and also discover the interests of Japanese companies for potential
partnering opportunities. The system is available in both English
and Japanese versions.
OUTLINE OF JETRO PROMOTION PROGRAMS
JETRO Canada 1999/2000 32
JETRO OFFICES IN CANADA
JETRO Toronto 181 University Avenue, Suite 1600 Toronto, ON M5H 3M7
Phone: 416-861-0000 Fax: 416-861-9666
[email protected]
www.canada.jetro.org/toronto/ (JETRO Toronto) www.jetro.go.jp
(JETRO Tokyo)
JETRO Montreal 1 Place Ville-Marie Suite 1506 Montreal, PQ H3B 2B5
Phone: 514-879-5617 Fax: 514-879-5618
[email protected]
www.canada.jetro.org/montreal/
JETRO Vancouver World Trade Centre 660 999 Canada Place Vancouver,
BC V6C 3E1 Phone: 604-684-4174 Fax: 604-684-6877
[email protected] www.canadex.com/jetrovan/
JETRO SENIOR TRADE ADVISORS
Guelph Mr. Mitsuhiko Kushida c/o Agriculture and Agri-Food Canada
174 Stone Rd. West Guelph, Ontario N1G 4S9 Phone: 519-837-5868 Fax:
519-837-9782
[email protected]
[email protected]
Vancouver Mr. Hiroshi Wakabayashi c/o The Alliance - Vancouver
Bureau Suite 1330, 1100 Melville Street Vancouver, B.C. V6E 4A6
Phone: 604-713-7803 Fax: 604-713-7801
[email protected]
www.canada.jetro.org