Matsushita

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Matsushita’s Culture Changes with Japan
1. Even culture can change. Japan had to experience that firsthand in the 1990s when the economic bubble burst. Companies had hard times and as a consequence they got rid of elder workers whereby they neglected the traditional Japanese value of mutual obligations and loyalty. Younger people noticed theses happenings and lost faith in the mutual loyalty. Anyhow the generation that was born after the 1964s had greater opportunities growing up in rapid growing economy thus they didn’t have the same attitude towards Japanese values as their parents did. Their values were more westernized. They didn’t want the same position in the same company their whole life, the wanted to switch companies and positions. All these events led towards individualism.

2. Japanese businesses can’t operate the way they used to due to Japan’s changing culture. Companies especially have and had to change their human resource strategies such as the pay schemes or the recruiting system. In the past managers received bonuses regardless of their performance and were granted retirement bonuses as well as other specials like company housing. As people switch companies more and more, companies have to prepare for it and adjust the recruiting system which helps them gain more international and divers workforce. Nowadays a shift towards individualism can be seen. Workers get bonuses based on their performance but they hardly get offered any perks. As globalizations increases it is likely that Japanese companies become more and more westernized. Such changes can have both beneficial and harmful effects on Japanese economy. Focusing on individualism brings a high level of entrepreneurial activity with it, which involves the opportunity for new products and new ways of doing business. Moreover it also finds expression in a high degree of managerial mobility…...

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