This country’s economy is built on the sacrifice of others.
Walmart and Amazon ruthlessly squeeze their suppliers. They achieve low prices on some things and try to corner the market on others (and then raise prices). What I don't see them achieving (to the contrary, I see them failing spectacularly at) is the quality control that some Japanese companies excel at.
So there has to be something more to it than that.
In the highly fluid U.S. corporate ecosystem, mobility is always an option. If a supplier loses a contract with Walmart, they can still pivot to another massive retailer, even if it's not quite as large.
Japan and Korea, however, have small landmasses, and the reputational risk is absolute. If a company's reputation is damaged by a single failure or a lost contract, their next job simply vanishes. Because of this existential threat, they fundamentally cannot compromise on quality. Imagine what happens to a small supplier in Japan if they are cut off by a mega-retailer like Aeon Mall. There is no backup giant waiting to take them. They are finished.
So, while geographical and structural differences dictate this extreme pursuit of quality, framing it as a "horizontal culture" is completely wrong. As an East Asian, I can confidently say that "horizontal culture" is the single most mismatched term you could possibly use to describe East Asia
Dogs and Demons: Tales from the Dark Side of Japan
japanese Business Culture and Practices: A Guide to Twenty-First Century Japanese Business Protocols
This is the picture painted for me by the article. Vertical integration eliminates subcontractors. Horizontal integration squeezes them.
> If the author had concluded that their success in these niches stems from being an extremely vertical society where defying your superiors is simply not an option, I would have fully agreed. That aligns exactly with what I have experienced firsthand.
Same story here. When switching jobs is made difficult, the incentive is not to make waves.
> Does your definition of a 'horizotal culture' actually mean forcing people to work overtime just to hit deadlines?
Yes, provided your boss is working with you.
You are ignoring a lot of quality Japanese product have been producing for more than 50 years, which answer partly why idolise Japan question. But the so called squeezing of subcontractors is true as of any other American companies if not worldwide and yet they failed ( or mostly failed ) to achieve similar standing to Japanese counterparts in terms of quality.
In reality, this system is largely sustained by the ruthless squeezing of subcontractors (for the record, I am Korean, but I actually like Japan), which is a massive social issue there. It’s very difficult for me to understand how anyone could view this structural dynamic as collaborative or horizontal.
If the author had concluded that their success in these niches stems from being an extremely vertical society where defying your superiors is simply not an option, I would have fully agreed. That aligns exactly with what I have experienced firsthand.
>"The andon method is really the J-mode in miniature. Information flows laterally, authority to act is widely distributed, and the people closest to the problems are the ones who fix it."
Does your definition of a 'horizotal culture' actually mean forcing people to work overtime just to hit deadlines? Are you sure you haven't completely confused 'horizotally' with 'top-down'
[1] https://www.jftc.go.jp/dk/guideline/unyoukijun/romuhitenka.h...
P.S. The link I provided is an official directive from the Japan Fair Trade Commission (JFTC) explicitly warning large corporations to stop ruthlessly suppressing their subcontractors' labor costs.