In Japanese Client Relations, Trust is Everything

In Japanese business culture, trust is not just a valued trait. Trust, or 信頼 (shinrai) is an essential ingredient to building long-term relationships, underpinning every interaction and transaction. But how do you earn trust when you are just starting out as a foreign company in Japan? Here are three key strategies, drawing upon more than 20 years of experience working with Japanese clients, that can help you establish and maintain trust in this unique cultural context.

1. Keep Close Communication

Transparent and frequent communication builds trust across cultures. You might wonder why the Japanese insist on having frequent meetings when all necessary information can be exchanged via email. The Japanese think differently. They highly value direct conversations, preferably in-person, as these help foster mutual understanding and respect.

In Japan, there is no such thing as "overcommunication" or redundancy. Whether it is internal communication within your team or company, or in ongoing projects with clients, the Japanese love to communicate details. While in the West, we often keep silent until we can present a definite answer or outcome, the Japanese emphasize the "process over results". This means that the smallest of updates or changes will be communicated. So don't mind sharing the same information once more, maybe with a slightly different nuance.

2. Demonstrate Reliability

Japanese clients have exceptionally high standards when it comes to product and service quality. The same is true for business communication and interpersonal connections: Meeting deadlines, keeping promises, and providing consistent service is key to maintaining great customer relations.

In my experience working with Japanese clients for over two decades, I've seen firsthand how rigorous these expectations can be. This is all the more important for foreign companies just starting out in Japan as you haven’t had the chance to earn your customer’s trust.  Demonstrate that your company can be depended upon in all situations, and Japanese customers will be willing to give you their business.

3. Respect Hierarchical Structure without Bypassing Key Persons

Hierarchies still play a significant role in Japanese corporations. Endorsements by upper-level executives can greatly accelerate projects. At the same time, it’s important to recognize that Japan also has a "bottom-up culture" where co-workers affected by certain initiatives often have an important say in decisions.

I’ve experienced this time and time again with foreign clients that wanted to bypass a project manager with a top-down approach to achieve a quick win. In the end, this approach can backfire since your direct counterpart has lost his face.

During negotiations, you'll find it useful to address senior members first and provide them the chance to lead discussions. Simultaneously, put into account feedback from users and field workers to refine your proposals, demonstrating that you value input from every level.

Earning your counterpart’s trust is key for building thriving business relations in Japan. By keeping close communication, showing up as reliable partner, and respecting hierarchies you will be equipped to navigate the decision-making process, ultimately fortifying your business relationship and mutual respect.

Are you looking to master negotiations and the art of doing business in Japan, check out our new ebook Getting to Yes in Japan. It's filled with insights and strategies that can help you excel in the Japanese market.