• Abstract and Figures
• Public Full-text

EU-Japan Centre for Industrial Cooperation 日欧産業協力センター Brief Guide for European Companies on Importers and Wholesale Distributors in Japan (food and wine; ICT; medical devices) Alice Tomaskova Minerva Fellow April – September 2015 Disclaimer and copyright The information contained in this publication reflects the views of the author and not necessarily the views of the EU-Japan Centre for Industrial Cooperation, the views of the EU Commission or Japan authorities. While utmost care was taken to check and translate all information used in this study, the author and the EU-Japan Centre may not be held responsible for any errors that might appear. This report does not constitute legal advice in terms of business development cases. The author can be reached at [email protected] © EU-Japan Centre for industrial Cooperation. 2 Table of Contents Disclaimer ………………………………………………………………..................... p 2 Executive summary ……………………………………………………...................... p 4 List of figures……….... ………………………………………………....................... p 5 Acknowledgements....................................................................................................... p 6 Methodology.................................................................................................................. p 7 Overview on EU-Japan trade and support for SMEs.................................................... p 8 I. Distribution systems in Japan ……….……………………………………………… p10 1. An overview of key factors to succeed in Japan ..................................................... p11 a) Japanese consumer preferences and tastes................................................. p11 b) Position of your product in the Japanese market………………............... p11 c) Direct sale or utilize distributors?.............................................................. p11 d) General recommendations....................................................…………… p12 2. Food/wine/cheese distribution ….……………………………………………… p19 3. Computer/ mobile /medical software distribution………………………………. p36 4. Medical equipment distribution………………………………………………… p40 II. The most common market entry routes for EU products/services in Japan…….… p45 1. Using a distributor or an agent............................................................................. p46 2. Establishment of an office.................................................................................... p46 3. Trading companies - sogo shosha and senmon shosha………………………….. p46 a) Logistics and distribution channel.............................................................. p48 b) Sogo shosha and the retails sector (food)................................................... p48 4. Wholesalers (food sector)……………………………………………………..... p50 III.Specific recommendations for Central European and East European Countries….. p53 1. Challenges………................................................................................................. p53 2. How to convince a potential distributor to carry out your product...................... p55 3. Way to approach your potential business partner................................................ p55 4. HORECA sector opportunity................................................................................ p56 5. ICT sector opportunity……………………………….......................................... p56 IV. Conclusion………………………………………………………………………….. p57 List of References: V. Annexes …………………………………………………………………………… p59 1. Recommended trade fairs in Japan with B to B matching event......................... p59 2. List of specialized organizations helping EU SMEs with import......................... p61 3. List of relevant associations helping imports to Japan ....................................... p62 4. Brief Analysis on EEN challenges and development potential in Japan ………… p65 3 Executive summary The aim of this Report is to facilitate market access to Japan for the European exporters in a number of selected sectors (food and wine, ICT, medical devices) through the sharing of comprehensive and practical information. There is no doubt that the Japanese market presents a huge potential for the committed, diligent and performing European SMEs with a clear and long term business vision. However, most SMEs cannot afford to establish a branch office in Japan, preferring to operate through Japanese business partners, distributors etc. In this context, the Report provides some background on distribution networks in Japan in the above mentioned sectors, identifies the most commonly used import routes for EU products/services and provides a number of recommendations from interviewed Japanese and European managers on key factors to succeed in Japan. Another aim of the Report is to support the expansion and effectiveness of Enterprise Europe Network Service in Japan. In this context a large amount of interviews with relevant interlocutors in Japan where conducted throughout the research period. The main objective of the interviews with importers and distributors in Japan was to understand their view and learn their needs concerning the EEN database and related services. In order to promote EEN database services in Japan, an internal list of Japanese distributors, importers and wholesalers have been created, addressing the following sectors: food/wine (107 companies), ICT (105 companies), and medical devices (105 companies). 4 List of figures Fig 1: EU export to Japan according to the data from Japanese Min. of Finance……….. p 8 Fig 2. General distribution system structure..................................................................... p10 Fig 3. Process of food/wine import to Japan.................................................................... p17 Fig 4. Retail Channel Structure....................................................................................... p18 Fig 5. Food Service Channels.......................................................................................... p19 Fig 6. Top 3 retail groups in Japan, data from 2012........................................................ p19 Fig.7. General food distribution scheme in retail sector................................................ p20 Fig.8. Distribution Structure for National and Conventional Supermarkets................. p23 Fig.9.Food distribution structure for department stores............................................... p24 Fig.10. Manufacturer and distributor roles in a typical distribution channel…………. P25 Fig 11. General food distribution scheme in HRI sector............................................ p28 Fig 12. Distribution channels of imported wine............................................................ p31 Fig. 13. Distribution channel of cheese......................................................................... p33 Fig. 14. Multiple layers of software distribution in retail............................................. p37 Fig. 15.Direct sales model............................................................................................ p37 Fig. 16. Medical/nursing care software solutions........................................................ p38 Fig. 17. Scheme of medical device distribution system in Japan................................ p40 Fig. 18. Sogo shosha expanding to retail business…………………………………... p49 5 Acknowledgements The author wishes to thank Dr. Silviu Jora, General Manager (EU-side) of the EU-Japan Centre for Industrial Cooperation, Mr. Masanori Osumi, General Manager (Japan side) for giving her this opportunity to learn more about the Japanese distribution system. The author is also indebted to all the interviewees that found the time to meet the author, and provide her with useful information despite their busy schedule. I wish to express my thanks to Mr. Masao Fujita, Mr. Shinya Higashimoto and Mr. Fujio Matsumoto for reviewing of the Recommendations chapters and for their valuable comments. 6 Methodology This Report is primarily based on two pillars - review of literature and information regarding distribution systems in Japan regarding the three sectors – food, medical devices and ICT, as well as feedback from the European and Japanese managers regarding their success strategy in Japan. To supplement this, a large number of EU-member state representative organizations such as embassies and chambers of commerce were approached for interviews. In order to get feedback from companies, a large number of Japanese as well as European managers in Japan was interviewed 84 organizations and companies were approached for their cooperation during the period of April 2015 to September 2015 for this study). When asked for recommendations, the majority of companies as well as organizations interviewed were willing to share their success stories, at least to some extent. As a result, it is possible to give a comprehensive picture of the situation for European SMEs looking for a business partners in Japan in the sectors mentioned. This Report consists of four parts; the first part presents an overview of the distribution system in Japan in the food, ICT and medical device sectors, summarizes key factors to succeed in Japan and contains recommendations from the Japanese and European managers doing business in Japan. The second part is a compilation on the most commonly used import/selling routes for existing EU products/services. The third part consists of specific recommendations for Central and Eastern European Countries. In the annex an internal list of importers and distributors in Japan

Load more

  66

Copy Link