Causes of the Hyper Growth Phenomenon in China and Japan Essay

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The spectacular growth of economics in East Asia over few decades, it has left many people wondering the reason behind the hyper growth phenomenon. Such example of countries experiencing such hyper growth is Hong Kong, Korea, Singapore, Japan and China. In this essay China and Japan will be selected as representative in comparing and contrast of both business system as they are one of the largest economic bodies in the world and they both have rich history in business system development. Additionally, the essay will include analysis on factors that cause the differences of 2 business systems which include, business cultural communication, management styles and the formation of economic institution in both countries and last
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In Japan and China, it is understood that the culture of business communication is to always to show respect and be polite when negotiating business, however despite the similarities due to the different historical experience of both countries they have differences in the way the handle business communication. For example, one distinct characteristic of Japanese firms is " mono ieba kuchibiru samushi aki no kaze" which mean it is better to keep many things unsaid. Japanese believe that every individual have a public self image or "Face" that should not be embarrass or humiliated. By the notion of saying "No" or showing signs of displeasure it risk offending the opposite party therefore it must be avoided at all cost. In business discussion even when there is disagreement over certain issue, Japanese would often come out with various ways to indirectly reject the opposite party, such as redirecting the question to another topic or stating that they hold no authority to answer the question in a polite way. However this pose a threat to Japanese firms as due to its indirectness it might cause cultural misunderstanding of being insincere in which could damage business relation between Japanese firms and other western firms.
Similarly on the other hand, the Chinese is usually ambiguous in their communication with others as they value the importance of harmony and human relationship which bring
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