Japan's economy went into recession in November '07: Cabinet Office

[Jack]

I have been doing business in Japan for about a year now and I don't see any hope for the Japanese economy. The Japan market is perfect for me because of my target demographic: Older people with money (it's not what you're thinking). However, the people with whom I interact on a day-to-day basis, mostly executives at established Japanese companies have no clue how to innovate. Everytime I say something that is different they always come back with the predictable "you are a foreigner and do not understand the Japanese" bullshit. I think in due time Japan will become a third world economy. I don't know how long that will take but it will happen. I'm just here to make as much cash as quickly as possible so that I may not have to worry when third world status is officially obtained.

The Japanese economy is a big short but within that morose prognosys there are pockets of good business opportunities.

[CrankyBastard]

I have been doing business in Japan for about a year now and I don't see any hope for the Japanese economy. The Japan market is perfect for me because of my target demographic: Older people with money (it's not what you're thinking). However, the people with whom I interact on a day-to-day basis, mostly executives at established Japanese companies have no clue how to innovate. Everytime I say something that is different they always come back with the predictable "you are a foreigner and do not understand the Japanese" bullshit. I think in due time Japan will become a third world economy. I don't know how long that will take but it will happen. I'm just here to make as much cash as quickly as possible so that I may not have to worry when third world status is officially obtained.

The Japanese economy is a big short but within that morose prognosys there are pockets of good business opportunities.

I thought you believed Japan was your utopia, but now you tell us that it has no future and you only want to leech off the country's aged population.

[Jack]

I thought you believed Japan was your utopia, but now you tell us that it has no future and you only want to leech off the country's aged population.

Yup. When you do business you have to look at all economic and social factors to make sure you there is a market. Nom point in getting in the life insurance business when your market has already aged.

I like Japan and I like being there but the economy will some day become third world. Maybe in 20 or 30 years, I don't know how long it will take but I am sure it will eventually. The Japanese were smart to be one of the first export-oriented economy which helped create so much wealth. But they are still relying on that pony just as every other developing economy is also exporting its way to prosperity. Look at China, Vietnam, Indonesia, Korea... Japan is no longer the only exporting economy so it has to find something new to prosper. Yet, the head honchos there refuse to change.

The U.S. was once an export-oriented economy as well but they adapted as conditions changed.

[Yokohammer]

I'm just here to make as much cash as quickly as possible so that I may not have to worry when third world status is officially obtained.

You know, Jack, if the Japanese people that you pretend to defend with such dedication understood your true motives (and maybe they do), the only possible reaction would be to hate your guts (and maybe they do).

[Screwed-down Hairdo]

I think in due time Japan will become a third world economy.

I guess one minor consolation if Japan's economy does descend into third-world status is that at least it will come into line with the mentality of the people...

[FG Lurker]

I like Japan and I like being there but the economy will some day become third world. Maybe in 20 or 30 years, I don't know how long it will take but I am sure it will eventually.

When I first arrived in Japan a bit more than 17 years ago I spent some time hanging out with a guy who had already been here for 15 or so years. He had the best and most concise description of Japan that I have ever heard: Japan is a 3rd world country with 1st world toys.

I think there is still hope for Japan (once the current batch of old fuckers dies off) but I don't think you need to wait for Japan to turn into a 3rd world economy -- it's always been one. Think of it as the most successful 3rd world economy the world has yet seen. China will be a more successful 3rd world economy before it implodes a few years from now.

Everytime I say something that is different they always come back with the predictable "you are a foreigner and do not understand the Japanese" bullshit.

It's important to keep a couple of things in mind before dismissing the above comment:

1) Many companies (large and small) have tried to come to Japan and be "innovative". Most have failed spectacularly and often the reason for that is a lack of understanding of "the Japanese" and the way the market here works.

2) A lot of the market here is much like the executives you have been dealing with: They like things the way they are and often aren't interested in any sort of change, even if the changes would lead to something better. It's a weird self-feeding problem.

[Adhesive]

[Jack]

[Adhesive]

I think I'm wayyyyy past the age of enjokosai.

[Greji]

I think I'm wayyyyy past the age of enjokosai.

I ain't! Send 'em over my way.....

[Jack]

I ain't! Send 'em over my way.....

I think, second to me, you have the nicest avatar.

[Screwed-down Hairdo]

I think, second to me, you have the nicest avatar.

I think, second to me, you are the world's greatest wanker.

[Jack]

I think, second to me, you are the world's greatest wanker.

Well, my performance in that department is very competitive so do not underestimate me.

[Tsuru]

Ontopic: I thought the Japanese economy went into recession somewhere in 1989/1990?

I'm not even kidding...

[IkemenTommy]

Ontopic: I thought the Japanese economy went into recession somewhere in 1989/1990?

I'm not even kidding...

and never broke out of it.

[Jack]

Ontopic: I thought the Japanese economy went into recession somewhere in 1989/1990?

I'm not even kidding...

This is the usual koolaid that is passed around mainly by the international media. You can't get a copy of the Economist magazine without a negative economic story on Japan every week. No kidding.

You are referring to the bubble bursting ... But look around when you are in Japan: the department stores are still full, luxury stores are popping out everywhere with, not one but often two or more, signature buildings, restaurants are full. In Japan I am not seeing the recession or the morose state everyone says Japan is in. Of course I am comparing it to North America and Europe and I see the Japanese consumer spending more than Europeans and Americans. What people generally miss is that every Japanese female is now buying only two Louis Vuitton bags a year instead of three before. While the rest of the non-Asian world is still buying one every 10 years. (yes I made up this statistic to make a point that Japan started the recession at a very high personal wealth level and despite less than stellar economic performance the country is still doing comparatively well). Having said this, I still say that over time Japan will become a third world economy .

[nottu]

[Jack]

Are you sure you're in Japan or did you get off the plane in some stop-over country by mistake?
Department stores are closing big time. People are walking around in the remaining department stores to soak up the A/C, they're not buying.
Consumers are not spending on high end, everyone in Japan is moving toward the cheap product side.
The Japanese economy is the worst I've seen it in thirty years and set to get worse.

I disagree with everything you say. You are exaggerating. I have done very extensive market research and what you say is not supported by evidence other than casual bar chitchat.

The Japanese economy may well be the worst you have seen in thirty years and what I am saying is that even THAT is better than in other economies. As for it is going to get worse part: I am on the record for agreeing with that.

[nottu]

[Samurai_Jerk]

Japan considering new stimulus to revive recovery

Japan's economy may get another lifeline soon.

Faced with meager growth and a strong yen, the country's leaders are moving toward injecting more stimulus measures to fight a sharp slowdown in momentum. A new package would set Japan apart from the rest of the developed world, which is winding down stimulus steps even as worries grow about a cooling global economy.

Gross domestic product data earlier this week showed Japan grew at an annualized rate of just 0.4 percent in the April-June period, down from 4.4 percent the previous quarter. As a result, the country lost its place to China as the world's No. 2 economy.

But it will be a tricky task for Prime Minister Naoto Kan, who is also juggling a promise to reduce the country's massive debt and a possible challenge for leadership of the Democratic Party next month.

Kan has asked his Cabinet for ideas that limit new spending, suggesting tax and regulatory reforms as potential alternatives.

"Of course we have to consider fresh fiscal spending," Kan told reporters, according to Kyodo news agency. But "it seems possible to boost demand or stimulate the economy without depending on fiscal spending."

Separately, the country's finance minister indicated a cautious stance on taking on more debt, which is almost double the size of GDP. ....

[Jack]

Increased borrowing by consumers can help the Japanese economy recover strongly but I fear that with the genetically risk averse populace that may not be in the cards. Or banks may not be willing to lend. A lot of the growth we have had in other developed economies is that consumers partake in the money printing festivals. In Japan it seems the government is dancing alone in the stimulation dance.