* * * * * * * * * T E R R I E 'S T A K E * * * * * * *<br>A weekly roundup of news & information from Terrie Lloyd.<br>(<a href="http://www.terrie.com">http://www.terrie.com</a>)<br><br>General Edition Sunday, September 26 2010 Issue No. 583<br>
<br>+++ INDEX<br><br>- What's New<br>- Short Takes<br>- News<br>- Candidate Roundup/Vacancies<br>- Upcoming Events<br>- Corrections/Feedback<br>- News Credits<br><br>SUBSCRIBE to, UNSUBSCRIBE from Terrie's Take at:<br>
<a href="http://mailman.japaninc.com/mailman/listinfo/terrie">http://mailman.japaninc.com/mailman/listinfo/terrie</a><br><br>BACK ISSUES<br><a href="http://www.japaninc.com/terries_take">http://www.japaninc.com/terries_take</a>, or,<br>
<a href="http://mailman.japaninc.com/pipermail/terrie/">http://mailman.japaninc.com/pipermail/terrie/</a><br><br><br>----------------- PBXL WILL BUY YOUR PBX ------------------<br><br>Is your PBX vendor requiring you to purchase a new PBX <br>
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<br>Offer expires 15 Dec 2010.<br><br>------------ PBXL is BUSINESS COMMUNICATIONS --------------<br><br><br>+++ WHAT'S NEW<br><br>Normally we don't write about political issues, because <br>usually there is no right or wrong and all you do is wind <br>
people up. However, the current spat between China and <br>Japan over a fishing boat skipper and a remote group of<br>currently uninhabited islands in the South China sea, just <br>170 kilometers from Taiwan, is too much to pass up.<br>
<br>The islands in question are the so-called Senkaku Islands, <br>the Diaoyu's to the Chinese, and unless you've been living <br>under a rock yourself over the last two weeks, you will <br>know that Japan detained a Chinese fishing trawler that was<br>
in Japanese territorial waters near the islands. It seems <br>that the fishing boat skipper tried to make a run for it <br>and the Japanese coast guard rammed him (or did he ram <br>them, who knows?). They then detained him, his crew, and <br>
his ship, and returned them to Ishikawa island, for a <br>decision on charges to come from nearby Okinawa. <br><br>The crew were quickly set free and flown back to China from<br>Okinawa on a chartered jet, but Japan obviously wanted to <br>
make an example of the skipper -- much as they did with the<br>Green Peace skipper, Peter Bethune, back in July. <br>Unfortunately for Japan, China is not the pushover that New<br>Zealand was, and the Chinese have thousands of years <br>
experience in playing the "Great Game". The Chinese quickly<br>expressed outrage at the arrest, especially since they <br>dispute sovereignty of the islands in the first place, and <br>thereafter started turning the screws on the Japanese. <br>
<br>First there were withdrawals from various high level <br>government talks, then street protests in China against <br>Japan, which led, we heard from a friend there, to stonings<br>of a Japanese school (not reported in the media). Then <br>
there were the arrests of four Japanese Fujita construction<br>employees who somehow managed to stray into "sensitive" <br>territory in China, and finally the news that China has <br>discontinued shipments of rare earths vital for the <br>
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<br>Finally after two weeks of escalating pressure the Japanese<br>got the message and had to do a highly embarrassing step <br>down, letting the Chinese skipper go free, and leaving it <br>to a hapless prosecutor in Okinawa to tell the world that <br>
because no one was hurt in the ocean incident, and in view <br>of the political pressure, no charges would be brought <br>against the captain. <br><br>Something that should have been a simple policing action <br>has turned Japan into the proverbial 90lb weakling of Asia,<br>
with China doing the sand kicking. It's all very <br>embarrassing.<br><br>Well, you might say, "Being laughed at a bit is OK isn't <br>it?" After all, the trade off being made was very pragmatic<br>and it allows the Japanese to get on with what they are <br>
good at: which is making more money out of their extensive <br>interests in China. Indeed, the response proves that Japan <br>has its priorities right and is a mature nation, so on one <br>hand we'd agree with the skipper's release. Certainly we <br>
don't want to see a resurgence in rightest politics.<br><br>The problem for Japan, though, is that handing back the <br>skipper has not ended their public relations debacle.<br>Rather, a much worse problem may be emerging, that of <br>
putting the genie back in the bottle as far as Chinese<br>power politics is concerned. The "slippery slope" effect<br>seems to be in motion.<br><br>Consider what is likely to come next. If China continues <br>pressuring Japan, believing that Japan will swallow its<br>
pride to protect its investments, then China not only gets <br>the satisfaction of seeing the politicians and bureaucrats <br>in Kasumigaseki twist and squirm on every new event, but <br>also clearly establishes who is boss -- for the benefit of <br>
others in the region. If on the other hand, Japan says <br>enough is enough, especially when the next incident occurs,<br>then both countries are likely to start either a trade war <br>or possibly even an arms race -- either of which will hurt <br>
Japan more in the long run.<br><br>But surely China also benefits from its relationship with<br>Japan? Why is it risking such a valuable potential ally <br>with apparently petty politics? We can see two reasons that<br>are motivating China to get more aggressive for the next <br>
few years:<br><br>1. Power and politics. <br>In 2012, the Communist Party's leadership is due to retire <br>and make way for the so-called fifth generation. There is <br>a lot of jockeying for positions going on, and lashing out <br>
at everyone's favorite whipping boy, Japan, is a sure way <br>of showing leadership in the run-up to the elections. At <br>the same time, the military leadership will also change, <br>and the next generation of officers are those who were <br>
raised to look abroad for control and influence. They <br>intend to make China an international power and see <br>Japan-bashing as a very convenient tool. Not just Japan, <br>but also the USA and other nations in East Asia have to be <br>
worried about this prospect.<br><br>2. Economics<br>As China grows in influence and financial clout, it is <br>finding that the huge inflows of cash are giving it the <br>ability to rise beyond being a grateful recipient of <br>
others' trade, to now becoming a full-fledged trader in its <br>own right. We have already seen China successfully gain <br>influence and control in various commodities -- <br>ranging from oil and rare earths to soya beans and grains. <br>
Our take is that in this spate, Japan hasn't tasted real <br>punishment yet and if China so chooses, it could <br>substantially hurt Japan without a shot being fired. Think,<br>for example, about the shipment of fresh vegetables, frozen<br>
foods, and clothing -- much of which now comes from China.<br><br>What does China want? Well, we think the road map has been <br>quite clearly marked -- and some of the milestones, from <br>near term to longer term, will be:<br>
<br>1. Drilling and fishing rights around the Senkaku's. Both <br>countries have been talking about this already, but we <br>think the Chinese will really amp up the pressure now. <br><br>2. China rising to become the leading regional political <br>
and economic power broker, with a humbled and humiliated <br>Japan staying in the shadows. A whipping boy can come in <br>handy sometimes -- especially to deflect discontent of <br>people back home. <br><br>3. Eventual yielding of the Senkaku islands territory to <br>
China, probably in the form of shared administration by <br>both countries -- but with China supplying all the people <br>and most of the economic activity.<br><br>4. Ongoing indirect manipulation of Japanese politics and <br>
economics, such as the incident that we have just <br>witnessed, so as to create either a subservient economic <br>partner and an economic zone outside the influence of the <br>USA, or a reviled enemy to focus the energies of the <br>
populace back home.<br><br>Are we being paranoid? Only time will tell, but it's <br>important to remember that China has little love for <br>Japan, and the idea of eclipsing and humiliating Japan are <br>probably too great to resist. Japan needs to understand<br>
this and be prepared to either offer China what it wants or<br>move quickly and firmly to find other major regional <br>partners to balance the China relationship.<br><br>Vietnam and the Philippines come to mind...<br><br>
Lastly, if you're starting a company, or need tips on how <br>to run one you're already operating, maybe you should <br>attend our Entrepreneur's Handbook seminar, scheduled for <br>next Saturday, October 2nd, 2010. More details at: <br>
<br><a href="http://www.japaninc.com/entrepreneur_handbook_seminar">http://www.japaninc.com/entrepreneur_handbook_seminar</a><br><br>*************<br><br>+++ SHORT TAKES<br><br>This is a short new section, whereby we will make <br>
recommendations on different products and services we think<br>you might find interesting or useful while living in Japan.<br><br>=> 1. This week's alternative health remedy<br>The extremes in temperature during September and October <br>
are sure to cause colds -- if only in the people around <br>you. So, the very first remedy we recommend, to help you <br>build up some immunity to subway and meeting room sneezes,<br>is a strong and reliable slow release Vitamin C, in the <br>
form of Ester-C, packaged with the powerful bioflavanoids, <br>Quercetin and Bromelain. This Solgar brand product really <br>works and we take it every day. <br><br><a href="http://www.iherb.com/Solgar-Quercetin-Complex-100-Veggie-Caps/8836?at=0">http://www.iherb.com/Solgar-Quercetin-Complex-100-Veggie-Caps/8836?at=0</a><br>
* <a href="http://iherb.com">iherb.com</a> referral code -- LOY499<br>* Pays us a small commission at no extra cost to you.<br><br>=> 2. Coming week's MMC prize<br>Next week's prize in the Metropolis Members Club is a <br>
romantic dinner for two at 148Hiroo. This week's prize was<br>a laptop computer provided by local phone card company <br>JENET, and was won by Taren Black.<br><br><a href="http://blogs.metropolis.co.jp/club/">http://blogs.metropolis.co.jp/club/</a><br>
* 40 prizes scheduled in the next 40 weeks. <br>* No charge to enter.<br>* Receive the MMC newsletter to stay in the draw.<br><br><br>...The information janitors/<br><br>***------------------------****-------------------------***<br>
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an office in Japan. We take care of all aspects of the<br>employment, contracting, and dispatch -- including <br>management of the employee.<br><br>For more information on this and other SI and IT services,<br>in English or Japanese:<br>
<br>Phone: 03-5773-3090, Email: <a href="mailto:solutions@biosjp.com">solutions@biosjp.com</a><br>Web: <a href="http://www.biosjp.com">www.biosjp.com</a><br>-----------------------------------------------------------<br><br>
<br>+++ NEWS<br><br>- Foreign funds buying real estate<br>- Japan to complain to WTO over Chinese rare earths ban<br>- Oracle Japan shares sink 9%<br>- DeNA invests in Astro Ape<br>- Paris Hilton denied entry to Japan<br>
<br><br><br>-> Foreign funds buying real estate<br><br>The Nikkei ran an editorial this last week on the spike of <br>buying by foreign funds of Japanese real estate. It refers <br>in particular to Japan Tobacco's Shinagawa office complex <br>
and shopping mall, which could be worth as much as JPY90bn<br>(about US$1bn). Apparently a Chinese fund is interested in <br>bidding when the buildings come up for sale in November. <br>The Nikkei also refers to the JPY300bn of investments that <br>
LaSalle Investment Management says it will make over the <br>next 2-3 years. A fly in the ointment, though, is a surge <br>of new office buildings due to come on to the market in <br>2011, as well, of course, as the high yen. (Source: TT <br>
commentary from <a href="http://nikkei.com">nikkei.com</a>, Sep 24, 2010)<br><br><a href="http://e.nikkei.com/e/ac/tnks/Nni20100924D24HH046.htm">http://e.nikkei.com/e/ac/tnks/Nni20100924D24HH046.htm</a><br><br>-> Japan to complain to WTO over Chinese rare earths ban<br>
<br>China has apparently stopped the export of all rare earth <br>minerals to Japan, a situation that in the mid-term will <br>disrupt the production of hard disks, air conditioners, <br>electric motors of various kinds, and other essential <br>
electrical components. Japan imported 31,383 tons of rare <br>earths in 2008, 92% of which came from China. There is a <br>stock pile of the minerals in Japan already, but trading <br>houses are saying that the situation needs to be cleared <br>
up or production shortages will happen. (Source: TT <br>commentary from <a href="http://japantimes.co.jp">japantimes.co.jp</a>, Sep 25, 2010)<br><br><a href="http://search.japantimes.co.jp/mail/nn20100925a2.html">http://search.japantimes.co.jp/mail/nn20100925a2.html</a><br>
<br>-> Oracle Japan shares sink 9%<br><br>The shares of Oracle Japan (4716) sank by more than 9% on <br>Friday, on the news that the parent company in California <br>is requiring the Japanese operation to pay higher royalty <br>
levels for licencing the U.S. firm's products. The Japanese <br>operation said that correspondingly its net profit would <br>probably fall by around 2% this year. ***Ed: This of course<br>opens the question as to how legitimate it is for a company<br>
overseas to be listing in Japan while it obviously controls<br>the profit levels of the Japanese firm. Battling against <br>competitors locally is one thing, but the arbitrary <br>increase in royalties by a parent is clearly an act of <br>
self-interest by the parent, at the cost of the Japanese <br>investors. We're surprised that the Japanese stock market <br>authorities or the Tax Office don't have anything to say <br>about this. Maybe Oracle is too big to bother?** (Source: <br>
TT commentary from <a href="http://nikkei.com">nikkei.com</a>, Sep 24, 2010)<br><br><a href="http://e.nikkei.com/e/ac/tnks/Nni20100924D24SS048.htm">http://e.nikkei.com/e/ac/tnks/Nni20100924D24SS048.htm</a><br><br>-> DeNA invests in Astro Ape<br>
<br>Mobile games company, DeNA, is trying to bulk up, <br>presumably to battle it out with U.S. player, Zynga. DeNA <br>announced this week that it is buying a stake in U.S. <br>game company Astro Ape. This announcement comes hot on the <br>
heels of an investment by DeNA last week in a company <br>called GameView. DeNA has said that it wants to be an <br>“X-device, X-border” company, meaning that it will be <br>ubiquitous around the globe. (Source: TT commentary from <br>
<a href="http://venturebeat.com">venturebeat.com</a>, Sep 24, 2010)<br><br><a href="http://tinyurl.com/25eocw8">http://tinyurl.com/25eocw8</a><br><br>-> Paris Hilton denied entry to Japan<br><br>Not that we really care, but it's interesting to see that a <br>
fine old tradition starting with Paul McCartney many years <br>ago is still being pursued by the Immigration authorities <br>-- the tradition of turning back famous people at the <br>border if they have drug offenses on their resume. In this <br>
case, Paris Hilton was refused entry because of her cocaine<br>drug arrest in August 2010 in Las Vegas. Although she got <br>off with a misdemeanor charge at the time, the Japanese <br>Immigration authorities didn't think 0.8gm of cocaine was <br>
such a minor offense and sent her packing. (Source: TT <br>commentary from <a href="http://helium.com">helium.com</a>, Sep 22, 2010)<br><br><a href="http://www.helium.com/items/1963237-paris-hilton-leaves-japan">http://www.helium.com/items/1963237-paris-hilton-leaves-japan</a><br>
<br><br>NOTE: Broken links<br>Many online news sources remove their articles after just a<br>few days of posting them, thus breaking our links -- we<br>apologize for the inconvenience.<br><br>***------------------------****-------------------------***<br>
<br>+++ CANDIDATE ROUND UP/VACANCIES<br><br>=> BiOS, a Division of the LINC Media group, is actively <br>marketing the following positions for customers setting up <br>or expanding in Japan, as well as other employers of <br>
bilinguals.<br><br>** HIGHLIGHTED POSITION(S)<br><br>BiOS is currently looking for an experienced and highly <br>successful Software Services Sales Manager to join a client<br>in the business of selling Business Critical Services. The <br>
candidate will be responsible for both New and Renewal BCS <br>quota, supporting opportunities within the region, and <br>achieving the BCS Bookings targets, as well as other <br>responsibilities such as building relationships with field <br>
account teams, demonstrating value propositions to <br>enterprise customers, handling the entire sales cycle for <br>contracts, and participating in demand generating marketing<br>campaigns.<br><br>The successful candidate will have more than 4 years <br>
experience in IT sales or marketing, be able to <br>demonstrate a proven track record selling software services<br>or solutions (including license) sales, will be competent <br>in program management methods and tools and will have a <br>
solid list of results over the last 2-5 years. Finally, <br>given the emphasis on communication it goes without saying <br>that excellent written, verbal and presentation skills in<br>English and Japanese are a must to succeed in this <br>
demanding role.<br><br>Remuneration is up to JPY10.5m depending on your experience<br>and level.<br><br>** POSITIONS VACANT<br><br>- APAC HR Director, Singapore, JP17m – JPY21m<br>- Data Center Engineer, JPY3.5m – JPY5.5m<br>
- Web Apps Support, LCD Manf JPY3.5m – JPY4m<br>- IT Support Engineer, Euro Pharma client, JPY4m – JPY5m<br>- Security Analyst, Global Security Vendor, JPY5m – JPY6m<br><br>Interested individuals may e-mail resumes to:<br>
<a href="mailto:stuart.gibson@biosjp.com">stuart.gibson@biosjp.com</a><br><br>** BiOS Job Mail<br><br>Every 2 weeks BiOS sends out a regular communication to its<br>job seeking candidates, called BiOS Job Mail. Every edition<br>
carries a list of BiOS's current and most up-to-date<br>vacancies, with each entry featuring a short job<br>description and a direct link to the main entry on the BiOS<br>home page. Regardless of whether you are unemployed and<br>
searching, thinking about a career change, or just curious<br>to know if there is something out there that might suit you<br>better, the BiOS Job Mail newsletter is an easy and<br>convenient way for you to stay informed. If you would like<br>
to register for the BiOS Job Mail, or to find out more,<br>please email <a href="mailto:stuart.gibson@biosjp.com">stuart.gibson@biosjp.com</a>.<br><br>Interested individuals may e-mail resumes to:<br><a href="mailto:stuart.gibson@biosjp.com">stuart.gibson@biosjp.com</a><br>
<br>-----------------------------------------------------------<br><br>***------------------------****-------------------------***<br><br><br>+++ UPCOMING EVENTS/ANNOUNCEMENTS<br><br>------------ Entrepreneur Seminar is Back! ----------------<br>
<br>Start a Company in Japan<br><br>Entrepreneur's Handbook Seminar, October 2nd, 2010<br><br>If you have been considering setting up your own company,<br>find out what it takes to make it successful. Terrie <br>Lloyd, founder of over 13 start-up companies in Japan,<br>
will be giving an English-language seminar and Q and A on<br>starting up a company in Japan.<br><br>This is an ideal opportunity to find out what is involved,<br>and to ask specific questions that are not normally <br>answered in business books. All materials are in English <br>
and are Japan-focused.<br><br>For more details:<br><a href="http://www.japaninc.com/entrepreneur_handbook_seminar">http://www.japaninc.com/entrepreneur_handbook_seminar</a><br><br>-----------------------------------------------------------<br>
<br>************** Charity Race for Disabled ******************<br><br>The Nippon IT Charity Relay Race 2010 will be held in <br>Kawasaki from 12:00pm on October 17th. Proceeds raised from <br>the event will be donated to the Future Dream Achievement <br>
charity which provides supportive IT training and <br>employment opportunities to disabled people, people with <br>mental health problems, non-regular workers, people lacking<br>basic education and training, and socially-withdrawn <br>
people. Anyone interested in taking part in this fun day <br>out should contact: <a href="mailto:graham@isfnet.com">graham@isfnet.com</a><br>***********************************************************<br><br>***------------------------****-------------------------***<br>
<br>+++ CORRECTIONS/FEEDBACK<br><br>In this section we run comments and corrections submitted<br>by readers. We encourage you to spot our mistakes and<br>amplify our points, by email, to <a href="mailto:editors@terrie.com">editors@terrie.com</a>.<br>
<br>*** In Terrie's Take 582, we mentioned a news item about <br>Chinese manufacturer Haier looking at beefing up its sales <br>here in Japan. A reader responded with first-hand <br>experience of the company's products, that suggest that <br>
Haier still has a lot of work to do to really earn a major <br>share of the Japanese market.<br><br>=> Reader: Just a quick note about Haier products: two <br>years ago, we decided to purchase a new washer/dryer. Since<br>
the Haier products were, on a feature-by-feature basis, <br>considerably less pricey, we decided to give it a try. Big <br>mistake! The product only lasted a few months, and we soon <br>ended up going back to a more reliable Japanese brand.<br>
<br>Perhaps things have improved over the past two years, but <br>if they want to take a bigger share in the Japanese market,<br>even with price competition, they will need to learn to <br>provide higher quality products and services. In any case, <br>
we don't plan on using their products for a very long <br>time... <br><br>--------- Essential Business References in English --------<br><br>Japan is one of the world's most challenging jurisdictions,<br>and you as the director of your corporation, need to have<br>
a comprehensive understanding of matters such as Accounting,<br>Tax, Business, and HR management practices that may come <br>about on a daily basis.<br><br>We have the explanation books written in English!!!<br>- Japan Staff Employment Law Guide, 1st Ed. June, 2010 <br>
(21,000 yen)<br>- Japan Master Tax Guide 2010/11 Published July, 2010 <br>(18,375 yen)<br>- Japan Corporation Law Guide, 1st Ed. Nov, 2009 (22,050 <br>yen)<br>* Above prices include tax<br><br>As a limited offer, by the 31st of August we will be <br>
providing a 5% discount on the purchase of 1 title, and 10%<br>for the purchase of 2 or more titles.<br><br>For more details, Please contact us at: <a href="mailto:support@cch.co.jp">support@cch.co.jp</a>,<br>or 03-6234-3980.<br>
Order at: <a href="https://www.cch-japan.jp/contents/register/form">https://www.cch-japan.jp/contents/register/form</a><br><br><a href="http://www.cch-japan.jp">www.cch-japan.jp</a><br>-----------------------------------------------------------<br>
<br>***********************************************************<br>END<br><br>SUBSCRIBERS: 8,893 members as of September 26, 2010<br>(We purge our list regularly.)<br><br>+++ ABOUT US<br><br>STAFF<br>Written by: Terrie Lloyd (<a href="mailto:terrie.lloyd@japaninc.com">terrie.lloyd@japaninc.com</a>)<br>
<br>HELP: E-mail <a href="mailto:Terrie-request@mailman.japaninc.com">Terrie-request@mailman.japaninc.com</a><br>with the word 'help' in the subject or body (don't include<br>the quotes), and you will get back a message with<br>
instructions.<br><br>FEEDBACK<br>Send letters (Feedback, Inquiries & Information) to the<br>editor to <a href="mailto:terrie.lloyd@japaninc.com">terrie.lloyd@japaninc.com</a>.<br><br>ADVERTISING INFORMATION<br>For more information on advertising in this newsletter,<br>
Contact <a href="mailto:ads@japaninc.com">ads@japaninc.com</a>.<br><br>SUBSCRIBE<br>Get Terrie's Take by giving your name and email address at<br><a href="http://www.japaninc.com/newsletters/free_sign_up">http://www.japaninc.com/newsletters/free_sign_up</a>, or go<br>
straight to Mailman at:<br><a href="http://mailman.japaninc.com/mailman/listinfo/terrie">http://mailman.japaninc.com/mailman/listinfo/terrie</a><br><br>BACK ISSUES<br><a href="http://www.japaninc.com/terries_take">http://www.japaninc.com/terries_take</a><br>
or, <a href="http://mailman.japaninc.com/pipermail/terrie/">http://mailman.japaninc.com/pipermail/terrie/</a><br><br>Copyright 2010 Japan Inc. Communications Inc.<br><br>----------------- Japan Inc opens up Japan ----------------<br>
<br>J@pan Inc is Japan's only independently published English-<br>language business website. Authoritatively chronicling <br>online the business trends in Japan, each posting brings <br>you in-depth analysis of business, people and technology in<br>
the world's second largest economy. <br><br>Visit <a href="http://www.japaninc.com">www.japaninc.com</a> for the best business insight on<br>Japan available.<br>-----------------------------------------------------------<br>
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