* * * * * * * * * 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, March 04, 2012, Issue No. 652<br>
<br>+++ INDEX<br><br>- What's New -- Fitness Clubs in Japan<br>- News -- Goldman Sachs Japan gets a union<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 TOTAL TELEPHONY SOLUTION (TTS) ------------<br><br>PAYING TOO MUCH FOR MONTHLY CALLING CHARGES?<br>
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e-mail us at <a href="mailto:info@pbxl.jp">info@pbxl.jp</a> or call us at 03-4550-2557<br><br>------------ PBXL is BUSINESS COMMUNICATIONS --------------<br><br>+++ WHAT'S NEW<br><br>On February 26th, serving as a reminder that spring is just<br>
around the corner and we should all be thinking of staying <br>fit, Tokyo once again played host to the Tokyo Marathon. <br>The race attracted 35,500 runners and wended its way <br>through inner Tokyo. This year, 2012, the winner was <br>
Kenya's Michael Kipyego, who broke away from the pack at <br>around 16km and surged ahead of Ethiopian legend Haile <br>Gebrselassie with 3.5km to go until the finish line. At 7 <br>minutes, 37 seconds, Kipyego's time wasn't the fastest <br>
Tokyo Marathon ever run, but it was enough to push <br>Gebrselassie into fourth place and put his Olympic chances <br>at risk.<br><br>We weren't there -- too embarrassing if we had been. For, <br>at the other end of the winning spectrum, the Tokyo <br>
Marathon rules say that the last runners across the finish <br>line have to be there within 7 hours of the starting gun <br>firing, or they are disqualified. Similarly, the rules <br>allow race marshals to disqualify anyone they feel is <br>
sufficiently slow that they're not going to make the cut <br>-- no statistics on how many people that was this year.<br><br>Of course the first step to considering the Tokyo <br>Marathon is getting fit, and after seeing thousands of <br>
people training in the streets this winter, we got to <br>wondering about the fitness industry, particularly as it <br>is represented by Fitness Clubs. Accordingly to the Japan <br>Fitness Association, fitness is a big business, with <br>
3.95m members of fitness clubs in 2009, spending about <br>JPY400bn in memberships and associated costs. At this <br>rate, just over 3% of Japan's population are members, <br>spending about JPY101,000 annually on their <br>
memberships -- quite a cost contrast with those content<br> to use public facilities which are free or almost free.<br><br>Actually, like the English teaching business in Japan, or <br>for that matter, any prepaid business that sells on <br>
aspirations of well-being, the real measure of success is <br>not in how many members there are, but how many really<br>use the facilities. Our guess is that the number is <br>somewhere around 20%-30% in any given month, which explains<br>
why fitness club operators continue to build new facilities<br>even though the membership base is starting to fall away a <br>bit. The JFA for its part says that in 2009 club members <br>used the facilities on average 69.9 times. We find that <br>
hard to believe, unless you consider a hardcore 20% who go <br>in every day and so bring the numbers up. More likely the<br>average person uses the facilities 1-2x a month after the<br>"honeymoon" period of the first 3 months passes.<br>
<br>So, looking at the business proposition, the average <br>club is charging about JPY6,00~JPY10,000 as a joining <br>fee -- which is nothing more than sheer profit for the <br>operator, and JPY12,000~JPY17,000 per month depending on <br>
the club chain and whether there is a swimming pool or not <br>(this considerably increases operating and fit-out costs). <br>So you can imagine that those people who don't attend the <br>club more than 1-2x a month are significantly boosting <br>
profits for the operators.<br><br>This spells to us an opportunity.<br><br>[Continued below...]<br><br>-- NAGAMINE & MISHIMA - Securing Your Success in Japan ---<br><br>Starting a new company in Japan? Looking to streamline<br>
your current operations?<br><br>The team of bilingual experts at Nagamine & Mishima is able<br>to provide high quality accounting, payroll and tax<br>services that both exceed expectations and fit your budget.<br>Our services help customers improve their operations and<br>
bottom line results.<br><br>To find out more about our services and how we can help<br>your business in Japan succeed, please visit our website<br><a href="http://www.nagamine-mishima.com">www.nagamine-mishima.com</a> or reach us directly by telephone<br>
at 03-3581-1975 or by email at <a href="mailto:info@nagamine-mishima.com">info@nagamine-mishima.com</a>.<br><br>---------- YOUR BOTTOM LINE IS OUR TOP PRIORITY------------<br><br>[...Article continues]<br><br>In the USA and UK an booming emerging segment is low-cost <br>
gyms, much the same as low-cost (air) carriers are hitting <br>Japan's shores, and their presence is starting to be felt in <br>the fitness club market, particularly hurting the <br>mid-market operators. If we look at the UK, where real <br>
estate and costs are somewhat comparable to Japan, one such<br>operator there is Pure Gym, which was established as <br>recently as September 2008 and now already owns 31 gyms all<br>over the country. It plans to open another 14 new sites in <br>
2012. Pure Gym charges just JPY2,300 as a monthly fee and <br>yet offers an average gym size of 620 tsubo (20,000 sq. <br>ft.) and all the basic machines that you'd expect in a <br>regular gym. Their facilities are open 24 hours and they <br>
don't require a contract. We can't wait to see if they <br>decide to expand over this way.<br><br>If Pure Gym was to come to Japan, probably they'd have to <br>settle for facilities sized around 100-150 tsubo if they <br>
were to start up at low-cost buildings and not build out their <br>own locations. At JPY12,000/tsubo for a decent low-cost <br>location, this means a rent cost of JPY1m-JPY1.8m per <br>month. We were once told by a friend of ours that the <br>
membership of a major fitness gym chain's top Tokyo <br>facility is just under 10,000 people, and the lowest around <br>1,500. Taking this lower end, and charging say, <br>JPY4,980/month, we can easily see how there would still be <br>
a good profit in operating low-cost gyms in Japan. Cut out <br>the instructors, studios, pools, and sauna, and give users <br>easy access, online reservations, and machines that they <br>actually ask for, and you could have a winning combination.<br>
We hope that someone in the USA or UK is reading this... <br>:-)<br><br>To a certain extent, some of the lower-cost operators are <br>already here, such as Anytime Fitness. They charge <br>JPY8,500/month for a 24-hour upscale location in the Ark <br>
Mori building in Tamaike here in Tokyo. However, while they<br>have the no-frills part right, our feeling is that they <br>missed the opportunity to really revolutionize the market,<br>by choosing a high-cost location that has prevented them <br>
going under the all-important JPY5,000/month psychological <br>barrier. In other words, they are acting like a Gap instead<br>of a Uniqlo. So this lower-end segment of the market is <br>still wide open as far as we can see. Whomever decides to <br>
take it on will have a membership of 4m increasingly frugal<br>customers to choose from, and should enjoy the same <br>phenomenal growth rates that Pure Gym has had in the UK.<br><br>As a closing note, the cost of rent could be dealt with all <br>
together by operating fitness groups in public facilities <br>and parks. This is already being done by a fitness training<br>company called Circuit25 in Hong Kong. The guy who started <br>this company in July 2010 just received some venture <br>
investment to expand to Singapore and Los Angeles. Why not <br>Tokyo, we wonder...?<br><br><br>...The information janitors/<br><br>***------------------------****-------------------------***<br><br>-------------------- Delta Air Lines ----------------------<br>
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-----------------------------------------------------------<br><br>+++ NEWS<br><br>- Feed-in tariff to spark new wind power investments<br>- Hard to keep a bad auditor down<br>- New Daiichi-Glaxo vaccines venture<br>- Goldman Sachs Japan gets a union<br>
- Sky Tree tower is finished<br><br><br><br>-> Feed-in tariff to spark new wind power investments<br><br>After government subsidies came off the installation of <br>alternative power sources in Japan in 2010, many predicted<br>
that the alternative energy boom would be stalled <br>indefinitely. Sure enough, it has been, with a 70% drop in <br>installations. However, that may all change in July when <br>new feed-in tariffs will pay out substantially higher rates<br>
for generators of alternative energy than are available <br>today. Now Eurus Energy Holdings, the largest wind farm <br>operator, says that it will start actively investing again,<br>boosting domestic capacity 70% by 2016. (Source: TT <br>
commentary from <a href="http://e.nikkei.com">e.nikkei.com</a>, Mar 3, 2012)<br><br><a href="http://e.nikkei.com/e/ac/tnks/Nni20120303D0203A13.htm?GID=52">http://e.nikkei.com/e/ac/tnks/Nni20120303D0203A13.htm?GID=52</a><br>
<br>-> Hard to keep a bad auditor down<br><br>Interesting commentary on Bloomberg about a bad egg <br>auditor that keeps coming back to life again like a <br>whack-a-mole game. The auditor in question is Kyoto Audit, <br>
an affiliate of PwC, which recently got slammed by the US <br>Public Company Accounting Oversight Board for "not <br>obtaining sufficient competent evidential matter to support<br>its opinion on the issuer’s financial statements," before <br>
issuing audit reports for two major listed Japanese client <br>firms. What the Bloomberg report points out is that some of<br>this company's senior auditors were originally from Chuo <br>Aoyama, which was shut down by the FSA, then re-started <br>
business as Misuzu, which was also shut down in 2007. The <br>two client companies likely to have been subject to the US <br>review are said to be Kyocera and Nidec. (Source: TT <br>commentary from <a href="http://bloomberg.com">bloomberg.com</a>, Mar 2, 2012)<br>
<br><a href="http://bloom.bg/xbi6FE">http://bloom.bg/xbi6FE</a> <br><br>-> New Daiichi-Glaxo vaccines venture<br><br>Sensing a major opportunity in changed government attitudes<br>about vaccination (presumably because it will lead to lower<br>
incidents of disease), pharma firms Daiichi Sankyo and <br>GlaxoSmithKline have announced that they will form a joint <br>venture to bring new vaccines to Japan. Currently the <br>Japanese vaccine market is worth just 2% of the overall <br>
JPY7trn drugs market, or around JPY140bn. The two <br>companies combined will account for about half of it. <br>(Source: TT commentary from <a href="http://reuters.com">reuters.com</a>, Mar 2, 2012)<br><br><a href="http://reut.rs/z4D6AI">http://reut.rs/z4D6AI</a> <br>
<br>-> Goldman Sachs Japan gets a union<br><br>In what appears to be a first for Goldman Sachs worldwide, <br>the Japan branch of the firm now has a union,whose members<br>are fighting dismissal orders from the bank. An undetermined<br>
number of Goldman employees now belong to the union, which <br>was formed under the National Union of General Workers <br>Tokyo Nambu (NUGW). ***Ed: This topic has been hot on local<br>social media, and is being viewed by some as a turning <br>
point for foreign banks in Japan and how they deal with <br>employee layoffs. Given that Goldman has set aside US$10bn <br>for employee bonuses in 2011, the company may have bitten <br>off more than it can chew with Japanese authorities -- <br>
providing of course that the newly unionized employees can <br>maintain their nerve.** (Source: TT commentary from <br><a href="http://japantimes.co.jp">japantimes.co.jp</a>, Feb 28, 2012)<br><br><a href="http://www.japantimes.co.jp/text/fl20120228zg.html">http://www.japantimes.co.jp/text/fl20120228zg.html</a><br>
<br>-> Sky Tree tower is finished<br><br>Tokyo's new massive landmark, the 634m tall Sky Tree was <br>officially completed last week, February 29th. Work on what<br>is now the world's tallest free-standing tower finished <br>
with a simple handing-over ceremony between the general <br>contractors Obayashi Corp and the owner Tobu, a major <br>railroad operator. Apparently Obayashi invented several new<br>technologies to speed up construction, which in any case <br>
took under 3 1/2 years. One of these was a special crane <br>that uses gyroscope-like spinning of steel and other loads,<br>to stably raise them from the ground to the upper levels of<br>the tower. (Source: TT commentary from <a href="http://e.nikkei.com">e.nikkei.com</a>, Mar 1,<br>
2012)<br><br><a href="http://e.nikkei.com/e/fr/tnks/Nni20120301D01HH806.htm">http://e.nikkei.com/e/fr/tnks/Nni20120301D01HH806.htm</a><br><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>--------- Earn Hotel Stays Writing About Travel -----------<br>
<br>If you can write 350 words and take 3-5 correctly exposed<br>photos, then you should try your hand as a writer for Japan<br>Tourist, Metropolis' fast-growing Japan travel megasite.<br><br><a href="http://www.japantourist.jp">www.japantourist.jp</a> is in fact the fastest growing English-<br>
language travel site in Japan, and it's getting that way<br>because more than 200 people have signed up to contribute.<br><br>Japantourist.jp is offering 10 Delta airline tickets, <br>800+ Solare hotel rooms all across the country, Adidas<br>
apparel, and many other redeemable goods and services to<br>anyone writing for the site. So long as it is in Japan,<br>anywhere, past or present, is welcome.<br><br><a href="http://www.japantourist.jp">www.japantourist.jp</a> for more information.<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<br><br>BiOS is urgently looking for a Field Engineer with <br>experience providing hardware and application support for <br>
clients within several data centers in Tokyo area. The <br>candidate will be responsible for installation, <br>configuration, troubleshooting, and remote support of <br>hardware, as well as providing infrastructure cabling <br>
support based on clients’ requests. You will also be <br>responsible for monitoring sever, network, and other <br>equipments/hardware within data center.<br><br>Due to the technical nature and demanding work environment,<br>
this position is suitable for someone with solid experience<br>as an engineer within data centers or similar IT intensive <br>environments for at least 1 year. In addition, since this <br>role requires direct coordination with both regional and <br>
global IT teams, business-level English and fluent <br>Japanese will be required.<br><br>Remuneration is JPY4m – JPY4.5m depending on your <br>experience and skill level.<br><br>** POSITIONS VACANT<br><br>- Helpdesk Tech, global consulting co, JPY4M – JPY5.5M<br>
- Senior Software Engr, global software co, JPY6M – JPY8M<br>- Electrical Facility Engr, data center co, JPY5M – JPY7M<br>- Account Mgr (Business Development), BiOS, JPY3.5M – JPY5M<br>- Global Network Operator, Japanese IT co, JPY3.5M – JPY4M<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:tomohiro.kimura@biosjp.com">tomohiro.kimura@biosjp.com</a>.<br>
<br>Interested individuals may e-mail resumes to:<br><a href="mailto:tomohiro.kimura@biosjp.com">tomohiro.kimura@biosjp.com</a><br><br>-----------------------------------------------------------<br><br>--------- BIOS - Bilingual IT Systems and Support ---------<br>
<br>BiOS full-service IT solutions has a new service.<br><br>Now the largest independently owned bilingual IT support<br>company in Tokyo, BiOS offers some of the most competitive<br>services available to multinationals whether large or<br>
small.<br><br>Data Center staff and managed services, Help Desk, desktop,<br>and network support. Server virtualization, cloud computing<br>hosting and solutions, general software development. <br><br>For more information on these and other SI and IT services,<br>
in English or Japanese:<br><br>Phone: (03) 4588-2220, 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><br>+++ UPCOMING EVENTS/ANNOUNCEMENTS<br><br>----------------- Start a Company in Japan ----------------<br><br>Entrepreneur's Handbook Seminar 17th of March, 2012<br>
<br>If you have been considering setting up your own company,<br>find out what it takes to make it successful. Terrie Lloyd,<br>founder of over 17 start-up companies in Japan, will be <br>giving an English-language seminar and Q&A on starting up a<br>
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>---- Katerva Conference on Innovation in Sustainability ---<br>
<br>March 7, 2012, 8:30-16:00 (including networking lunch)<br>United Nations University, Tokyo<br><br>Katerva (<a href="http://www.katerva.org">www.katerva.org</a>) is identifying and helping to <br>diffuse sustainable technologies and practices that are <br>
more efficient, less costly, and more profitable. Join us <br>for a full day conference with Japanese and global leaders <br>all of whom share a common interest in ensuring a <br>sustainable future for the Planet through innovative <br>
business development.<br><br>Admission: JPY6,500<br>Register: <a href="http://katerva.doorkeeper.jp/events">http://katerva.doorkeeper.jp/events</a><br>-----------------------------------------------------------<br><br>------------- Tokyo Teacher Training Academy --------------<br>
<br>Starting from February. For each program, workshops are <br>held once a month on Sundays in central Tokyo.<br>Programs offered: TESOL Certificate, TESOL Certificate <br>(Young Learners)<br>Trainers include: David Paul, Rob Waring, Alastair <br>
Graham-Marr, Robert S. Murphy<br><br>Information: <a href="http://ltprofessionals.com/en/tta.html">http://ltprofessionals.com/en/tta.html</a><br>-----------------------------------------------------------<br><br>------------------ ICA Event - March 15 -------------------<br>
<br>Speaker: Michael King (President of Citrix Japan)<br>Title: User Expectations drives new approaches in the New IT<br><br>Details: Complete event details at <a href="http://www.icajapan.jp/">http://www.icajapan.jp/</a><br>
(RSVP Required)<br><br>Date: Thursday, March 15, 2012<br>Time: 6:30 Doors open, Drinks and Snacks<br>Cost: 2,000 yen (members), 3,000 yen (non-members) <br>Open to all, venue is Wall Street Associates<br><br>May: <a href="http://bit.ly/x0ytH6">http://bit.ly/x0ytH6</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>*** No feedback this week.<br><br>***********************************************************<br>
END<br><br>SUBSCRIBERS: 8,164 members as of Mar 04, 2012<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 2012 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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