U.S. Manufacturers’ Negative Attitudes Have Set Up a Roadblock to Japanese Markets

The Feb. 7 story, “Engine That Could Is All Out of Steam,” is a very important and thought-provoking article that every businessman should read.

The statement that “many U.S. manufacturers--content with the rich market in their own back yard--did not try very hard to sell abroad,” is really one of the important factors in the U.S. trade deficit, particularly with Japan. As a consultant who works with American corporations selling to the Japanese market, I am constantly amazed at the negative attitudes of many American businessmen toward doing business with Japan. Here are some examples of what we have encountered:

- “We don’t have time now to get involved with the Japanese business. Maybe in a year or two.” (But in a year or two, opportunities may not be the same.)

- “We don’t want to invest any money in Japan on packaging, approvals, marketing help, whatever. If we can get in for free, we’ll consider it.” (The same company invests heavily in new product introduction in the United States.)

- “We don’t want to introduce our unique widget in Japan because they’ll copy it.” (Japanese companies can buy it here and ship it to Japan.)

- “We will not redesign the product just for the Japanese.” (We wonder how many Japanese right-hand-drive Hondas would be sold in U.S.)

- “We offered our product to a major Japanese trading company in the United States 10 years ago--they didn’t want it. Why should we try again?” (How about the lower dollar, the easing of business restrictions and the possibility of getting the right business partner in Japan?)

- “Who needs it?” (Wonder what these folks will say when the Japanese, using their global approach, will clobber them in their own backyard?)

U.S. companies can do much more if they overcome negative attitudes and recognize that both the United States and Japan are parts of one global market. They should understand that in order to survive, even in their own domestic market, they have to succeed in Japan and other parts of the world. Already, the trade deficit is showing signs of improvement, proving that United States can most certainly do it if it wants to.

SOLOMON R. MESTER

Encino

The writer is chairman of Multiplex Management Corp.