Contemporary trends in Japanese business environment: A review of existing empirical evidence

Abstract

The main purpose of this paper is to identify current trends and practices that have been influencing Japanese business environment and their consequences to corporate world by conducting a review of existing empirical evidence on this topic. An in-depth review of more than 1,600 articles published in high-quality academic journals in the areas of Business Management, Accounting, Social Sciences, Engineering, Economics, Econometrics, Operations Research Management Science, Psychology, Public Administration, Finance and Decision Sciences was pursued following a multiple-step process. Furthermore, the trends were classified into six categories based on their occurrence frequency and described in detail. These trends involve: reformulating strategic management principles, less lifelong employment orientation and change of traditional HRM practices, raising labour force participation, female participation in management and improving education, use of non-financial performance indicators, decomposition of a large organization into smaller units and opening up to outside influence. Each of the categories contained specific practices that interacted with each other, shaping and giving strength to each individual category. Finally, the insights extracted from the literature review were synthesized and directions to future research were provided.