Tesla may face many business regulations when conducting business in Japan. Many factors can affect Tesla’s decision making abroad. These factors include government and politics, formal trade barriers, promotional strategies, and intellectual property rights. Like the United States, Japan’s government is separated into three branches: Executive, Judicial, and Legislative. Although Japan’s Emperor sits as the head of the state, the Ministers of the State and the Prime Minister control the government. Not only is Japan one of the most successful democracies, but Japan is also one of the most largest economies. No political developments have occurred in Japan that would influence the economic and business environment in a negative manner. On …show more content…
Consistently high trade surpluses led to pressure by Japan’s trading partners—especially the United States—for Japan to open its domestic market to foreign goods. Imports have grown steadily as Japan’s trade structure has become more open. Tax revenues account for the single largest source of the government’s total income. Since World War II, the tax system has been characterized by heavy dependence on direct taxes, and steeply progressive income taxes on individuals and high corporate taxes have constituted most of the tax revenues. A Japanese citizen can look to pay about 8% on sales tax when purchasing …show more content…
Government administration says its plans to cut the corporate tax rate to levels common in many European and Asian economies will help attract more foreign direct investments in Japan, while persuading Japanese firms to invest more domestically. But what will count in attracting more foreign investments in Japan will be the effort to make the market here more attractive. One avenue of such effort lies in free-trade agreements which, by expanding regional trade and increasing inward investments, can drive up the nation’s growth potential. The Japanese government’s program for promoting imports and investment takes the form of discounts and tax reductions, loan guarantees, and loans at reduced rates. It also takes the form of assistance for foreign exporters wishing to import into Japan. Reasons a country should choose to invest in Japan include: being the third largest economy, having one of the highest purchasing power in the world, being a leader in high technology and R&D, and entering the Japanese market facilitates entrance to other Asian
The signing of the US treaty by Townsend Harris in 1858 opened more of the Japanese ports to trade, and also fixed tariffs. “The West made the Japanese agree that Western countries would determine import tariffs. This place, Japan at a distinct economic disadvantage in its ability to be competitive domestic or internationally.” (Woods, SW. (2004).
In the early 1800’s, Japan had blocked off all trade from other countries. Foreign whaling ships could not even reload or repair their ships in Japan territory. This offended many other countries. In 1852, Matthew Perry was sent to Japan to negotiate open trade. Japan felt threatened by the United States, and gave in to their demands. Japan was frightened by their stipulations, and immediately began to reform. They developed a new education system that was similar to America and Europe’s. They also developed a Western style judiciary system.
After World War 1 Japan had a hard time adjusting to the new world. “While its economy was still primarily agricultural, rapid population growth (to over 80 million) had diminished the amount of land suitable for farming. Many people lived in small houses, lacking running water. In a nation about the size of California, only one of every six acres was farmland. This put great pressure on Japanese government to find more space and land for its people.” (America Enters World War II page 12). Japan attempted to change its agricultural-based economic system to an industrial based system. “But the international system of trade barriers and tariffs, established by the United States and other industrial powers to protect domestic manufacturing, hindered Japan’s industrial expansion.” (America Enters World War II page 13). Many of the materials Japan needed were found in neighboring countries that were controlled by European powers. Japan began to question it’s right to Asian markets and raw materials. “J...
When the Tesla Model S was first released, Consumer Reports named the Electric Vehicle (EV) the most remarkable auto ever tested. The consumer protection publication; that has been looking out for their readers since 1936; said that the Flagship vehicle from Elon Musk’s Motor Company, was essentially flawless. Its performance on the track and in safety testing was second to none. However, due to a drop in quality class; from average to below; the Tesla Model S has been removed from Consumer Reports’ Recommended List.
During the Meiji Restoration, Japan transformed into a strong industrialized nation by adopting the Western political, cultural, and technological ideas. Japan was the “only non-Western country to industrialize in the nineteenth century and that, moreover, she did so in an extremely short time” (Sugiyama 1). Japan’s social, political, and economic aspects were all affected by the Western technologies to transform Japan into an industrialized nation (Wittner 1). By adopting the Western ideas during the Meiji Restoration, Japan has turned into a powerful industrialized nation by becoming an “international political player in the 1880s” (Wittner 1).
Tesla Motors Case Study Tesla Motors is a company that produces and sells automobiles. Tesla is not an old automobile company. Tesla specializes in all electric cars that run 100 percent on battery and focuses on the future. Tesla is looking into the future and realizes that fossil fuels will eventually run out. Tesla is moving toward a zero-emission future for the better.
In addition, the economy is also working against Tesla as the gas and oil prices are dropping at a steady but positive way. This would render Tesla’s business unattractive, as people will be able to afford other types of cars other than the electric cars. Hence, the market economies may not be that favorable to Tesla as they are for other automotive sector market
For Japan, three characteristics of the economy indicated the existence of a “dual structure”. First, the coexistence of a very low unemployment rates and continued low incomes in agricultural and small business. Second, the existence of large (“industrial giants”) and small scale firms within the manufacturing sector. Third, the existence of peculiar characteristics of the labour market such as enterprise unions, wages differentials according to the size of the firm and long term employment (Odaka, 1967 p.50). Furthermore, duality existed in the manufacturing sector too.
This has resulted in exposing many automobile users to unpredictable prices of fuel. These issues were, however, the reason for the inception of Tesla Motors so as to bring into existence another set of automotive which serves the similar purpose but uses another form of energy that is electricity to drive them instead of the disadvantageous gasoline-powered engine. This invention was influenced by a number of factors in terms of its planning and performance (Hunger, 2010). Factors affecting Tesla’s planning and performance. The success of any organization, just like the Tesla Motor, largely depends on the planning of the activities by the management team in the company.
Portfolio Project: Tesla Motors Case Study Tesla Motors (Tesla), founded in 2003 by Elon Musk, is an automotive company focused on enhancing Electric Vehicle market by creating optimum performance, all electric, vehicles for every class of consumer (Tesla Motors, 2015). In order to achieve such ambitious goals, Tesla Motors not only designs, but also manufactures, and personally sells the company’s electric vehicles (Hirsch, 2015). As additional quality assurance, Tesla Motors also designs, manufactures, and sells, electric vehicle power-train components, and battery products (Hirsch, 2015). Yet, despite the pivotal role Tesla’s self curated products play in the success of Tesla’s vehicles, the socially responsible company does not privatize Apart from Musk’s concise vision statement Tesla has a truly inspiring mission statement, “At the core, Tesla Motors believes that electric cars should not be perceived as a sacrificial mode of transportation. Tesla Motors has brought the best of both the automotive and technological worlds together by permanently etching the image of electric cars being a step backwards in performance, efficiency, and design” (Tesla Motors, Chiefly, and most apparently, it is the goal of Tesla Motor to generate demand for Tesla vehicles (Andrade, Holloway, Payne, Roy & Sheffield, 2015).
Tesla, it will change your life forever. Tesla was founded not by Elon Musk, but rather by Martin Eberhard and Marc Tarpenning in July 2003(Visual Capitalist, 2017.) Elon Musk then took over in 2004 with the Series A. On July 19, 2006 tesla officially became a car company. Tesla struggled, but managed to pull through and pay back a loans by May 2013. Tesla is the first all American car company since Ford in 1956. Tesla is working hard to improve and create new cars every day (TechCrunch, 2017).
Export trends have been an important factor during Japan's present economic adjustment period, and the structures of Japanese exports, together with the imports, have been changing substantially in recent years. The changes in the country's export and import structures during the 1990s can be characterized by the following three key developments: (1) the weight of IT-related goods has been rising in both real exports and imports; (2) real imports of consumer goods from East Asia has been increasing; and (3) the US remains Japan's largest trading partner as a single country. Due to these factors, maintaining its comparative advantage became the priority in the current global economy.
foreign cars in to Japan and even then they are so heavily taxed that the
The MMXX is Tesla’s flagship model which will be the launching face of Tesla in the U.A.E. It will lead to the image as it will be the only entirely electric luxury sedan in the marketplace starting at $120,000. It will pose as a luxury car with great performance that simply has the added benefit of being a fully electric vehicle without sacrificing style and performance. And appealing to the elite market is the MStar model starting at a price of $400,000.
Stockwin, J. A. Chapter 7: Who Runs Japan? In Governing Japan: Divided Politics in a Resurgent Economy (4th ed., pp. 46-72). London, The United Kingdom: Blackwell.