Why Walmart Is Failing In Japan
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- Опубликовано: 22 окт 2018
- Walmart made headlines in July 2018 when Nikkei Asian Review reported that the company was looking to sell its Japanese subsidiary, Seiyu. Walmart told CNBC it will continue doing business in Japan, but company filings show that it has closed more than 100 Seiyu stores in recent years.
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Why Walmart Is Failing In Japan | CNBC
Oh god some of you seem to have misconceptions about Japan... I’m Japanese and have lived in the US for 5 years. The reason I think why Walmart failed to adopt Japanese retail market is that they simply don’t understand Japanese culture as mentioned in the video. Usually unlike American shoppers Japanese people don’t drive to buy a lot of stuff on weekends because we cook 3 meals everyday creating needs of daily fresh foods, especially vegetables and meat, so there’s no need to get tons of cheaper stuff at a time. Plus since Japanese cities have better a transportation situation than that of most American cities, we can buy anything as needed on the way to home or work. We just simply don’t need a big place that has everything because there are different retail stores with easy access and each of them has specialities to attract customers. Most importantly, Japanese super markets pays a big attention to the food of the season and holiday. Different place has different food and holiday culture, unlike the US where has almost uniformly distributed culture, so sometimes even a Japanese retail store fails to join the market in some local places after getting completely beaten by local shops. It’s that different. And the Japanese customers care the best food of the season because we have a culture to enjoy different seasons by eating various of seasonal foods. That means if retails stores always have the same product lineup or don’t have fresh and quality local foods of the season, people just don’t go there. (And we don’t buy stuff just because it’s cheap.lol)
Some people here said that Walmart failed because we don’t have fridge. That’s is not true. In Japan you don’t need a big fridge because you buy your foods as needed. The fridge is designed to keep foods for 3-5days which is enough. Remember we do grocery shopping every 3-4 days.
One more thing, Costco has become popular in Japan just because it’s cheap to buy a lot of packaged products. Some people gather to go there to split the bill and share big packages so that they can get groceries for cheaper prices. (It’s definitely cheaper than buying the same stuff at a normal retail store individually.) Or if you have to buy a lot of stuff in some situation like a party or school event, they would go there.
Wow.. you silenced a lot of people.
Holy shot they do say one more thing... Aside from that yeah culture pretty important when thinking large scale business
Meh too much to read good job tho
I live in Japan right now and have been to Costco. My #1 question is: who buys the giant frozen pizzas? Most Japanese homes only have the toaster oven or fish grill. I don't even know how they are baking that pizza.
@@TalesOfGod Japanese people only keep food for a short period of time because their refrigerators are tiny. Small housing means small kitchen and fridge
They have culture, walmart is not cultural.
Kinda like how motorbikes are for straight people, they aren't
@@beemail6983 my husband would agree...
I'm not sure that's it. The Japanese love 99 yen stores (like dollar stores in America) and I wouldn't say that those are particularly rich in culture. The Japanese also have many, many Quik-mart type of stores, also not particularly rich in culture. Both types of stores are, however, convenient because there are many of them in the neighborhoods, inexpensive, and relatively small (fast in, fast out). My local Walmart was a smaller store until recently, when they closed and built a new super-Walmart on the same spot. Now it's horrible; it takes forever to shop and it's as big as a football field. I hear other people in the store complaining about how it's too big and takes forever to find anything. The parking lot is a madhouse and badly designed; you take your life in your hands. I miss our old Walmart. Now I avoid going there even though it's only two blocks away. If I want something, I would rather order it online and have it delivered.
@@edennis3202 true, 7/11 is huge in Japan, not really a "cultured" brand either. Walmart just doesn't fit their culture, simple as that lol.
Their's a Japanese company in Japan called Beisia that's building Walmart Supercenter style big box stores all over Japan. Walmart was just late to the party.
Walmart also failed in Germany for exactly the same reason:
Disregarding local differences.
@Phincter x I'm half-Japanese, half-"German" American (I don't speak German), but I'd guess they failed in both countries for similar reasons
@Phincter x I get that. It was just a joke about how a lot of Americans say they are German or Italian or whatever, but don't even speak the language. Jersey Shore comes to mind
Agree. Walmart's senior team in Germany were all Americans. They tried to impose American work culture on German workers and thought that they knew what Germans wanted. Boy did they learn the hard way!
Here in Brazil they did the same thing, they ignored the local differences. And we like buy a lot cheap things but Walmart wasn’t a cheap supermarket like in the US.
Our biggest supermarket national chains came from France, or it’s owned by them too, like Casino or Carrefour. Btw, Carrefour also owns the defunct Walmart stores and owns Sam’s Club locally.
What failed attempt's are you truly referring to?You know social media hypes up the propaganda on entertainment....but's what makes this world amazing 😍
Same in South Korea. Wall mart tried but failed and they sold all their stores to local supermarket chain about 10years ago but costso is doing strong.
Costco sells high quality merchandise for less .
so why is costso doing better than walmart? are they not basically the same kind of super market
MrWalker1000 Walmart is boring same cheap merchandise the model doesn’t work in the top wealthiest economies in Asia.
@@MrWalker1000 Unlike Walmart who tried to just micmic Korean supermarket without serious thoughts, Costco didn't localize and they tried to attract people who liked that american style. Moreover, their products were so much cost effective compared to other Korean Marts
MrWalker1000 Costco is a wholesale store unlike Walmart. They buy/sell in bulk. That way, they can sell items very cheaply. They don't make their profits through sales - they make it through membership fees. It's very interesting!
They don’t want to buy crap poorly made. I don’t blame them I’m in USA born and raised and I don’t want to waste my hard earned money on garbage I won’t even step foot in Walmart. I’m 50 years old. I want quality that lasts
same here in canada, I wont step foot in wal mart because theyre the most ghetto store in my city
I don’t normally shop at Walmart but sometimes there are things you can only get there. I last bought a foam pool recliner because other places were more expensive
Quebec should be an independent country. Like if you agree !
Conservative Hamster it is JBT in Japan
Japan is overrated
@@user-ck9nd3jn3d Russia too
I used to live in Japan. That's not the reason. You have Japanese companies emulating Walmart's business structure making it hard for the actual Walmart to compete.
Except it's really just traditionalism related to their literally dying population.
What is interesting is that New York City, San Francisco, Detroit, Seattle or Boston don't have Walmarts.
Probably very expensive leases / not enough space. There are a few in Bellevue though, not far from Seattle.
Lie
Each location does have Walmarts in the suburbs, but not in the city limits although for some reason there are urban versions of stores of for example Target.
There are Walmarts in Renton and Lynnwood just outside of Seattle city limits. The only big box retailer within Seattle that competes is Costco. Other than that, there's only Target at Northgate in terms of retail footage. The downtown Target is small in comparison.
Because San Francisco has Costco . We really don't need Walmart here.
1. Japanese prefer quality over quantity...>.> 2.They like local stuff made in japan. 3. Quantity in japan mean you are running your store wrong. Your items need to be utmost fresh at any given time. so that means small packag and made within a week. Ie. A tofu has a expiration of 7 days in japan, while they are stamped to last 1-2 month in american market here. Your product would consider to be junk in other japanese markets....
You are wrong..Look the Costco stores in Japan...always crownded...
ruclips.net/video/JJ4G1eja1BQ/видео.html
Japanese are a high consumer of frozen foods...Not FRESH...
BASEJUMPBR fact. I have lived here for the past three years and the majority of items bought are prepackaged or frozen, and are not as high quality as you might think. The reason they like to buy smaller quantities is because their houses, kitchens and refrigerators are tiny.
BASEJUMPBR Costco is usually full of expats or Japanese who have lived abroad. The big Costco carts - are usually 75% empty at the register 😂 it feels more like a sightseeing trip than a supermarket for Japanese friends who go with me. They hardly buy anything when I take them.
Japanese don't do the big once a week shop like westerners. They shop for a couple of food items on the way home every day and make what's left over for lunch the next day.
Mainly so everything is fresh, no waste, not having massive fridges in the small apartments and travelling with a thousand bags of shopping on public transport. Also, meals are so cheap there.
@JCT First of all, I never claimed to be an expert, I was only just sharing my experience of living in Tokyo. Yes, the apartments are smaller compared to Western homes but normal for Asia. I'm not saying every single family lives like that but in major cities where you don't have a car, it's impossible to do a massive Western-style shopping trip.
Secondly, I have travelled and I still am living abroad. No, I am not American, so stop being so presumptuous and rude. Why not just share your story instead of calling someone else experiences flat out wrong. Obviously, living in Japan didn't teach you much about manners.
don't forget too that the kombini's are so vast that it's just FAR MORE convenient to walk to them to/from work than having to go to a place like Seiyu.
Not only in Japan, majority in Asia
It's the same in Europe, only americans do that, mostly because cities are very spread out.
explain why costco is successful in japan
This is the same for Starbucks in Australia. Many have closed since we have a high standard when it comes to good coffee
Japan, you’re doing amazing sweetie
Lol we will see next world war
-Genes- do u even know what the word “literally” means?
@-Genes- Twas' a joke
@@TheAfrothunderr Don't say that.
costco in japan also offers specific things that other local grocery stores dont: lots of international products (reese's cups, oreos, etc), and turkeys (arent carried elsewhere because theyre too big) being only a few examples. rotisserie chickens are a huge seller too, as ppl will wait in huge lines for them. blueberries are another item that the ppl treat almost like a delicacy. the appliances there are unique too, because you can get american sized fridges and freezers instead of the tiny ones most ppl would normally have, to enable ppl to actually store all of the bulk items they are also buying at costco. so they are not only providing the food, but the items needed to store the food, which benefits them both ways.
Walmart failed in Brazil because we like fresh produce. Carrefour understands us, that's why it is one of the biggest supermarket companies here.
I live in Japan and I mostly do shopping in the nearby 7/11 which is 20 seconds away from my home. Distance is key. 5min walk for supermarket is not acceptable.
Walmart needs to end. Im American and all for American companies but not this one. It's a leech on local business, most of their employees are on government assistance, and profits do not help local economy.
joosunkmybattleship
Dont blame the rich for the misery of the poor and stupid
Don Alejo dont blame the rich walmart execs for full time workers of walmart needing government assistance just to survive?
Walmart pays $11 an hr now. It is not Walmart's fault that the only job they can get is $11/hr. Those people should get better skills. Walmart makes about 14.7 billion in profits after all its expenses. If you give that profit to every employee that would be $6k. Obviously they can't do that. They won't have money to operate their business.
Walmart's future is Amazon like business when it will have much less people working for it but pay will be higher as well. Margins of Walmart are razor thin.
Walmart DEPENDS ON,
government assistance to keep its profits high. Spend only as much as needed and DON'T PROVIDE anything that can be gotten elsewhere. I've read a book on how corrupt the practice is.
Walmart should at least be honest and fly the Chinese flag over stores.
This is not the first time Walmart struggled overseas. Last decade Walmart struggled in Germany also. In 2006 Walmart pulled out of that market, and many of the same problems that occurred in that Venture is occurring in this venture. The biggest issue was lack of understanding of the German consumers.
Dude Walmart is a global giant.Japan is has made a great profit over the years due to supply and demand.We as the United States of America have cornered the marketing enterprise.The U.S. department of agriculture is are one priority not metion fuel commodity infusions.We owe trillions of dollars to Japan and China.Not to metion Taiwan which harbors one heck of an impressive labor comfort for our lives as A global giant.
How do you explain one of Walmart's possibal threats Aldi's. Aldi's, a grocery retailer, out of Germany, whose market presence has been growing in the US for nearly 50 years.
Aldi's has succeeded where other global grocers have failed . An example can be seen when Tasco tried to come to the US and failed (cnbc).
The most interesting part is that Aldi's has succeeded with smaller stores and a strong customer loyalty.
(CNBC) ruclips.net/video/TIVy1iFePro/видео.html
"Don't abandon all hope for Walmart's business in Japan" I'm sorry are we rooting for Walmart? I only care about environmentally and consumer friendly companies.
For real, I’m like uhh can we instead please abandon all hope for Walmart’s business in Japan??
Why is Walmart in Japan???? 😂 👌
Paul Fan China has everything, and yes I’m saying this as a generalization.
The arrogance is astounding
to expand its virus
Another big reason Wal-Mart is struggling is because Japanese consumers love brand name goods. There are some depaato in Japan (like Matsuya or Mitsukoshi) where even a cheap gift is seen as being better than an expensive gift from a lower end store. Costco fills that niche by offering some high end foreign made products, while Wal-Mart tends to sell the cheapest foreign made products for as little as possible.
Walmart is only successful in places like US where people do shopping for whole week and stock up
Pretty much everywhere else in the world people do shopping on a daily basis getting smaller quantitys of food than the US
Before & right after WWII, Americans also shopped for food every few days because they
didn't have large refrigerators & may have still had 'iceboxes'! They also didn't have
supermarkets, causing them to go to specialty stores for fish, vegetables, etc.
Japan : omae wa mou shindeiru!
Walmart : NANI?!
Jojo
@@user-ti2xi9bd4u no thats not Jojo, it is Fist of the North Star
Walmart is unknown in Japan, and SEIYU is simply a boring brand before and after. It’s pronounced “EE-ON” (Aeon) 😂 but it was a good effort. Thanks for the report!
Hi 👋 John
Costco was unknown in the begining..now make a big Success.... The mistake of Wallmart was used a Japanese Supermarket Structure as build a new one with your own signature...
The Costco success was cause you can find unusual products can t be found in Japanese Market....
I love Seiyu for their own brand goods, which are a lot cheaper than other brands.
ONLY in JAPAN * GO Hey it’s John!
Japan is short on "space". There is little real estate for folks in Japan to buy all that big box crap from Walmart. Japan already has bargain stores like Daiso to fill most of their needs. Supply and demand. Zero demand for Walmart stuff.
Chinamart people in the US sure do love funding China's military that they will use against the US in the future and they will do a lot more damage than the Muslims or Japanese did in world war 2 which was just a hit and run attack by Japanese submarines.
Why would Japan buy made in China items from walmart that have had their price increased by 10,000% in Japan?
They already have more made in China stuff in Japan than the US as if it was not for the ocean between Japan and China then they would be apart of the same Country.
They are so close a bridge could be built between the two like the bridge China built between China and hong kong.
Big Box crap? Costco is thriving on big box crap with their 40,000 sq. ft. stores.
@@hildegardvonbingen909270% of the population lives on 30% of the land. Most of Japan are mountains and most people live in the big cities like Tokyo and Osaka. The jobs are in the cities too. The countryside is very beautiful but most are just farmland. There are towns giving away houses if you move to their town but young people want the city life.
I love the way the shops are all connected in Japan. I'd love to walk through it. Unlike where I live now everything is far away and stores are separated. You have to use some vehicle to get from place to place.
When you think about it Japan and island they can't expand so far out compared to the us and even tho other countries like Germany and and canda makes use of thier space
Because Japanese houses and apartments are very small and don't have room or need for all that stuff.
Only in urban areas. I lived in Japan. In suburban and rural areas Japanese shop at big box stores just like Walmart. They're not as different from us as some people would like to think.
@Ganda Gandara Depends on the town or city. Not everywhere is economically depressed.
Someone didnt watch the video.
Wrong. That's only in Tokyo though.
@James Merryman You're right James. I've spent a great deal of time over the years in rural Japan. While their local economies may not be as vibrant as in the cities, on average the standard of living is still much higher than what would be typically found in small towns across the USA.
Cheap stuff. Japanese want quality
Like Costco and 7/11?
TIL 7/11 = Quality
@@Glorious_Kim_Jong_Un Nah, it's your British Kween collecting welfare.
That's why they buy Suzuki😂😂...lol
@@Glorious_Kim_Jong_Un 7/11 is quality only in Japan (maybe a few other countries too)
They need it to compete with the market. If the market asks for non pricey stuff, that's what It will sell
dunkin donuts' failing in india, mcdonald is failing in vietnam and now walmart's failing in japan? glad to know.
I haven't shopped at WM for almost a decade.
Wea u shop
You want a cookie?
@barb rarick There's no such thing as "good items" anymore, at least not in America.
Wallmart dosn't worked in germany and their reputation is so bad that they never named their markets wallmart in japan
I shop at target. I’ll rather pay a bit more for better items and not feel like I’m in jail or a child. Everything at Walmart is locked up now.
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walmart is fema camps??
It seems that Walmart fails everywhere where worker abuse is not common and where customers are not used to eat dirt.
What a terrible business tactic. Of course it’d fail in Japan. Their culture too different!
every culture is different. Not just japanese
As if they haven't learned their lesson from Germany.
Why shrek swamp is failing in japan
Great 2006 meme.
@@beemail6983 its not
@the real PewDiPie sure
xChaseMoney IS A NAZI actually SHREK is popular in Japan *I THINK IT WAS*
But shrek swamp is falling here in America right now because his swamp has an highway now
walmart is not doing well outside of the US.
Except for united kingdom
Or Canada
oh, I forget to add, the US and its vassals.
@@CTOInformation vassals?
lots and lots of countries don't have Walmart you know. It's mind-boggling how Americans don't even consider that fact. Walmart doesn't exist in Europe for instance except for the UK. Heard of Carrefour?
Same thing happening in Chile! Walmart is having a hard time building a Wal-Mart with its brand. I'm Chilean and we love buying fresh fruits and vegetables from flea markets in the streets.
“Seiyu...Say Me...Say it together, naturally!”
Never thought this company would go into Japan, they are not the car dependent society that walmart business model is based on, they are the walk and bike society that buys their needs from small business places.
Japanese don’t like cheap crap...
Razor2112 a lot of japanese people buy cheap stuff tf you mean 😂😂
anime is grat
anime is grat
You clearly haven't seen what's in vending machines in Japan.
You guys focused on the word cheap and disregarded the word crap. Smh
I didn’t know we had Walmart in Japan.
Walmart is failing in Brazil because in order to buy there you need a Walmart credit card that the bill has to be paid in store. In Brazil we already have macro that operates in a similar way, but sells in bulk and give a better price discount, also we have other cash only supermarkets that are cheaper than Walmart too, like Fort, Atacadão or even Açai, which has the same price tag as Walmart but accepts any credit or debit card.
hi.I am form bangladesh
at you country has any business opportunities . call me +8801521436192
Interesting video. One of the thing retailer often misjudge is the how the geography of a country shapes its citizens along with their consume behavior. Large retailers like Walmart and Costco yield the most where there's the need for people to stock on supplies because of their distance from any store, that's why US and Canada work well for these brands but Japanese have a different approach on size and bulk. So Japanese appreciate small quantities of items to understand the quality and price bargain, also because grocery shopping is an enjoyable ritual that prompts people to walk leaving their home to engage with their neighbors and others. Moreover Japan's life style is made of smaller spaces which don't allow for the Walmart model to work as intended because its incipient is the North American continent.
The "Everyday low price" has nothing to do with Walmart success. Walmart is successful due to that fact that they fit multiple aspects together in a store while destroying individual small businesses.
I've never shop at a Walmart here in Texas we go to HEB
Gerardo Błaszczykowski Rosas HEB has still not entered north Texas unfortunately.
even better if your town has an HEB Plus! I love it there, and they honestly have an overall better morale when it comes to customer service and community engagement. Two years ago, HEB was raising donations for our fellow Texans in Houston after Harvey. Didn't see walmart pulling that kind of kindness.
Love this series 👍🏼👍🏼
McDonald failing in Vietnam, Starbuck failing in in, Walmart failing in Japan, Dunkin Donut failing in India
What else?
Pizza hut failing in iraq 😂😂
GM in Europe, Walmart in europe, Taco Bell in UAE ...
Alt title: How Japan is accidentally protecting it's small businesses from big corporations.
This is such a common theme with all companies which is a lack of understanding of the culture. From American companies to Japanese thinking they’re a big deal in their domestic market, so we got to be popular in overseas. From Starbucks, Dunk’n, McDonalds, Yoshinoya, to Famima (a total failure in the US).
Greg T. Starbucks and McDonald's are big in other countries though.
As an American living abroad in Japan, I really have no interest in seeing a Walmart. There are TONS of similar, Walmart-like stores, indigenous to Japan, that are much better suited to this country and it's people. But I do sometimes wish there was a Target!🎯❤️
There are many Walmart stores everywhere in China. Many richer Americans don't shop at Walmart in the US. But when they are in China, Walmart suddenly becomes their favorite store 😊
I’m Japanese and have lived in the states for 6years. Walmart never really got me. I preferred Vons or target or whatever else... Walmart was okay for once in a while but not my fav. I guess it was a bit.. basic maybe. Just my unstructured opinion.
America: Cheap
Japan: Quality
America: Fat
Japanese: Healthy
To be fair Walmart went bankrupt in Korea. A few years ago. They couldn't compete with small businesses. They only sold US junk, not local items.
Seems same for Japan.
As I’ve lived in Brazil and visited Japan briefly, Brazilians just as the Japanese, regardless of their social class, prefer only the freshest meats, fruits and vegetables. Ironically, much of the exotic produce sold in Walmart in the U.S. comes from Brazil and this given the exchange rates is able to take advantage of the Real to the U.S. Dollar. Years ago I noticed a Walmart in São Paulo and the store itself looked out of place in the landscape.
It’s totally different culture and market. Most likely Walmart failed to understand and address the Japanese market. There’re different facts and figures about every culture and market that even extensive market researches might not get them straight
I am surprised Walmart is even in Japan its a different market there and i had no idea the company was there.
Costco came in Japan many years ago and looked almost exactly the same as a store in the U.S. except for some minor local changes. The food court even had the famous hot dog & drink, but in their currency. When I initially shopped at the Costco nearest to me shortly after it opened the amount of customers was very small once the allure of the grand opening had passed. Then about 6 years later the same Costco was very crowded after the Japanese public became accustomed to buying in bulk. Walmart came into Japan as Seiyu and to me it did not resemble at all a Walmart in the states. While I enjoy shopping at Walmart in the U.S., I was never a fan of Seiyu and if I went into the store I usually left after only a few minutes without buying anything. I wished they had just did the same thing as Costco did and build a Walmart like the huge ones in the states and had a similar layout/floor plan with a full grocery and extensive retail sections. I remember seeing the Walmart * and the previous motto, "Always Low Prices, Always", but other than that I saw no obvious signs of any connection to Walmart. Walking into a Seiyu was rather boring, like shopping around the old Montgomery Ward w/ a grocery selections added.
Walmart's failing??? SOUNDS GOOD!!!
I don't want Walmart to succeed. Japan's culture is beautiful.
I’m Japanese living in Europe, have lived in the states. I find this report is very well done.
To me, SEIYU was always dark and boring place. And Walmart doesn’t have good image even among Japanese people who don’t really know the company.
But Costco did a good job to give Japanese people a new experience: enjoy shopping like Americans. Japanese people are curious about American/western cultures. IKEA is successful because of the similar logic.
2:20 Hey let's use some random b-roll footage of the good ol tsukiji fish market
Seiyu was busy in Umori when we were in Tokyo.
The Japanese aren’t trashy enough to shop at Walmart. No shortage of that in America though
They do have junk stores though with cheap Chinese plastics
The same in Germany, between '97 to '06 and they only got 3% of the market.
can someone make a playlist of this series tho
Walmart failed in Germany too.
(I think they failed pretty much everywhere but the states)
Cheap isnt great all the time. Japanese prefer pay decent amount and decent quality.
Good project thanks for sharing
It feels so good to know that walmart is failing somewhere, hopefully one day it fully shuts down everywhere in the world
Why?
Yea then other companies can finally raise their prices and profits
Costco doing well! They should have done the whole sams club thing!
I agree with those points. But noticed Seiyu just reopened a new store this month in Kinshicho, Tokyo...I haven’t gone yet, but maybe they changed business strategy?
You forgot to mention Walmart is also trying to pull out of the UK too by merging it’s Asda stores with rival Sainsbury’s.
I think a delivery service would work in japan. Japanese love food delivered, It might be nice to also get fresh ingredients delivered to cook your own meals. It would save a lot of work in Japanese homes, and would likely appeal to working wives who are expected to do the shopping cooking and cleaning more than men due to the traditional roles in Japanese households.
I thought it's the children over six that do the shopping to and from the house and school
@@chrono-glitchwaterlily8776 Not every child in Japan does that. I live in a neighborhood where the closest supermarket or vegetable/meat seller is at least 15 minutes on the bicycle. It’d be hard for a child to go that distance without getting lost. Japan also has low birth rates, which means most households do not have children
A groceries chain called “Co•op” does this in Japan and it’s popular in my neighborhood. Fresh produce comes straight to your door. My grandma loves it
Lol what era do you live in? This isn’t the 1950s or the 60s anymore.
@@MA-gn5nl Umm…the birthrate within married households is not low Japan. The overall birthrate of the country counts the ones that are single as well. And a 15 minute travel on bicycle is nothing for Japanese children lol.
Why would Japan buy made in China items from walmart that have had their price increased by 10,000% in Japan?
They already have more made in China stuff in Japan than the US as if it was not for the ocean between Japan and China then they would be apart of the same Country.
They are so close a bridge could be built between the two like the bridge China built between China and hong kong.
It’s geography. In a country that’s more packed than NYC, you can’t sell stuff like in the more dispersed parts of US. When they figure out how to win NYC - or more precisely Manhattan, Walmart had the potential to succeed in Japan.
I remember last Walmart in South Korea was the one in my village. Korea's own company grew up really fast afterward. Which makes sense because clearly, the culture is different.
Funny how everyone in the comment section is an expert on Japanese people and their preferences .
The Japanese arent no where near as obsessed as Americans are with "convenience". They like to source their foods from the best possible places, even if it takes half their Saturday. In Japan, "low prices" just means junk, the video was spot on why the Japanese arent moved by "low prices". Also, Japan is fast paced like America. However, the Japanese dont "save time" like Americans do just to turn around and fill their lives with useless, unnecessary problems ie "busy schedules". They use it for things that truely matter.
Daniel B wrong, the Japanese absolutely love convenience. if you ever travelled there you'd know this
There are conbini's on every block in Tokyo sometimes 2 conbini's across from each other. Japanese love their convenience and don't forget about the vending machines on every street corner.
Japan is the capital of "convenience".
Of course japanese do like to shop at cheap things sometimes. There are a whole chain of dollars stores and dsicount shops like daiso and donquiote. However even the inexpensive stuff is really well designed and cute that I end up getting way too much.
Have you ever been to Japan? They love convience. Convience stores and vending machines in every corner.
Costcos absolutely wrecks it in Asia. It isnt just Japan. The busiest Costco's are consistently in South Korea and Taiwan with daily sales of over $1 million USD.
An interesting point, same type of products which has one priced at $8 all the time, and the other priced at $10 but 80% discount sale is underway, which one would you prefer?
As someone who lived in japan before i never went to Seiyu even if I lived right next to one 😂 I don’t know why. It was kind of messy and the other supermarkets had better vibes
akari same as the Walmart’s in the USA messy
That's literally why Kmart and Sears are failing in the US.
It's a good thing that they're failing in Asian countries, we shouldn't let our major markets be dominated by US, or the locals would suffer. First Korea, now Japan and in future maybe India.
When I lived in Japan I noticed they're not fans of all-in-one big box stores. As mentioned they believe in locally sourced proucts because they know it's best for the community. That's not a concept we share as Americans. Let's not forget that Walmart prices have an additional cost, that being low wages with little to no benefits. That doesn't fly in Japan, like I said they have a strong since of community. Like us they'll have differences in opinions and political ideology but, that doesn't trump the concept of right and wrong when a neighbor is struggling.
In India wallmart is known as "Best Price". It is decent. We see it more as a cheap bulk supplier rather than an super market. It is never gonna replace the local completion like Bazaars , markets and companies like easy day or reliance. It's seen as a place where you can get bulk good directly from supplier. That's why whenever somebody goes to best price they buy stuff for 3 months.
I have a feeling that Whole Foods will do fine in Japan
Quick Fruits natural food will be a catch for them
WalMart have just left the UK a few months ago too.
Wallmart failed in Germany too. Two main reasons were that Wallmart fought and lost to the Government regarding labor issues and wages and that the American version of customer service was not highly regarded by Germans.
I'm sure that Seiyu offers almost same items that other supermarkets offer, and they're reasonably priced. The reason they're struggling is I guess the location. I don't usually find Seiyu but Ito yokado, Life or Gyomu super at least in my area. And also Seiyu usually has multiple floors, so you'd have to grub a basket and go up or down stair to find what you need, which is really annoying for us.
They pulled out of the UK recently too.
Larry Bundy Jr - HEY, YOU! Guru Larry, fancy to meet you here. Keep updating even on these issues (more my style, you know...).
@@syxepop lol thanks bud :)
Larry Bundy Jr, it SO STRANGE that NOBODY did figure one of your comments in other videos, as this is the first time I've been able to SHOUT OUT TO YOU and get a reply. And I do follow these newsworthy business-related videos (have a BBA in college, so it's "kinda my gig").
Becoz Walmart sell 99.9999% cheap and poorly manufactured stuff MADE IN CHINA... only in USA where we don't have a choice would we shop in Walmart, and ppl return stuff they have used/ abuse the return policy, the Japanese are too polite & nice to return stuff... . In Japan, they have Seiyu, Aeon, and all the great stores selling good quality stuff... they don't NEED walmart
Most Japanese companies have strict return/no return policies. It isn't because Japanese are nice. Plenty of oyajis and Babas would love to take advantage... But otherwise I agree
You say Seiyu and other stores sell good quality things
But walmart owns seiyu ???
Not just that. In my country Indonesia Walmart was operated the one and only store in Pluit Village Mall (formerly Megamall Pluit) in North Jakarta, but it was closed after 3 years caused of bankruptcy and Asian money crisis (means Krismon (krisis moneter) in Indonesian), the company was took over by Carrefour (then the brand was acquired 100% by CT Corp/Transcorp Retailing Group and having Transmart as their subsidiary).
I wish walmart would struggle and fall apart in the US.
That's why I rather live in Japan, because I love their food...
and I'm a weeb.
CNBC doesn't know the difference between less and fewer lol
Interesting video though.
Cause Japan has taste. Walmart also failed in Germany years ago cause they didn’t understand the culture. I applaud any country that doesn’t allow those greedy monsters to profit in their country
Brazilians have shopping habits quite similar to the japanese: we like to buy things that are fresh and mostly locally sourced, and every town/city has small markets in many neighborhoods which you can go to buy some stuff you need.
If Walmart in Japan was named Warumoto, it was be doing much better.
Try "Warumaato"
@yo JM Well they would pronounce more like warumaato, because of their way of writing it in katakana. And yes that is their way of writing foreign words in their language. They would change it so they can pronounce it better in their language.
The Japanized pronunciation of Walmart would be woru-mahto ウォルマート.
Keep fighting back Japan the little Island that could !!!
Little island? In terms of islands Japan is pretty big, twice the size of Britain. Little island would be Hawaii.
Not tiny not small
There is no walmart in Kenya😂😂😂
now i know why my grandma who is from japan does not like to go to walmart. she loves thrift shopping and finding good deals. now my me and my mom do the same
Truth is, people are becoming ever more Spartan. We don't need what we don't need. What do we need? Healthcare, wages tied to inflation, and a world that doesn't prey upon us, but enlists and encourages us to make humanity something to respect. Capitalism ain't cutting it.