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Japan: We're losing to Apple, and here's why

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Re: Japan: We're losing to Apple, and here's why

#21
post #13
post #6

What Apple has executed is actualy mass luxury. Its goods are perceived as high value objects, where status is more important than breadth of functionality (more on this later). Perception is very important. For instance, a discount store would stack up items and use cheap-looking layout to create the perception that they are cost cutters. Similarly, a luxury item should be perceived as objet d' art where functionali…

You mention two very separate points: perception of luxury and ease of use. I agree that Apple are masters of both, but don't think they have anything to do with each other.

On the contrary. Luxury items have a very clear messaging. "The user is sophisticated, and does not want to feel stupid." "The user is King, and does not want to be bothered with the details of how hard the machine has to work to satisfy His whims".

Re: Japan: We're losing to Apple, and here's why

#22
I read this article and it was interesting. Sony can still make some beautifully designed products and even beat Apple in certain ways, the Vaio X had similar capabilities to the MacBook Air and still much lighter and well-designed. However, the greater issue is not the "design by committee" problem but the fact that the entire country is simply lost and headless. It's not only business but politics and society in general.

The reason why companies like Apple, Facebook, and Google inspire is because they do things with conviction. They are executing on vision. They don't let internal processes become ritualized. Key executives don't stick around long when the fire goes out in their soul, they move on. In Japan, nobody knows what they want to do. Japanese manufacturers feel the heat from Apple AND Samsung, they're scared of China's growing clout yet they can't figure out what they want to do.

They can't race to the bottom with an aging population with an acquired taste for high median salaries. They've lost the drive and intellectual fortitude to innovate in all but very limited areas. They don't want to relinquish the "made in Japan" brand, even though the Chinese have shown that with the right management in place, they can make products better and cheaper.

I don't know where this paralysis comes from. Maybe the Japanese think all their woes stem from some economic missteps from the bubble era and once these are righted they can happily resume their old formula for success. Maybe over two decades of stagnation and slow decline lead to a death by a thousand cuts along with the false security of high savings.

For whatever reason, Japan is simply ill-prepared to compete on any level in the global economy. Perhaps the greatest Achilles heel for Japanese manufacturers is not so much the core hardware technology but their utter disregard for the software that drives so many electronics. If you go to any electronics store in Japan you'd be amazed by the utterly useless features manufacturers try to differentiate themselves with (this camera can take pictures in the dark while shaken vigorously, this one makes your face look pretty, etc.).

When the iPhone came out I was one of the skeptics who thought the lack of things like TV reception, RFID cards (used for train passes), the lack of emoji (back then), or the ability to render ketai/mobile web sites wouldn't go down well with customers. However, in the greater scheme of things it didn't matter. Now all the feature phone manufacturers are scuttling decades worth of in-house code to work on Android.

Re: Japan: We're losing to Apple, and here's why

#23
post #16

Nintendo is an interesting case that may dispel some of the stereotypes about Japanese companies and management styles. First, the company is quite old (1889, I believe). It started out manufacturing playing cards, yet had a pretty remarkable evolution after its post-war CEO (a member of the founding family, surnamed Yamauchi) took over. While it was a top-down organization, Yamauchi recognized and encouraged some ou…

I think Nintendo's success primarily has to do with them employing one of, if not, the best game designers that has ever lived - Shigeru Miyamoto. By trusting and empowering him they are able to have taste, just as Jobs's taste defined Apple, Miyamoto's defines Nintendo.

Re: Japan: We're losing to Apple, and here's why

#24
post #2

He says the problem is design by focus groups. Consumers know exactly what they want, but when a company produces it, they go buy something else more interesting. I've tried using focus groups back in the last century. It doesnt produce anything useful, except when you are looking for flaws in your product.

The problem is that so often users will express their desires not in the most distilled form, they will typically express them in the form of some unimplemented solution that they have arrived at via a process of mental satisficing. They don't know how to design software, or hardware, and they damned sure don't know how it works either. But they sure as hell know that if your product would "just" do this one little t…

Great point. Consumers are also heavily biased towards what they already know or see in similar devices - "oh, if it had a removable battery, I need that" or "I need it to vibrate when I type on it," and so on. They might all be valid desires by the consumer, but it doesn't mean it has to be there. Establishing the correct prioritization of features is the principle goal of these product development teams, and Apple seems to be winning there.

Re: Japan: We're losing to Apple, and here's why

#25
post #16

Nintendo is an interesting case that may dispel some of the stereotypes about Japanese companies and management styles. First, the company is quite old (1889, I believe). It started out manufacturing playing cards, yet had a pretty remarkable evolution after its post-war CEO (a member of the founding family, surnamed Yamauchi) took over. While it was a top-down organization, Yamauchi recognized and encouraged some ou…

I agree that Nintendo is interesting but their iterations are notoriously slow and they are usually several steps behind the cutting edge. Also, unlike companies like Amazon or Apple they never leverage core competencies or intellectual property to branch out into other areas.

Re: Japan: We're losing to Apple, and here's why

#26
post #16

Nintendo is an interesting case that may dispel some of the stereotypes about Japanese companies and management styles. First, the company is quite old (1889, I believe). It started out manufacturing playing cards, yet had a pretty remarkable evolution after its post-war CEO (a member of the founding family, surnamed Yamauchi) took over. While it was a top-down organization, Yamauchi recognized and encouraged some ou…

I think Nintendo's success primarily has to do with them employing one of, if not, the best game designers that has ever lived - Shigeru Miyamoto. By trusting and empowering him they are able to have taste, just as Jobs's taste defined Apple, Miyamoto's defines Nintendo.

Some of the best graduates from Tokyo University wind up at Nintendo. It was considered one of the best places to get a job.

Nintendo is not a company I would want to emulate. It is getting squeezed by Sony and Microsoft, and even its innovations in terms of casual gaming seem to be on the verge of going away. I consider it a colossal waste, but I guess YMMV.

Disclaimer: I thought the same when the DS came out. I was very very wrong.

Re: Japan: We're losing to Apple, and here's why

#27
post #22

I read this article and it was interesting. Sony can still make some beautifully designed products and even beat Apple in certain ways, the Vaio X had similar capabilities to the MacBook Air and still much lighter and well-designed. However, the greater issue is not the "design by committee" problem but the fact that the entire country is simply lost and headless. It's not only business but politics and society in ge…

I'm the author/translator of this article. Thanks for your thoughts, which I agree with entirely.

I actually think that although the post I translated is interesting, it is in fact missing the point, in a sense. There's a deeper malaise in this country, and although there are bright spots - I'd point to home-grown companies like Cookpad, for example - the overall picture is bleak.

However, Japan has a track record of suddenly changing directions when nobody expects it. Many people thought that 3/11 would trigger a change, and were disappointed when it didn't, or at least not to a significant degree. But if you look deeper, things are changing.

I'm cautiously optimistic. You really have to be. But it will get worse before it gets better.

Re: Japan: We're losing to Apple, and here's why

#28
> I'm getting sick of these Japanese who love nothing more than to put their country down.

Sony and many other Japanese companies once pioneered new products - and Sony was the ideal that Steve Jobs said he aimed for. In fact, it's pro-Japanese. Just not its present state.

Christensen (innovator's dilemma guy) thinks that present-day Japan suffers from large companies: the disruptions that are tomorrow's riches start out small and unpredictable. Small is simply not interesting to a big company; unpredictable even less so. In post-war Japan, companies were small: excited about small opportunities; and having little to lose, unafraid of risk. (In contrast, he says, Silicon Valley incumbents often populate their usurpers, such as Fairchild to Intel, when frustrated workers want to exploit something uninteresting to management. This doesn't happen in Japan.)

The enigma here is Apple. The largest company in the world, yet acts like a startup in terms of risky new products in unproven new markets that start out small:

launching a product without consumer research is risky.

Re: Japan: We're losing to Apple, and here's why

#29
post #17

For me the meta insight is that this kind of thinking is a huge deal for startups. So the challenge is that as a team you are putting together something that probably everyone thinks is useless (or at least only marginally useful), and yet to have to stay focussed on the problem(s) you are addressing and take care to address them cleanly and with style. It is actually in those places where others cannot see that some…

> So the challenge is that as a team you are putting together something that probably everyone thinks is useless Isn't selection bias a problem with this thinking? Yes companies that are very successful did something outstanding perhaps, going against the flow, but how much do we know about the number of companies that did stuff everyone thought was useless and it was useless and the whole thing flopped? We hear abou…

Isn't selection bias a problem with this thinking?

It may be, although in my experience 9 - 9.5/10 startups, when measured from concept to death, fail to exit. And many of those were pursuing an idea that clearly wasn't as special as they thought it was for what ever reason (could be early, could be silly, could be too complex)

But to be a startup you have to accept those odds.

Re: Japan: We're losing to Apple, and here's why

#30
post #6

What Apple has executed is actualy mass luxury. Its goods are perceived as high value objects, where status is more important than breadth of functionality (more on this later). Perception is very important. For instance, a discount store would stack up items and use cheap-looking layout to create the perception that they are cost cutters. Similarly, a luxury item should be perceived as objet d' art where functionali…

Apple doesn't really market themselves as a luxury brand. Compare a Mac ad to a Lexus ad, for example.

What you're describing isn't luxury. Having a product where "functionality is clear and straightforward" isn't luxury, and it isn't art. It's good engineering.

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