An Overview of the Japanese Distribution System

An Overview of the Japanese Distribution System

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This paper surveys the recent literature on the Japanese distribution system to consider two propositions: first, that the system is inefficient, and second that prices of imported products tend to be higher in Japan than in other markets. Most of the literature demonstrates that the system is efficient. However, the efficiency has not necessarily resulted in high social welfare as consumers have had limited access to various product lines or paid high prices for some products. This paper examines the distribution system in the automobile industry to promote understanding about the impacts of the system on price differentials.As the sole representative importers had a limited number of dealers and repair and maintenance facilities in ... The appreciation of the yen, the 1989 tax reform, and several government measures to facilitate imports helped promote this movement. ... Also, an increase in the number of imported American-made Japanese-badged automobiles, such as the Camry made by Toyota and the Accord Coupeanbsp;...

Title:An Overview of the Japanese Distribution System
Author:Sayuri Shirai
Publisher:International Monetary Fund - 1994-03-01


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