Economics & Finance / Business & Management / Organizational Behavior & Management

Why Japanese Companies Are Like Families: The Surprising Truth About Lifetime Employment & Keiretsu

Anita D. Bhappu

Think Japanese companies are just about lifetime employment and corporate loyalty? The shocking truth is that their entire management system—from keiretsu networks to seniority-based promotions—is built on the ancient logic of the Japanese family, or 'ie.' This video breaks down how the feudal concepts of 'ko' (duty) and 'on' (benevolence) create a system of reciprocal obligations that outlasts blood ties. We explore why Japanese firms survived WWII and economic crises by preserving social capital, and how this family logic clashes with Western individualism. Based on Anita D. Bhappu's research in The Academy of Management Review, you'll see why Japanese companies are more like clans than corporations. Get ready to rethink everything you know about business culture.