People often ask, “Why does it take so long for Japanese enterprises to make a decision?” or “Who’s making the final call?” If you don’t understand the process, your proposal could sit unapproved indefinitely.

In Japanese enterprises, decision-making is less about a top-down directive and more about open discussions involving everyone from general staff to directors. This is known as the gōgi system, a consensus-based decision-making process.

Why Does Everyone Need to Agree?

The answer lies in Japan’s high aversion to risk. When many people are involved and an agreement is reached across the company through all hierarchical layers, responsibility is shared. Unlike many foreign companies, it’s not just one person or department having the final call. 

Maintaining wa (harmony and peace) is a core value in Japanese workplace culture. To uphold this, several steps must take place well before any final proposal is approved. Gaining everyone’s consent in advance not only strengthens cooperation during the implementation stage, but also solidifies the commitment to move forward together. Once a decision has passed through this consensus-based process, reversing it becomes extremely difficult. In other words, once you’re in, you’re in.

So, how does this compare to decision-making in your country? You might be used to a project lead or department head making the final call quickly, or decisions being made by majority vote. In Japan, that simply isn’t the case.

It’s Not Just Logic. It’s Emotions and Power Dynamics

Decision-making takes time in Japan because it involves not only logical correctness but also emotional alignment and consideration of internal power balances.

Which leads to one of the most important tips for selling to Japanese enterprises:

You can’t just convince one key person and expect 

things to move forward.

Instead, you need to identify all potential stakeholders, understand their concerns and perspectives, and communicate in a way that gains their individual buy-in.

Even if the process feels slow, don’t get frustrated. This is the normal way of working with large Japanese enterprises. Understand it will be slower than you expect and take time to build trust and secure support from each decision-maker.

The Power of Nemawashi, Japan’s Pre-Decision Groundwork

To achieve consensus, Japanese enterprises rely on a unique process called nemawashi.

Nemawashi quite literally means “root binding” and comes from the world of gardening. Essentially, before transplanting a tree, you prepare its roots to ensure a successful move. In the same way, Japanese enterprises prepare the groundwork before making major decisions. In business terms, this means securing informal support from key stakeholders well in advance of any formal meeting.

So why is this informal process so important?

In Japanese business culture, people avoid publicly opposing proposals in formal meetings to maintain the harmony we talked about earlier. That’s why the real discussions happen beforehand. Formal meetings are typically just a tick box for final confirmation. They should not raise new considerations or concerns. 

If you skip nemawashi and bring an unvetted proposal to a meeting, it risks being ignored or outright rejected.

Practical Tips: How to Do Nemawashi Effectively

Here’s how to use nemawashi to your advantage:

1. Identify the Stakeholders

Determine not only the key decision-makers, but also anyone they may consult with.

2. Contact People Individually

Meet stakeholders informally, ideally in small groups. Share your proposal in a relaxed setting.

3. Listen Carefully

Ask open questions like:

• “What do you think about the proposal?”
• “What concerns do you have?”
• “How would you see us working effectively?”

Pay close attention not just to what is said, but also to what isn’t. Japanese culture is high-context, meaning people often communicate indirectly. Opinions may not be expressed openly or explicitly, so be ready to ask thoughtful follow-up questions to uncover true concerns or hesitations.

4. Adjust Based on Feedback

Incorporate stakeholder input and refine your proposal where needed. This shows respect and adaptability.

5. Secure Informal Approvals

Aim to get a quiet “yes” before the formal meeting, or at least confirm that no one will object.

Yes, this process is time-consuming. But in Japan, those who master nemawashi are the ones who close the deals.

Patience, consistency, and careful communication are your best allies.

Final Thoughts

Decision-making in Japanese enterprises is deeply rooted in the gōgi system and nemawashi. While the process may feel slow or unfamiliar, it’s built to ensure harmony, shared responsibility, and organizational alignment.

To succeed in Japan, take the time to identify every stakeholder and use nemawashi to earn their trust and support before any formal presentation.

For more information, watch the full YouTube episode here: Japan Enterprise Sales Guide (Part 3)

Coming Up In the Next Episode…

A big part of nemawashi is reading between the lines and building trust. That’s why in our next post, we’ll explore two uniquely Japanese communication concepts: honne (true feelings) and tatemae (public face). Understanding these can help you interpret what’s really being said.

Want to master Japanese business culture? Stay tuned for the next article.

Need help entering the Japanese market?
Contact us at YOUNEEDS Co.,Ltd. for consultations and support