Even after Brexit and Trump, Japan is remarkably stable. Why?

Cracks are appearing in societies around the world. First we had Brexit, then Donald Trump. Italy—with a constitutional referendum looming—and France—with an election next April—could be the next dominoes to fall. We need to think the unthinkable now.

In the UK and the US, the “insurgent” voters  came mainly from the same five groups: rural dwellers; the over-40s; males; those with less education; and white/non-immigrant populations.

And in both cases the insurgents wanted the same thing: to topple an out-of-touch establishment and force change at any cost.

So what sort of change did they vote for?

I’ve boiled it down to 5 key points.

• Less globalization
• Less immigration
• More equality
• More jobs in rural areas
• Better public services and infrastructure

As other developed societies are busy tearing themselves apart, Japan appears remarkably cohesive and content by contrast.

How come?

I think it’s because Japan’s elite have been delivering on that 5-point menu for a long time.

Here are just a few examples.

• As the Rust Belt and the north of England show, deindustrialization destroys communities. Japanese companies do their utmost to maintain a domestic manufacturing base (despite the high cost of labor) and keep local communities intact.

• Japanese companies practice an egalitarian ethos. Bosses earn a relatively low multiple of the lowest-paid worker’s salary. The CEOs of manufacturing firms dress in the same uniform as factory workers and eat lunch in the staff cafeteria alongside everyone else. Workers are treated like family. When times are tough, every effort is made to preserve jobs. Massive layoffs are socially unacceptable.

• Japan’s infrastructure is legendary for its quality (and quantity!). The bullet train, which has been running for over half a century, is now as potent a national symbol as Mount Fuji. This focus on delivering quality to the public extends from “hard” infrastructure (roads, bridges etc.) through to “soft” social infrastructure (schools, healthcare etc.)

• Japan protects its culture and lifestyle, even as it pushes for globalization. One example: Japan has fought to preserve domestic rice cultivation—and the food security and traditional landscape of paddy fields that come with it.

Creating a fairer society like this pays big dividends in the form of social capital.

Think of the aftermath of the March 2011 Great East Japan Earthquake. Despite a triple disaster of an earthquake, a tsunami, and a nuclear meltdown, there was very little of the looting or civil unrest that tends to follow natural disasters elsewhere. Hard-nosed reporters and photographers who flew in from abroad were astonished and moved by the stoicism, selflessness and social responsibility that the general populace displayed.

Ever since the bursting of the bubble in 1991, Japan, with its anemic growth, has been derided by the Anglo-Saxon media as an economic “failed state.”

Now it turns out that Japan may have taken the wiser path, at least in social terms. While there may be minor splits here (young v old, those in full-time employment v those on short-term contracts), Japan is certainly less divided than other societies. We have no Nigel Farages, Donald Trumps or Marine Le Pens looking to exploit social divides.

Ironically, by holding on to the old ways, Japan may have maintained the sort of society that other countries now aspire to have. Japan offers the security, stability and social cohesion that much of the developed world threw away.

What do you think? Do you agree? Give us your thoughts on this controversial idea.

Mr. Yoshito Hori established GLOBIS Management School in 1992 and GLOBIS Capital Partners in 1996. In 2003, GLOBIS started its original MBA program which, in 2006, received accreditation from the Japanese Ministry of Education and gained “university” status. GLOBIS started a part-time MBA program in English in 2009 and a full-time MBA program in English in 2012.

A Harvard MBA graduate and former Sumitomo Corporation employee, Mr. Hori founded the Entrepreneurs’ Organization (EO) Japan Chapter in 1995 and became the first board member from Asia in charge of Asia Pacific region in 1996. He also served on the World Economic Forum (WEF)’s New Asian Leaders Executive Committee and Global Agenda Council on New Models of Leadership, as well as the Harvard Business School Alumni Board from 2005 to 2008. Currently, Mr. Hori is a board member of the Keizai Doyukai (Japan Association of Corporate Executives), and serves as co-chair of WEF’s Global Growth Companies.

In 2008, he launched the G1 Summit – a Japanese version of the WEF’s annual Davos forum. This led to the foundation of G1 Summit Institute in 2013, which Mr. Hori serves as Representative Director.

Just days after a huge earthquake struck northeast Japan in March 2011, Mr. Hori launched Project KIBOW to support the rebuilding of the disaster-affected areas. The following year Project KIBOW was incorporated as the KIBOW Foundation, which Mr. Hori serves as Representative Director.

An avid enthusiast of the Japanese game Go since age 40, Mr. Hori has been Director of the Nihon Ki-in (Japan Go Association) since June 2013.

Since October 2013, Mr. Hori has hosted a weekly TV program in Japan called Nippon Mirai Kaigi (Japan Future Conference). He has authored several books including Visionary Leaders who Create and Innovate Societies, Six Dimensions of Life, and My Personal Mission Statement.

Mr. Hori received his BS in Engineering from Kyoto University and his MBA from Harvard Business School.

He is an avid swimmer and enjoys spending time with his family, especially his five sons.

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