A new perspective on the Japanese distribution system: Structure and trade practices

This paper surveys the conventional theoretical approaches to the Japanese distribution system, now subject to a great deal of controversy, identifies their shortcomings, and proposes an alternative, more comprehensive approach. In particular, the paper focuses on two points at issue concerning the distribution system, namely the distributive structure and trade practices, examining how these are perceived by traditional schools of commercial scientists and by a newer breed of applied microeconomists who are gaining influence. A more accurate picture of the system should emerge when it is analyzed empirically from a perspective that is both historically conscious and mindful of strategic actions taken by different players in it; in other words, the perspective of business history.