The cartelized Japanese system and distribution appear to be incompatible with liberal practice and theory. That structu-re is represented by some modern economic models and it is demonstrated that the divergence between the economic system is responsible for international trade conflicts. The combi-nation of description of international economic practice and marketing in Japan with tools of modern economic analysis offers a tool for the international economic policy and business strategist for a newapproach of the problems posed by Japan's participation in world markets.Thus many problems in trade are explained from a new angle.Japanese governmental and business strategies are explained by structural economic incompatibilities and on the basis of modern economic models. Some recommendations are made for the tackling of the Japan problem both by governments and by business. The detailed background information in internatio-nal trade conflicts can be of help to those in legal anti-dumping practices and those who have to counter Japanese ex-port strategies.
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