Clyne and Synan Discuss Japanese Business and Consumers

May 7, 2003

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HONOLULU — David Clyne, president of Maui Homes, and George Synan, president of Seattle’s Best Coffee visited with JEMBA students on May 7 in an informal question and answer session. This session allowed Clyne and Synan to share their first-hand insight into their businesses in Japan and to discuss possible internship opportunities with the students. Quality & Brand Synan, who is in charge of SBC’s Japan division, provided some insight into the mind of the Japanese consumer. According to Synan, the palette of the Japanese consumer is quite discerning, prompting a sudden influx of selection in foreign imports such as wine, cheese, and in SBC’s case, coffee. He adds that though Japanese consumers may want quality goods, they are also quite influenced by brand. “I think Japanese consumers are very brand conscious,” Synan said, “They are not really discount driven. They want the real thing and they want the brand.”

(Left to Right) David Clyne & George Synan

A recent development which will take advantage of Synan’s own insight into the Japanese market is the acquisition of SBC by Starbucks Corporation. The world’s leading retailer of specialty coffee, Starbucks will put their powerful branding engine behind SBC which will retain its own brand and high quality product line.

Western Business in Japan

Clyne, who’s primary business is in construction, added that Japanese consumers are willing to pay more for a well made Western-brand product over a Japanese one. However, he warned that the Western company must be willing to adjust their product and their strategies in order to appeal to the Japanese consumer. One cannot transplant a Western product to the Japanese market without adaptation and expect the product to succeed.

“The only way to succeed in Japanese business is to be Japanese. You have to think Japanese, act Japanese…” Clyne commented, “Although [Japanese consumers] may want an imported Western product, the service side all has to be Japanese.”

Clyne’s company, Maui Homes, gets most of its business in constructing homes in Japan, but is also the sole distributor of Moen faucets in Japan. Moen, a U.S. company, was willing adjust their sales strategy for Japanese consumers by producing unique products for Japanese needs and by packaging products with translated literature and instructions.

JEMBA Internships

Both Clyne and Synan were enthusiastic about possible JEMBA internships and expressed their desire for a mutually beneficial experience for their business and the students. JEMBA students will begin their internships this coming August and are currently searching for possible internship companies.