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Paper short abstract

This study examines how Japanese companies evolve management practices after acquiring or setting up an independent company in Sweden, focusing on relationship building. A qualitative case study highlights “YORISOU” (standing-beside) management and speak up management as key factors.

Paper long abstract

This study explores how Japanese companies evolve management practices through the acquisition of a Swedish company or establishing an independent company, with particular attention to relationship building and conflict management. As globalization and technological change accelerate, Japanese companies increasingly rely on overseas acquisitions not only for financial growth but also for creating new value by integrating products and services. However, post-acquisition integration often entails challenges stemming from differences in culture, communication styles, and management practices.

Adopting a qualitative case study approach, this research draws on semi-structured interviews with two senior managers: a Japanese manager involved in a recent acquisition in Sweden and a Swedish manager with over 30 years of experience working within a Japanese corporate group. The analysis focuses on how a manager perceives cultural differences, addresses potential conflicts, and develops collaborative practices.

The findings highlight the importance of proactive relationship building through daily communication and mutual understanding. A central concept emerging from the study is “YORISOU” management, a Japanese term meaning “standing beside,” which emphasizes empathizing with local employees, respecting local culture, and jointly adapting management practices rather than imposing headquarters-driven approaches. In addition, the study identifies “speak up management” as a critical mechanism for conflict prevention and organizational learning.

The study contributes to the literature on international management and post-acquisition integration or market entry by illustrating how Japanese and Swedish management practices can be combined. Practically, it offers insights for managers involved in cross-border activities, suggesting that relational skills, proactive behavior, and cultural sensitivity are as crucial as strategic integration for achieving long-term collaboration and servitization.

Keywords:

Inter-organization, human skill, building a relationship, conflict management, servitization