Japanese corporate R&D in the 1990s: Change and continuity

In the recent discussion about R&D management practices in Japanese manufacturing firms, a number of managerial features have been described as typical for Japanese firms, in contrast to firms in Western countries. The empirical base for this discussion was the 1980s, a time when Japanese management was commonly regarded as superior to that of Western firms. In the 1990s, however, the environment for Japanese business R&D has drastically changed, pressing firms for cost reduction and a strengthening of their technological base at the same time. In response to these environmental changes, Japanese manufacturing firms have applied rationalization, focus, and globalization strategies concerning their R&D activities. The most significant managerial differences to Western firms, however, appear to persist for the time being, at least on the average. On the other hand, the differences among Japanese firms in the field of R&D management are widening.