Exploring the differences between East and West - Marketing

A brief take on what the Eastern Just-In-Time methodology and the Western Mass-Production methodology have to do with the fundamental pillars of marketing in these regions:

The Japanese use something called the Just-In-Time (JIT) methodology, where an item is created at the time the order is placed. This keeps inventory overheads low and each item is the product of the latest production technique available for that item.

In the US, the Mass-Production (MP) methodology is in vogue, where a large quantity of items are created in a batch, and inventory movement is paramount to keep costs low.

The MP process requires a strong marketing and sales force that can market and sell these pre-produced large inventories. A significant portion of capital is pumped into getting the product out to as many people as possible, instead of just improving the product’s value. The marketing and sales strategies are geared towards creating the perception of exclusivity and desire-to-own. Case in point: GM and its line of large gas-guzzling defect-ridden cars.

The JIT process requires extremely high per-product production efficiency. Capital is poured into creating a high-quality product rather that a high-quantity one, and on reducing inefficiencies at a fine-grained level. Due to the tight integration between perceived demand and production, inventory levels are kept low. Since capital is more focused on product quality rather than sales, the sales arm is under pressure to sell the product to potential lifelong customers who will consistently satisfy their needs from the same brand, rather than to an fickle population pushed here and there based on what they perceive their wants to be. Marketing strategies are geared towards creating the perception of value, consistent with the production ethics and the consumer mind-frame. Case in point: Toyota and its line of compact high-efficiency high-quality cars.

Looking further into implications - stay tuned ;)