Japan's Comparitive Advantage On Human Resources

JAPAN’S COMPARATIVE ADVANTAGE: A CASE TO LEVERAGE ON HUMAN RESOURCES FOR ITS POSTERITY.

1. Introduction

Is Japan really deficient in resources? Definitely not, and to say that Japan is a resource-deficient nation is a misconception of the true facts. Indeed Japan is endowed with abundant resources that remain untapped. An emphasis of the country’s resources ought not to be narrowly confined to natural resources only. Rather a broad visualization of resources is essential; in which case I would argue in this paper that it is through human resource that Japan can realize its full potential by adequately building an effective human resource capacity so as to enhance productivity for her labor force and for the benefit of the world. Strategies

‘The power of women’ is Japan’s greatest potential for fully tapping on its human resource which remains largely untapped and therefore calls for expediency in tapping it. This is especially critical in securing human capital that will support the growth of the new sectors amid the fears over the decreasing workforce population arising as a result of the decline in the birthrates and also largely because of the aging population.

Enhancing the women’s labor force participation is essential as this reflects a diverse sense of values and thus bringing vitality to the entire economy. Besides, it doubles the household’s income hence increasing their purchasing power eventually setting into motion a virtuous economic cycle.

Policy proposals to fully utilize the Japan’s “women power”

i. The employment rate of women especially in the age cohort 25-44 should be raised up from the current 68% to almost 75% by 2020. ii. There is need to develop childcare facilities so as to reduce the childcare waiting lists as this will allow women to devote their time to work. iii. It should support organizations and companies that actively promote women’s participation in the labor force. By providing tax levy reductions, by doing this companies will be motivated to employ women without the fear that there will be lost revenues when women take childcare leaves and will be rather compensated by the tax levy

As far as the overseas activities of companies are concerned, it should make dramatic shift in the view that business matters should be left solely to the private sector. Both the public and private sector should make concerted efforts in order to strategically acquire a portion of the global market share, including infrastructure export.

CONCLUSION

The government’s economic policies and business models that served Japan so well during the postwar catch-up phase through the 1980s have become liabilities for Japan in the post-cold war of the 1990s and the 21st century. To regain its competitiveness, Japan needs to make major changes to cope effectively with the forces of globalization. Among the central changes needed is diversity and innovation that might be described as a ‘global change agent.’ The policy proposals outlined in this paper is a blue print that Japan cannot wade away from them if it is to strategically brand itself as a human resource hub for the globe. It must therefore remain committed to implementing them.

Investment in human capital is a priority for Japan to remain competitive both locally and globally. It was paramount in the my opinion to address the issue of human resources since unlike other resources, human capital is not subject to diminish in value through its use; rather on the contrary its value appreciates. (1500