The article didn't answer my main question, which is how the economics work. How does it add up to have high-touch home delivery of $5 yogurt packages?
Typical markup in the USA is 100% from wholesaler to retail. Running brick and mortar is very expensive. So if Walgreens were selling this, the wholesale price would be $1.25. I think it reasonable to expect the Yakult Ladies are pulling in the same $1.25 per package that walgreens gets.
The key, I think, is "Most of them are self-employed". Its a gig economy idea. You have to eat. If you're walking home from the store anyway (or kids school or on the way home from work or whatever), you may as well deliver packages for $1.25 each on the way home. You're walking home anyway, you may as well make free money on the walk.
The article says this has been running since 1963 though. The program would’ve been running through the post-war period of economic growth, as well as during the lost decades.
Yakult ladies aren’t classified as full-time employees, but kojin jigyo usha (roughly “sole proprietors”), essentially making them owners of bicycle-sized franchises. They purchase product from Yakult and make a profit based on what they can sell. Yakult says the average earnings of a Yakult lady are roughly $682 USD a month, compared to an average of $1,774 per month for Japanese women broadly. In Yahoo Answers forums, Yakult ladies claim wildly different profits: Some say they work only three hours a day and make more than the company average. Others claim to work far more, selling roughly $2,700 worth of product in a month to take home about $600, roughly a 22 percent cut.
...
As I left the Yakult center, my baby clamoring for her nap, I felt oddly disillusioned — not by the women themselves, or even the no-nonsense manager, but by the corporate trappings of their work. Before I looked into it, I had swallowed the lighthearted, easy glow of Yakult’s promotional videos, which recalled my own experience when I was a kid. I would like to believe selling probiotic milk drinks is just an aside to Yakult ladies’ main mission of maternal care in the community. In the fluorescent lighting of the Yakult center, I saw their labor.
Thank you for sharing that literary and well-observed piece of writing. It is evocative and contemplative, a timely counterpart to TFA, and it is indeed excellent. I’d second your suggestion to others.
I'm so glad I visit different countries to see what they are actually like so I don't get brainwashed into thinking GDP is anywhere near of good measure as people think it is.
It’s not that GDP is a poor measure, just that it is isolated as the only measure most policy is based on improving rather than being one metric in a portfolio of related metrics that balance technological progress, accumulation of wealth, and human thriving.
As Gary Stephenson rightly points out the culture of Economics in modern practice is not one of open query and scientific skepticism, but of proselytizing. More akin to a religion than a science.
IMO the problem with GDP is it's basically always normalized in USD, and USD isn't that universally representative of units of production/utility.
I mean, not to be political, but there's probably a place somewhere on Earth selling 10 standard chicken eggs for 540 local coins that's equivalent to $0.01 by the official government rates then-and-there, and the idea of GDP being meaningful means they must be either producing something like thousands of eggs per hour per employee or they live with something like a single pieces of chocolate worth of calories per day. And it's really not like that.
I'm sure GDP figures normalized on local consumer price index will have its own flaws, but especially USD-normalized GDP feels wrong to me in that regards.
GDP just measures the average wealth of a society, on the assumption that production equals consumption. Wealth is unambiguously good, but of course it fails at measuring the full extent of human flourishing.
My take on Economists is that they keep desperately trying to make people understand that prices are set by supply vs demand dynamics, while society keeps refusing to understand it.
Is wealth the right term here? I thought it was supposed to measure production, with the actual measurement usually spending (with qualifiers). And, when comparing countries, you have to account for the different currencies. Currencies are typically trade balanced, which gives a rough equivelence for buying power, but that is not true with the dollar because, as the effective reserve currency, it has international demand outside of trade.
I suspect that the US having better investment opportunities than other countries (tech companies for example) might be more important than reserve currency status.
People tend to pay more attention to trade than investment, but investment flows are just as important. A trade deficit often means that foreign investors are buying and a trade surplus goes along with people investing in foreign countries.
I moved to Japan and have taken what is now almost a 50% wage decrease on account of the collapsing yen, but my life quality easily doubled compared to Norway. For every year I stay, finances will be more painful if I move back. But permanent residency sure sounds a lot more attractive. YMMV if you're from more interesting places
- Nice things are within walkable distance living in a major city. In Norway we live mostly in suburbs. Living in the city is unaffordable. Zoning matters. Being able to just walk out of my apartment and do things spontaneously in my own area is a life changer. I can't describe how much the change in mindset from "I'll do a half day trip into town" to "I'll pop two train stops over" did for me
- private individuals can still afford to run their own stores and cafes. In Oslo it's all commercial "food concepts" and chains. Authentic is unwanted - a Japanese restaurant trying to be authentic was recently kicked out of their place recently for not cutting corners to make a good enough profit - the property owner took a % of every sale + alcohol sales and wasn't happy, so they fabricated reasons to cancel the contract. Eating out in Japan is affordable even on a Japanese salary and I have access to basically any cuisine you can imagine - and the foreign food is often made by immigrants from that country (with some exceptions). In Norway the biggest thing in tacos is currently a Swedish chain. In Japan I can befriend my local restaurant owners.
- niche interests are hard in Norway. Everyone in your circle shows up for the once a year interesting artist that isn't already a huge pop artist on a LiveNation tour. Tariffs are high (yes, watching the whole "who pays tariffs" debate has been mind numbing), effectively 25-50% including fees, so you feel punished for being interested in anything not local. Which is everything.
- public transport in Japan is generally great. public transport in Norway is horrible. The goal is to be rich enough to avoid it and just drive, even if parking in the city is easily 50$ for a few hours if you are unlucky. Delays all the time, but no fixes, just finger pointing. They stopped publishing statistics on how often trains were late, and didn't classify cancelled trains as delayed when they did publish stats. It's all just lies and deception to try to stop the public from being mad.
- I have access to basically all the culture I want, both Japanese and western. Everyone wants to stop by Japan. Not Norway. local culture in Norway is better than before but still pretty dead. Everyone just consumes American culture. There are cool Norwegian bands and a few good movies but that's about it. When I say this I am often asked "isn't Norway a heavy metal country" and yes sure, but it is still a small niche. I don't know anyone my age who partakes.
- the Norwegian hobby is football, walks in nature, or alcohol. I read somewhere that Norwegians drink as much Brits, but in a single weekend instead of averaged over a week. It makes sense to me. All my non tech friends' hobbies were basically going out and getting hammered. There are of course other hobbies and this is slight hyperbole to make a point, but in general everyone just gets drunk. 200 years ago there probably wasn't much better to do during winter, go figure. Alcohol is also a very big hobby in Japan, probably bigger than Norway. But there's more things outside alcohol as well.
- loads of crime in Oslo, recently a lot of youth violence, including random robberies with stabbing. Much less of that in Japan. In Japan I will frequently find myself walking streets at night with women I do but know when I'm heading home. In Norway female friends would often call me in those situations just so they could communicate to the stranger that someone would know if they tried to do something. Never seen that here.
- less individualism is good, to a certain degree. People consider others around them, and it makes things easier. In Norway, watching videos on speaker has almost become normalized on the train post-covid, especially among kids who had their formative years in quarantine.
- there is less enshittification, app-ism, and x-as-a-service in my everyday life. It doesn't feel like people are trying to cut corners to squeeze a larger profit from me. Japan is a very capitalistic country, but it doesn't feel as doomed as the west. Yet.
Most of these problems "fixed" by Japan are related to economy of scale. Some are policy related, and some is culture. In Japan I have any hobby I want at my fingertips because there are enough people to support anything. Ordering online doesn't cost a fortune in fees. Public transport is good for many reasons, and still affordable because there are many paying for it. Even when I was a student here I could afford to live in a relatively dingy but completely ok apartment where I could be most places I wanted to go within 30 min.
I feel fulfilled and that i have no excuse not to check out anything I'm curious about. Norwegians are told they live in the best country and are the best their entire life, and I suspect this is why if you complain many Norwegians ignore it assuming it can't get better than this. If anything my takeaway is that going abroad and seeing other cultures really made me see that the worldview I grew up with was incomplete and prone to make me satisfied with what I had.
Don't get me wrong, Norway is a great place to start a family or grow old. It's a good place to live a life that's centered around a family. The nature is beautiful, and frankly I like the snow and freezing weather - it's cozy! But Japan offers almost all of the same, only with all the benefits of scale :D.
Finally. Biases:
- IT job makes my life comfortable by Japanese standards, but not by much. I don't work at an international company. Japanese people also seem to generally live very fulfilling lives, although the rumours regarding black companies and similar are definitely true.
- I have a nice and mature work environment that doesn't make me hate waking up
- I have only lived in cities orders of magnitude bigger than Norways Capitol while in Japan
- I have put a lot of (mostly passive) effort into learning about the country I moved to, and I know people who didn't who have had nasty surprises. You also should do your best at adjusting to how things work here and embrace it. I have had 0 surprises since I moved here. It doesn't mean I don't make mistakes. I make tonnes.
- I was also somewhat into the culture, so it's not like I was transplanted into a completely foreign culture. I had things I wanted to see here. You can tell Japan has done a good job soft power-wise.
- my Japanese reading isn't as good as it should be and so I don't have a habit of following local news, which makes me blind to a lot of smaller issues that are a more more visible to me in Norway
The biggest thing I personally miss is Norwegian friends, and the European hacker culture. There are tinkerers and hackers here but it's not really the same.
I've never lived in Japan but I've spent a good deal of time there (probably about 3-4 months total over the course of the last 6-7 years), and I have friends who are Japanese that I have met up with and even traveled with.
I think you'll find that for most of these things, you can get them in New York City. Lots of small local shops, everything is within walking distance or a few stops away on the subway. It is not as safe as most parts of Japan, but its still pretty safe compared to most big cities in the US, and I've seen many people walking around alone at night in Central Park, which is surprisingly quiet and peaceful then.
They'll be a lot of things you'll miss. The Golden Gai is not a tourist hot spot for nothing; that's not to say that New York does not have a million cool local bars you can run into by accident, great food prepared with care by chefs, diverse groups for any interest you could think of, and certainly more than Japan every single possible cuisine from everywhere in the world at high quality.
And while you might miss the Japanese rent, you are not going to miss the Japanese wages. Its true, you have to work in tech or finance to live in Manhattan for the most part, and Brooklyn seems to be filled with trust-fund babies struggling to launch their career in arts (though I've met a few who are doing decently well as video fx artists and UX designers), but if you do manage to secure a decent wage, life will be similar enough, and things will feel affordable, even if they are not by any other standard.
I know/knew a bunch of Scandinavians in software engineering who moved to Japan 10-15 years ago. They loved it as long as they worked for the Scandinavian company's Japan subsidiary. They didn't love it so much a few years later when they ended up having to find jobs at Japanese companies because of a downsizing. Some ended up at companies like Rakuten. Heard some horror stories of insane company "culture" that would make Amazon execs blush.
But you seem to be happy at a local company. Do you think you're lucky, have very low demands or have working conditions changed?
> People consider others around them, and it makes things easier.
This is the #1 reason I loved visiting Japan so much: it's a country full of people that understand their implicit societal obligation to not unduly burden others. Meanwhile in the US people seem to be increasingly flouting basic decorum while driving, queuing, and generally existing in public spaces then doubling down on it when called out. My pet theory is that we're still feeling a rebound effect of COVID cabin fever but who knows.
That is a genuinely fascinating take because we all hear about how japan is having a population crisis (which it definitely is), and I had always considered Countries like Norway etc. to be one of the top spots if I ever wish to immigrate. (Also this comment is really detailed and genuinely interesting to read!)
I have heard that Japan has a very negative connotation of foreigners (even more so than current form of America) so I am interested to hear your thoughts on that.
I am able to see some similarities with Japan within my own country as well, namely the idea of everything being close. I can't speak about food but being vegetarian, and my country primarily being so too. I actually love our own cultural cuisine. (Anecdotally I watched I think JaidenAnimations where she had issues in japan about some vegan aspects but yeah)
I believe that Japan's Anime/Culture's soft power is really underestimated maybe as it becomes a tourist hub because of that. I am not a big Anime fan but I have watched Animes like Death note, AOT and Yu Yu Hakusho and I was a big fan of Dragon ball growing up :D and many of my friends love anime.
I think that at some point, my conclusion is that Japan and (many South Asian countries) have all some plus/minuses but the quality of life in these countries can be decent if you earn good and have a good work-life balance.
On the other hand, if you don't, then I feel like I have heard too many stories of toxic work culture as well.
Whereas on the sweden/norway side of things, I feel like the subsidies by govt. and other things actually make you feel comfortable being between jobs and imo on average, has nothing like the japanese work culture in the sense that I haven't heard of toxicity in the same sense as japan but I'd love to know your opinion as well. And another reason is that this also makes people more likely to take more risks without worrying too much which might explain why the swedes have the most billionaires per capita.
So my conclusion is that A good job (work-culture) in Japan (South Asia in general?) >= Normalcy in Norway > Toxic job in Japan. Am I right in my assessment or is there more to it that I may have missed?
Years ago, I had a friend tell me: "You cannot buy a lemon (shitty used car) in Japan." That was the phrase he used to describe Japanese culture to outsiders/visitors. I still think there is a lot of truth in it.
Unfortunately, in many countries, buying a used car is a gamble. Not in Japan because people are more honest, and it is a high trust society. It is hard to explain the magic of Japanese culture to people who have not experienced it first hand, but it is life changing for many.
Here in Canada we constantly get lambasted because we're "poorer than Alabama!", at least if measured in GDP per capita in USD.
Yeah, I've been to Alabama. The absolute poorest areas of Canada are better than basically 100% of Alabama.
GDP is a myth, especially for largely illusory economies like the US where it's all a shell game of fake money, debt spending and the plutocrats that control almost all of the wealth.
It's very effective if you have just a few of these, but are able to get lots of press from doing so that causes many other consumers to go and buy yourself through normal grocery outlets.
Typical markup in the USA is 100% from wholesaler to retail. Running brick and mortar is very expensive. So if Walgreens were selling this, the wholesale price would be $1.25. I think it reasonable to expect the Yakult Ladies are pulling in the same $1.25 per package that walgreens gets.
The key, I think, is "Most of them are self-employed". Its a gig economy idea. You have to eat. If you're walking home from the store anyway (or kids school or on the way home from work or whatever), you may as well deliver packages for $1.25 each on the way home. You're walking home anyway, you may as well make free money on the walk.