234 Itai Yanai, COO, Plus500

Previously Itai was the Country Manager for Trax Retail,
Co-Founder and Acting CEO for ABJ Japan, Managing Director
ImpacTech, Director of Business Development APAC Kyodo
International Corporation Japan, Sales Manager Moroccanoli Japan,
.


He has a Masters Degreee in Media and Governance/ Environmental
Innovation from Keio Univerity and a BA from Tel Aviv University
in East Asian Studies.


Itai highlights that Japanese employees value humility in
leadership. Foreign leaders should initially adopt a learning
mindset, showing a willingness to understand local practices and
seek guidance from their teams. Japanese professionals take great
pride in their work and expect leaders to appreciate details and
technical expertise.


A significant challenge for foreign executives is balancing the
expectations of headquarters with the slower, consensus-driven
decision-making process in Japan. While Western business culture
often emphasizes rapid change and assertive leadership, Japan
values harmony, long-term relationships, and collective
decision-making. Leaders must build trust gradually by engaging
in meaningful conversations, demonstrating commitment, and
understanding the nuances of Japanese communication, including
indirectness and reading between the lines.


Another key aspect of leadership in Japan is handling mistakes
and fostering innovation. Employees may be hesitant to take risks
due to the fear of failure and hierarchical structures. Yanai
suggests that leaders should take responsibility for failures
while allowing employees to claim success, which encourages
innovation and builds trust.


Recruiting and retaining talent is another hurdle. Japanese
employees tend to prefer well-established companies with clear
career progression. Foreign companies or startups must create an
appealing work environment by offering stability, opportunities
for professional growth, and a sense of purpose beyond just
financial compensation. Providing employees with "opportunities"
rather than just a job can be a compelling way to attract and
retain talent.


Additionally, Japan’s highly demanding consumer market pushes
companies to refine their operations. Many foreign businesses
that establish themselves in Japan find that they must adopt
higher standards of quality and service, which can ultimately
benefit their global operations.


In summary, leading in Japan requires patience, cultural
sensitivity, and a deep understanding of the local work culture.
Effective foreign leaders should be humble, trust-building, and
willing to embrace Japan's emphasis on precision, harmony, and
long-term relationships to succeed.