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Competitiveness and Employment

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It is commonly said that Japanese firms employ 10 times as many engineers per operation worker as U.S. firms and 10 times fewer accountants. What effect would you expect this to have on their competitiveness? Why?

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Japanese firms employ 10 times as many engineers per operation worker as US firms do. Highly qualified supervisors and close supervision means better quality of the product being manufactured. The employing of more engineers enables Japanese firms to differentiate their products because of superior quality. The effect is that Japanese firms become more competitive. Japanese culture is such that close ...

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