CEO blog(en)

How to Live in Times of Uncertainty

Written by Akira Tsuchiya(en) | Sep 17, 2023 12:26:32 AM



I have been running recently.
While running, I always think of a poem that my mother used to sing to me,
"Doryanense."

"It's good to go, it's scary to come home.
As I run, I always think,

Physically, it's easy on the way there, hard on the way back
Psychologically, the way there is hard, the way back is super easy.
I always feel like this when I run on a new road that I have never run before.

Have you ever had this experience when running on a new road that you have never run before?
What's there to see after you get there? How far does it go?
How far do I run? Where do you turn around?
I don't know what's ahead, so I'm running with those things in mind.
On the way back, I don't think about that at all because I've already run that road once.
I know everything.
It is psychologically easy.
The psychological difference between a new road and a road that has been traveled many times is obvious.

It is the same with traveling.
If it's your first time in a new country, how do you get to immigration, or do they not speak English? How will I get from the airport to the city?
In a country that I visit frequently, I don't think about such things at all.
Also, going alone is different from going with a group of people, and the sense of security is different.

This uncertainty (not knowing what will happen) causes a great deal of psychological stress.
The difference between knowing and not knowing is a very big stress.

And it is the same in management.
First business, new business, first overseas business.
The main business you have done many times.
The major difference is uncertainty.
You don't know what other companies are doing, but you don't know what you are doing.
We don't have the experience. We don't have the experience.
This is a big stress.

This situation has been the same for a long time.
However, the scope of uncertainty is much wider than it used to be.
The angle of vision that we have to deal with has become wider. 
The uncertainty is also wider, greater, and deeper.
There are many ways to reduce one's uncertainty (psychological instability), if it leads to certainty (psychological stability).

It is a matter of using not only one's own experience, but also the experience of other companies as if it were one's own.
One example is franchising.
Headquarters dispels uncertainty.
This is because they have a lot of experience and experience in their own company (headquarters-owned business) and in other companies (franchisees).

Successful franchise headquarters have "certainty.
In terms of running ahead, they are a parallel runner and a companion,
A good running companion increases certainty (psychological stability).
If we do this, this will happen. When you get to this point, this is what starts to happen.
They make you see the signs with certainty.
On the other hand, there are also bad companions, who have no experience, so they are full of uncertainty and anxiety, whether they are running with you or not.
Franchise headquarters that do not let you see the future with certainty.
There are some.

Not only in the franchise field, but in management in general, management is easy if you have the ability to predict and see the future with certainty.
The future that can be predicted with certainty was described by P. F. Dragger as follows.
Demographic data never betray you. Demographic data is the only data that can be reliably predicted in management.
The number of people who are 35 now will certainly be 40 in five years. The total number may decrease, but it will not increase (deaths). Except for an increase due to immigration and other factors.
That is why this data is so reliable.

This demographic was helpful at St. Mark's, at Gyukaku, and at Curves.
Because they kept attacking the volume zone of demographics.
Only a few developed countries in the world, including Japan, are suffering from population decline.
The world's challenge is the population explosion.
How to read the demographic situation in Japan and around the world is essential for future management.

Asia and Africa can be considered as areas that will grow demographically explosively in the future.
Depending on the country, Southeast Asia, which has been the focus of our attention for more than 10 years, has many countries with large populations, including Indonesia. 5 Asian countries, half of which are in Asia, are at the top of the list of Japan, the 11th most populous country in the year 2023.
China (1st), India (2nd), Indonesia (4th), Pakistan (5th), and Bangladesh (8th).
*Nigeria (7th) Ethiopia (12th)




I'm in Adelaide, Australia, and Australia is the only Anglo-speaking country whose native language is English in an area that is not affected by the growing Asian time zone.
This is a huge advantage.
I have a feeling that this country will grow more and more with its abundant underground resources, the time difference advantage with the growing Asian region, and by accepting many immigrants.
I visited the immigration office in Adelaide this time and found that immigrants are welcome.
Also, what I always think about in Australia is the fact that OGs are engaged in even the 3K jobs (construction, construction, transportation, etc.), which are not all intellectual work that Japan bemoans about not being able to attract people.
This is a big difference from countries like Singapore, where all 3K jobs are done by migrant workers.
The minimum hourly wage in Australia is 2,200 yen.
We attract people from all over the world through working holiday.
Whether to increase or decrease the population, to make the most of it or to kill it, depends on the country and its politics.

If you want to live in the world, it is one idea to develop business in a country with an exploding population.
This is because that is where Japan was during its high-growth period. You should feel as if you were in a time machine and take on the challenge of developing a business model that was successful in Japan in the past. It would also be a good idea to take a cue from the franchises that were popular in Japan.

If you are going to live in Japan, you should look for a market where you can have a little certainty.
The market that is sure to grow for the next two to three years in Japan is the inbound market.
Barring something like Corona, the weak yen, Japan's charm, anime, manga, food, hot springs, snow, etc.
Strangely enough, the world likes Japan.
Without thinking too hard, even now that the Chinese group inbound has not returned, we are back to the same number of inbound visitors we had in 2019 before the Corona disaster.
The categories in which inbound visitors to Japan spend have also changed.
Pre-Corona, much of that was shopping (Chinese).
Post-Corona, the largest portion on that scale is lodging.
Indeed, there is a convenience store that impresses all visitors to Japan 😁.
Most foreign konbinis are dry goods, hardly any bento boxes or fresh food 😁.
Snacks are also delicious 😁.
Many inbound customers would probably get everything done at a convenience store.

On the other hand, that is not the case with lodging. They will always stay somewhere.
We also introduce franchise lodging businesses that meet the needs of inbound travelers from overseas.
If you are interested, please visit
https://fc.assentia-hd.com/ja/konjakusou

In any case, Corona is almost over and the world is coming back to life.
How to live and how to run a business from now on will depend on the ability and eyes to see the future of the business owners, I guess.



Ascentia Holdings, Inc.
Tsuchiya Translated with www.DeepL.com/Translator (free version)